National Security (Supplementary) Regulations (Amendment)

Legislation au C1942L00062 Regulations Not in force Legislative Instrument

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STATUTORY RULES.

1942. No. 62.

 

REGULATION UNDER THE NATIONAL SECURITY ACT 1939-1940.*

I, THE GOVERNOR-GENERAL in and over the Commonwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following Regulation under the National Security Act 1939-1940.

Dated this thirteenth day of February, 1942.

(SGD.) GOWRIE

Governor-General.

By His Excellency’s Command,

for and on behalf of the Minister of State for Defence Co-ordination.

 

Amendment of the National Security (Supplementary) Regulations.†

Regulation 24 of the National Security (Supplementary) Regulations is repealed and the following regulation inserted in its stead:—

Deferment of banking business in certain circumstances.

“24.—(1.) Where the Treasurer is satisfied that, by reason of any warlike operations or the evacuation of any area, any banker is unable to carry on business at any place, the Treasurer may, by order, provide that that banker shall not be, or be deemed to have been, under any obligation—

(a) to make, at that place, any payments which, but for the order, he would be, or would have been, required to make at that place on or after a date (which may be a date prior to the date of the making of the order) specified in the order and until a date specified by the same order or to be specified by a subsequent order; or

(b) to carry on, at that place, on or after a date (which may be a date prior to the date of the making of the order) specified in the order and until a date specified by the same order or to be specified by a subsequent order, all or any of the classes of business carried on by that banker at that place immediately prior to the first-mentioned date.

 

* Notified in the Commonwealth Gazette on , 1942.

† Statutory Rules 1940, No. 126, as amended by Statutory Rules 1940, Nos. 151. 169, 213, 228, 233, 245 and 257; 1941. Nos. 75, 88, 100, 140, 197, 200, 222, 249, 296, 297, 303, 314, 318, 320 and 323; and 1942, Nos. 16, 20, 21, 36, 40 and 50.

1067—25/10.2.1942.—Price 3d.


“(2.) Where an order is made under the last preceding sub-regulation—

(a) the banker may make at some other place in Australia any payment which, but for the order, he would be, or would have been, required to make at the place at which the banker is unable to carry on business; and

(b) the Treasurer may, by the same or a subsequent order, provide that, after a date specified in the order, or after such later date as, in any particular case, the Treasurer fixes—

(i) the banker shall be under an obligation to make, at some other place in Australia specified in the order, the payments which, but for the order, he would be, or would have been, required to make at the place at which the banker is unable to carry on business; and

(ii) any bill of exchange or promissory note payable at a place of business of a banker at which he is unable to carry on business shall be deemed to be payable at the place of business of the banker at some other place in Australia specified in the order.

“(3.) Any order under this regulation—

(a) shall be subject to such conditions (if any) as are specified in the order; and

(b) may contain such incidental and supplementary provisions as appear to the Treasurer to be necessary or expedient for the purposes of the order.

“(4.) Where any order under this regulation provides that a banker shall not be, or be deemed to have been, under an obligation to make at any place any payments which, but for the order, he would be, or would have been, required to make at that place, every day in respect of which that order has effect shall be deemed to be, or to have been, a non-business day at that place for the purposes of any law relating to bills of exchange and promissory notes, so far as regards bills of exchange and promissory notes payable by that banker at that place on any such day.

“(5.) Where any banker makes any payment which he is authorized or obliged to make by or under sub-regulation (2.) of this regulation, he shall not incur any liability by reason of his making payment accordingly.”.

 

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

Overview

The Statutory Rules 1942 No. 62, made under the National Security Act 1939-1940, address the difficulties faced by bankers during warlike operations or the evacuation of certain areas, which hinder their ability to conduct business. Enacted by the Governor-General with the advice of the Federal Executive Council, these regulations were made to provide flexibility and continuity in banking services amidst the disruptions caused by wartime conditions. The policy objective is to ensure that banking operations can be maintained in other parts of Australia where the disruptions do not apply, thereby preserving financial stability and enabling essential transactions to continue without interruption. This regulation allows the Treasurer to exempt bankers from certain obligations when they are unable to operate in specific locations, facilitating the transfer of banking activities to other areas within Australia.

Scope and Application

The Regulation under the National Security Act 1939-1940 applies to any banker who, due to warlike operations or the evacuation of an area, is unable to conduct business at a specified location. The application of this regulation extends to all bankers within Australia, allowing the Treasurer to issue orders that can temporarily alter the obligations of such bankers. These orders may exempt them from making certain payments at the location where they cannot conduct business and may direct them to perform these obligations at an alternative location within Australia. The regulation allows for the flexibility of specifying different dates for the start and end of these exemptions, and it provides that any payments made in compliance with these orders do not incur any liability for the banker. The regulation also includes provisions for the Treasurer to specify conditions and supplementary measures deemed necessary or expedient for the purpose of the orders.

Key Provisions

The main operative sections of this regulation, specifically section 24, focus on the deferment of banking business under certain circumstances. Essentially, where the Treasurer is satisfied that a banker is unable to carry on business due to warlike operations or evacuation, the Treasurer can issue an order to suspend specific obligations of that banker. This includes suspending the obligation to make payments or carry on certain classes of business at the specified location until a later date determined by the Treasurer (section 24(1)). Additionally, the regulation allows the banker to make payments at another location in Australia if the primary location is affected (section 24(2)(a)), and it enables the Treasurer to specify where and when payments should resume (section 24(2)(b)). The regulation imposes several obligations on the parties involved. Bankers who are subject to an order must comply with the terms and conditions set out in the order. This means they cannot make payments or conduct business at the specified location during the period covered by the order unless authorized by a subsequent order from the Treasurer. Furthermore, the regulation requires the banker to follow any additional provisions or conditions stipulated in the order (section 24(3)). The regulation also specifies that any day covered by the order is considered a non-business day for the purposes of any law relating to bills of exchange and promissory notes, provided the banker is unable to conduct business at the specified location (section 24(4)). Importantly, the regulation ensures that bankers do not incur liability for making payments as authorised or required by the order (section 24(5)). Failure to comply with the orders issued under this regulation can lead to various consequences. While the regulation does not explicitly detail criminal penalties, non-compliance with an order made under the authority of the National Security Act 1939-1940 could potentially result in legal action, fines, or other civil penalties as prescribed by the overarching legislation. The regulation's focus is primarily on ensuring that banking operations can continue smoothly in affected areas by providing flexibility and clarity for bankers and their customers during times of national emergency.

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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.