Companies (Fees) Regulations (Amendment)

EXPLANATORY STATEMENT

STATUTORY RULES 1986 NO. 145

ISSUED BY THE AUTHORITY OF THE ATTORNEY-GENERAL

COMPANIES (FEES) REGULATIONS (AMENDMENT)

Sub-section 5(1) of the Companies (Fees) Act 1981 (“the Act”) provides in that the Governor-General may make regulations, not inconsistent with the Act, prescribing fees, not in any case exceeding $1,000, for the purposes of sub-section 4(1) of the Act. Sub-section 5(2) of the Act provides that the power of the Governor-General to make regulations shall be exercised only in accordance with advice that is consistent with resolutions of the Ministerial Council for Companies and Securities (“the Council”).

2. The Council was established under an agreement between the Commonwealth and the States, executed on 22 December 1978 (“the agreement”), that provides the framework for a co-operative Commonwealth-State scheme for a uniform system of law and administration in relation to company law and the regulation of the securities industry in the six States and the Australian Capital Territory.

3. Under sub-clause 45(1) of the agreement, the Council may consider a proposal for the amendment of regulations made under the Commonwealth Acts enacted for the purpose of the co-operative companies and securities scheme. Should the Council approve any draft amending regulation which gives effect to such a proposal, the Commonwealth is then required, under sub-clause 45(2) of the agreement, to submit the draft regulations to the Federal Executive Council for making by the Governor-General.

4. The accompanying regulations are identical in form and substance to draft regulations approved by the Council.

5. The purpose of the regulations is to amend the Companies (Fees) Regulations (“the Regulations”) by substituting a new Schedule of fees for the Schedule of fees that come into operation on 1 October 1984.

6. Details of the accompanying regulations are as follows.

Regulation 1: Commencement

7. This regulation prescribes 1 July 1986 as the date on which the regulations come into operation.

Regulation 2: Schedule

8. This regulation inserts in the Regulations a new Schedule of fees that are payable for the purposes of sub-section 4(1) of the Act. That sub-section provides:-

“4(1) There shall be paid to the Commonwealth for or in respect of -

(a) the lodgment of documents with the Commission under the Companies Act 1981;

(b) the registration of documents under that Act or the inspection or search of registers kept by, or documents in the custody of, the Commission under that Act;

(c) the production by the Commission, pursuant to a subpoena, of any register kept by, or documents in the custody of, the Commission under that Act;

(d) the issuing of documents or copies of documents, the granting of licences, consents or approvals or the

doing of other acts or things by the Ministerial Council or the Commission under that Act;

(e) the making of inquiries of, or applications to, the Ministerial Council or the Commission in relation to matters arising under that Act; and

(f) the submission to the Commission of documents for examination by the Commission,

such fees (if any) as are prescribed.”

9. The new Schedule provides for the following levels of fees:-

10. To obtain the new levels of fees, the old fees were (with the exception set out in the next paragraph) increased by 11.4% (being the increase in the Consumer Price Index between the March quarter of 1984 - on which the old fees were based - and the December quarter of 1985) and rounded as follows:

• below $50 - to the nearest dollar;

• between $50 and $200 - to the nearest $5; and

• over $200 - to the nearest $10.

11. The fee of $1 has been retained but, in a number of instances, now applies in respect of each page of a copy of a document rather than each two pages or part thereof, as had been the case between 1 July 1982 and 30 June 1986 (inclusive).