Debts and nominees 107-02050040

Penalties for Payment Nominees

Payment Nominees:

• face monetary penalties if they fail to produce proper records of how they managed the customer's payment
• must keep a record of the expenditure of the customer's payments, and
• these records can be requested at any time for review purposes

If a review is conducted, the nominee:

• will receive a notice requesting a statement regarding the disposal of money paid under Social Security Law, to the Nominee on behalf of the recipient
• must comply with this request, and
• if they fail to do so, monetary penalty provisions apply

These penalty provisions only impact Payment Nominees under 123L(6) of the Social Security (Administrative Act) 1999.