Australian Capital Territory Numbered Acts Australian Capital Territory Numbered Acts(1) The operator of a retirement village commits an offence if the operator uses a capital works fund amount for a purpose other than any of the following:
(a) to meet the cost of capital maintenance;
(b) if the residents of the village consent to a proposal that the operator distribute any part of the fund that is not required to fund capital maintenance to the residents in equal shares—to give effect to that proposal;
(c) for a purpose prescribed by regulation.
Maximum penalty: 50 penalty units.
(2) An offence against this section is a strict liability offence.
(3) A proposal mentioned in subsection (1) (b) may be made by the operator or the residents committee.
(4) If the residents consent to a proposal made by the residents committee under subsection (1) (b), the operator may apply to the ACAT for an order that—
(a) the distribution is not to be made; or
(b) approves or amends the proposed distribution.
(5) In making an order under subsection (4), the ACAT may consider the following:
(a) the proportion of the capital works fund proposed to be distributed;
(b) whether the proportion of the capital works fund proposed to be distributed is reasonably likely to be required to fund capital maintenance;
(c) anything else the ACAT considers appropriate.