War Precautions (Companies, Firms and Businesses) Regulations 1916 (Amendment)

Legislation au C1920L00002 Regulations Not in force Legislative Instrument

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STATUTORY RULES.

1920. No. 2.

 

REGULATIONS UNDER THE WAS PRECAUTIONS ACT 1914–1918.

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 War Precautions Act 1914–1918, to come into operation forthwith.

Dated this thirty-first day of December, 1919.

R. M. FERGUSON,

Governor-General.

By His Excellency’s Command,

E. J. RUSSELL,

for Minister of State for Defence.

 

Amendment of War Precautions (Companies, Firms and Businesses) Regulations.

(Statutory Rules 1916, No. 49, as amended by Statutory Rules 1916, No. 137, and by Statutory Rules 1917, Nos. 11, 35, 289 and 328, and by Statutory Rules 1918, Nos. 264 and 274, and by ‘Statutory Rules 1919, No. 96.)

1. Regulation 1a of the War Precautions (Companies, Firms and Businesses) Regulations is amended by adding at the end thereof the following definitions:—

“Capital” includes stock, shares, debentures, bonds or other securities;

“Foreign company” means any company which is incorporated in any country not being part of the British Empire;

“Foreign firms” means any firm which is registered in any country not being part of the British Empire;

“Registration” includes the filing or lodging of any document, or the taking of any step, which is required by the law of a State to be filed, lodged or taken before a company or firm can trade or carry on business in that State;

“Private company” or “proprietary company” means any company which under its memorandum or articles of association restricts the right to transfer its shares and limits the number of its shareholders (exclusive of persons who are in the employment of the company) to fifty persons.

2. Regulation 2 of the War Precautions (Companies, Firms and Businesses) Regulations is repealed and the following Regulation is inserted in its stead:—

Registration of firms private companies, &c., whose members or shareholders are not natural-born British subjects.

“2. If any person, without the consent in writing of the Treasurer of the Commonwealth, makes application for, or takes any steps to secure, the registration of—

(a) any private or proprietary company;


(b) the name of any private or proprietary company;

(c) the change of name or constitution of any private or proprietary company;

(d) any firm;

(e) the name of any firm; or

(f) the change of name or constitution of any firm,

any of the shareholders, partners or members of which are not natural-born British subjects, he shall be guilty of an offence.”

3. Regulation 3 of the War Precautions (Companies, Firms and Businesses) Regulations is repealed and the following Regulation is inserted in its stead:—

Registration of foreign companies or firms or of companies or firms to carry on business outside the Commonwealth.

“3. If any person, without the consent in writing of the Treasurer, takes or continues to take any steps towards the registration in any State—

(a) of any foreign company or firm;

(b) of any company or firm any of the capital of which has been subscribed by or on behalf of any person or body of persons ordinarily residing or carrying on business outside of the British Empire; or

(c) of any company or firm whose principal object is the carrying on of manufacturing, mining, or other industrial operations outside the Commonwealth and any territory of or under the control of the Commonwealth;

he shall be guilty of an offence.”

4. Regulation 4 of the War Precautions (Companies, Firms and Businesses) Regulations is repealed.

5. Regulation 5 of the War Precautions (Companies, Firms and Businesses) Regulations is repealed and the following Regulation is inserted in its stead:—

Issue of capital or sale of shares or assets to persons outside British Empire.

“5. If any person, company or firm, without the consent in writing of the Treasurer of the Commonwealth,

(a) makes an issue of capital; or

(b) transfers or disposes of the shares or assets (other than stock in trade) of any company or firm incorporated or registered in the Commonwealth,

to—

(i) any person or body of persons, or

(ii) the nominee or representative of any person or body of persons

ordinarily residing or carrying on business outside of the British Empire, such person, or such company or firm, as the case may be, shall be guilty of an offence.”

6. Regulation 5b of the War Precautions (Companies, Firms and Businesses) Regulations is amended by inserting therein, after sub-regulation (3.) the following sub-regulation:—

“(4) The consent of the Treasurer to any application made under these regulations shall not be made use of by any company or firm, or by any person on its behalf, in furtherance of the objects of the company or firm, and any public notification of the fact of such consent shall include a statement in the following terms:—

‘The fact that the Treasurer of the Commonwealth has consented to (here insert the nature of the consent granted) is not to be taken in any way as a guarantee of the actual or probable financial stability or success of the company or firm.’”

7. Regulation 5d of the War Precautions (Companies, Firms and Businesses) Regulations is repealed and the following regulation is inserted in its stead:—

Consent of Treasurer: how obtained.

“5d. Before the consent of the Treasurer of the Commonwealth is given to any application made under these Regulations there shall be furnished to the Treasurer in writing particulars of the proposal and such further information as the Treasurer requires.”

 

Printed and Published for the Government of the Commonwealth of Australia by Albert J. Mullett, Government Printer for the State of Victoria.

Overview

The War Precautions (Companies, Firms and Businesses) Regulations 1920 were enacted under the authority of the Governor-General in Council and came into operation immediately. These regulations were established to provide further controls under the War Precautions Act 1914–1918, which was initially enacted to respond to the exigencies of World War I. The aim of these regulations was to prevent companies, firms, and businesses from being registered, or engaging in certain activities, if they involved non-British subjects or foreign entities, thereby reinforcing national security and economic controls during a time of war. The regulations required the consent of the Treasurer of the Commonwealth for specific actions, such as the registration of firms or companies with non-British shareholders, or the issuance of capital to persons outside the British Empire, thus tightening oversight on business activities that could potentially have external influences.

Scope and Application

The War Precautions (Companies, Firms and Businesses) Regulations, established under the War Precautions Act 1914–1918, apply to individuals, companies, and firms within the Commonwealth of Australia, particularly focusing on the registration of private and proprietary companies, firms, foreign companies, and firms, as well as the issuance of capital or sale of shares and assets. These regulations primarily target entities whose members or shareholders are not natural-born British subjects or those intending to conduct business outside the Commonwealth. The regulations require written consent from the Treasurer of the Commonwealth for any registration or financial transactions involving companies or firms whose members, shareholders, or partners are not natural-born British subjects or those with capital subscribed by entities outside the British Empire, or those aiming to operate outside the Commonwealth. The consent must include a disclaimer that it does not imply any guarantee of the financial stability or success of the company or firm. These regulations extend across all states of Australia and are enforced to maintain control and oversight over business activities during wartime, ensuring that such activities do not compromise national security or economic interests.

Key Provisions

The Regulations under the War Precautions Act 1914–1918, as outlined in the Statutory Rules 1920, No. 2, contain several key provisions that impose strict controls on the registration and operations of companies, firms, and businesses. Regulation 1a introduces definitions for terms such as "capital," "foreign company," "foreign firms," "registration," and "private company." Regulation 2 states that any person who seeks to register a private company, a firm, or changes the name or constitution of a company or firm, must have the written consent of the Treasurer of the Commonwealth if any of the shareholders, partners, or members are not natural-born British subjects. Failure to obtain such consent constitutes an offence. Regulation 3 prohibits any person from taking steps to register a foreign company or firm, or a company or firm whose capital is subscribed by or on behalf of persons residing or carrying on business outside the British Empire, or those intending to carry out industrial operations outside the Commonwealth, without the written consent of the Treasurer. Regulation 5 prohibits any person, company, or firm from issuing capital or transferring shares or assets to persons residing or carrying on business outside the British Empire without the Treasurer's written consent. Regulation 5b(4) stipulates that any public notification of the Treasurer's consent must include a disclaimer stating that the consent is not a guarantee of the company or firm's financial stability or success. The Regulations impose significant obligations on companies, firms, and businesses by requiring the consent of the Treasurer for specific activities, such as registration, name changes, capital issuance, and asset transfers. This consent must be obtained before any such activities can be legally undertaken. Regulation 5d further elaborates that before granting consent, the Treasurer requires written particulars of the proposal and any additional information deemed necessary. Breach of these provisions results in an offence, as outlined in Regulation 2 and Regulation 3. The maximum penalties for these offences are not specified in the Regulations, but they would likely be determined by the overarching War Precautions Act 1914–1918 or relevant legislation in force at the time.

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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.