#13038
Billen Ben
Flatchatter

    There are some rules; particularly if you are in a large SP (100+ units).
    For normal SPs the following may assist. s68 and 71, parts 2 and 3, may be relevant.

    It depends what fund the money was in originally as to which section applies and if it was replaced according to the requirement.

    That the money was spent without anyone knowing is not a very transparent action; especially from an agent.

    68   What money can be paid out of the administrative fund?

    (1)  An owners corporation must not pay any money from its administrative fund except for the purpose of:

    (a)  payments of the kind for which estimates have been made under section 75 (1), or

    (b)  payments made in accordance with this Division on a distribution of a surplus in the fund, or

    (c)  payments to a member of the executive committee in accordance with this Act, or

    (d)  other payments in connection with carrying out its functions under this Act or the by-laws, except payments of a kind referred to in section 71 (1).

    (2)  However, an owners corporation may pay money by transfer from its administrative fund to its sinking fund or by meeting from its administrative fund expenditure that should have been met from its sinking fund so long as the owners corporation complies with subsection (3).

    (3)  The owners corporation must, not later than 3 months after the disbursement, make a determination under section 76 (1) of an amount sufficient to recoup the amount of the disbursement.

    71   What money can be paid out of the sinking fund?

    (1)  An owners corporation must not pay any money from its sinking fund except for the purpose of:

    (a)  payments of the kind for which estimates have been made under section 75 (2), or

    (b)  payments made in accordance with this Division on a distribution of a surplus in the fund.

    (2)  However, an owners corporation may disburse money by transfer from its sinking fund to its administrative fund or by meeting from its sinking fund expenditure that should have been met from its administrative fund if the owners corporation complies with subsection (3).

    (3)  The owners corporation must, not later than 3 months after the disbursement, make a determination under section 76 (1) of an amount sufficient to recoup the amount of the disbursement.