These requirements are set to protect and inspire confidence in the VET system, and to safeguard Australia’s reputation as a premier provider of VET (both locally and internationally).
The new Fit and Proper Person Requirements apply tests to determine standards of behaviour by individuals who are in a position to influence an RTO's management.
However, the Fit and Proper Person Requirements also now provide clarity on which persons should be subject to these tests. The requirements have been strengthened to allow other relevant matters to be factored into these decisions.
A fit and proper person is considered to be any of the following:
- an executive officer of the person referred to in FPPR 4;
- a high managerial agent of the person referred to in FPPR 4; or
- any person or entity which exercises a degree of control or influence over the management or direction of the registered training organisation.
The following is taken into consideration for all fit and proper persons:
- whether the person has been convicted of an offence against a law of the Commonwealth or of a State or Territory and if so, the seriousness of the offence;
- whether the person has ever had his, her or its registration on the National Register cancelled or suspended;
- whether the person has ever had a condition imposed on his, her or its registration on the National Register;
- whether the person has ever breached a condition of registration in Subdivision B of Division 1 of Part 2 of the Act;
- whether the person has ever become bankrupt, applied to take the benefit of a law for the benefit of bankrupt or insolvent debtors, compounded with his or her creditors or assigned his or her remuneration for the benefit of creditors;whether the person has ever been disqualified from managing corporations under Part 2D.6 of the Corporations Act 2001;
- whether the person was involved in the business of the provision of courses by another provider who is covered by any of the above paragraphs at the time of any of the events that gave rise to the relevant prosecution or other action;
- whether the person has ever provided a State or Territory registering body and/or the National VET Regulator with false or misleading information or made a false or misleading statement to a State or Territory registering body or the National VET Regulator, and whether the person knew that the statement made or information provided to the State or Territory registering body or VET Regulator was false or misleading;
- whether the person has ever been found not to be a fit and proper person for the purposes of the Education Services for Overseas Students Act 2000;
- whether the public is likely to have confidence in the person's suitability to be involved in an organisation that provides or assesses national qualifications; and
- any other relevant matter.