Currency Regulations (Amendment) 1991 No. 31
EXPLANATORY STATEMENT
Statutory Rules 1991 No. 31
Issued by Authority of the Treasurer
Currency Regulations (Amendment)
Section 14(2)(b) of the Currency Act 1965 (the Act) provides that a coin to be made and issued by the Treasurer shall be of the standard weight, design and dimensions as prescribed (by regulation) in relation to that coin.
Under the bullion coin agreements, the Commonwealth has authorised Gold Corporation (GoldCorp), a statutory authority of the Western Australian Government, to produce legal tender precious metal coins. GoldCorp is planning to release, in March 1991, the Large Bullion Coin Series. The series is to comprise three coins (two ounces, ten ounces and one kilogram) in each of the precious metals, gold, silver and platinum.
Regulations validating the issue of the coins were made in December 1990. Subsequently, GoldCorp's initial production experience with the coins has shown that its estimates of their maximum thickness, on which the regulations made in December 1990 were based, require minor revisions of up to one millimetre.
The amendments also make two minor textual changes to the Currency Regulations.
The Regulations amend the schedule to the Currency Regulations to prescribe the maximum thickness of the coins, and make textual changes to regulations 4 and 7.
Overview
The Currency Regulations (Amendment) 1991 No. 31 was enacted to address the need for minor revisions to the specifications of the maximum thickness of the Large Bullion Coin Series produced by the Gold Corporation, a statutory authority of the Western Australian Government. This amendment was made under the authority of the Treasurer, in line with section 14(2)(b) of the Currency Act 1965, which mandates that coins issued by the Treasurer must adhere to prescribed standards of weight, design, and dimensions. The policy objective behind these amendments is to ensure that the coins comply with the legal tender requirements and maintain the integrity of the currency system by accommodating the minor revisions identified during the initial production phase. The amendments also include minor textual changes to regulations 4 and 7 to reflect the updated specifications.
Scope and Application
The Currency Regulations (Amendment) 1991 No. 31 applies to the modification of the Currency Regulations to accommodate changes in the specifications of certain precious metal coins produced by Gold Corporation, a statutory authority under the Western Australian Government. These amendments respond to practical findings from GoldCorp’s initial production of the Large Bullion Coin Series, which necessitated adjustments to the maximum thickness of the coins, originally set in the regulations issued in December 1990. The amendments ensure that the coins meet the prescribed standards of weight, design, and dimensions as mandated by the Currency Act 1965, thus maintaining their status as legal tender within Australia. The changes are limited to the technical specifications of the coins and do not extend to broader conduct or transactions outside the scope of these particular bullion coins. The application of these regulations is confined to the Commonwealth of Australia, with GoldCorp's production activities being subject to these specified parameters to ensure compliance with federal currency standards.
Key Provisions
The Currency Regulations (Amendment) 1991 No. 31 primarily revises the maximum thickness of certain coins to be produced and issued by Gold Corporation (GoldCorp) under the bullion coin agreements. Specifically, section 14(2)(b) of the Currency Act 1965 mandates that coins issued by the Treasurer must adhere to specified standards, including weight, design, and dimensions. The regulations prescribe these dimensions, and the amendments adjust the maximum thickness of the coins, which are part of the Large Bullion Coin Series, to account for GoldCorp's recent production experiences. This adjustment ensures that the coins conform to the legal standards set out in the Currency Act.
The Currency Regulations (Amendment) imposes several obligations on GoldCorp and other entities involved in the production and issuance of the coins. GoldCorp must ensure that the coins conform to the revised maximum thickness as specified in the amended regulations. These regulations also require that the coins meet the legal tender standards as set forth in the Currency Act. The entities must also comply with any additional specifications and requirements outlined in the amended schedule to the Currency Regulations, which includes the minor textual changes made to regulations 4 and 7.
Failure to comply with the provisions of the Currency Regulations (Amendment) can lead to various consequences, though specific offences and penalties are not detailed in the explanatory statement. Generally, breaches of the Currency Act or associated regulations can result in both civil and criminal penalties. Civil penalties might include fines or other financial penalties, while criminal penalties could involve imprisonment or fines, depending on the severity of the breach. The exact penalties would be determined according to the specific provisions of the Currency Act and any relevant subsidiary legislation. The maximum penalties, however, are not specified in the explanatory statement provided.