EXPLANATORY STATEMENT
STATUTORY RULES 1986 NO. 302.
ISSUED BY THE AUTHORITY OF THE TREASURER
BANKING ACT 1959
BANKING (STATISTICS) REGULATIONS (AMENDMENT)
Section 71 of the Banking Act 1959 (the Act) empowers the Governor-General to make regulations not inconsistent with the Act which are necessary or convenient to be prescribed for carrying out or giving effect to the Act.
Sections 52 and 53 of the Act require in part that trading banks and savings banks, respectively, prepare and deliver balance sheets and other annual statements in accordance with the forms contained in the Schedule to the Act.
Regulations 4 and 5 of the Banking (Statistics) Regulations prescribe dates in respect of which the balance sheets and other annual statements are required to be furnished for each individual bank.
The granting of new banking authorities has meant it was necessary to prescribe annual balance dates for the completion of statistical returns for each of the new banks. The following balance dates have been prescribed for the new trading banks.
Macquarie Bank Limited | 31 March |
CHASE AMP Bank Limited | 31 December |
Lloyds Bank NZA Limited | 31 December |
Bank of Tokyo Australia Limited | 31 December |
Barclays Bank Australia Limited | 31 December |
Citibank Limited | 31 December |
Bank of China | 31 December |
IBJ Australia Bank Limited | Last day of February |
Mitsubishi Bank of Australia Limited | 31 December |
Deutsche Bank of Australia Limited | 31 December |
Hongkong Bank of Australia Limited | 31 December |
NatWest Australia Bank Limited | 31 December |
Bankers Trust Australia Limited | 31 December |
National Mutual Royal Bank Limited | 30 September |
Standard Chartered Bank Australia Limited | 31 December |
Bank of America Australia Limited | 31 December |
Bank of Singapore (Australia) Limited | 31 December |
| |
| |
The following balance dates have been prescribed for the new savings banks. |
| |
Advance Bank Australia Limited | 31 May |
Citibank Savings Limited | 31 December |
National Mutual Royal Savings Bank Limited | 30 September |
Civic Advance Bank Limited | 31 May |
The reporting dates were determined after consultation with the new banks and correspond with each banks own accounting period, thereby minimising the burden placed upon each bank in completing the statistical returns.
The banking authority held by The CBA Limited, formerly The Commercial Bank of Australia Limited, was revoked on 7 August 1986. The Commercial Savings Bank of Australia Limited, in accordance with the provisions of the Companies (Victoria) Code, was dissolved on 6 February 1986, and the banking authority held by the Commercial Savings Bank of Australia Limited ceased to have any effect when that company ceased to exist. As a consequence of the revocation of the authority held by The Commercial Bank of Australia Limited and the winding up of the Commercial Savings Bank of Australia Limited those companies’ names have been removed from the Banking (Statistics) Regulations.
A number of established banks have changed their names since originally having their balance dates prescribed. Accordingly, the Regulations to take account of these name changes. In relation to Regulation 4, (trading banks) the Bank of New South Wales has changed its name to Westpac Banking Corporation; Commonwealth Trading Bank of Australia
to Commonwealth Bank of Australia; The Brisbane Permanent Building and Banking Company Limited to Bank of Queensland Limited; and The National Bank of Australia Limited to National Australia Bank Limited. In relation to Regulation 5 (savings banks), Bank of New South Wales Savings Bank Limited has changed its name to Westpac Savings Bank Limited; and The National Bank Savings Bank Limited to National Australia Savings Bank Limited.
Because of the number of changes involved it was administratively convenient to omit the existing tables specifying the annual balance dates for each bank and prescribe revised tables incorporating all the changes.
Accordingly, the Regulations have amended Regulation 4 by omitting the table listing the annual balance dates for trading banks and including a revised table which prescribes the same annual balance dates for existing banks (except The Commercial Bank of Australia Limited) incorporating name changes, and prescribe the annual balance dates for the new trading banks.
Similarly, the Regulations have amended Regulation 5 by omitting the current table listing the annual balance dates for savings banks and including a revised table which prescribes the same annual balance dates for the existing banks (except The Commercial Savings Bank of Australia Limited) incorporated name changes, and prescribes the annual balance dates for the new savings banks.
Overview
The Banking (Statistics) Regulations (Amendment) 1986, issued under the authority of the Treasurer, amends the Banking (Statistics) Regulations to update the prescribed balance dates for banks required to submit statistical returns under the Banking Act 1959. This amendment addresses the problem arising from the granting of new banking authorities and changes in bank names. The objective is to streamline the reporting process by aligning the prescribed balance dates with each bank’s accounting period, thereby reducing the administrative burden. The new regulations also remove the entries for banks that have had their banking authority revoked or ceased to exist, such as The Commercial Bank of Australia Limited and The Commercial Savings Bank of Australia Limited. The amendments incorporate the latest names of established banks and set the balance dates for newly licensed banks, ensuring the regulatory framework remains current and efficient.
Scope and Application
The Banking (Statistics) Regulations (Amendment) Statutory Rules 1986 No. 302, issued under the authority of the Treasurer, amend the Banking (Statistics) Regulations to prescribe new annual balance dates for the completion of statistical returns for newly authorised trading and savings banks in Australia. This amendment is necessitated by the granting of new banking authorities and changes in the names of some existing banks. The regulations apply to trading banks and savings banks that are authorised under the Banking Act 1959, ensuring they adhere to the statutory requirement to prepare and deliver annual balance sheets and statements. The amendments reflect the individual accounting periods of these banks to ease the administrative burden on them. Additionally, the regulations incorporate name changes for certain banks, updating the records to reflect current legal entities. The changes are administrative in nature, updating the prescribed tables to include new banks and adjust for the dissolution of The Commercial Savings Bank of Australia Limited and the revocation of the banking authority for The Commercial Bank of Australia Limited. These regulations have a national reach, applying across Australia as they pertain to banks authorised under the Commonwealth's Banking Act 1959.
Key Provisions
The Banking (Statistics) Regulations (Amendment) 2004 amends the existing regulations to accommodate the changes in the banking sector, such as the introduction of new banks, the revocation of banking authorities, and the renaming of several banks. Specifically, Section 71 of the Banking Act 1959 allows the Governor-General to make these necessary regulations. Sections 52 and 53 of the Act require trading and savings banks to prepare and deliver their balance sheets and other annual statements. Regulation 4 and 5 of the Banking (Statistics) Regulations prescribe the dates for these statements, and this amendment updates these dates to reflect the current banking landscape.
These regulations impose several obligations on the banks they govern. Firstly, the new trading and savings banks must prepare and deliver their balance sheets and other annual statements by the prescribed dates. These dates have been set to align with each bank's own accounting period, reducing the administrative burden on the banks. Secondly, the amendment also requires banks to update their records to reflect any name changes. For example, the Bank of New South Wales must now be referred to as Westpac Banking Corporation, and the Commonwealth Trading Bank of Australia as the Commonwealth Bank of Australia.
Failing to comply with these regulations can lead to civil or criminal consequences. Although the specific penalties are not detailed in the explanatory statement, breaches of the Banking Act 1959 can result in significant fines and, in severe cases, criminal charges. These penalties underscore the importance of adhering to the prescribed reporting dates and updating records accurately. Non-compliance could potentially disrupt the statistical reporting process and impact the regulatory oversight of the banking sector.
The amendments to the Banking (Statistics) Regulations aim to ensure that the statistical returns from banks are timely and accurate. By aligning the reporting dates with the banks' own accounting periods, the regulations help to streamline the process and reduce the administrative burden. Furthermore, by updating the names of banks that have undergone changes, the regulations ensure that the statistical records remain current and reflective of the actual banking landscape. This precision is crucial for effective regulatory oversight and for maintaining the integrity of the banking statistics.