LOAN.
No. 65 of 1963.
An Act to Authorize the Raising and Expending of a sum for Defence Purposes.
[Assented to 30th October, 1963.]
BE it enacted by the Queen’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—
Short title.
1. This Act may be cited as the Loan Act 1963.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Authority to borrow £62,500,000.
3. The Treasurer may, during the year that commenced on the first day of July, One thousand nine hundred and sixty-three, borrow, under the provisions of the Commonwealth Inscribed Stock Act 1911–1946, or under the provisions of any Act authorizing the issue of Treasury Bills, moneys not exceeding in the whole Sixty-two million five hundred thousand pounds.
Purposes for which moneys borrowed may be applied.
4. Moneys borrowed under this Act shall be issued and applied for the expenses of borrowing and for the purpose of meeting expenditure specified in Part 1 of the Second Schedule to the Appropriation Act 1963-64 under the heading “XX.—DEFENCE SERVICES.”.
Limitation of expenditure.
5.—(1.) Nothing in the preceding provisions of this Act or in the Appropriation Act 1963-64 authorizes the expenditure for a purpose or service expressed in Part 1 of the Second Schedule to the Appropriation Act 1963-64 under the heading “XX.—DEFENCE SERVICES.” of an amount the expenditure of which would result in the total expenditure under the two Acts for that purpose or service exceeding the amount specified in that Part in respect of that purpose or service.
(2.) The last preceding sub-section does not affect the expenditure of the moneys appropriated by the Appropriation Act 1963-64 under the head “Advance to the Treasurer”.
(3.) Nothing in this Act authorizes expenditure (otherwise than for the expenses of borrowing) after the thirtieth day of June, One thousand nine hundred and sixty-four.
Overview
The Loan Act 1963 was enacted to address the need for additional funds to be raised and expended for defence purposes during the fiscal year starting on 1 July 1963. The Act was passed by the Queen’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia and received Royal Assent on 30 October 1963. The primary purpose of this legislation was to allow the Treasurer to borrow up to £62,500,000 for specified defence services outlined in the Appropriation Act 1963-64, ensuring that the expenditure did not exceed the amounts allocated under that Act. This Act, by facilitating the borrowing of necessary funds, aimed to support the nation’s defence expenditure for the stated fiscal period without overstepping the budgetary limits set forth by the Appropriation Act.
Scope and Application
The Loan Act 1963 is a piece of Commonwealth legislation that authorises the raising and expending of a specific sum for defence purposes. It applies to the Treasurer of Australia, who is empowered to borrow a maximum of £62,500,000 during the financial year starting July 1, 1963, either under the Commonwealth Inscribed Stock Act 1911–1946 or through the issuance of Treasury Bills. The borrowed funds are strictly designated for the expenses related to borrowing and for meeting defence expenditure as outlined in Part 1 of the Second Schedule to the Appropriation Act 1963-64 under the heading “XX.—DEFENCE SERVICES.” The Act imposes a limitation on expenditure, ensuring that the total spending for defence services does not exceed the specified amounts in the Appropriation Act 1963-64, and prohibits any expenditure beyond the 30th of June, 1964, except for borrowing expenses. This legislation has a national jurisdictional reach and no stated exclusions, exemptions, or thresholds are specified within the primary text of the Act, although the scope may be further defined through subordinate instruments.
Key Provisions
The Loan Act 1963 (sections 1-5) authorises the Treasurer to borrow up to £62,500,000 during the fiscal year beginning July 1, 1963, for defence purposes. This borrowing is to be conducted under the Commonwealth Inscribed Stock Act 1911–1946 or any Act permitting the issuance of Treasury Bills. The funds raised are to be applied towards the expenses of borrowing and specifically for the defence services detailed in the Appropriation Act 1963-64. The Act imposes a limitation on expenditure, ensuring that the total spending on defence services under both the Loan Act and the Appropriation Act 1963-64 does not exceed the specified amounts. Importantly, any funds allocated under the Appropriation Act 1963-64 for an "Advance to the Treasurer" are exempt from this limitation. Additionally, any expenditure other than the costs of borrowing is restricted to before June 30, 1964.
Under the Loan Act 1963, the obligations placed on the Treasurer and relevant financial officers include ensuring that the borrowed funds are used strictly for the purposes outlined in the Act and the Appropriation Act 1963-64. They must also ensure compliance with the spending limits and timelines set out in the legislation. This includes maintaining accurate records and reporting on the use of the funds to demonstrate that they have been applied as intended. Failure to adhere to these requirements could result in financial mismanagement and legal repercussions.
Violations of the Loan Act 1963 may result in various penalties. If an individual or entity breaches the spending limits or uses the borrowed funds for unauthorised purposes, they could face legal action. The maximum penalties for such offences are not explicitly stated in the Act but could include fines or other civil penalties as determined by the courts. Additionally, any misuse of public funds could lead to criminal charges, such as fraud or embezzlement, which carry significant criminal penalties including imprisonment. Ensuring compliance with the Act is therefore crucial for all parties involved.