QANTAS EMPIRE AIRWAYS.
No. 30 of 1948.
An Act to approve the purchase by the Commonwealth of certain Shares in Qantas Empire Airways Limited and subscription by the Commonwealth to issues of Capital by that Company, and for other purposes.
[Assented to 24th June, 1948.]
Preamble.
WHEREAS the Qantas Empire Airways Agreement Act 1946 authorized the execution of an agreement for the purchase by the Commonwealth of the shares held by British Overseas Airways Corporation in Qantas Empire Airways Limited:
And whereas the agreement so authorized was made and carried out, so that the Commonwealth became the owner of the said shares:
And whereas all the remaining shares in Qantas Empire Airways Limited (numbering Two hundred and sixty-one thousand and five hundred shares) were owned by The Queensland and Northern Territory Aerial Services Limited:
And whereas the Government of the Commonwealth, on or about the third day of July, One thousand nine hundred and forty-seven, purchased the said remaining shares:
And whereas it is desirable that the Commonwealth should subscribe to issues of capital by Qantas Empire Airways Limited:
And whereas it is desirable that the Parliament should approve the purchase of the said remaining shares and any subscription by the Commonwealth to such issues of capital:
And whereas it is necessary that the Parliament should appropriate the Consolidated Revenue Fund for the purposes of the purchase of the said remaining shares and for the purposes of the said subscriptions to issues of capital:
Be it therefore enacted by the King’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 Qantas Empire Airways Act 1948.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Approval of purchase of shares.
3. Approval is given to the purchase made on or about the third day of July, One thousand nine hundred and forty-seven, by the Commonwealth from The Queensland and Northern Territory Aerial Services Limited of Two hundred and sixty-one thousand and five hundred shares in Qantas Empire Airways Limited.
Subscription to Share Capital.
4. Approval is given to subscription by the Commonwealth, to such extent as the Treasurer thinks fit, to issues of capital by Qantas Empire Airways Limited, and the amount of any such subscription shall, to the extent to which that amount is not available out of moneys appropriated by this Act, be paid out of sums from time to time appropriated by the Parliament for the purpose.
Appropriation.
5. There shall be payable out of the Consolidated Revenue Fund, which is hereby appropriated accordingly—
(a) the sum of Four hundred and fifty-five thousand pounds, being the purchase price of the shares specified in section three of this Act; and
(b) the sum of Two million pounds to meet subscriptions, approved by the last preceding section, by the Commonwealth to issues of capital by Qantas Empire Airways Limited.
Overview
The Qantas Empire Airways Act 1948 was enacted to approve the Commonwealth's purchase of shares in Qantas Empire Airways Limited and to authorise subscriptions by the Commonwealth to issues of capital by the company. This Act addresses the need for the Commonwealth to become a significant stakeholder in Qantas Empire Airways Limited by acquiring shares from The Queensland and Northern Territory Aerial Services Limited and subscribing to future capital issues, thereby ensuring the company's financial stability and growth. The Parliament of the Commonwealth of Australia enacted this legislation to provide the necessary legislative framework for these transactions and to appropriate funds from the Consolidated Revenue for these purposes. The policy objective is to support the aviation industry by ensuring Qantas Empire Airways Limited has the required financial backing to operate effectively and contribute to national interests.
Scope and Application
The Qantas Empire Airways Act 1948 pertains to the approval of the Commonwealth's acquisition of shares in Qantas Empire Airways Limited and its subscription to future capital issues by that company. Specifically, the Act grants approval for the Commonwealth's purchase of shares from The Queensland and Northern Territory Aerial Services Limited, completed on or about the third day of July, 1947, and authorises the Commonwealth to subscribe to any future capital issues by Qantas Empire Airways Limited, with the extent of such subscriptions determined by the Treasurer. The Act also appropriates funds from the Consolidated Revenue Fund to cover the purchase price of the shares and any approved subscriptions. The scope of the Act is limited to the financial transactions involving the Commonwealth's acquisition of shares and subscription to capital in Qantas Empire Airways Limited, and it applies to the Commonwealth as the purchaser and subscriber. The Act's jurisdictional reach is national, as it is an Act of the Commonwealth of Australia. The Act does not explicitly state any exclusions, exemptions, or thresholds beyond those specified within its provisions. The application of the Act may be further defined or extended through subordinate instruments, although this is not explicitly mentioned in the text.
Key Provisions
The Qantas Empire Airways Act 1948 (sections 1-5) formalises the Commonwealth's acquisition of shares in Qantas Empire Airways Limited and its commitment to future capital subscriptions. Specifically, section 3 grants approval for the Commonwealth's purchase of 261,500 shares from The Queensland and Northern Territory Aerial Services Limited, which occurred on or about 3 July 1947. Section 4 allows for the Commonwealth to subscribe to any future capital issues by Qantas Empire Airways Limited, with the amount of such subscriptions determined by the Treasurer, up to the limit of funds appropriated by Parliament (section 5). The Act appropriates funds from the Consolidated Revenue Fund to cover the purchase price of the shares (section 5(a)) and future subscriptions (section 5(b)).
Under the Act, the Commonwealth is obliged to complete the purchase of the specified shares and may subscribe to future capital issues by Qantas Empire Airways Limited, subject to the Treasurer's discretion. The appropriation of funds from the Consolidated Revenue Fund (section 5) imposes a financial obligation on the Commonwealth to ensure that the necessary funds are available for these transactions. The Act also places a duty on the Treasurer to manage the subscription to capital issues prudently, ensuring that any subscriptions do not exceed the authorised limits.
The Act does not explicitly detail offences or penalties for breaches, but any failure to adhere to the appropriation and subscription provisions could result in legal and financial consequences. Given the formal nature of the Act and its reliance on Parliamentary appropriation, non-compliance could potentially lead to legal action to recover funds or enforce the terms of the appropriation. Additionally, any mismanagement of the subscribed capital could lead to financial liabilities for the Commonwealth, impacting its fiscal responsibilities.