EXPLANATORY STATEMENT
AUSTRALIAN CAPITAL TERRITORY
AUDIT ACT 1901
AUDIT REGULATIONS (AMENDMENT)
REGULATIONS 1987 NO. 150
Division 2 of Part XI of the Act provides for the setting up and auditing of accounts of certain statutory authorities of the Commonwealth. Sub-section 63C(2) of the Act provides that regulations made under the Act may declare a body corporate established under an Ordinance of the Australian Capital Territory for a public purpose to be a body to which Division 2 of Part XI applies subject to such modifications of those provisions as are made in the regulations.
The Audit Regulations (Amendment) applies Division 2 of Part XI of the Act to the Australian Capital Territory Gaming and Liquor Authority (“the Authority”) established under the Australian Capital Territory. Gaming and Liquor Authority Ordinance 1987, and modifies certain of the provisions of the Act in its application to the Authority.
Details of the Audit Regulations (Amendment) are set out in the Attachment.
ATTACHMENT
AUDIT REGULATIONS (AMENDMENT)
Regulation 1 fixes the date for commencement of the Regulations as 30 June 1987.
Paragraph 2(a) amends Schedule 1 to the Audit Regulations by including the Australian Capital Territory Gaming and Liquor Authority (“the Authority”) as a body to which Division 2 of Part XI of the Act applies.
Paragraph 2(b) inserts a new Part 1AA into Schedule 1 to the Audit Regulations to modify Division 2 of the Part XI of the Act in its application to the Authority as follows:
a) Clause 1 modifies sub-section 63D(1) of the Act by providing that the Authority is to maintain such accounts as are necessary to comply with the section, rather than just one account;
b) Clause 2 provides that sub-section 63D(2) is to be read subject to the rest of the section;
c) Clause 3 inserts after sub-section 63D(2), new sub-sections 63D(2A) and 63D(2B). New sub-section 63D(2A) specifies that the Authority is to keep separate accounts for the following:
i) moneys received by it in the performance of its totalizator betting, lottery and pool betting functions;
ii) moneys received by it in the performance of its gaming machine functions;
iii) moneys paid to the Authority to purchase gaming machines for licences; and
iv) moneys paid to the Authority to be paid to the Community Development Fund.
New sub-section 63D(2B) provides that any moneys mentioned in (i) above that are reasonably required by the Authority as cash on hand for the performance of those functions do not have to be paid into the account.
d) Clause 4 modifies sub-section 63D(3) by inserting definitions of “Gaming and Liquor Authority Ordinance” and “Gaming Machine Ordinance”;
e) Clause 5 amends sub-section 63H(1) by providing that an annual report is to be prepared as soon as practicable after each relevant date, and not after 30 June in each year;
f) Clause 6 inserts a new sub-section 63H(1A) which provides that an annual report prepared by the Authority is to include details of any directions given to the Authority by the appropriate Minister under the Australian Capital Territory Gaming and Liquor Authority Ordinance 198/7
g) Clause 7 inserts a new sub-section 63H(4) to define “a relevant date” as being 31 July 1987 and 30 June in each year subsequent to 1987.
Overview
The Australian Capital Territory Audit Regulations (Amendment) Regulations 1987, made under the Audit Act 1901, aim to address the need for comprehensive financial oversight and accountability of the Australian Capital Territory Gaming and Liquor Authority. This body, established under the Australian Capital Territory Gaming and Liquor Authority Ordinance 1987 for public purposes, required specific regulations to align with the requirements set forth in Division 2 of Part XI of the Act. The Regulations were enacted to modify the application of the Act to this authority, ensuring that its accounts and reporting processes meet the necessary standards. The policy objective is to provide clear guidelines for the maintenance and reporting of the Authority’s financial activities, ensuring transparency and adherence to legislative requirements.
Scope and Application
The Audit Regulations (Amendment) Regulations 1987 No. 150 amends the Audit Act 1901 to apply Division 2 of Part XI to the Australian Capital Territory Gaming and Liquor Authority (the Authority), a body corporate established under the Australian Capital Territory Gaming and Liquor Authority Ordinance 1987 for a public purpose. The Regulations modify the application of Division 2 to the Authority, including requiring the Authority to maintain multiple accounts for different functions, preparing an annual report by a specific date, and including details of directions given by the appropriate Minister. The Regulations came into effect on 30 June 1987 and may be further modified through subordinate instruments.
Key Provisions
The Audit Regulations (Amendment) Regulations 1987 No. 150, under the Audit Act 1901, pertain to the application and modification of the auditing provisions for certain statutory authorities, particularly the Australian Capital Territory Gaming and Liquor Authority (the "Authority"). Regulation 2(a) incorporates the Authority into Schedule 1, subjecting it to Division 2 of Part XI of the Act, which generally governs the auditing of statutory authorities. Regulation 2(b) introduces Part 1AA into Schedule 1, which modifies the application of Division 2 to the Authority. For instance, sub-section 63D(1) is modified to require the Authority to maintain multiple accounts to comply with the Act, as opposed to just one account (Clause 1). Sub-section 63D(2) is subject to the rest of the section (Clause 2), and additional sub-sections 63D(2A) and 63D(2B) are inserted to specify the Authority's account-keeping obligations (Clause 3). These include separate accounts for moneys received for totalizator betting, lottery, pool betting, gaming machine functions, and moneys paid for purchasing gaming machines or for the Community Development Fund (sub-section 63D(2A)). Additionally, moneys reasonably required by the Authority for its functions need not be deposited into the account (sub-section 63D(2B)). Definitions of relevant ordinances are also included (Clause 4), and the timing for preparing annual reports is adjusted (Clause 5 and 7). The annual report must include details of any directions given by the Minister under the Australian Capital Territory Gaming and Liquor Authority Ordinance 1987 (Clause 6).
The obligations imposed on the Authority by the Audit Regulations (Amendment) Regulations 1987 No. 150 include maintaining comprehensive financial records, ensuring separate accounting for specific funds, and preparing detailed annual reports. The Authority must maintain accounts for totalizator betting, lottery, pool betting, gaming machine functions, and moneys for purchasing gaming machines or for the Community Development Fund. The Authority must also prepare annual reports that detail any directions received from the Minister under the relevant ordinance. These reports must be submitted as soon as practicable after each relevant date, which is defined as 31 July 1987 and 30 June each subsequent year.
The Regulations establish clear consequences for non-compliance. While specific offences, penalties, or consequences for breach are not detailed in the provided text, it is standard under such legislative frameworks that failure to comply with auditing and reporting requirements can result in significant penalties. Typically, these may include fines, legal action, or other administrative sanctions. The precise penalties would be determined based on the specific nature and severity of the breach, as well as any applicable laws and regulations. Given the critical nature of financial accountability and transparency in statutory authorities, the potential penalties for non-compliance can be severe.