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APPOINTMENTS – CHAIR AND MEMBERS, SAFE HARBOUR REVIEW PANEL
THE HON MICHAEL SUKKAR MP
Assistant Treasurer
Minister for Housing
Minister for Homelessness, Social and Community Housing
MEDIA RELEASE
Thursday 19 August 2021
APPOINTMENTS – CHAIR AND MEMBERS, SAFE HARBOUR REVIEW PANEL
The Morrison Government has today appointed Ms Genevieve Sexton as the Chair of a three-month review of the insolvent trading safe harbour. Ms Leanne Chesser and Mr Stephen Parbery have also been appointed as members of the review panel.
As part of the Government’s National Innovation and Science Agenda, the Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Act 2017 created a safe harbour for company directors from personal liability for insolvent trading if the company is genuinely attempting to restructure.
The aim of the safe harbour is to encourage directors to seek advice early on how to restructure and save financially distressed but viable companies, rather than closing down prematurely to avoid personal liability. This supports a culture of entrepreneurship and innovation, by providing breathing space for distressed businesses.
The review of the safe harbour follows on from the Government’s commitment, made as part of the 2021 Budget, to explore further reforms to Australia’s insolvency framework to provide as many businesses as possible the opportunity to turnaround, restructure and survive.
Today’s appointments will bring a high level of skills and experience to the review. They will support the review to determine if the safe harbour remains a fit for purpose tool to support companies to restructure and survive.