(1) A payment of orphan benefit payable in respect of an eligible child or the eligible children of a deceased person shall be made to the child or children or to such other person or persons as CSC considers appropriate.
(2) Where an amount of orphan benefit is payable in respect of 2 or more eligible children of a deceased person, CSC may, having regard to the respective circumstances of the children and to such other matters as it considers appropriate, apportion the amount amongst the children in such manner as it thinks fit, and the portion applicable to a particular eligible child or to particular eligible children shall, for the purposes of subsection (1), be deemed to be a payment of orphan benefit payable in respect of that child or those children.
(2A) For the purposes of subsection (2), in determining the needs of a child or children, disregard any need that results from an election made under section 146G in relation to the child or children.
(2B) CSC must ensure that so much of an orphan pension as is commuted under section 146G is not apportioned under subsection (2) of this section.
(3) A payment of orphan benefit that, under subsection (1), is made to a person or persons other than the eligible child or eligible children in respect of whom it is payable shall be applied for the maintenance, education or other benefit of that eligible child or those eligible children.
(4) In this section:
"eligible child" has the same meaning as in Division 4 of Part VI.
"orphan benefit" means:
(a) orphan pension or a lump sum benefit payable under Division 4 of Part VI; or
(b) a lump sum benefit payable under section 110TF.