Commonwealth Consolidated Acts

HEALTH INSURANCE ACT 1973 - SECT 19ABC

  (1)   If:

  (a)   a person is a party to a contract with the Commonwealth (as represented by the Department) for a Medical Rural Bonded Scholarship (including such a contract as varied from time to time) that was entered into before the commencement of this section; and

  (b)   after the commencement of this section, the person breaches a provision of the contract that requires the person to work in a rural or remote area in accordance with that provision;

the Minister may determine that a medicare benefit is not payable in respect of a professional service rendered by, or on behalf of, the person as a medical practitioner.

  (2)   In deciding whether to make a determination under subsection   (1), the Minister must have regard to any matters prescribed by the regulations.

  (3)   If the Minister makes a determination under subsection   (1) in relation to the person, a medicare benefit is not payable to the person during the period that:

  (a)   starts on the day specified in the determination (which must not be a day before the determination is made); and

  (b)   ends:

  (i)   when the period that is equal to double the length of the period that the person was required under the contract to work in a rural or remote area ends; or

  (ii)   if a shorter period is determined in, or in accordance with, the contract--when that shorter period ends.

  (4)   Subsection   (3) applies whether or not the person was a medical practitioner at the time the contract was entered into or at the time the breach occurred.

  (5)   If the Minister makes a determination under subsection   (1) in relation to the person, the Minister must give the person written notice of the following:

  (a)   the decision to make the determination;

  (b)   the reasons for the decision;

  (c)   how the person may apply for reconsideration or review of the decision.