Western Australian Consolidated Acts Western Australian Consolidated Acts (1) The Commissioner
shall not grant or renew a licence unless the applicant lodges or has lodged
with the Commissioner a bond or guarantee to Her Majesty and her successors in
an approved form and in an amount approved in respect of the applicant,
entered into by an insurance company carrying on business under, and in
accordance with the Insurance Act 1973 of the Parliament of the
Commonwealth, or by a bank carrying on business under, and in accordance with
the Banking Act 1959 of the Parliament of the Commonwealth, or any other
Act in amendment or substitution of those Acts respectively, or by other
approved surety or sureties, or by other approved guarantor or guarantors.
(2) A bond or
guarantee lodged pursuant to this section shall be conditioned on the licensee
duly and according to law paying, applying, and accounting for moneys coming
to his hands and punctually complying with all duties and obligations imposed
on him by law in relation to those moneys; and the bond or guarantee shall
provide that it enures during the term of the licence for which it is
originally given and may also provide that it enures during the term of any
licence to the same person granted in renewal of the licence.
(3) Where a bond or
guarantee enures in respect of the renewal or further renewal of a licence,
the insurance company, surety, or sureties, or the bank, guarantor, or
guarantors may by notice in writing given to the Commissioner determine its,
his, or their liability under the bond or guarantee in respect of any act or
default that may be done or made after the current licence expires and the
Commissioner shall not renew the licence until another approved bond or
guarantee has been lodged by the applicant.
(4) Where, at any time
during the currency of a licence, the bond or guarantee lodged in respect of
it ceases to be of full force and effect, the person who held the licence is
deemed not to be the holder of a licence until another approved bond or
guarantee is lodged by him.
(5) The State
Administrative Tribunal may, on the application of the Commissioner and on
being satisfied that any condition of the bond or guarantee has been broken,
assign the moneys recoverable on the bond or guarantee to the Commissioner or
to any other person and the Commissioner or any other person to whom such an
assignment has been made or the executors or administrators of the estate of
that other person is, upon the assignment, entitled to sue upon the bond or
guarantee in their own name or names, as if the bond or guarantee had, in the
first instance, been given to him, or them and is entitled to receive, as
trustees for all persons interested, the full amount recoverable in respect of
the breach of a condition of the bond or guarantee.
(6) Where —
(a) a
licence has expired under section 30(1A); and
(b) the
Commissioner is reasonably satisfied, having regard to the period of time
since the licence has expired, that the former licensee is unlikely to have,
or to incur, an undischarged liability in respect of moneys which came to his
hands before the referral day,
the Commissioner may
release a bond or guarantee lodged by the former licensee under
subsection (1) and may return to the former licensee any document
associated with the bond or guarantee.
[Section 35 amended by No. 56 of 1995
s. 23; No. 53 of 2004 s. 27; No. 55 of 2004 s. 352 and
358; No. 14 of 2010 s. 50.]