26Liability to forfeit secured amounts

26 Liability to forfeit secured amounts

26 Liability to forfeit secured amounts

(1) This section applies if the Minister or an agent of the Minister incurs any recoverable costs in relation to a permit for which an elective financial arrangement is in effect for the purposes of the security condition of the permit (the relevant permit).

(2) The Minister may give the person who holds or held the relevant permit written notice (a recovery notice) requiring the person to pay the amount of the recoverable costs (the recoverable amount) within a period specified in the recovery notice, being a period of not less than 14 days from the date on which the recovery notice is given to the person.

(3) If the person fails to pay the recoverable amount in accordance with the recovery notice, the Minister may forfeit to the Crown the recoverable amount from any amount (a security amount) deposited or secured under the financial arrangement relating to the relevant permit entered into by the person under this part.

(4) If the whole or part of the recoverable amount is to be forfeited under an elective financial arrangement that is, or includes, a bank guarantee financial arrangement—

(a) the Minister must give the authorised guarantor under the financial arrangement written notice of the amount to be forfeited under the bank guarantee financial arrangement (a forfeiture notice), and

(b) the authorised guarantor must pay the amount to the Minister within 7 days after receiving the forfeiture notice.

(5) The recoverable amount is recoverable by proceedings brought in a court of competent jurisdiction as a debt due to the Crown.

(6) To avoid doubt, an amount may be forfeited under this section even if the person who entered into the financial arrangement no longer holds the permit to which the financial arrangement relates.