Member Criteria, Conduct & Practice
Associate and Professional Criteria
There is currently no comprehensive framework for regulating restructuring and turnaround leaders, advisors and managers. Often restructuring and turnaround practitioners will have professional qualifications in banking, risk management, transformation, innovation & change, accounting, finance, law or governance (to name a few).
The ABRT provides platform of standards so that all professionals are able to collaborate ‘on the level’ for the benefit of business clients.
- Application fee of $275 (GST Inc) for 2020;
- National police check (at the applicant’s cost);
- National Personal Insolvency Index check (at the applicant’s cost);
- Suitable career history declaration;
- Minimum educational requirement is undergraduate or masters degree (or equivalent as determined by Board); and
- Review of professional memberships, certifications, registrations, academic/educational achievements and experience for member category applied for.
Should it be determined that an applicant for Associate membership does not possess the requisite turnaround leadership experience of 2 years (at a level of seniority approved by the Board), then Affiliate Membership will be offered.
As an Affiliate Member, the ‘Executive Certificate in Turnaround Management Practice’ can be undertaken at any time. Once the requisite leadership experience has been gained, the member may apply to matriculate to either Associate Membership or directly be awarded Professional Membership and granted RTE® Restructuring and Turnaround Executive status (subject to successful completion of the Executive Certificate and Board approval).
ABRT Associate and Professional Member Conduct
- adherence to the ABRT Code of Ethics;
- verification of all professional memberships, qualifications, certifications and registrations displayed on the profile in the ABRT Professional Directory (annually re-certified);
- associates complete the ‘Executive Certification in Turnaround Management Practice’ within 2 years of joining;
- ongoing Professional Development (30 structured hours every 3 years);
- submission of professional references and testimonials to support leadership experience (at a level of seniority approved by the Board);
- respond to any complaints, comply with reasonable information requests and directions from the ABRT Board and, if necessary, undergo Alternative Dispute Resolution (ADR) with the ASBFEO;
- demonstrate and maintain adequate professional indemnity insurance (if a practicing restructuring and turnaround advisor); and
- immediately notify the ABRT of changes to information held within the ABRT Professional Directory (including matters of misconduct, disqualification from other professional bodies, criminal convictions, and/or acts of bankruptcy).
Introduction to Practice Standards (PPS)
The purpose of Professional Practice Standards is to promote and maintain high standards by setting out required practice and harmonising the approach of restructuring and turnaround practitioners when undertaking client engagements. They apply in parallel to the prevailing statutory and legal framework.
The Professional Practice Standards should be read in conjunction with the wider fundamental principles embodied in the ABRT Code of Ethics and should be applied in accordance with the spirit of the Code.
A literal interpretation of a PPS wouldn’t be appropriate where it would be contrary to the fundamental principles of the ABRT Ethics Code, the regulatory or legal framework or any other applicable ethical codes to which the ABRT Member is required to adhere to.
Purpose of the Professional Practice Standards
ABRT Members that personally take on engagements have an obligation to clients to ensure they receive the highest degree of excellence in professional services. ABRT Members have a positive duty to uphold the Professional Practice Standards that are set by the ABRT Board and revised accordingly.
It is also critical that ABRT Members can demonstrate their professional conduct, decisions and actions to the ABRT Board, regulators and others external parties as and when required.
To inform and educate ABRT Members as to the standards of conduct expected of them in the discharge of their professional responsibilities, the ABRT is committed to continually developing and improving the Professional Practice Standards.
Professional Practice Standards (PPS) – Regulatory Status
Professional Practice Standards set principles and key compliance standards with which ABRT Associates and Professional Members are required to comply. They do not represent an exhaustive list of guidance materials to which an ABRT Member can rely upon in undertaking restructuring and turnaround work.
Failure to observe the principles and/or maintain the standards set out in a PPS is a matter that may be considered by the ABRT Board for the purposes of disciplinary action. The ABRT Board may refer a matter for independent assessment by an independent regulatory authority and/or refer the matter to any other professional membership body to which an ABRT Member belongs.
ABRT Members should evidence their compliance with a PPS and should, therefore, document their strategies and decision making processes appropriately. The PPSs’ set out the expected standard of practice, but they are not standards of the law or obligations that are necessarily imposed by any regulation directly. Where an ABRT Member is in doubt about any obligation imposed upon them by a SPP, they should obtain appropriate guidance by contacting the ABRT.
No liability attaches to any body, entity or individual that prepares, issues or distributes a PPS. The obligation to comply with a PPS rests solely upon the ABRT Member, as does their discretion in the practical application and any liability arising from the failure to do so.