National Security (Board of Business Administration) Regulations

Legislation au C1939L00182 Regulations Not in force Legislative Instrument

Legislation content

STATUTORY RULES.

1939. No. 182.

 

REGULATIONS UNDER THE NATIONAL SECURITY ACT 1939.*

I, THE GOVERNOR-GENERAL in and over the Commonwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following Regulations under the National Security Act 1939.

Dated this twenty-second day of December, 1939.

GOWRIE

Governor-General.

By His Excellency’s Command,

ROBERT G. MENZIES

Minister of State for Defence Co-ordination.

 

National Security (Board of Business Administration) Regulations.

Citation.

1. These Regulations may be cited as the National Security (Board of Business Administration) Regulations.

Definitions.

2. In these Regulations unless the contrary intention appears—

“the Board” means the Board of Business Administration established in pursuance of regulation 3 of these Regulations; and

“the Departments” means the Department of Supply and Development (in respect of its activities in relation to the supply of defence requirements), the Department of the Navy, the Department of the Army and the Department of Air.

Constitution of Board of Business Administration

3.—(1.) There shall be a Board of Business Administration consisting of not less than three members who shall be appointed by the Minister.

(2.) The Minister may appoint a member of the Board of Business Administration to be Chairman of the Board.

Tenure of office, fees and allowances of members of Board.

4. Members of the Board of Business Administration shall hold office during the pleasure of the Minister, and may be paid such fees or salaries, and such allowances, as the Minister from time to time determines.

Meetings of Board.

5.—(1.) Meetings of the Board of Business Administration shall be held at such times and places as are notified by or on behalf of the Chairman of the Board to the other members of the Board.

(2.) At any meeting of the Board two members shall constitute a quorum for the transaction of the business of the Board.

(3.) The Board shall keep a record of its proceedings.

 

* Notified in the Commonwealth Gazette on 29th December, 1939.

7819.—Price 3d.


Delegation by Board.

6.—(1.) The Board may, by writing under the hand of each member of the Board, delegate to any member of the Board any of the powers or functions of the Board under these Regulations (except this power of delegation) so that the delegated powers or functions may be exercised by the delegate with respect to the matters or class of matters specified in the instrument of delegation.

(2.) The Board may, in relation to any State, by writing under the hand of each member of the Board, delegate to a Business Administration Committee or Business Administration Representative appointed under those Regulations in that State any of the powers or functions of the Board under these Regulations (except this power of delegation) so that the delegated powers or functions may be exercised by that Committee or Representative in relation to that State.

(3.) Every delegation under this regulation shall be revocable in writing at will, and no delegation shall prevent the exercise of any power or function by the Board.

Advisers.

7.—(1.) The Board may, for the purposes of any investigation or inquiry, call in the aid of one or more advisers possessing specialized knowledge relating to any matter.

(2.) An adviser shall be appointed by the Minister, and shall hold office during the pleasure of the Minister.

(3.) An adviser appointed in pursuance of the last preceding sub-regulation shall receive such remuneration for his services, and travelling allowance at such rates, as the Minister determines.

Appointment of Inspector-General of Administration and officers.

8.—(1.) The Minister may appoint an Inspector-General of Administration and such secretaries and other officers as may be required to assist the Board of Business Administration.

(2.) Officers appointed under this regulation shall hold office during the pleasure of the Minister and upon such terms and conditions as the Minister determines.

Powers and functions of Board of Business Administration.

9. The powers and functions of the Board of Business Administration shall be as follows:—

(a) To advise concerning expenditure or proposed expenditure for any purpose connected with the defence of the Commonwealth or the prosecution of the present war, and to report as to the nature and scope of the expenditure and the organization and methods adopted or to be adopted to achieve the purpose for which the expenditure is required, and as to the possibility of effecting economies;

(b) To report on the progress of defence preparations in relation to arms, armament, ammunition, equipment, stores, supplies and materials, and the effectiveness of the organization and methods employed in connexion with such preparations;

(c) To report generally on the business organization and administration of the Departments with a view to promoting efficiency and economy;


(d) To provide for such inspections as the Board considers necessary to enable it to ascertain directly the situation in regard to matters in respect of which the Board is required to advise or report, and to ensure that the administration of the Departments is being carried out economically and efficiently;

(e) To investigate and report on any matters referred to the Board by the Department of Defence Co-ordination or any of the Departments, or by the Minister administering any of those Departments; and

(f) To submit reports on any matters which, in the opinion of the Board, it is desirable to bring under the notice of the Minister.

Inspection of premises, &c.

10. Any member of the Board, or any officer or adviser thereto authorized in writing by a member of the Board, may enter the premises occupied by any of the Departments or any premises in which any arms, armament, ammunition, material, equipment, clothing or supplies for defence purposes are being manufactured, stored or used, and may make such inspections and investigations as appear to him to be necessary to ensure—

(a) the observance of regulations affecting business administration and the carrying out of orders in relation thereto so as to secure efficient and economical business administration;

(b) the observance of such business methods as will secure the proper distribution of rations, supplies, clothing and equipment, and the maintenance of adequate (but not excessive) stocks;

(c) the correct indenting for the issue of rations, supplies, clothing and equipment, and the proper accounting therefor;

(d) the maintenance of co-ordination between Receiving Officers, Supply Officers and Finance Branches in respect of contractors’ claims for supplies, including the efficient check of deliveries of supplies, the correct certifying of claims for payment and the keeping of proper records and books in connexion therewith;

(e) the due fulfilment by Supply Contractors of their obligations;

(f) the periodical testing of weights and measures;

(g) the prevention of waste, extravagance and unauthorized issue, and the saving, winning and disposal of by-products;

(h) the safe and proper keeping of all property belonging to the Commonwealth;

(i) the efficiency and suitability of personnel associated with business administration;

(j) the keeping of records of motor transport running and maintenance expenses, the periodical review of costs in connexion therewith, and the proper supervision of the use of motor transport vehicles; and

(k) the proper conduct of check roll calls.


Procedure concerning transmission of advice and reports.

11. Advice and reports by the Board shall be forwarded to the Secretary, Department of Defence Co-ordination, and shall be transmitted by him forthwith to the appropriate Minister or Department.

State Business Committees.

12.—(1.) The Minister may appoint in each State a Business Administration Committee consisting of not less than three members, or a Business Administration Representative.

(2.) Each member of a State Business Administration Committee and each Business Administration Representative shall hold office during the pleasure of the Minister, and shall be entitled to receive such fees and allowances as the Minister determines.

Functions of State Business Committees.

13. The functions of a State Business Administration Committee or Business Administration Representative shall be—

(a) to review expenditure by local authorities and to report thereon to the Board;

(b) to exercise on behalf of the Board such powers as may be delegated to the committee or Representative, as the case may be; and

(c) to carry out such investigations and inspections and to submit such reports as may be required by the Board.

 

By Authority L. F. Johnston, Commonwealth Government Printer, Canberra.

Overview

The National Security (Board of Business Administration) Regulations, made under the National Security Act 1939, were enacted to establish a Board of Business Administration aimed at ensuring the efficient and economical use of resources in relation to national defence efforts. This legislative instrument was issued on 22 December 1939 and came into effect as a statutory rule on the same date. The regulations were introduced to address the pressing need for effective oversight and management of resources during the period leading up to and including World War II. The enacting body responsible for these regulations is the Governor-General in Council, as per the authority granted under the National Security Act. The overarching policy objective of these regulations is to facilitate the coordination and administration of national security efforts by providing a structured framework for the Board to oversee and report on defence-related expenditures and operations.

Scope and Application

The National Security (Board of Business Administration) Regulations, enacted under the National Security Act 1939, establish a Board of Business Administration to oversee and advise on matters related to the efficiency and economy of defence preparations and business administration across designated departments. This includes the Department of Supply and Development, the Department of the Navy, the Department of the Army, and the Department of Air. The Board consists of members appointed by the Minister, who may also delegate powers to the Board members or to State Business Administration Committees or Representatives. These Regulations permit the Board to enter and inspect premises where defence materials are manufactured, stored, or used, to ensure adherence to regulations and efficient business practices. Reports and advice from the Board are to be submitted to the Secretary of the Department of Defence Co-ordination, who then forwards them to the relevant Minister or Department. The Board's functions extend to investigating matters referred to them by the Department of Defence Co-ordination or any of the specified Departments, and to reporting on the progress of defence preparations, the business organisation and administration of the departments, and any other matters deemed necessary for the attention of the Minister. The scope of the Regulations is national, encompassing all activities pertinent to defence and national security as defined under the National Security Act 1939.

Key Provisions

The National Security (Board of Business Administration) Regulations, made under the National Security Act 1939, establish the framework for a Board of Business Administration and its operations. The Board, consisting of at least three members appointed by the Minister (Regulation 3), is tasked with advising on defence expenditure (Regulation 9(a)), reporting on the progress of defence preparations (Regulation 9(b)), and promoting efficiency and economy in the business operations of specified Departments (Regulation 9(c)). The Board's responsibilities also include conducting inspections (Regulation 9(d)), investigating matters referred to it (Regulation 9(e)), and submitting reports to the Minister (Regulation 9(f)). Meetings of the Board are convened by the Chairman (Regulation 5), with a quorum of two members required for decision-making (Regulation 5(2)). The Board may delegate its powers and functions, either to individual Board members or to State Business Administration Committees or Representatives, although such delegations are revocable (Regulation 6). The Regulations impose several obligations on the Board. Members must hold office during the pleasure of the Minister (Regulation 4) and may be compensated with fees, salaries, and allowances determined by the Minister (Regulation 4). The Board is required to maintain records of its proceedings (Regulation 5(3)) and to submit its advice and reports to the Secretary of the Department of Defence Co-ordination, who then forwards them to the appropriate Minister or Department (Regulation 11). State Business Administration Committees and Representatives, similarly appointed by the Minister (Regulation 12), must review local authority expenditures and report to the Board (Regulation 13(a)), exercise delegated powers and functions (Regulation 13(b)), and conduct investigations and inspections as required by the Board (Regulation 13(c)). The Regulations do not explicitly detail specific offences, penalties, or civil/criminal consequences for breaches of their provisions. However, non-compliance with the Board’s directives or failure to perform its mandated duties could potentially lead to disciplinary actions against Board members or State Business Administration Committee members and Representatives, as they hold their positions at the pleasure of the Minister. This implies that the Minister may terminate their appointments without notice for non-compliance or underperformance. Furthermore, the Board's inspections and investigations are intended to ensure compliance with regulations, and any significant failures to comply with the Board's findings or directives might result in administrative or legal consequences under broader national security or defence legislation.

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National Security Law
Instrument
Regulation
Concepts
Definitions & Interpretation
Delegation by Board
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