State Government Insurance Office (Queensland) Act Amendment Act 1970 (Qld)

455 ANNO NONODECIMO ELIZABETHAE SECUNDAE REGINAE o.o-..-.......-...4...o-,..-.-. No. 34 of 1970 An Act to Amend The State Government Insurance Office (Queensland ) Acts 1960 to 1966 in certain particulars [ ASSENTED TO 18TH DECEMBER, 1970] BE IT ENACTED by the Queen's Most Excellent Majesty, by and with the advice and consent of the Legislative Assembly of Queensland in Parliament assembled, and by the authority of the same, as follows:- 1. Short title and citation . (1) This Act may be cited as the State Government Insurance Office (Queensland) Act Amendment Act 1970. (2) The State Government Insurance Office (Queensland) Act of 1960 as amended from time to time is in this Act referred to as the Principal Act. (3) The Principal Act as amended by this Act may be cited as the State Government Insurance Office (Queensland) Act 1960-1970. 2. Commencement . (1) This Act shall come into operation on a date to be fixed by the Governor in Council by Proclamation published in the Gazette. (2) A power to make any appointment conferred by or under this Act may be exercised at any time after the passing of this Act but any appointment made under such power shall not have any effect until this Act comes into operation.

456 State Govt Insurance Office (Qld) Act Amendment Act 1970, No. 34 3. Amendment of s. 3 . Meaning of terms. Section 3 of the Principal Act is amended by inserting after the words " that is to say:-" the following definitions:- " " Board " means the State Government Insurance Office (Queensland) Board; Chairman " means the Chairman of the Board:". 4. Repeal of s. 4 . Section 4 of the Principal Act is repealed. 5. Amendment of s. 5. Establishment and incorporation of the State Government Insurance Office . Section 5 of the Principal Act is amended by inserting in subsection (3), after the words " signature of the ", the word " Chairman,". 6. New ss. 8A, 8B . After section 8 of the Principal Act the following sections are inserted:- " 8A. Establishment of the State Government Insurance Office (Queensland ) Board . There shall be a State Government Insurance Office (Queensland) Board which shall be constituted as provided in this Act. 88. Functions of Board . (1) Subject to this Act the functions of the Board are to make general determinations as to the policy of the Office in relation to- (a) the investment activities of the Office; and (b) the insurance business of the Office, whether conducted under this or any other Act. (2) In addition to its functions under subsection (1) of this section the Board has the following functions:- (a) to fix from time to time the total amount of the funds of the Office that may be invested; (b) to lay down and to supervise policy for the investment of the funds of the Office with particular regard to the production of a reasonable yield on investment for the benefit of policy holders; (c) to examine, and approve or reject, all contracts proposed to be entered into by the Office for the underwriting or sub-underwriting of the issue of shares in any body corporate or the raising of loans; (d) to examine, and approve or reject, any particular investment proposed to be made by the Office of an amount in excess of the prescribed maximum amount that the Chairman may, in his discretion, invest from the funds of the Office in any particular investment or in an investment of a particular class; (e) to advise on and generally assist in the prudent investment of the funds of the Office; (f) after considering recommendations by the General Manager, to determine the class or classes of insurance that may be written by the Office; (g) after considering recommendations by the General Manager, to approve plans for the development and expansion of the business of the Office;

State Govt Insurance Office (Qid) Act Amendment Act 1970, N o. 34 457 (h) to determine- (i) inward and outward Treaties; (ii) classes- and limits of inward re-insurance; (iii) internal re-insurance arrangements; and (iv) special quotations involving insurance or re-insurance on major risks; (i) to approve capital expenditure involving amounts in excess of the prescribed maximum which the General Manager may, in his discretion, authorize; (j) to report to the Minister as to the level of net surplus profits of the Office after allowing what it considers to be reasonable provisions for underwriting, premiums and outstanding claims reserves, and recommend to the Minister the distribution of any such profits; (k) to prepare and submit to the Minister the Annual Report. together with the Balance Sheet and Statement of Accounts; (1) such other functions as are prescribed. (3) The Board shall as and when required by the Minister furnish reports with respect to the policy that the Board is pursuing or proposes to pursue, and any action taken or proposed to be taken, in the exercise or discharge by the Board of its functions. (4) The Minister may issue directions to the Board on matters of policy and the exercise of its powers and functions and the Board shall observe and carry out the directions so given.". 7. New ss. 8C, 8D, 8E, 8F . After section 8a of the Principal Act as inserted by this Act, the following sections are inserted:- " 8C. Membership of Board . (1) The State Government Insurance Office (Queensland) Board shall consist of- (a) the Chairman; (b) the General Manager; (c) the Under Treasurer of Queensland or an officer of the Treasury Department nominated by the Under Treasurer; and (d) two other members, whooshall be appointed by the Governor in Council in accordance with this section. (2) The General Manager and the Under Treasurer of Queensland shall be ex officio members. (3) A member of the Board appointed under paragraph (d) of subsection (1) of this section- (a) shall not be an officer of the Public Service of Queensland; (b) shall be appointed for a period not exceeding three years but is eligible for re-appointment; and (c) shall hold office subject to good behaviour and to his being qualified for appointment as such a member of the Board. (4) In the event of a member of the Board appointed under paragraph (d) of subsection (1) of this section ceasing to hold office before the termination of his period of office the period

458 State Govt Insurance Office ( Qld) Act Amendment Act 1970, No. 34 of appointment of a person appointed in his place shall be the remainder of the period of office of the member so ceasing to hold office. (5) A member of the Board (other than the Chairman or an ex officio member) shall be paid by the Office such remuneration (if any) as the Governor in Council determines. (6) On all occasions on which the General Manager is prevented by illness, absence, or otherwise howsoever from attending a meeting of the Board, the Deputy General Manager shall act as the deputy of the General Manager as member of the Board and whilst so acting the Deputy General Manager shall have all the powers and authority of such a member. 8D. Declaration by members . A member of the Board shall, before entering upon his duties or exercising any power under this Act, make a declaration of secrecy in accordance with the prescribed form. 8E. Disqualification from membership . Save as section 8c of this Act otherwise prescribes, a person who is a director, officer or employee of a corporation the business of which is wholly or mainly that of insurance is not qualified for appointment as a member of the Board and a member of the Board who becomes so disqualified for appointment shall thereupon cease to hold office as a member of the Board. 8F. Vacation of office. If a member of the Board (other than the Chairman or an ex officio member):-- (a) becomes permanently incapable of performing his duties; (b) becomes bankrupt, applies to take the benefit of any law for the relief of bankrupt or insolvent debtors, compounds with his creditors or makes an assignment of his remuneration for their benefit; (c) resigns his office by writing under his hand addressed to the Governor in Council; (d) is absent, except on leave granted by the Minister, from all meetings of the Board held during two consecutive months or during any three months in any period of twelve months; or (e) fails to comply with his obligations under section 81 of this Act, the Governor in Council shall terminate his appointment.". 8. New ss. 8G, 8H, 81 . After section 8F of the Principal Act as inserted by this Act, the following sections are inserted:- " 8G. Meetings of Board. (1) Except as otherwise provided by this Act, the Board shall meet at such times and places as the Board determines and conduct its business in such manner as it deems fit. (2) The Chairman shall preside at all meetings of the Board at which he is present and, in the absence of the Chairman, the General Manager or his deputy shall preside. (3) Three members, of whom the Chairman or the General Manager shall be one, form a quorum at a meeting of the Board.

State Govt Insurance Office ( Q1d) Act Amendment Act 1970 , No. 34 459 (4) Questions arising at a meeting of the Board shall be decided by a majority of votes of the members present and voting. (5) The member presiding at a meeting of the Board shall have a deliberative vote and, in the event of an equality of votes, shall also have a casting vote. (6) The Board shall keep a record of its proceedings. 8H. Vacancies not to invalidate . The exercise of any power or function, or the performance of the duties, of the Board is not affected by reason only of there being a vacancy in the office of a member of the Board. 81. Disclosure of interest in contracts . (1) A member of the Board who is directly or indirectly interested in a contract made or proposed to be made by the Office otherwise than as a member, and in common with the other members, of an incorporated company consisting of not less than twenty-five persons, shall disclose the nature of his interest at the first meeting of the Board at which he is present after the relevant facts have come to his knowledge. (2) A disclosure under this section to the Board shall be recorded in the minutes of the Board. (3) After a member of the Board has, in pursuance of this section, disclosed the nature of his interest in a contract, the member- (a) shall not take part in any deliberation or decision of the Board with respect to the contract; and (b) shall be disregarded for tl.e purposes of constituting a quorum of the Board for any such deliberation or decision.". 9. New ss. 8.t , 8K. After section 81 of the Principal Act as inserted by this Act, the following sections are inserted:- 8J. Chairman . (1) The Chairman of the Board- (a) shall be appointed by the Governor in Council upon the recommendation of the Minister; (b) shall be appointed for such period, not exceeding seven years, as the Governor in Council determines but is eligible for re-appointment; and (c) holds office subject to good behaviour. (2) The Chairman shall be paid by the Office such salary and allowances as the Governor in Council determines. (3) A person holding office as Chairman shall retire from office on attaining the age of sixty-seven years notwithstanding that the then subsisting period of his appointment has not expired. 8K. Vacation of Office of Chairman . If the Chairman- (a) becomes permanently incapable, in the opinion of the Governor in Council, of performing his duties; (b) engages in any paid employment outside the duties of his office;

460 State Govt Insurance Office (Qld) Act Amendment Act 1970, No. 34 (c) becomes bankrupt, applies to take the benefit of any law for the relief of bankrupt or insolvent debtors, compounds with his creditors or makes an assignment of his salary for their benefit; (d) resigns his office by writing under his hand delivered to the Minister and the resignation is accepted by the Governor in Council; (e) is, except by reason of illness or physical incapacity or on leave granted by the Minister, absent from duty for twenty-eight days in all in any period of twelve months or for fourteen consecutive days; (f) is convicted of an indictable offence; or (g) is guilty of misconduct such as to warrant, in the opinion of the Governor in Council, removal from Office, the Governor in Council shall terminate his appointment.". 10. New ss. 8L, 8M. After section 8K of the Principal Act as inserted by this Act, the following sections are inserted:- " 8L. Functions of Chairman . (1) In addition to his function as Chairman- (a) subject to this Act and to the investment policy of the Office as determined by the Board, the Chairman is charged with the duty of determining and may determine the form of investment in which the funds of the Office shall be invested and the investment contracts into which the Office shall enter unless- (i) the amount proposed to be invested exceeds the prescribed maximum amount that the Chairman may, in his discretion, invest from the funds of the Office in a particular investment or an investment of a particular class; or (ii) the proposed contract is a contract to underwrite or sub-underwrite an issue of shares in any body corporate or a raising of a loan; (b) subject to any policy of the Office as determined by the Board, the Chairman may develop and conduct external contacts with corporations engaged in the business of insurance or re-insurance or both and with brokers and other persons or bodies (whether bodies corporate or unincorporate) associated with trade and industry; (c) the Board may entrust to and confer on the Chairman such powers and duties in relation to the exercise by the Board of its functions as it thinks fit and may from time to time revoke, withdraw, alter or vary all or any of those powers and duties. (2) The powers, authorities and duties conferred or imposed upon the Chairman by this Act do not include any power, authority or duty in respect of the general administration or management of the Office. (3) The power conferred by section 22 of this Act to make regulations includes power to make regulations in respect of the maximum that the Chairman may, in his discretion, invest from the funds of the Office in a particular investment, or an investment of a particular class.

State Govt Insurance Office (Qld) Act Amendment Act 1970, No. 34 461 8M. Staff of the Board . (1) Pursuant to section 9 of this Act, there shall be appointed a secretary to the Board and such other officers as are necessary to facilitate the exercise by the Board of its powers and functions. (2) The secretary and other officers appointed in pursuance of this section shall be employees of the Office.". 11. Amendment of s. 9. Governor in Council to appoint officers. Section 9 of the Principal Act is amended by inserting in paragraph (a) of subsection (1) after the word "Shall", the words ", upon the recommendation of the Minister,". 12. Amendment of s. 10 . General Manager , Deputy General Manager and Assistant General Manager. Section 10 of the Principal Act is amended- (a) by omitting subsection (2) and inserting in its stead the following subsection:- " (2) Save in so far as this Act otherwise expressly provides, the General Manager shall administer, conduct the business of and manage and control the Office. The limitation imposed by this subsection on the functions of the General Manager applies in relation to his functions whether under this or any other Act."; (b) by inserting in subsection (3) after the words " General Manager in ", the words " the administration of,"; (c) by adding after subsection (4) the following subsections:- " (5) The General Manager, the Deputy General Manager and the Assistant General Manager shall in relation to the conduct of the business, and the management and control, of the Office act in accordance with the policy of the Office and with any decisions of the Board in the discharge of its functions. (6) Without limiting the generality of his powers or functions, the General Manager may develop and conduct such external contacts with other persons or bodies (whether bodies corporate or unincorporate) as he deems necessary or expedient.". 13. Amendment of s. 13. When General Manager, Deputy General Manager or Assistant General Manager may contribute to the Public Service Superannuation Fund . Section 13 of the Principal Act is amended- (a) by inserting in the marginal note after the word " When " the word " Chairman,"; (b) by inserting after the words " is appointed " the word " Chairman,"; and (c) by inserting after the words " the office of " the word " Chairman,"; and (d) by inserting after the words " Assistant General Manager (where secondly occurring) the words " or any other of such offices ". 14. Repeal of ss . 19, 19A and 19B and new s. 19. Sections 19, 19A and 19B of the Principal Act are repealed and the following section is inserted in their stead:- " 19. Investment of funds of Office. The assets of the funds of the Office required by this Act to be kept may be invested as determined by the Board or, as the case may be, the Chairman in accordance with this Act.".

462 State Govt Insurance Office ( Q1d) Act Amendment Act 1970, No. 34 15. Amendment of s. 20 . Annual Balance Sheet. Section 20 of the Principal Act is amended by omitting the words " General Manager " and inserting in their stead the word " Board ". 16. Amendment of s. 21 . Surplus profits. Section 21 of the Principal Act is amended- (a) by omitting the words " General Manager " (wherever occurring) and inserting in their stead the word " Board "; and (b) by omitting from subsection (1) the words " in his opinion " and inserting in their stead the words " in its opinion ".