Overview

The Migration Regulations 1994, as amended by the instrument F2007L02651, were enacted to address the need for specifying securities that can be considered designated securities for the purposes of investment under the Migration Regulations. This instrument was developed under the authority of the Migration Act 1958, with the intent to clarify and update the list of securities issued by Australian State or Territory government authorities that qualify as designated securities for General Skilled Migration visa applicants. The policy objective behind this instrument was to streamline the investment criteria for visa applicants by clearly delineating which specific securities are recognised under the regulations. The instrument was the result of consultation with the West Australian Government, who requested the exclusion of the West Australian Treasury Corporation from the list of eligible investment facilities. This legislative update was made to ensure that the criteria for designated securities remain relevant and accurate, thereby facilitating a more efficient application process for prospective migrants.

Scope and Application

The Migration Regulations 1994, as specified by Instrument F2007L02651, aim to delineate the scope of designated securities eligible for points under the General Skilled Migration visa scheme. This legislation applies to individuals seeking to enhance their visa points through investments in securities issued by Australian State or Territory governments. The regulation operates under the authority of the Minister, who has the power to specify which securities qualify as designated securities in accordance with sub-regulation 2.26C. The geographic reach of this regulation is national, as it pertains to investments in securities issued by Australian governments across the states and territories. This regulatory instrument does not extend to securities issued by Commonwealth entities or foreign governments. It specifically targets General Skilled Migration visa applicants, thereby restricting its application to this particular class of visa seekers. The regulation came into effect on 1 September 2007, and while it generally applies to all eligible securities, consultation with the West Australian Government led to the exclusion of the West Australia Treasury Corporation from the list of qualifying investment facilities.

Key Provisions

The main sections of the Instrument are Regulation 1.03 and Sub-Regulation 2.26C(1). Regulation 1.03 defines a "designated security" as an investment in a security specified under Regulation 2.26C. Sub-Regulation 2.26C(1) allows the Minister to specify, in a written instrument, securities issued by an Australian state or territory government authority that are considered designated securities under Part 8 of Schedule 6A of the Migration Regulations 1994. Essentially, these sections clarify the types of investments that can be considered as designated securities and provide a mechanism for the Minister to specify which securities meet these criteria. The obligations imposed by the Act on the parties or entities it governs primarily concern the definition and specification of designated securities. According to the Act, a designated security is an investment in a security that has been specified under Regulation 2.26C. This means that entities issuing such securities, particularly those affiliated with Australian state or territory governments, must comply with the specifications laid out in the Instrument. Additionally, General Skilled Migration visa applicants must ensure that their investments meet the criteria for designated securities to be eligible for points under Part 8 of Schedule 6A. The Instrument also outlines the consequences for non-compliance. While the Instrument itself does not specify detailed offences, penalties, or consequences, breaches of the Migration Regulations 1994, under which this Instrument operates, can lead to various civil or criminal penalties. For example, making a false statement or providing misleading information in a visa application could lead to penalties under the Migration Act 1958. The maximum penalties for such offences can include fines and imprisonment, depending on the severity of the breach. In summary, this Instrument specifies the types of securities issued by Australian state or territory governments that can be considered designated securities for the purposes of awarding points to General Skilled Migration visa applicants. It sets out the criteria that these securities must meet and removes certain entities from the list of authorised investment facilities. The obligations focus on ensuring that investments comply with these specifications, and while the Instrument does not detail specific penalties, non-compliance with the broader Migration Regulations can result in significant penalties.