EXPLANATORY STATEMENT
Australian Broadcasting Corporation (A.B.C. Stock) Regulations
Statutory Rule No. 151 of 1989
Issued by the Authority of the Minister for Transport and Communications
Section 83 of the Australian Broadcasting Corporation Act 1983 (the ABC Act) provides that the Governor-General may make regulations not inconsistent with the Act prescribing all matters which are required or permitted to be prescribed by the Act or which are necessary or convenient to be prescribed for carrying out or giving effect to the Act.
Section 70B of the ABC Act provides that the Australian Broadcasting Corporation (the ABC) may borrow or raise money through dealing with securities including stocks, debentures, debenture stocks, notes, bonds, promissory notes, bills of exchange and similar instruments or documents. Section 70B was inserted into the ABC Act by the Broadcasting Legislation Amendment Act 1988 which received Royal Assent on 26 December 1988.
The Minister for Transport and Communications, in consultation with the Treasurer and the Minister for Finance, agreed to the ABC borrowing money through the issue of inscribed stock.
The Australian Broadcasting Corporation (A.B.C. Stock) Regulations provide procedures for the issue of stock by the ABC, registry procedures, payment of interest and other related matters.
Details of the Regulations are as follows:
PART I - PRELIMINARY
Citation
1. Provides that the Regulations may be cited as the Australian Broadcasting Corporation (A.B.C. Stock) Regulations.
Interpretation
2. Subregulation 2(1) defines certain words and expressions used in the regulations.
Subregulation 2(2) provides that references in the Regulations to the owner of stock includes references to owners of stock in a joint account.
Issue of inscribed stock
3. Provides that the ABC may issue inscribed stock, called either Australian Broadcasting Corporation Stock or A.B.C. Stock, for raising loan money or converting any loan raised by the ABC.
Terms and conditions of issue
4. Provides for approval by the Treasurer of such matters relating to the issue and sale of stock as the amounts, prices, and terms and conditions, including rates and terms and conditions as to the interest.
Subregulation 4(2) provides that in inviting the public to apply to purchase stock, the ABC shall issue a prospectus setting out the matters referred to in subregulation 4(1).
Applications for stock
5. Provides that the applications referred to in subregulation 4(2) shall be in an approved form accompanying the prospectus (subregulation 5(1)).
Subregulation 5(2) provides that an application to purchase stock shall be made in the manner specified in the prospectus.
Subregulation 5(3) provides for the specification in the application of an address to which interest and redemption payments may be sent in relation to a joint account.
PART III - INSCRIPTION, TRANSMISSION AND TRANSFER OF STOCK
Establishment of Registries
6. Provides that the ABC shall arrange the establishment of Registries for the inscription of stock.
Manner of registration of stock
7. Subregulation 7(1) provides for the recording of certain details in a Stock Ledger in relation to all issued stock.
Subregulation 7(2) provides for a limit of 4 names in which stock may be inscribed.
Subregulation 7(3) provides that stock may not be issued in the name of a person under 18 years of age.
Subregulation 7(4) provides that the address of the owner of issued stock shall be taken to be that address specified under subregulation 5(3) in an application to purchase stock.
Notice of trusts not received
8. Provides that the ABC shall not receive or enter in the Stock Ledger or other ABC records a notice of any express, implied or constructive trust.
Executers etc.
9. Provides that stock shall be inscribed in the names of individuals rather than the names of executors, administrators or trustees.
Changes in Stock Ledger
10. Subregulation 10(1) provides for the ABC, upon application in an approved form, to record in the Stock Ledger changes in the name, address or designation of an owner of stock.
Subregulation 10(2) provides that if the ABC receives an application under subregulation 10(1) within 14 days before a payment of interest is due, it may decline to record the change until after that payment of interest.
Sales and Transfers Register
11. Provides that the ABC shall keep Sales and Transfers Registers in accordance with an approved form, and shall record certain particulars therein.
Transmission of stock
12. Provides for the transmission of stock. Provision is made for the inscription of the owner of transmitted stock (subregulation 12(1)), for the execution and signature of an application for inscription (subregulations 12(2) and (3)), and for lodgement at a Registry of certain documents in the case of transmission consequent upon death (subregulation 12(4)) or bankruptcy (subregulation 12(5)).
Subregulation 12(6) provides that certain particulars shall be recorded in the Stock Ledger in order to effect a transmission of stock.
Owner may transfer stock
13. Provides that the owner of stock may dispose of and transfer stock in accordance with the Regulations and may give receipts in relation to such disposal and transfer (subregulation 13(1)).
Stock may not be transferred in amounts which have a face value less than $100 or are not multiples of $100 (subregulation 13(2)).
Transfer of stock within a Registry from one person to another
14. Provides that stock may be transferred within a Registry from one person to another. Transfer is by way of an approved instrument of transfer and acceptance signed by both parties and lodged at the Registry (subregulation 14(1)).
Subregulation 14(2) provides for the approval by the ABC of the manner in which signatures on transfer and acceptance forms are to be verified.
Subregulation 14(3) provides for the adjustment of the Stock Ledger to effect a transfer of stock under this regulation.
Transfer of stock from one Registry to another with change of ownership
15. Provies that stock may be transferred from one person to another between Registries. Transfer is by way of an approved instrument of transfer and acceptance signed by both parties and lodged at the Registry at which the stock was inscribed before the transfer (subregulation 15(1)).
Subegulation 15(2) provides for the approval by the ABC of the manner in which signatures on transfer and acceptance forms are to be verified.
Subregulation 15(3) provides for the adjustment of the respective Stock Ledgers referred to in subregulation 15(1) to effect the transfer of stock under this clause.
Transfer of stock from one Registry to another without change of ownership
16. Provides that the inscription of stock in the name of a person may be transferred from the Stock Ledger of one Registry to the Stock Ledger of another Registry. Transfer is by way of an approved form (subregulation 16(1)).
Subreulation 16(2) provides for the cancellation of an inscription of stock in the Stock Ledger at the first mentioned Registry in subegulation 16(1) upon a transfer of stock under this regulation.
Marked Transfer
17. Provides that the ABC, upon application in an approved form, may mark a transfer of stock, which has been properly signed for the purposes of that transfer of stock, with certain words (subregulation 17(1)) to the effect that dealings in stock, shall not be effected by the ABC except in accordance with the transfer (subregulation 17(2)).
Transfer of stock from or to a body corporate
18. Provides that the ABC may require a corporate body which owns or proposes to acquire stock to lodge at a Registry evidence that the instruments executed by that corporate body are legally effective and binding on the corporate body.
Specimen signature
19. Provides for the lodgement and verification, in a manner approved by the ABC, of the signature of a person who owns stock or proposes to acquire stock.
Stock Certificates
20. Provides for the issue by the ABC, upon application in an approved form, of a certificate of ownership of stock to the owner of the stock. The certificate is to be in an approved form and shall specify the date of ownership of the stock (subregulation 20(1)).
Subregulation 20(2) provides that an owner of stock may dispose of the stock even if no certificate of ownership has been issued under subregulation 20(1).
Subregulation 20(3) provides that the ABC is to keep a record of all certificates of ownership issued under subregulation 20(1).
Limitation on registration of transactions
21. Provides that without the consent of the ABC, transactions relating to stock shall not be registered 14 days prior to the date for payment of interest or one month prior to the date of maturity of stock.
PART IV - PAYMENT OF INTEREST
Payment of Interest
22. Subregulation 22(1) provides that where stock is inscribed in the name of one person, interest may be payed by cheque posted to the person’s address shown in the Stock Ledger (paragraph 22(1)(a)) or in such other manner requested by the person, in an approved form lodged at the Registry, and approved by the ABC (paragraph 22(1)(b)).
Subregulation 22(2) provides that where stock is inscribed in the name of more than one person, interest may be paid by cheque posted to the persons at the address shown in the Stock Ledger (paragraph 22(2)(a)) or in such other manner requested by the persons, in an approved form lodged at the Registry, and approved by the ABC (paragraph 22(2)(b)).
Subregulation 22(3) provides that a valid receipt for interest may be given by any one of the persons in whose names stock is inscribed.
Subregulation 22(4) provides that regulation 22 does not apply if the terms and conditions of the issue of stock provide otherwise.
Cessation of interest
23. Provides that on the date of maturity of stock, interest on that stock shall cease.
PART V - REDEMPTION OF STOCK
Redemption of Stock
24. Subregulation 24(1) provides that where stock is inscribed in the name of one person, redemption of the stock may be effected by way of payment by cheque posted to the person’s address shown in the Stock
Ledger (paragraph 24(1)(a)) or in such other manner requested by the person, in an approved form lodged at the Registry, and approved by the ABC (paragraph 24(1)(b)).
Subregulation 24(2) provides that where stock is inscribed in the name of more than one person, redemption of the stock may be effected by way of payment by cheque posted to the persons at the address shown in the Stock Ledger (paragraph 24(2)(a)) or in such other manner requested by the persons, in an approved form lodged at the Registry, and approved by the ABC (paragraph 24(2)(b)).
Subregulation 24(3) provides that a valid receipt for redemption may be given by any one of the persons in whose names stock is inscribed.
Subregulation 24(4) provides that regulation 24 does not apply if the terms and conditions of the issue of stock provide otherwise.
Corporation may sell or purchase stock
25. Provides that the ABC may purchase stock already issued and re-sell it.