22BBSerious breach

#### 22BB Serious breach (1) The Secretary may determine that the approved participant for an approved rental dwelling has committed a serious breach if the Secretary is satisfied that: (a) the approved participant has breached the approved participants code of conduct in relation to 3 or more investors within a period of 6 months, resulting in material financial detriment to those investors; or (b) has committed a compliance breach that involves one or more of the following: (i) providing false or misleading information to the Secretary or the Department in relation to the National Rental Affordability Scheme; (ii) failing to comply with the law of the Commonwealth or a State or Territory in relation to the dwelling or any other aspect of the National Rental Affordability Scheme; (iii) claiming a tax offset that the approved participant is not entitled to claim; (iv) passing on a tax offset to a person who is not entitled to claim the tax offset; or (c) all of the following apply: (i) the approved participant has breached the approved participants code of conduct or committed a compliance breach; (ii) the Secretary has, by writing, required the approved participant to take remedial action in relation to the breach; (iii) the remedial action is not taken within 28 days after the requirement is given to the approved participant; or (d) all of the following apply: (i) the approved participant has breached the approved participants code of conduct or committed a compliance breach; (ii) the Secretary has given the approved participant a written warning in relation to the breach; (iii) within 12 months after being given the warning, the approved participant commits a similar breach (whether in relation to the same or another allocation). (2) If the Secretary determines that the approved participant has committed a serious breach: (a) the Secretary may publish notice of the breach on the Department’s website; and (b) an investor for any approved rental dwelling (the investor’s dwelling) for which the allocation is held by the approved participant dwelling may, by writing, request the Secretary to transfer the allocation for the investor’s dwelling.