(1) Where it can be proved that a supplier has contracted to provide goods or a service and pursuant to that contract, has received a deposit in cash or kind and on the contracted delivery date is unable to deliver the goods or service or demonstrate that the goods or service is in a reasonably advanced state of production without reasonable excuse, that supplier is deemed to have acted in a fraudulent manner and commits an offence.
(2) A supplier who contravenes this section commits an offence and is liable on summary conviction to a fine not exceeding $3,000 or to imprisonment for a term not exceeding one year or to both.