26Repayment of grants

26 Repayment of grants

(1) Where: (a) a shipowner has been paid a grant (other than a grant under subsection 8(6)) in respect of a ship; and (b) during the period of 5 years beginning on the payment: (i) the shipowner ceases to be the owner of the ship otherwise than because of a transfer in relation to which the Secretary has made a declaration under section 35; or (ii) the ship ceases to be an Australian trading ship; the shipowner shall pay to the Commonwealth an amount that bears the same proportion to the amount of the grant as the number of unexpired months in that period bears to 60. (2) Where: (a) a shipowner has been paid a grant (other than a grant under subsection 8(6)) in respect of a ship; and (b) while the shipowner owns the ship, the shipowner allows the ship: (i) to be operated by a crew all of whose members are not Australian residents or members in accordance with an approval under subsection 22(7); (ii) to make a voyage so that it falls into a category that is not specified in its category certificate; or (iii) to make a voyage when the number of its crew exceeds the maximum crew number for the voyage; the shipowner shall repay to the Commonwealth the amount of the grant. (3) For the purposes of subsection (2), a shipowner shall be taken to allow an event referred to in that subsection to occur if: (a) the event occurs; and (b) the shipowner has not taken all reasonable steps to prevent the event occurring.