Commonwealth Consolidated Acts

PROCEEDS OF CRIME ACT 1987 - SECT 64

  (1)   Where:

  (a)   a foreign restraining order is made against property of a person in reliance on the person's conviction, or alleged commission, of a foreign serious offence;

  (b)   the foreign restraining order is registered in a court in Australia under the Mutual Assistance Act;

  (c)   a foreign pecuniary penalty order has been or is made against the person in reliance on the person's conviction of the offence or a related foreign serious offence; and

  (d)   the foreign pecuniary penalty order has been or is registered in a court in Australia under the Mutual Assistance Act;

then, upon the registration of the foreign restraining order or the foreign pecuniary penalty order, whichever last occurs, there is created, by force of this section, a charge on the property to secure the payment to the Commonwealth of the penalty amount.

  (2)   Where a charge is created by subsection   ( 1) on property of a person, the charge ceases to have effect in respect of the property:

  (a)   upon payment to the Commonwealth of the penalty amount in satisfaction of the foreign pecuniary penalty order;

  (b)   upon the person becoming a bankrupt;

  (c)   upon the sale or other disposition of the property:

  (i)   under an order under section   63;

  (ii)   by the owner of the property with the consent of the court in which the foreign pecuniary penalty order is registered; or

  (iii)   where an order under section   61 directed the Official Trustee to take control of the property--by the owner of the property with the consent of the Official Trustee;

  (d)   upon the sale of the property to a purchaser in good faith for value who, at the time of purchase, has no notice of the charge; or

  (e)   upon the cancellation of the registration of the relevant foreign restraining order, or the cancellation of the registration of the relevant foreign pecuniary penalty order, in accordance with the Mutual Assistance Act;

whichever first occurs.

  (3)   A charge created on property by subsection   ( 1):

  (a)   is subject to every encumbrance on the property that came into existence before the charge and that would, apart from this subsection, have priority over the charge;

  (b)   has priority over all other encumbrances; and

  (c)   subject to subsection   ( 2), is not affected by any change of ownership of the property.

  (4)   Where a charge is created by subsection   ( 1) on property of a particular kind and the provisions of any law of the Commonwealth or of a State or Territory provide for the registration of title to, or charges over, property of that kind, the Official Trustee or the DPP may cause the charge so created to be registered under the provisions of that law and, if the charge is so registered, a person who purchases or otherwise acquires an interest in the property after the registration of the charge shall, for the purposes of paragraph   ( 2)(d), be deemed to have notice of the charge at the time of purchase or acquisition.