Education Standards Act 2001

  • This version includes a correction to section 69(2) made under section 25(j)(iii) and 25(j)(iv) of the Legislation Act 2012.
16 New section 103A inserted

The principal Act is amended by inserting, after section 103, the following section:

103A Financial interests that disqualify persons from being trustees

(1)

In this section,—

contract, in relation to a Board,—

(a)

means a contract made by any person directly with the Board; and

(b)

includes any relationship with the Board that is intended to constitute a contract but is not an enforceable contract; but

(c)

does not include any contract for the employment of any person as an officer or employee of the Board

company means a company incorporated under the Companies Act 1993 or any former Companies Act or a society incorporated under the Industrial and Provident Societies Act 1908 or any former Industrial and Provident Societies Act

subcontract, in relation to any contract made by a Board,—

(a)

means a subcontract made with the contractor under that contract, or with another subcontractor, to do any work or perform any service or supply any goods or do any other act to which the head contract relates; and

(b)

includes any subsidiary transaction relating to any such contract or subcontract.

(2)

A person is not capable of being a trustee of a Board or a member of a committee of a Board, if the total of all payments made or to be made by or on behalf of the Board in respect of all contracts made by it in which that person is concerned or interested exceeds in any financial year—

(a)

the amount determined for the purpose by the Secretary, in consultation with the Auditor-General, by notice in the Gazette; or

(b)

in the absence of an amount determined under paragraph (a), $25,000.

(3)

For the purposes of subsection (2), a trustee or a member of a committee of a Board is deemed to be concerned or interested in a contract made by a Board with a company, if—

(a)

the trustee owns, whether directly or through a nominee, 10% or more of the issued capital of the company or of any other company controlling that company; or

(b)

the trustee is the managing director or the general manager (by whatever names they are called) of the company.

(4)

For the purposes of this section, a company is deemed to control another company if it owns 50% or more of the issued capital of that other company or is able to control the exercise of 50% or more of the total voting powers exercisable by all the members of that other company.

(5)

Despite anything in this section,—

(a)

a person is not disqualified under this section if the Secretary approves the contract at the request of the Board, whether or not the contract is already entered into; and

(b)

the Secretary may, by notice in the Gazette, issue guidelines setting out the basis on which applications for approval under paragraph (a) will be considered.