Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3)

Overview

The Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3) were enacted to address the growing problem of counterfeit credit, debit, and charge cards, which were increasingly being used for fraud both domestically and internationally. The regulations were introduced under the authority of the Minister for Justice and Customs to amend the Customs (Prohibited Exports) Regulations 1958, as per section 112 of the Customs Act 1901. The primary policy objective was to implement tighter Commonwealth controls to facilitate the seizure and forfeiture of counterfeit credit cards at customs checkpoints, thereby mitigating the financial losses associated with credit card fraud. This was particularly pertinent in anticipation of the Sydney 2000 Olympic Games, where there were fears of an escalation in such criminal activities. The regulations prohibit the export of counterfeit credit, debit, and charge cards unless specific written permission is granted by the Minister, thereby enhancing the ability to combat counterfeiting and fraud effectively.

Scope and Application

The Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3) amends the Customs (Prohibited Exports) Regulations 1958 to introduce stringent controls on the exportation of counterfeit credit, debit and charge cards from Australia. This amendment applies to all counterfeit credit, debit and charge cards that are used to obtain credit or any other thing of value or property, with the ordinary meaning of "counterfeit" applying. The amendment is intended to combat the significant issue of credit card fraud both domestically and internationally, and is particularly relevant in the context of the Sydney 2000 Olympic Games, where there may be an increased risk of such fraudulent activities. The exportation of these cards is prohibited unless a written permission to export has been granted by the Minister administering the Australian Federal Police Act 1979, and the permission is presented to a Collector upon request. The Minister may impose conditions or requirements on the permission, and failure to comply may result in revocation of the permission by the Minister. This regulation represents an extension of Commonwealth control over the exportation of counterfeit credit, debit and charge cards, complementing the criminal law responsibilities of the States and Territories. The application of the amendment is national, applying to all counterfeit credit, debit and charge cards within Australia, regardless of the intended destination of the export. The amendment is intended to apply to any counterfeit card, including those that do not match the issuing authority's records or where multiple cards share the same number. The export controls are not absolute, allowing for limited circumstances where the exportation of such cards may be necessary, such as for law enforcement or financial institutions seeking to improve anti-counterfeiting measures. However, only the Minister may grant such a permission, ensuring a high level of scrutiny and control over the exportation of counterfeit credit, debit and charge cards. The amendment commenced on gazettal, with no specified thresholds or exclusions beyond those outlined in the regulations. The Australian Federal Police, as the relevant agency with policy responsibility for the new controls, will enforce these regulations to ensure compliance and mitigate the risk of credit card fraud.

Key Provisions

The main operative sections of the Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3) are found in Schedule 1, which introduces a new regulation, 13D, governing the exportation of counterfeit credit, debit, and charge cards (subregulation 13D(1)). This regulation prohibits the export of these counterfeit cards unless a written permission has been granted by the Minister and presented to a Collector. The regulation allows for the specification of conditions or requirements that must be met by the holder of the permission, as well as the timing of compliance (subregulation 13D(2)). Non-compliance with these conditions or requirements can result in the revocation of the permission by the Minister (subregulation 13D(3)). The term "Minister" is defined as the Minister administering the Australian Federal Police Act 1979, and the Australian Federal Police is responsible for the policy of these new controls. The Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3) impose several obligations and requirements on parties or entities governed by the Act. Firstly, the exportation of counterfeit credit, debit, and charge cards is strictly prohibited unless a written permission has been obtained from the Minister and presented to a Collector at the time of export. This permission may include specific conditions or requirements that the holder must adhere to, and failure to comply with these conditions can lead to the revocation of the permission. Additionally, the Minister, through the Australian Federal Police, is responsible for overseeing compliance with these export controls and ensuring that counterfeit cards are not exported without proper authorisation. The Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3) also outline potential offences, penalties, or civil and criminal consequences for breaches. While the regulations themselves do not specify penalties, any breach of the export controls could potentially lead to criminal charges under state and territory laws, as the criminal law dealing with possession and use of counterfeit cards falls under state and territory jurisdiction. Additionally, the seizure and forfeiture of counterfeit credit cards at the Customs barrier is permitted under these regulations, providing a means for enforcement. The maximum penalties for offences related to counterfeit cards would be determined by the relevant state or territory laws, and could include fines and imprisonment. In summary, the Customs (Prohibited Exports) Amendment Regulations 1999 (No. 3) introduce stringent controls on the exportation of counterfeit credit, debit, and charge cards, prohibiting such exports unless a written permission from the Minister is obtained and presented to a Collector. The Minister, through the Australian Federal Police, is responsible for enforcing these controls and ensuring compliance with the specified conditions or requirements. While the regulations themselves do not outline specific penalties, breaches could lead to criminal charges under state and territory laws, with potential consequences including fines and imprisonment. The introduction of these export controls aims to combat the significant issue of credit card fraud, both domestically and internationally, and to provide additional protection during the Sydney 2000 Olympic Games.