Loan (Australian Wheat Board)
No. 3 of 1970
An Act to authorize the Borrowing of Moneys by the Commonwealth and the Issue of those Moneys for certain purposes in relation to the Australian Wheat Board.
[Assented to 24 March 1970]
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 (Australian Wheat Board) Act 1970.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Authority to borrow $300,000,000.
3. The Treasurer may, in accordance with the provisions of the Commonwealth Inscribed Stock Act 1911–1966 or in accordance with the provisions of any Act authorizing the issue of Treasury Bills, borrow moneys not exceeding in the whole Three hundred million dollars.
Application of moneys.
4.—(1.) Moneys borrowed under this Act shall be issued and applied only for the expenses of borrowing and in pursuance of the next succeeding sub-section.
(2.) Moneys borrowed under this Act may be made available, on such terms and conditions as the Treasurer determines, by way of loan to the Australian Wheat Board, for the purpose of enabling the discharge of the liability of the Board to the Reserve Bank of Australia in respect of advances made by that Bank through its Rural Credits Department in connexion with the acquisition and marketing of wheat harvested in the period of twelve months that commenced on the first day of October, One thousand nine hundred and sixty-eight.
Overview
The Loan (Australian Wheat Board) Act 1970 was enacted to address the need for financial assistance to the Australian Wheat Board (AWB) to meet its liabilities to the Reserve Bank of Australia arising from advances made in connection with the acquisition and marketing of wheat. This Act was introduced to facilitate the borrowing of funds by the Commonwealth, which would then be issued as loans to the AWB. Enacted by the Parliament of Australia, the Act aims to ensure that the AWB can discharge its financial obligations in a timely and effective manner, thus supporting the agricultural sector and maintaining the stability of the wheat market. The policy objective of the Act is to provide the necessary financial support to the AWB, thereby enabling it to continue its operations without interruption and to maintain the flow of wheat in the market.
Scope and Application
The Loan (Australian Wheat Board) Act 1970 applies specifically to the Commonwealth government, allowing the Treasurer to borrow up to $300 million to support the Australian Wheat Board. The borrowing is authorised under the provisions of the Commonwealth Inscribed Stock Act 1911–1966 or any Act allowing the issuance of Treasury Bills. The borrowed funds are designated for the expenses related to the borrowing process and may be provided to the Australian Wheat Board as loans to cover its liabilities to the Reserve Bank of Australia for advances made in connection with wheat harvested from October 1, 1968. The Act is geographically limited to the Commonwealth level, affecting the financial operations of the Australian Wheat Board and its interactions with the Reserve Bank of Australia. There are no stated exclusions, exemptions, or thresholds in the Act, but it may be extended or restricted through subordinate instruments issued under the authority of the Act.
Key Provisions
The Loan (Australian Wheat Board) Act 1970, primarily authorises the borrowing of up to $300,000,000 by the Commonwealth and its application to the Australian Wheat Board (section 3). The funds can be borrowed under the provisions of the Commonwealth Inscribed Stock Act 1911–1966 or any Act authorising the issuance of Treasury Bills. The borrowed moneys are to be applied specifically to the expenses of borrowing and, additionally, made available to the Australian Wheat Board to discharge their liability to the Reserve Bank of Australia (section 4(1) and (2)).
Under this Act, the Treasurer has the authority to determine the terms and conditions under which the borrowed funds will be lent to the Australian Wheat Board. This includes specifying how the funds will be used to settle the Board's debt to the Reserve Bank of Australia, particularly in relation to advances made during the period starting from 1 October 1968 for the acquisition and marketing of wheat (section 4(2)). The Treasurer's discretion in setting these terms ensures flexibility in managing the financial obligations of the Wheat Board.
Failure to comply with the provisions of this Act could result in legal consequences, though the Act itself does not explicitly detail specific offences, penalties, or civil/criminal consequences for non-compliance. However, general legal principles and any related statutes would apply. For instance, breaches of financial management regulations or mismanagement of public funds could lead to criminal charges, fines, or other legal actions as per the relevant legislation governing public financial management and accountability in Australia. The precise penalties would depend on the nature and severity of the breach, as well as other applicable laws.