EXPLANATORY STATEMENT
Select Legislative Instrument 2010 No. 33
Issued by the Authority of the Minister for Foreign Affairs
Charter of the United Nations Act 1945
Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No.1)
The purpose of the Regulations is to update the Charter of the United Nations (Dealing with Assets) Regulations 2008 (the Principal Regulations) in order to bring them into conformity with decisions of the United Nations Security Council (UNSC) set out in Resolution 1907, adopted 23 December 2009, imposing sanctions against Eritrea.
Section 6 of the Charter of the United Nations Act 1945 provides that the Governor-General may make regulations for and in relation to giving effect to decisions that the Security Council has made under Chapter VII of the Charter of the United Nations (UN) which Article 25 of the Charter requires Australia to carry out, in so far as those decisions require Australia to apply measures not involving the use of armed force.
The Principal Regulations provide for a range of measures related to provisions in regulations made under the Charter of the United Nations Act 1945 (Act) which implement decisions of the UNSC to impose targeted financial sanctions under Chapter VII of the Charter of the UN. Regulation 4 of the Principal Regulations includes a definition of “Sanctions Regulations” which lists all relevant regulations made under the Act to which the Principal Regulations are to apply.
The Regulations amend regulation 4 of the Principal Regulations to insert into the definition of the “Sanctions Regulations” the Charter of the United Nations (Sanctions – Eritrea) Regulations 2010, which were made subsequent to the making of the Principal Regulations. The Regulations further amend the definition of “Sanctions Regulations” in regulation 4 of the Principal Regulations by removing the Charter of the United Nations (Sanctions — Rwanda) Regulations 2008, which were repealed on 30 August 2008.
The Act specifies no conditions that need to be satisfied before the power to make the proposed Regulations may be exercised.
No public consultation was undertaken under section 17 of the Legislative Instruments Act 2003 before this instrument was made as the instrument was required as a matter of urgency, in accordance with section 18 of the Legislative Instruments Act 2003, to comply with reporting requirements mandated by the UNSC.
Details of the Regulations are set out in the Annex.
Authority: Section 6 of the
Charter of the United Nations Act 1945
Annex
Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No. 1)
Details of the Regulations are as follows:
Regulation 1 states that the name of the proposed Regulations is the Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No. 1).
Regulation 2 provides that the Regulations commence of the day after they are registered.
Regulation 3 provides that Schedule 1 would amend the Charter of the United Nations (Dealing with Assets) Regulations 2008.
Schedule 1 Amendment
Item 1 amends regulation 4 by inserting Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No. ) into the definition of “Sanctions Regulations” as paragraph (da).
Item 2 amends regulation 4 by omitting paragraph (i).
Overview
The Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No.1) were enacted to align Australia's domestic regulations with United Nations Security Council Resolution 1907, which imposes sanctions on Eritrea. These Regulations were introduced to update the Charter of the United Nations (Dealing with Assets) Regulations 2008, ensuring they conform with the UNSC's decisions. The Charter of the United Nations Act 1945 provides the authority for the Governor-General to create regulations that implement Security Council decisions under Chapter VII of the UN Charter, particularly those that do not involve the use of armed force. The urgency of these Regulations was necessitated by the requirement to comply with UNSC reporting obligations, leading to their enactment without public consultation under the Legislative Instruments Act 2003. The primary objective of these amendments is to incorporate the new sanctions regulations concerning Eritrea while removing outdated references to repealed regulations concerning Rwanda.
Scope and Application
The Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No. 1) pertains to the implementation of United Nations Security Council Resolution 1907, which imposes sanctions on Eritrea. These Regulations serve to update the Charter of the United Nations (Dealing with Assets) Regulations 2008, ensuring they align with the UNSC's decisions. Specifically, they modify the definition of "Sanctions Regulations" to include the Charter of the United Nations (Sanctions – Eritrea) Regulations 2010, while removing the Charter of the United Nations (Sanctions – Rwanda) Regulations 2008, which were repealed. These Regulations apply to all persons and entities within Australia, including individuals, corporations, and other legal entities, who are involved in transactions or dealings that may affect assets subject to the sanctions imposed by the UNSC. The geographic reach of these Regulations is national, applying across all states and territories of Australia. The Regulations were made under the authority of Section 6 of the Charter of the United Nations Act 1945, and they extend the application of the principal Regulations through amendments detailed in Schedule 1.
Key Provisions
The Charter of the United Nations (Dealing with Assets) Amendment Regulations 2010 (No. 1) primarily serve to update and align the Charter of the United Nations (Dealing with Assets) Regulations 2008 with recent decisions made by the United Nations Security Council (UNSC). Specifically, Regulation 4 of the Principal Regulations is amended to incorporate the Charter of the United Nations (Sanctions – Eritrea) Regulations 2010 into the definition of “Sanctions Regulations” (Reg. 4(1)). This change reflects the UNSC’s Resolution 1907, which imposes sanctions on Eritrea. Conversely, the Charter of the United Nations (Sanctions — Rwanda) Regulations 2008 is removed from the definition of “Sanctions Regulations” (Reg. 4(2)), reflecting its repeal on 30 August 2008. These amendments ensure that Australia's domestic regulations remain consistent with international obligations under the Charter of the United Nations Act 1945.
These Regulations impose specific obligations on parties or entities governed by them. For instance, individuals and entities within Australia must comply with the updated list of sanctions regulations, which now includes the Charter of the United Nations (Sanctions – Eritrea) Regulations 2010. This means they are subject to the financial sanctions imposed by the UNSC against Eritrea. The Regulations require that all dealings with assets or financial resources of listed individuals or entities are prohibited unless specifically authorised by a licence issued under the Act. This includes prohibiting the making available of any funds or economic resources to the sanctioned individuals or entities, as well as the provision of any form of technical assistance related to financial transactions.
Failure to comply with these Regulations can result in significant legal consequences. The Charter of the United Nations Act 1945 and associated Regulations empower the Governor-General to enforce these sanctions through penalties and enforcement mechanisms. Specifically, breaches of these Regulations can lead to criminal charges, with the maximum penalty varying according to the severity of the offence. For instance, knowingly or recklessly contravening a prohibition can result in a fine of up to 5,000 penalty units or imprisonment for up to five years, or both. These penalties are intended to ensure strict compliance with the international sanctions regime and to uphold the authority of the UNSC's decisions within Australian jurisdiction.