Commonwealth Consolidated Acts Commonwealth Consolidated ActsScope
(1) This section applies if a security interest in property (the secured property ) of a body corporate under statutory management:
(a) was a circulating security interest when the interest arose; but
(b) has stopped being a circulating security interest because:
(i) in the case of a PPSA security interest--the property has stopped being a circulating asset (within the meaning of the Personal Property Securities Act 2009 ); or
(ii) in the case of a security interest that was a floating charge when it arose--the floating charge has since become a fixed or specific charge.
Note 1: A circulating security interest can be either a PPSA security interest to which a circulating asset has attached or a floating charge: see the definition of circulating security interest in section 9.
Note 2: For the meaning of circulating asset , see section 340 of the Personal Property Securities Act 2009 .
Security interest in circulating asset
(2) Subject to section 836F in the case of a PPSA security interest, the statutory manager may deal with any of the secured property in any way the body corporate could deal with the secured property immediately before it stopped being a circulating asset.
(3) Subject to section 836F, if the secured interest was a floating charge when it arose, the statutory manager may deal with any of the secured property as if the security interest were still a floating charge.
Note: Section 836F deals with the disposal of encumbered property by a statutory manager.