The fact that you are unable to write a single sentence explaining HOW APTA would bring ‘rogue’ ‘Alliance’ ‘member’ personnel under control, legally and effectively, highlights the core regulatory issue. I explained HOW it works in a ‘standard’ structure where the AOC holder is the employer of the personnel. Can you identify any flaw in my explanation?
WTF? If an instructor is not complying with the terms of an organisations AOC / Operations manual / whatever, isn't that an offence under the regulations?
If the answer is "Yes" then provided you have taken steps to ensure that the instructor is aware of their responsibilities and has been given legal instructions, which they choose to ignore, isn't it up to reporting to CASA and let them investigate and prosecute?
WTF are the regulations for if not to compel compliance by individuals? It isn't up to you to discipline staff if they break the regs. Furthermore, if an employee breaks your administrative regs that have nothing to do with flying, then its not CASAs business.