EXPLANATORY STATEMENT
STATUTORY RULES 1986 No. 148
ISSUED BY THE AUTHORITY OF THE ATTORNEY-GENERAL
SECURITIES INDUSTRY REGULATIONS (AMENDMENT)
1. Section 150 of the Securities Industry Act 1980 (“the Act”) provides in sub-section (1) that the Governor-General may make regulations, not inconsistent with the Act, prescribing all matters that are necessary or convenient to be prescribed for carrying out or giving effect to the Act. Sub-section 150(5) of the Act provides that the power of the Governor-General to make regulations shall be exercised in accordance with advice that is consistent with resolutions of the Ministerial Council for Companies and Securities (“the Council”).
2. The Council was established under an agreement between the Commonwealth and the States (“the agreement”), executed on 22 December 1978, that provides the framework for a uniform system of law and administration in relation to company law and the regulation of the securities industry in the six States and the Australian Capital Territory.
3. Under sub-clause 45(1) of the agreement, the Council may consider a proposal for the amendment of regulations made under the Commonwealth Acts enacted for the purpose of the co-operative companies and securities scheme. Should the Council approve any draft amending regulation which gives effect to such a proposal, the Commonwealth is then required, under sub-clause 45(2) of the agreement, to submit the draft regulations to the Federal Executive Council for making by the Governor-General.
4. The accompanying regulations are identical in form and substance to draft regulations approved by the Council.
5. The purpose of the accompanying regulations is to amend regulation 6 of the Securities Industry Regulations (“SIR”) to -
(a) make amendments consequent upon the Northern Territory becoming a party to the Co-Operative Companies and Securities Scheme. The Northern Territory Application of Laws legislation, which had been approved by the Council, was approved by the Northern Territory Legislative Assembly on 18 June 1986 with a commencement date of 1 July 1986; and
(b) to omit sub-regulation (4) which is no longer necessary in view of the application of section 40, in conjunction with sub-section 33(2), of the Companies and Securities (Interpretation and Miscellaneous Provisions) Act 1980.
6. SIR regulation 6 is amended by adding new paragraphs to prescribe certain offices for the purpose of paragraph 5(8)(b) of the Act.
New paragraph (zf) declares the office of Treasurer of the Northern Territory a prescribed office for the purposes of paragraph 5(8)(b) of the Act.
New paragraph (zg) declares the office of Public Trustee for the Northern Territory, established under the Public Trustee Act 1979 of the Northern Territory, a prescribed office for the purposes of paragraph 5(8)(b) of the Act.
New paragraph (zh) declares the office of Master of the Supreme Court for the Northern Territory a prescribed office for the purposes of paragraph 5(8)(b) of the Act.
New paragraph (zi) declares the office of the Commissioner for Corporate Affairs, established under section 4 of the Companies (Administration) Act 1986 of the Northern Territory, a prescribed office for the purposes of paragraph 5(8)(b) of the Act.
In paragraph 5(8)(b) the Act provides that a relevant interest in securities shall be disregarded if the relevant interest is that of a person who has it by reason of his holding a prescribed office. SIR regulation 6 prescribes those offices for the purposes of paragraph 5(8)(b).