(ii) each person, known to the Comptroller‑General of Customs, who would participate in the management or control of, or in the operations carried out at, the proposed depot (whether or not the person would be present at the proposed depot);
(c) if the applicant is a company—the experience of the following in operations that would be performed upon, or in relation to, goods at the proposed depot:
(i) the company;
(ii) each director of the company;
(iii) each person, known to the Comptroller‑General of Customs, who would participate in the management or control of, or in the operations carried out at, the proposed depot (whether or not the person would be present at the proposed depot);
(d) in any case—the applicant’s operating procedures and processes that would apply at the proposed depot in relation to goods at the proposed depot.
(4) The Comptroller‑General of Customs may refuse to grant a depot licence if, in his or her opinion, the place in relation to which the licence is sought would be too remote from the nearest place where officers of Customs regularly perform their functions for those officers to be able to conveniently check whether the Customs Acts are being complied with at the place.
(5) If the place in relation to which the application for a depot licence is sought (the proposed depot) is proposed to be used as a depot for imported goods, the Comptroller‑General of Customs must not grant the licence unless the applicant has, at the proposed depot, facilities that would enable the applicant to communicate with the Department electronically.
77L Granting of a depot licence
(1) The Comptroller‑General of Customs must decide whether or not to grant a depot licence within 60 days after:
(a) if paragraph (b) does not apply—the receipt of the application for the licence; or
(b) if the Comptroller‑General of Customs requires further information or documents relating to the application to be supplied by the applicant under section 77J and the applicant supplied the information or documents in accordance with that section—the receipt of the information or documents.
(2) If the Comptroller‑General of Customs has not made a decision whether or not to grant a depot licence within 60 days under subsection (1), the Comptroller‑General of Customs is taken to have refused the application.
77LA Variation of places covered by depot licence
Variation on application
(1) The Comptroller‑General of Customs may, on application by the holder of a depot licence, vary the licence by:
(a) omitting the description of the place that is currently described in the licence and substituting a description of another place; or
(b) altering the description of the place that is currently described in the licence.
Note: See subsection (8) for variation on the Comptroller‑General’s own initiative.
(1A) An application under subsection (1) may be made by document or electronically.
(2) A documentary application must:
(a) be in writing; and
(b) be in an approved form; and
(c) contain such information as the form requires; and
(d) be signed in the manner indicated in the form; and
(e) be accompanied by payment of the depot licence variation charge.
(2A) An electronic application must:
(a) communicate such information as is set out in an approved statement; and
(b) be accompanied by payment of the depot licence variation charge.
(3) The Comptroller‑General of Customs may, by written notice given to an applicant for the variation of a depot licence, require the applicant to supply further information in relation to the application within the period that is specified in the notice or within such further period as the Comptroller‑General of Customs allows.
Note: See section 77ZA for the ways in which the notice may be given to the applicant.
(4) The Comptroller‑General of Customs must not grant an application for the substitution of the description of a place not currently described in the licence, or for the alteration to the description of a place currently described in the licence, if, in his or her opinion:
(a) the physical security of the place whose description is to be substituted, or of the place that would have the altered description, as the case may be, would not be adequate having regard to:
(i) the nature of the place; or
(ii) the procedures and methods that would be adopted by the applicant to ensure the security of goods in the place if the variation were made; or
(b) the records that would be kept in relation to the place would not be suitable to enable an officer of Customs adequately to audit those records.
(5) The Comptroller‑General of Customs must not grant an application for the substitution of the description of a place not currently described in the licence if, in his or her opinion, the place would be too remote from the nearest place where officers of Customs regularly perform their functions for those officers to be able to conveniently check whether the Customs Acts are being complied with at the place.
(6) The Comptroller‑General of Customs must decide whether or not to grant the application within 60 days after:
(a) if paragraph (b) does not apply—the receipt of the application; or
(b) if the Comptroller‑General of Customs requires further information relating to the application to be supplied by the applicant under subsection (3) and the applicant supplied the information in accordance with that subsection—the receipt of the information.
(7) If the Comptroller‑General of Customs has not made the decision whether or not to grant the application within the period applicable under subsection (6), the Comptroller‑General of Customs is taken to have refused the application.
Variation on own initiative
(8) The Comptroller‑General of Customs may, on the Comptroller‑General’s own initiative, vary a depot licence by:
(a) omitting the description of the place that is currently described in the licence and substituting a description of another place; or
(b) altering the description of the place that is currently described in the licence.
(9) The Comptroller‑General of Customs must give the holder of the depot licence a copy of the variation under subsection (8). The variation takes effect at the time the copy is given.
77N Conditions of a depot licence—general
(1) A depot licence is subject to the conditions set out in subsections (2) to (10).
(2) The holder of a licence must, within 30 days after the occurrence of an event referred to in any of the following paragraphs, give the Comptroller‑General of Customs particulars in writing of that event:
(a) a person not described in the application for the licence as participating in the management or control of the depot commences so to participate;
(aa) a person described in the application for the licence as participating in the management or control of the depot ceases to do so;
(b) in the case of a licence held by a partnership—there is a change in the membership of the partnership;
(c) in the case of a licence held by a company:
(i) the company is convicted of an offence of a kind referred to in paragraph 77K(3)(a) or (b); or
(ii) a receiver of the property, or part of the property, of the company is appointed; or
(iii) an administrator of the company is appointed under section 436A, 436B or 436C of the Corporations Act 2001; or
(iv) the company executes a deed of company arrangement under Part 5.3A of that Act; or
(v) a small business restructuring practitioner for the company is appointed under section 453B of that Act; or
(vi) the company makes a restructuring plan under Division 3 of Part 5.3B of that Act;
(d) a person who participates in the management or control of, or in the operations carried out at, the depot, the holder of the licence or, if a licence is held by a partnership, a member of the partnership:
(i) is convicted of an offence referred to in paragraph 77K(2)(a) or (b); or
(ii) becomes an insolvent under administration; or
(iii) has been refused a transport security identification card, or has had such a card suspended or cancelled, within the applicable period referred to in paragraph 77V(2)(e).
(2A) The holder of a licence must not cause or permit a substantial change to be made:
(a) to a matter affecting the physical security of the depot; or
(b) to the keeping of records in relation to the depot; or
(c) to the holder’s operating procedures or processes that apply at the depot in relation to goods at the depot;
unless the holder has given to the Comptroller‑General of Customs 30 days’ notice of the proposed change.
(3) The holder of the licence must pay to the Commonwealth any prescribed travelling expenses payable by the holder under the regulations in relation to travelling to and from the depot by a Collector for the purposes of the Customs Acts. For that purpose, the regulations may prescribe particular rates of travelling expenses in relation to particular circumstances concerning travelling to and from a depot by a Collector for the purposes of the Customs Acts.
(4) The holder of the licence must stack and arrange goods in the depot so that authorised officers have reasonable access to, and are able to examine, the goods.
(5) The holders of the licence must provide authorised officers with:
(a) adequate space and facilities for the examination of goods in the depot; and
(b) secure storage space for holding those goods.
(6) The holder of the licence must, when requested to do so, allow an authorised officer to enter and remain in the depot to examine goods:
(a) which are subject to customs control; or
(b) which an authorised officer has reasonable grounds to believe are subject to customs control.
(7) The holder of the licence must, when requested to do so, provide an authorised officer with information, which is in the holder’s possession or within the holder’s knowledge, in relation to determining whether or not goods in the depot are subject to customs control.
(8) The holder of the licence must retain all commercial records and records created in accordance with the Customs Acts that:
(a) relate to goods received into a depot; and
(b) come into the possession or control of the holder of the licence;
for 5 years beginning on the day on which the goods were received into the depot.
(9) The holder of the licence must keep the records referred to in subsection (8) at:
(a) the depot; or
(b) if the holder has notified the Department in writing of the location of any other places occupied and controlled by the holder where the records are to be kept—those other places.
(10) At any reasonable time within the 5 years referred to in subsection (8), the holder of the licence must, when requested to do so:
(a) permit an authorised officer:
(i) to enter and remain in a place that is occupied and controlled by the holder and which the officer has reasonable grounds to believe to be a place where records referred to in subsection (8) are kept; and
(ii) to have full and free access to any such records in that place; and
(iii) to inspect, examine, make copies of, or take extracts from any such records in that place; and
(b) provide the officer with all reasonable facilities and assistance for the purpose of doing all of the things referred to in subparagraphs (a)(i) to (iii) (including providing access to any electronic equipment in the place for those purposes).
(11) The holder of the licence is not obliged to comply with a request referred to in subsection (6), (7) or (10) unless the request is made by a person who produces written evidence of the fact that the person is an authorised officer.
77P Conditions of a depot licence—imported goods
(1) If imported goods were received into a depot during a particular month, it is a condition of the licence that the holder of the licence must:
(a) if paragraph (b) does not apply—cause the removal of those goods into a warehouse before the end of the following month; or
(b) if the Comptroller‑General of Customs, on written request by the holder made before the end of that following month, grants an extension under this section—cause the removal of the goods into a warehouse within 30 days after the end of that following month.
(2) In this section:
month means month of a year.
77Q Comptroller‑General of Customs may impose additional conditions to which a depot licence is subject
Imposition of additional conditions
(1) The Comptroller‑General of Customs may, at any time, impose additional conditions to which a depot licence is subject if the Comptroller‑General of Customs considers the conditions to be necessary or desirable:
(a) for the protection of the revenue; or
(b) for the purpose of ensuring compliance with the Customs Acts, any other law of the Commonwealth prescribed by the regulations or a law of a State or Territory prescribed by the regulations; or
(c) for any other purpose.
(1A) If the Comptroller‑General of Customs imposes conditions under subsection (1) when granting the depot licence, the Comptroller‑General of Customs must specify the conditions in the licence.
(1B) If the Comptroller‑General of Customs imposes conditions under subsection (1) after the depot licence has been granted:
(a) the Comptroller‑General of Customs must, by written notice to the holder of the licence, notify the holder of the conditions; and
(b) the conditions cannot take effect before:
(i) the end of 30 days after the giving of the notice; or
(ii) if the Comptroller‑General of Customs considers that it is necessary for the conditions to take effect earlier—the end of a shorter period specified in the notice.
Note: See section 77ZA for the ways in which the notice may be given to the holder of the licence.
Variation of imposed conditions
(2) The Comptroller‑General of Customs may, by written notice to the holder of the licence, vary conditions imposed under subsection (1) in relation to that licence.
Note: See section 77ZA for the ways in which the notice may be given to the holder of the licence.
(3) A variation under subsection (2) cannot take effect before:
(a) the end of 30 days after the giving of the notice under that subsection; or
(b) if the Comptroller‑General of Customs considers that it is necessary for the variation to take effect earlier—the end of a shorter period specified in the notice given under that subsection.
77R Breach of conditions of depot licence
(1) The holder of a depot licence must not breach a condition of the licence set out in section 77N or 77P, or a condition imposed under section 77Q (including a condition varied under that section).
Penalty: 60 penalty units.
(2) An offence against subsection (1) is an offence of strict liability.
Note: For strict liability, see section 6.1 of the Criminal Code.
(3) Subsection (1) does not apply if a breach of a condition of the depot licence occurs only as a result of the holder’s compliance, or attempted compliance, with:
(a) a direction given under section 21 of the Aviation Transport Security Act 2004 that applies to the holder; or
(b) a special security direction (within the meaning of section 9 of that Act) that applies to the holder.
Note: A defendant bears an evidential burden in relation to the matter in subsection (3) (see subsection 13.3(3) of the Criminal Code).
77S Duration of depot licences
Subject to this Part, a depot licence:
(a) comes into force on a date specified in the licence; and
(b) remains in force until the end of the 30 June next following the grant of the licence;
but may be renewed under section 77T.
Note: Section 77T provides that a licence may continue to be in force for a further period of 30 days after the 30 June referred to in this section under certain circumstances. Another provision that might affect the operation of this section is section 77VC (cancellation of depot licences).
77T Renewal of depot licences
(1) The Comptroller‑General of Customs must, before the end of a financial year (the current financial year), notify each holder of a depot licence of the terms of this section.
Licence renewed if holder pays charge before end of current financial year
(2) If the holder pays the depot licence charge for the renewal of the licence before the end of the current financial year, the licence is renewed for another period of 12 months beginning on 1 July of the next financial year after the current financial year.
Consequences if charge not paid before end of current financial year
(3) If the holder fails to pay the depot licence charge for the renewal of the licence before the end of the current financial year, the licence is taken to be suspended for the period beginning on 1 July of the next financial year after the current financial year and ending at the earlier of the following times:
(a) the time the holder pays the charge;
(b) the end of 30 July of that next financial year.
Licence renewed if holder pays charge before 30 July of the next financial year
(4) If the holder pays the depot licence charge for the renewal of the licence during the period of 30 days beginning on 1 July of the next financial year after the current financial year, the licence is taken to have been renewed for another period of 12 months beginning on 1 July of that next financial year.
Licence expires if holder does not pay charge before 30 July of the next financial year
(5) If the holder fails to pay the depot licence charge for the renewal of the licence before the end of 30 July of the next financial year after the current financial year, the licence expires at the end of that 30 July.
Multiple renewals
(6) A depot licence that has been renewed may be further renewed.
77U Licence charges
(1) A depot licence charge is payable in respect of the grant of a depot licence by the person or partnership seeking the grant.