Commonwealth Inscribed Stock Act 1945

Legislation au C1945A00026 Not in force Act

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COMMONWEALTH INSCRIBED STOCK.

 

No. 26 of 1945.

An Act to amend the Commonwealth Inscribed Stock Act 1911-1943.

[Assented to 16th August, 1945.]

[Date of commencement, 13th September, 1945.]

BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—

Short title and citation.

1.—(1.) This Act may be cited as the Commonwealth Inscribed Stock Act 1945.


(2.) The Commonwealth Inscribed Stock Act 1911–1943 is in this Act referred to as the Principal Act.

(3.) The Principal Act, as amended by this Act, may be cited as the Commonwealth Inscribed Stock Act 1911–1945.

Parts.

2. Section two of the Principal Act is amended by omitting the words “Division 4.—Stock Certificates to Bearer.”.

Definitions

3. Section three of the Principal Act is amended by omitting the definition of “Stock” and inserting in its stead the following definition:—

“‘stock’ means Commonwealth Government Inscribed Stock or Australian Consolidated Inscribed Stock;”.

Power to create stock.

4. Section four of the Principal Act is amended—

(a) by omitting from paragraph (a) the word “and”; and

(b) by inserting after paragraph (a) the following paragraph:—

“(aa) converting any loan raised by the Commonwealth into any other loan so raised; and”.

Certificates of lien for moneys advanced by bank for purposes of assisting subscription of war loans.

5. Section twenty a of the Principal Act is repealed.

6. Section twenty-seven of the Principal Act is repealed and the following section inserted in its stead:—

Transfers, &c., not to be registered within fourteen days before due date of interest.

“27. Except with the approval of the Treasurer, a transaction relating to stock shall not be registered or dealt with within fourteen days prior to the date upon which interest is due or within one month prior to the date of maturity of the stock.”.

Verification of transmission.

7. Section twenty-nine of the Principal Act is amended by omitting from paragraph (a) of sub-section (1.) the words “or letters of administration” and inserting in their stead the words”, letters of administration or other instrument authorizing a person to administer the estate of a deceased person”.

Repeal of Division 4 of Part III.

8. Division 4 of Part III. of the Principal Act is repealed.

Forging or uttering stock certificates, &c.

9. Section forty-eight of the Principal Act is amended—

(a) by omitting from paragraph (a) of sub-section (1.) the words “or stock certificate to bearer,”;

(b) by omitting from paragraph (a) of sub-section (2.) the words “or stock certificate to bearer”; and

(c) by omitting from paragraph (c) of sub-section (2.) the words “stock certificate to bearer,”.

Falsification of books or documents.

10. Section fifty of the Principal Act is amended by omitting from paragraph (c) the words “or stock certificate to bearer”.

Power to make out or issue Treasury Bonds.

11. Section fifty-one a of the Principal Act is amended—

(a) by omitting from paragraph (a) the word “and”: and

(b) by inserting after paragraph (a) the following paragraph:—

“(aa) converting any loan raised by the Commonwealth into any other loan so raised; and”.


12. Section fifty-two a of the Principal Act is repealed and the following section inserted in its stead:—

Stock certificates, &c., not liable to stamp duty.

“52a. The following instruments and documents shall not be liable to stamp duty or other tax under any other law of the Commonwealth or of a State or Territory of the Commonwealth unless they are declared to be so liable by the prospectus relating to the loan in respect of which they are issued or used:—

(a) stock certificates, Treasury Bonds, Debentures and other prescribed securities;

(b) documents relating to the purchase, sale, transfer, transmission, conversion, renewal or redemption of stock, Treasury Bonds, Debentures or other prescribed securities;

(c) cheques and drafts drawn by a bank on behalf of the Commonwealth in connexion with any such conversion, renewal or redemption;

(d) documents relating to the payment of interest on stock, Treasury Bonds, Debentures or other prescribed securities; and

(e) cheques and drafts drawn by a bank on behalf of the Commonwealth for the payment of any such interest.”.

Powers of attorney.

13. Section fifty-six of the Principal Act is amended—

(a) by inserting in sub-section (2.), after the word “deposited”, the words “,or produced to the Registrar,”; and

(b) by inserting in sub-section (3.), after the word “deposited”, the words “or produced”.

National Savings Stamps.

14. Section fifty-seven a of the Principal Act is amended by omitting from sub-section (2.) the words “(or, to the face value of Two pounds or any multiple thereof, in part payment)”

 

Overview

The Commonwealth Inscribed Stock Act 1945 was enacted to amend the existing Commonwealth Inscribed Stock Act 1911-1943, addressing several gaps and updating the legislative framework concerning inscribed stock and related securities. This Act was introduced by the Australian Parliament to refine the management and regulation of Commonwealth Government Inscribed Stock and Australian Consolidated Inscribed Stock. The policy objective of the Act is to ensure the streamlined and efficient administration of stock and related financial instruments, particularly in light of the post-war economic climate and the need to support national financial stability. The Act also aims to enhance the security and integrity of financial transactions by introducing stricter controls over the registration and transfer of stock, and by repealing certain provisions that were deemed obsolete or redundant in the contemporary context.

Scope and Application

The Commonwealth Inscribed Stock Act 1945 amends and supplements the Commonwealth Inscribed Stock Act 1911–1943, applying to the Commonwealth Government in its capacity as issuer and manager of Commonwealth Inscribed Stock and Australian Consolidated Inscribed Stock. This Act governs the creation, transfer, and management of these stocks, along with the related Treasury Bonds, Debentures, and other prescribed securities. It applies nationally across Australia, covering all Commonwealth-issued stocks and related transactions. The Act's amendments include the elimination of bearer stock certificates, the regulation of transactions involving stock, and the exclusion of certain documents and securities from stamp duty unless explicitly stated in the prospectus. Additionally, the Act provides for the conversion of loans raised by the Commonwealth into other loans and modifies the procedures for registering and dealing with stock. The Act also imposes penalties for forging or falsifying stock-related documents, ensuring the integrity of stock transactions. While the Act itself sets out these provisions, it also allows for further regulation and clarification through subordinate instruments, ensuring its application remains adaptable to changing circumstances.

Key Provisions

The Commonwealth Inscribed Stock Act 1945 amends the Commonwealth Inscribed Stock Act 1911-1943, focusing on various aspects of inscribed stock and related financial instruments. One of the primary changes introduced by this Act is the removal of the definition of "Stock" and its replacement with a new definition that specifies "stock" means Commonwealth Government Inscribed Stock or Australian Consolidated Inscribed Stock (Section 3). Furthermore, the Act allows the conversion of any loan raised by the Commonwealth into any other loan (Section 4(aa)). Additionally, it mandates that any transactions relating to stock must not be registered or dealt with within fourteen days prior to the due date of interest or within one month prior to the maturity date of the stock, unless approved by the Treasurer (Section 27). The Act imposes several obligations on parties involved with inscribed stock, including the requirement that verification of transmission must include letters of administration or other instruments authorizing a person to administer the estate of a deceased person (Section 29). It also ensures that certain instruments and documents, such as stock certificates, Treasury Bonds, Debentures, and related documents, are not liable to stamp duty unless explicitly declared so by the prospectus (Section 52a). Moreover, powers of attorney must be either deposited with or produced to the Registrar (Section 56). Failure to comply with the provisions of this Act can lead to criminal and civil consequences. For instance, forging or uttering stock certificates is subject to penalties under Section 48. Similarly, falsifying books or documents related to inscribed stock can attract penalties under Section 50. While the Act does not explicitly state maximum penalties for these offences, they are likely to be severe given the nature of the offences. The Act also removes certain sections that previously dealt with specific types of certificates and duties, streamlining the legal framework around inscribed stock transactions.

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Definitions & Interpretation
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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.