Financial Agreements Enforcement Act (No. 2) 1932

Legislation au C1932A00007 Not in force Act

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FINANCIAL AGREEMENTS ENFORCEMENT (No. 2).

 

No. 7 of 1932.

An Act to amend the Financial Agreements Enforcement Act 1932.

[Assented to 29th April, 1932.]

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 Financial Agreements Enforcement Act (No. 2) 1932.

(2.) The Financial Agreements Enforcement Act 1932 is in this Act referred to as the Principal Act.

(3.) The Principal Act, as amended by this Act, may be cited as the Financial Agreements Enforcement Acts 1932.

Definitions.

2. Section four of the Principal Act is amended by inserting in sub-section (2.), after the word “(inclusive),”, the word and letter “thirteen a,”.

Effect of payment in accordance with direction of Treasurer.

3. Section eight of the Principal Act is amended by adding at the end thereof the following words:—“and no fine, penalty, forfeiture or other disability shall be imposed upon the person by reason of the payment to the Treasurer or authorized person, in accordance with this Act, or of the non-payment of the amount in question to the State”.

4. After section eight of the Principal Act the following section is inserted:—

Obligation of State officer to issue licences, certificates, &c.

“8a. Where any specified revenue is in the nature of payment for the issue of a licence, certificate or other document, or where any licence, certificate or other document is issuable to any person upon payment of any specified revenue, whether with or without compliance with other conditions, any officer or employee of the State whose duty it would be in the ordinary course of business to issue any such licence, certificate or document, is hereby required, upon production to him of a receipt showing that the correct fee, tax or charge has been paid by that person to the Treasurer or an authorized person, in respect of the issue of the licence, certificate or document, to issue the licence, certificate or document to the first-mentioned person, provided all the conditions imposed by the law of the State, other than the payment of the fee, tax or charge, have been complied with.”.


Payments currency of Proclamation.

5. Section ten of the Principal Act is amended by adding at the end thereof the following sub-sections:—

“(2.) Notwithstanding the foregoing provisions of this section, if the Governor-General declares by Proclamation—

(a) that any particular class of specified revenue is of such a nature that it is desirable that payment of moneys included in that class should be made to an officer or employee of the State, and

(b) that it is desirable that the officer or employee should be required to deal with those moneys in the manner directed by the Treasurer,

payment of those moneys may be made to the proper officer or employee of the State, and in accordance with such directions (if any) as are given by the Treasurer in writing or by notice published in the Gazette.

“(3.) Any officer or employee of the State who receives moneys in accordance with the last preceding sub-section shall deal with those moneys in such manner as is specified by the Treasurer in writing or by notice published in the Gazette.”.

6. After section thirteen of the Principal Act the following section is inserted in Part II.:—

Resolution specifying further classes of revenue.

“13a.—(1.) At any time and from time to time after a resolution has been passed by each House of the Parliament under section five or six of this Act, resolving inter alia that the provisions of sections seven to thirteen (inclusive) of this Part should have effect with respect to certain classes of revenue of a State, each House of the Parliament may resolve, upon motion moved in each House by or on behalf of a Minister, that sections seven to thirteen (inclusive) of this Part should have effect with respect to any other class or classes of revenue of that State specified or described in the resolution.

“(2.) Upon such a resolution being passed by both Houses of the Parliament, the class or classes of revenue so specified or described shall be deemed to have been specified or described in the prior resolution.”.

Moneys held by banks on behalf of State.

7.—(1.) Section fifteen of the Principal Act is amended—

(a) by inserting in sub-section (1.), after the word “time”, the words “and from time to time”;

(b) by omitting from paragraph (b) of sub-section (1.) the words “within a period or to an amount” and inserting in their stead the words “from time to time, within such period after their receipt as is specified in the notice, or to such amount as is”; and

 

(c) by inserting after sub-section (5.) the following sub-section:—

“(5a.) Notwithstanding the foregoing provisions of this section, if the Treasurer is satisfied that any moneys paid to him or to an authorized person in pursuance of this section (not being moneys to which sub-section (5.) of this section applies), are in the nature of trust moneys and are not in substance the property of the State, the Treasurer may, if he thinks fit, deal with the moneys in the prescribed manner, and the payment of such moneys as prescribed shall be a good discharge to the Commonwealth of all claims in respect of those moneys.”.

(2.) Any notice issued to any corporation in pursuance of section fifteen of the Principal Act shall, notwithstanding the amendments effected by this section, be of full force and effect until the issue to that corporation of a notice in accordance with section fifteen of the Principal Act as amended by this section.

 

Overview

The Financial Agreements Enforcement Act (No. 2) 1932 was enacted to amend the Financial Agreements Enforcement Act 1932, addressing issues related to the enforcement of financial agreements between the Commonwealth and the states. This Act was introduced to provide more flexibility and clarity in the handling of financial agreements and to streamline the processes involved in the enforcement of such agreements. The enacting body was the Commonwealth Parliament, with the policy objective of ensuring the effective and efficient management of financial transactions between the federal government and the states. The Act allows for the modification of certain provisions in the Principal Act, including the addition of new definitions, alterations to the implications of payments made in accordance with the Treasurer’s direction, and the obligation of state officers to issue licenses and certificates upon payment to the Treasurer or an authorized person. Furthermore, the Act introduces provisions for the classification of revenue payments, allowing the Governor-General to make proclamations regarding the payment of specific classes of revenue to state officers, subject to Treasurer’s directives. Additionally, it provides mechanisms for the Parliament to specify further classes of revenue to which the Act applies, ensuring that the scope of the legislation can be expanded as necessary. The Act also addresses the handling of moneys held by banks on behalf of the state, providing the Treasurer with the authority to deal with trust moneys that are not the property of the state, thereby clarifying the legal framework surrounding such financial arrangements.

Scope and Application

The Financial Agreements Enforcement (No. 2) Act 1932 is an amendment to the Financial Agreements Enforcement Act 1932, designed to further regulate the enforcement of financial agreements within the Commonwealth of Australia. The Act applies to various classes of specified revenue that are payable to the State, including payments made for the issuance of licences, certificates, or other documents by state officers. It mandates that state officers must issue these documents upon presentation of a receipt showing that the correct fee has been paid to the Treasurer or an authorised person, provided all other conditions have been met. The Act also allows for the payment of certain revenues to be made directly to state officers or employees under the direction of the Treasurer, and it provides mechanisms for the Treasurer to handle trust moneys that are not the property of the State. This legislation extends the scope of the Principal Act to include additional classes of revenue as specified by resolutions of the Parliament. The amendments made by this Act are applicable throughout the Commonwealth, reinforcing the uniform enforcement of financial agreements across state boundaries.

Key Provisions

The Financial Agreements Enforcement (No. 2) Act 1932 (Act) amends the Financial Agreements Enforcement Act 1932 (Principal Act). The Act introduces several key provisions. Firstly, section 2 amends the definition of certain terms in the Principal Act to include additional categories of revenue. Secondly, section 3 provides that no fine, penalty, forfeiture or other disability shall be imposed on a person who pays a specified revenue to the Treasurer or an authorised person in accordance with the Act, or who fails to pay the amount in question to the State. Thirdly, section 4 requires any State officer or employee, whose duty it would be to issue a licence, certificate or other document, to issue the document upon receipt of a payment to the Treasurer or an authorised person, provided all other conditions have been met. Fourthly, section 5 allows for the Governor-General to declare by Proclamation that certain classes of revenue should be paid to a State officer or employee, who must then deal with the moneys in the manner directed by the Treasurer. Finally, section 6 allows for the Parliament to specify further classes of revenue that the Act should apply to. The Act imposes several obligations on parties and entities it governs. Firstly, section 3 imposes an obligation on the person or entity to pay the specified revenue to the Treasurer or an authorised person in accordance with the Act. Secondly, section 4 imposes an obligation on the State officer or employee to issue the licence, certificate or other document upon receipt of a payment to the Treasurer or an authorised person, provided all other conditions have been met. Thirdly, section 5 imposes an obligation on the State officer or employee to deal with the moneys in the manner directed by the Treasurer. The Act provides for various civil and criminal consequences for breach. Firstly, section 3 provides that no fine, penalty, forfeiture or other disability shall be imposed on a person who pays a specified revenue to the Treasurer or an authorised person in accordance with the Act, or who fails to pay the amount in question to the State. Secondly, section 7 provides that any officer or employee of the State who receives moneys in accordance with section 5 must deal with those moneys in such manner as is specified by the Treasurer in writing or by notice published in the Gazette. Failure to do so may result in civil or criminal consequences, including fines and imprisonment. The maximum penalty for breach of the Act is not specified in the text.

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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.