172Disciplinary action against licensees

#### 172 Disciplinary action against licensees 172 Disciplinary action against licensees > > (1) For the purposes of this Part— > > > > disciplinary action means any one or more of the following actions in relation to a licence— > > > > > (a) the cancellation or suspension of the licence, > > > > > (b) the imposition on the licensee of a monetary penalty (not exceeding $1,000,000), > > > > > (b1) in the case of a CMS licence—the imposition on the licensee of a monetary penalty (not exceeding the amount prescribed by the regulations) and, in the case of a continuing contravention, a further penalty (not exceeding the amount prescribed by the regulations) for each day the contravention continues, > > > > > (c) the alteration of the conditions of the licence by the Minister, > > > > > (d) the service of a letter of reprimand by the Minister on the licensee. > > > (2) If a licensee— > > > > > (a) contravenes a provision of this Act or the regulations, or > > > > > (b) fails to comply with any requirement under this Act or the regulations that relates to the licensee, or > > > > > (c) in the case of a CMS licensee—fails to comply with any requirement under the [Gaming Machine Tax Act 2001](/view/html/inforce/current/act-2001-072) that relates to the licensee, or > > > > > (c1) in the case of a CMS licensee—ceases to be a suitable person to be concerned in or associated with the management and operation of a CMS, or > > > > > (c2) in the case of a CMS licensee who holds a CMS licence that is not in force— > > > > > > > (i) is, in the opinion of the Minister, unlikely to satisfy any criteria for the licence to come into force within a reasonable time, or > > > > > > > (ii) fails to comply with any arrangements made for the payment of the amount payable as consideration for the grant of a CMS licence under section 168, or > > > > > (d) fails to comply with a condition of the licence, or > > > > > (e) being a natural person— > > > > > > > (i) becomes bankrupt, applies to take the benefit of any law for the relief of bankrupt or insolvent debtors, compounds with his or her creditors or makes an assignment of his or her remuneration for their benefit, or > > > > > > > (ii) becomes an incapacitated person and incapable of carrying on the activities authorised by the licence in accordance with this Act, or > > > > > > > (iii) is convicted of an offence involving fraud or dishonesty, or > > > > > (f) being a corporation— > > > > > > > (i) enters into or authorises a dealing with or in respect of shares of, or other instruments issued by, the corporation without the consent in writing of the Minister that, in the opinion of the Minister, affects the control of the corporation, or > > > > > > > (ii) becomes an externally administered corporation within the meaning of the [Corporations Act 2001](http://www.legislation.gov.au/) of the Commonwealth, or > > > > > > > (iii) fails to terminate promptly the employment of a person concerned in the management of the licensee who is convicted of an offence involving fraud or dishonesty, > > > > the Minister may serve on the licensee a notice in writing giving the licensee an opportunity to show cause within 14 days (or such longer period as the Minister may specify in the notice) why disciplinary action should not be taken against the licensee on the grounds specified in the notice. > > > > Note. > > > > Section 174A provides for the cancellation of a CMS licence in extraordinary circumstances without giving the licensee an opportunity to show cause why disciplinary action should not be taken against the licensee. > > > (2A) Despite subsection (2), the Minister may serve a letter of reprimand on a CMS licensee on any of the grounds referred to in that subsection without giving the licensee an opportunity to show cause why that action should not be taken against the licensee. > > > (3) The licensee may, within the period allowed by the notice, arrange with the Minister for the making of submissions to the Minister as to why disciplinary action should not be taken and the Minister is to consider any submissions so made. > > > (4) The Minister may then decide that it is appropriate that certain disciplinary action be taken against the licensee and may— > > > > > (a) take that disciplinary action, or > > > > > (b) take action under section 173, or > > > > > (c) in the case of a CMS licensee, take both that disciplinary action and action under section 173. > > > (5) To the extent that this section authorises disciplinary action to be taken in relation to an offence committed by the licensee or another person, such action may be taken against the licensee whether or not the licensee or person has been prosecuted, convicted or penalised for the offence. > > > (6) Disciplinary action takes effect when notice of it is given in writing or on a later date specified in the notice. > > > (7) The fact that disciplinary action is taken by the Minister under this section does not prevent the Minister from taking the same or other disciplinary action under this section if the contravention continues or a fresh contravention occurs. > > > (8) A monetary penalty imposed under this section may be recovered as a debt due to the Crown in a court of competent jurisdiction. > > **s 172:** Am 2015 No 70, Sch 1 \[7\]–\[13\]; 2018 No 7, Sch 1.6 \[12\].