Currency Regulations (Amendment) 1991 No. 350
EXPLANATORY STATEMENT
STATUTORY RULES 1991 No. 350
Issued by Authority of the Treasurer
Currency Act 1965
Currency Regulations (Amendment)
Subsections 13(2) and 13(3) of the Currency Act 1965 (the Act) provide for more than one standard composition to be prescribed for each coin denomination specified in the Schedule to the Act. Paragraph 14(2)(b) of 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, on 22 November, the first of the 1992 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. The proposed amendments are to change the face values of all the large bullion coins and the 1 ounce Kookaburra bullion coin to make them consistent throughout the range. The series details are:
• the Australian Nugget gold coins feature a red kangaroo on the reverse side. This design was approved by the former Treasurer in December 1990. The three coins in the issue (two ounces, ten ounces and one kilogram) will be legal tender to the values of $200, $1,000 and $3,000 (the previous values were $500, $2,500 and $10,000 respectively);
• the Australian Koala platinum coins will feature a koala clinging to the branch of a tree on the reverse side. This design was approved by the former Treasurer in March 1991. The three coins in the set (two ounces, ten ounces and one kilogram) will be legal tender to the values of $200, $1,000 and $3,000 (previously $500, $2,500 and $10,000); and
• the Australian Kookaburra silver coins will feature a kookaburra perched on a tree stump on the reverse side. This design was approved by the former Treasurer in March 1991. The three coins in this issue (two ounces, ten ounces and one kilogram) will be legal tender to the value of $2, $10 and $30 (previously $10, $50 and $150).
It is also proposed that the Currency Regulations be amended to change the face value of the lounce bullion Kookaburra coin from $5 to $1.
Consistent with all Australia's legal tender coinage, the traditional effigy of Her Majesty Queen Elizabeth II will appear on the obverse side of all these coins.
The proposed Regulations amend regulation 4 of the Currency Regulations to specify the designs of the coins and regulation 7 and the Schedule of the Currency Regulations to specify the characteristics of the coins.
Overview
The Currency Regulations (Amendment) 1991 No. 350, issued by the authority of the Treasurer under the Currency Act 1965, addresses the need to update the face values of a series of large bullion coins to ensure consistency across the coin range. This amendment was necessitated by Gold Corporation's (GoldCorp) plan to release a new series of large bullion coins, comprising gold, silver, and platinum coins in various weights. The objective of this regulatory change is to align the face values of these coins with current market standards, thereby maintaining their legal tender status and facilitating their use in transactions. The amendments ensure that the new coin designs and specifications, which were approved by the former Treasurer, are legally recognised and reflect the updated face values.
Scope and Application
The Currency Regulations (Amendment) 1991 No. 350 applies to the alteration of face values and specifications of legal tender bullion coins produced by Gold Corporation, a statutory authority of the Western Australian Government, under bullion coin agreements with the Commonwealth. This amendment pertains to specific coins within the 1992 large bullion coin series, including coins made from gold, silver, and platinum. The regulation impacts the face values of these coins to bring them into consistency across the series, with the Australian Nugget gold coins, Australian Koala platinum coins, and Australian Kookaburra silver coins all having their face values reduced. The amendments also include a change to the face value of the one-ounce Kookaburra bullion coin from $5 to $1. These changes are made to align the face values of these coins with the standard economic practice and to ensure consistency within the coin series. The regulation extends to the entire Commonwealth of Australia and is subject to the provisions of the Currency Act 1965, which governs the issuance and standards of legal tender in Australia.
Key Provisions
The Currency Regulations (Amendment) 1991 No. 350 introduces amendments to the Currency Regulations concerning the face values and designs of specific bullion coins to be issued by Gold Corporation (GoldCorp) under the authority of the Western Australian Government. Under sections 13(2) and 13(3) of the Currency Act 1965, these regulations ensure that the coins adhere to the prescribed standard weight, design, and dimensions. Regulation 4 specifies the designs of the coins, while regulation 7 and the Schedule detail their characteristics. The amendments ensure that the face values of the Australian Nugget gold coins, Australian Koala platinum coins, and Australian Kookaburra silver coins are consistent across their respective ranges, reflecting updated face values that are lower than their previous denominations.
The obligations imposed by these regulations are primarily on GoldCorp, which is mandated to produce these coins in accordance with the newly prescribed standards. This includes ensuring the coins are minted with the correct designs and characteristics as specified in the amended regulations. The Treasurer’s approval for the designs is noted, with the reverse side of the coins featuring the approved images of a red kangaroo, a koala, and a kookaburra, respectively. Additionally, all coins must bear the traditional effigy of Her Majesty Queen Elizabeth II on the obverse side, maintaining a consistent national identity across the coin series.
Breaches of these regulations could result in significant legal consequences. Although the explanatory statement does not explicitly detail offences or penalties, under the Currency Act 1965, any non-compliance with the regulations could lead to civil or criminal penalties as stipulated by the Act. Such penalties might include fines or other legal actions for producing or distributing non-compliant coins, underscoring the importance of adhering to the regulatory standards set forth.