Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) If section 420 applies in respect of an incapacitated person, the administrator must pay the amount mentioned in subsection (2) to the Commonwealth out of the payments of pension or lump sum that the administrator would otherwise have made to the incapacitated person.
(2) The administrator must pay on a particular day the lesser of the following amounts:
(a) the amount of the payment of pension or lump sum (or both) that the administrator would otherwise have made to the incapacitated person on the day;
(b) the amount of the original overpayment less any amounts that the administrator has paid to the Commonwealth before that day to reduce the original overpayment.
(3) The payment of an amount by the administrator to the Commonwealth discharges, to the extent of that amount:
(a) the liability of the administrator to pay that amount to the incapacitated person; and
(b) the liability of the incapacitated person to pay that amount to the Commonwealth.