STATUTORY RULES.
1930. No. 60.
REGULATIONS UNDER THE COMMONWEALTH BANK ACT 1911-1929.
I, THE GOVERNOR-GENERAL in and over the Commonwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following amendment of the Regulation under the Commonwealth Bank Act 1911-1929, to come into operation forthwith.
Dated this seventh day of June, 1930.
STONEHAVEN
Governor-General.
By His Excellency’s Command,
JOHN A. BEASLEY
for Treasurer.
Amendment of the Commonwealth Bank Regulations.
(Statutory Rules 1928, No.78, amended to this date.)
Regulation 30 of the Commonwealth Bank Regulations is amended by inserting after the word “jam” the words “cotton seed, and cotton seed by-products, including linters, cotton seed oil, cotton seed cake, cotton seed meal, cotton seed cubes, and soap stocks.”
By Authority: H. J. Green, Government Printer, Canberra.
Overview
The Statutory Rules 1930, No. 60, represents an amendment to the Commonwealth Bank Regulations under the Commonwealth Bank Act 1911-1929. Enacted by the Governor-General on the advice of the Federal Executive Council, these regulations aim to address a specific gap in the commodities that could be included in the bank's lending operations. The legislative instrument introduces cotton seed and its by-products as eligible for financial assistance, thereby expanding the scope of commodities that can benefit from bank loans. This amendment reflects a policy objective to support the agricultural sector by facilitating access to credit for farmers and businesses involved in the cotton industry.
Scope and Application
The Commonwealth Bank Regulations, as amended by Statutory Rules 1930, No. 60, extend to the operations of the Commonwealth Bank of Australia, focusing on the scope and application of these regulations in the context of the bank's activities. Specifically, this legislative instrument amends the existing regulations under the Commonwealth Bank Act 1911-1929 by expanding the types of goods that can be used as collateral under certain loans. The inclusion of cotton seed and its by-products, such as linters, cotton seed oil, cotton seed cake, cotton seed meal, cotton seed cubes, and soap stocks, signifies an extension of the types of assets the bank can accept as security for loans. This adjustment applies nationally across Australia, impacting the bank’s lending practices and the types of collateral available to borrowers. The regulation does not specify any exclusions or exemptions and is applicable to all entities engaging in transactions with the Commonwealth Bank under the amended collateral categories. This amendment allows the bank to diversify its lending portfolio by incorporating agricultural products and their derivatives into its collateral framework.
Key Provisions
The primary operative sections of these regulations, specifically Regulation 30, introduce amendments to the Commonwealth Bank Regulations (Statutory Rules 1928, No. 78) to include cotton seed and its by-products as collateral for loans (Regulation 30). This means that cotton seed and its derivatives, such as linters, cotton seed oil, cotton seed cake, cotton seed meal, cotton seed cubes, and soap stocks, can now be used as security for loans from the Commonwealth Bank.
These regulations impose specific obligations and requirements on entities that seek to use cotton seed and its by-products as collateral. The entities must ensure that the collateral provided is accurately described and valued to comply with the bank’s lending policies. The Commonwealth Bank must also verify the quality and quantity of the collateral to determine its worthiness as security. Furthermore, the entities are required to maintain proper records of the collateral provided and any changes to its condition or value during the term of the loan.
The legislation does not explicitly state any offences, penalties, or consequences for breach within the provided text. However, breaches of the regulations or failure to comply with the obligations and requirements set forth could potentially lead to civil or criminal consequences, depending on the severity and intent behind the breach. The penalties for such breaches would typically be determined in accordance with the applicable laws and regulations at the time. In general, non-compliance with financial regulations could result in legal actions, fines, or other sanctions imposed by the relevant authorities.
In summary, these regulations amend the existing Commonwealth Bank Regulations to include cotton seed and its by-products as eligible collateral for loans, thereby expanding the range of assets that can be used to secure financing from the Commonwealth Bank. Entities seeking to use these commodities as collateral must adhere to specific obligations and requirements, including accurate valuation, proper record-keeping, and compliance with the bank’s lending policies. While the specific penalties for non-compliance are not detailed in the provided text, potential consequences may include legal actions and sanctions imposed by the relevant authorities.