The regulator may hold an inquiry into the affairs of a registered provider if the regulator suspects that—
the affairs of the registered provider may have been mismanaged,
the registered provider has failed to meet a standard under section 193, 194 or 194C, or
there is a risk that, if no action is taken by the regulator or the registered provider, the registered provider will fail to meet a standard under section 193, 194 or 194C.
The regulator shall appoint one or more individuals to conduct the inquiry.
An individual is eligible for appointment only if the individual is independent of the regulator.
Individuals are independent of the regulator if they and the members of their family—
are not members or employees of the regulator, and
have not been members or employees of the regulator within the previous five years.
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