39AMembers of partnerships or officers of bodies corporate

39A Members of partnerships or officers of bodies corporate

39A Members of partnerships or officers of bodies corporate

(1) Disciplinary action may be taken under this division against an individual who is a member of a partnership or an officer of a body corporate that is the holder of a licence if the holder of the licence has engaged in improper conduct.

(2) The reference in subsection (1) to an individual who is a member of a partnership includes a reference to an individual who is an officer of a body corporate that is a member of a partnership.

(3) It is a sufficient response to the show cause notice given to the individual under section 41 if the individual’s submissions to the Secretary satisfy the Secretary that—

(a) the improper conduct occurred without the individual’s knowledge, or

(b) the individual was not in a position to influence the conduct of the other members of the partnership or other officers of the body corporate, of which the individual was a member or an officer, to prevent the improper conduct, or

(c) the individual, being in the position, used all due diligence to prevent the occurrence of the improper conduct.

(4) In this section—

improper conduct means conduct that constitutes a ground for disciplinary action under section 38 or 39.

s 39A: Ins 2023 No 28, Sch 1[29].