188. Financial penalties

Subject to paragraphs (2) and (3), where the Authority is of the opinion that an AOC holder is contravening, has contravened or has failed to comply with any provision in Part 2 being a contravention that is not an offence under the Act, the Authority may impose on the AOC holder a financial penalty not exceeding the higher of the following:

$500,000; (b)5% of the AOC holder’s annual revenue derived from the regulated activity.

Before exercising any power under paragraph (1), the Authority must give written notice to the AOC holder concerned —

stating that the Authority intends to impose on the AOC holder a financial penalty under this regulation;

specifying each instance of non‑compliance that is the subject of the financial penalty; and

specifying the time (being not less than 14 days after the service of the notice on the AOC holder) within which written representations may be made to the Authority with respect to the non‑compliance that is the subject of the financial penalty.

The Authority may, after considering any written representations under paragraph (2)(c), decide to impose such financial penalty under paragraph (1) as the Authority considers appropriate.

Where the Authority has made any decision under paragraph (3) against any AOC holder, the Authority must serve on the AOC holder concerned a notice of its decision.

To avoid doubt, this regulation does not affect the operation of section 4C, 4D or 4E of the Act.

In this regulation —

“annual revenue” means the amount of money received by an AOC holder in the calendar year during which the AOC holder contravened or failed to comply with a provision in Part 2 being a contravention that is not an offence under the Act;

“regulated activity” means the flights or operations regulated under these Regulations.