Loan (Short-term Borrowings) Act 1959 (Cth)

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Loan (Short-term Borrowings) Act 1959

Act No. 61 of 1959 as amended

[Note: This Act is repealed by Act No. 61 of 1981]

This compilation was prepared on 13 November 2002

taking into account amendments up to Act No. 61 of 1981

The text of any of those amendments not in force

on that date is appended in the Notes section

The operation of amendments that have been incorporated may be

affected by application provisions that are set out in the Notes section

Prepared by the Office of Legislative Drafting,

Attorney‑General’s Department, Canberra

      

Contents

An Act to Authorize the Borrowing of Money by the Commonwealth for Short Periods and the Expending of the Money so Borrowed.

Part IPreliminary  1Short title [see Note 1]

 This Act may be cited as the Loan (Short-term Borrowings) Act 1959-1973.

2Commencement

 This Act shall come into operation on the day on which it receives the Royal Assent.

4Definitions

 In this Act, unless the contrary intention appears:

seasonal security means Seasonal Inscribed Stock or a Seasonal Treasury Note.

the Financial Agreement has the same meaning as in section four of the Financial Agreement Act 1944.

Part IIAuthority to borrow and expend money  5Authority to borrow

 The Treasurer may, from time to time, borrow money on the security of seasonal securities.

6Money borrowed may be expended for Consolidated Revenue Fund purposes
  • (1)

    Notwithstanding section fifty-seven of the Audit Act 1901-1957, the Minister for Finance may expend money standing to the credit of the Loan Fund, being money that has been borrowed under this Act, for the purposes of any appropriation made or to be made out of the Consolidated Revenue Fund.

  • (2)

    The Loan Fund is appropriated to the extent necessary for the purposes of this section.

7Borrowing to be subject to the Financial Agreement

 Nothing in this Act authorizes the borrowing of money, or the creation or issue of securities, otherwise than in accordance with clause six of the Financial Agreement.

Part IIICreation and issue of seasonal securities  8Power to create Seasonal Inscribed Stock

 The Governor-General may, by order:

  • (a)

    create capital stock, called Seasonal Inscribed Stock, to the face value of an amount specified in the order, for raising money, by way of loan, in accordance with section five of this Act; and

  • (b)

    authorize the Treasurer to issue the stock so created.

9Power to make out and issue Seasonal Treasury Notes

 The Governor-General may, by order, authorize the Treasurer:

  • (a)

    to make out bonds, called Seasonal Treasury Notes, to the face value of an amount specified in the order, for raising money, by way of loan, in accordance with section five of this Act; and

  • (b)

    to issue the bonds so made out.

10Requirements for Seasonal Treasury Notes
  • (1)

    A Seasonal Treasury Note:

    • (a)

      shall be in accordance with the prescribed form; and

    • (b)

      shall bear the signature of the Secretary to the Department of the Treasury.

  • (2)

    A signature referred to in the last preceding subsection may be made in the handwriting of the Secretary or may be made by engraving or by any other process determined by the Treasurer.

11Prices, etc., of seasonal securities

 Subject to the next succeeding section, seasonal securities shall be issued and sold at such prices, on such terms and conditions, in such amounts and in such manner as the Treasurer directs.

12Terms and conditions of seasonal securities

A seasonal security:

  • (a)

    shall be issued at a discount and shall be redeemable at par on maturity; and

  • (b)

    shall mature before the end of the financial year in which the security is issued.

13Repayment of money borrowed

The money secured by a seasonal security is payable out of the Consolidated Revenue Fund, which is appropriated accordingly.

Part IVMiscellaneous  14Repurchase of seasonal securities
  • (1)

    The Treasurer may repurchase a seasonal security at any time before maturity.

  • (2)

    The Consolidated Revenue Fund is appropriated to the extent necessary for the purposes of this section.

15Cancellation of seasonal securities

 Repurchased or redeemed seasonal securities shall not be reissued but shall be cancelled.

17Application of Commonwealth Inscribed Stock Act
  • (1)

    Part III (other than section twenty-seven) and Part V of the Commonwealth Inscribed Stock Act 1911-1946 apply to Seasonal Inscribed Stock as if it were stock within the meaning of that Act.

  • (2)

    In Part III of the Commonwealth Inscribed Stock Act 1911-1946 in its application to Seasonal Inscribed Stock, prescribed means prescribed by regulations under that Act in their application to Seasonal Inscribed Stock.

18Application of certain sections of Treasury Bills Act

 Sections thirteen, thirteen A, thirteen B and fourteen of the Treasury Bills Act 1914-1940 apply to Seasonal Treasury Notes as if they were Treasury Bills issued under that Act.

19Seasonal Treasury Notes transferable by delivery

 A Seasonal Treasury Note is transferable by delivery.

20Exchange of Stock and Notes

 Seasonal Inscribed Stock may, in the prescribed manner, and on such terms and conditions as are prescribed, be exchanged for Seasonal Treasury Notes, and Seasonal Treasury Notes may, in the prescribed manner, and on such terms and conditions as are prescribed, be exchanged for Seasonal Inscribed Stock.

21Trustees may invest

 A trustee, executor or administrator may invest any trust money in his hands in the purchase of seasonal securities.

22Liability to stamp duty
  • (1)

    An instrument or document to which this section applies is not liable to stamp duty or other tax under a law of the Commonwealth or of a State or Territory of the Commonwealth.

  • (2)

    This section applies to:

    • (a)

      a certificate of the proprietorship of Seasonal Inscribed Stock;

    • (b)

      a Seasonal Treasury Note;

    • (c)

      an instrument or document relating to the purchase, sale, transfer, transmission, exchange or redemption of a seasonal security; and

    • (d)

      a cheque or draft drawn by a bank on behalf of the Commonwealth in connexion with the redemption of a seasonal security.

23Regulations
  • (1)

    The Governor-General may make regulations, not inconsistent with this Act, prescribing all matters required or permitted by this Act to be prescribed, or necessary or convenient to be prescribed for carrying out or giving effect to this Act, and, in particular, prescribing matters providing for or in relation to:

    • (a)

      the issue of Seasonal Treasury Notes to replace Seasonal Treasury Notes that have been accidentally lost, destroyed or defaced;

    • (b)

      the destruction of Seasonal Treasury Notes that have been repurchased or redeemed or are defaced; and

    • (c)

      powers of attorney in relation to Seasonal Inscribed Stock.

  • (2)

    The regulations may provide that any of the regulations, or forms prescribed by the regulations, under the Commonwealth Inscribed Stock Act 1911-1946 that relate to stock apply, with such modifications (if any) as are prescribed, to Seasonal Inscribed Stock as if it were stock within the meaning of that Act.

Notes to theLoan (Short-term Borrowings) Act 1959

Note 1

The Loan (Short-term Borrowings) Act 1959 as shown in this compilation comprises Act No. 61, 1959 amended as indicated in the Tables below.

Table of Acts

Act

Number

and year

Date

of Assent

Date of commencement

Application, saving or transitional provisions

  

Loan (Short-term Borrowings) Act 1959

61, 1959

12 Nov 1959

12 Nov 1959

National Debt Sinking Fund Act 1966

65, 1966

29 Oct 1966

29 Oct 1966

Statute Law Revision Act 1973

216, 1973

19 Dec 1973

31 Dec 1973

Administrative Changes (Consequential Provisions) Act 1978

36, 1978

12 June 1978

12 June 1978

Statute Law Revision Act 1981

61, 1981

12 June 1981

Schedule 4: 12 June 1981 (a)

(a) The Loan (Short-term Borrowings) Act 1959 was repealed by Schedule 4 only of the Statute Law Revision Act 1981, subsection 2(1) of which provides as follows:

  • (1)

    Subject to this section, this Act shall come into operation on the day on which it receives the Royal Assent.

Table of Amendments

ad. = added or inserted am. = amended rep. = repealed rs. = repealed and substituted

Provision affected

How affected

S. 3.........................................

rep. No. 216, 1973

S. 6.........................................

am. No. 36, 1978

S. 16.......................................

rep. No. 65, 1966

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