Positions of authority in trusts and corporate entities
All people in positions of authority must be approved by the Liquor and Gambling Commissioner. Any time you change a person who is in a position of authority within your corporate structure or trust, they must be approved.
A person is considered to be in a position of authority if they:
- are a director of the body corporate or organisation
- exercise influence or control over the body corporate or licence
- manage the business of the body corporate to be conducted under the licence
- are a shareholder, if the licensee is a proprietary company
- are a director or shareholder of subsidiary companies
- are a CEO, general manager etc.
In a trust, a person is considered to be in a position of authority if they are a trustee or beneficiary of the trust.
Minors who are shareholders in a proprietary company, or who are beneficiaries under a trust don't need approval.
A charitable organisation that is a beneficiary of a trust is not regarded as occupying a position of authority.
It is up to you to advise the licensing authority if an individual is in a position of authority. If it's discovered that an individual in this position hasn't been approved, this becomes a compliance issue.
What you'll need
Fit and proper person
To be approved to hold a position of authority you must be a fit and proper person.
A person is not a fit and proper person to hold a licence, or be in a position of authority in a trust or corporate entity that holds a licence if they have been found guilty or convicted of an offence prescribed by regulations.
You'll need to upload a copy of the new corporate structure and, if applicable, a new trust deed (a legible photo is acceptable).
CBS doesn't need to be notified if an approved person in a position of authority changes position within the same corporate structure - eg CEO to director, beneficiary to shareholder.
In the case of a company, you may also need to advise the Australian Securities and Investment Commission (ASIC) of any changes.
What happens next
You can log in to LGO at any time to track the progress of your application.
You'll also receive periodic email notifications asking you to log in to receive important information such as the date that your application will be considered (determination date).
Your application will also be sent to South Australia Police Licensing Enforcement Branch. If your premises also holds a gaming machine licence, everyone seeking to be approved will be contacted by South Australia Police to have their fingerprints taken. Alternative arrangements can be made for people who live in remote or isolated areas, interstate or overseas.
If there are no concerns raised by police (interventions), and the Commissioner has determined that the person is fit and proper, they will be approved.
The person applying for approval will be notified if:
- the Commissioner is not satisfied the person applying to be approved is fit and proper
- the police provide the licensing authority with information of concern
- the police intervene on the application.
The police may intervene in an application if they have concerns about the fitness and propriety of any person applying to be approved in a position of authority.
Interventions must be lodged at least seven days before the determination date.
If the police intervene in your application you will be advised and you may:
- be asked to submit a response the Commissioner
- be invited to take part in a conciliation conference with the police and the Commissioner or a delegate
- be invited to attend a hearing before the Licensing Court.
A conciliation conference is usually held at CBS in the Adelaide CBD.
The Commissioner or delegate must consider all submissions, interventions and responses, and may make a decision on your application without asking you to respond, having a conciliation conference or holding a hearing.