1National Security (Economic Organization) Regulations

STATUTORY RULES. 1942\. No. 76. REGULATIONS 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 Regulations under the National Security Act 1939-1940. Dated this nineteenth day of February, 1942. GOWRIE Governor-General. By His Excellency’s Command, H. V. EVATT for and on behalf of the Minister of State for Defence Co-ordination. NATIONAL SECURITY (ECONOMIC ORGANIZATION) REGULATIONS. Part I.—Preliminary. Citation. 1. These Regulations may be cited as the National Security (Economic Organization) Regulations. Administration. 2.—(1.) These Regulations (other than Part V.) shall be administered by the Treasurer. (2.) Part V. of these Regulations shall be administered by the Minister of State for Labour and National Service. Parts. 3\. These Regulations are divided into Parts as follows:— Part I.—Preliminary. Part II.—Limitation of Profits. Part III.—Prohibition of Transfer of Certain Property. Part IV.—Interest Rates. Part V.—Industrial Provisions. Part VI.—Miscellaneous. Definition. 4. In these Regulations, unless the contrary intention appears— “Industrial Authority” means the Commonwealth Court of Conciliation and Arbitration and any other tribunal or \* Notified in the Commonwealth Gazette on 20th February, 1942. 1179.—Price 5d. person constituted by or under any law of the Commonwealth for the purpose of hearing and determining industrial disputes and making awards or orders in settlement thereof, and any tribunal which is a State Industrial Authority within the meaning of the Commonwealth Conciliation and Arbitration Act 1904-1934; “the Commonwealth Bank” means the Commonwealth Bank of Australia. Part II.—Limitation of Profits. Sufficient profits to pay tax to be set aside. 5. Except in the case of unavoidable expenditure or under process of law, a person deriving profits from the carrying on of a business shall not part with such assets as will preclude his paying to the Commissioner of Taxation (in accordance with legislation to be enacted by the Parliament) so much of those profits as are in excess of an amount equal to four per centum of the capital employed in the business. Part III.—Prohibition of Transfer of Certain Property. Certain property not to be transferred. 6. Except as provided by this Part, a person shall not— (a) sell, transfer, convey or otherwise divest himself of any estate or interest in land whether freehold or leasehold (other than a lease for a term not exceeding three years of land for the use of the lessee or transferee); (b) sell, transfer or otherwise dispose of any shares, stock or debentures of a company; (c) sell, transfer or otherwise dispose of the whole or any part of, or any interest in, property (not being— (i) Commonwealth Inscribed Stock or any Commonwealth Bonds or Bills issued under the provisions of the Commonwealth Inscribed Stock Act 1911-1940 or any Act relating to the issue of Treasury Bills; or (ii) semi-governmental securities), of such classes as the Treasurer, by order published in the Gazette, specifies to be property to which this Part extends; or (d) enter into any contract or agreement purporting to do, whether presently or at some future date or upon the happening of any contingency, anything forbidden by the foregoing provisions of this regulation. Prohibition not to apply to transactions in pursuance of prior contract. 7. Nothing in the last preceding regulation shall prevent— (a) any sale, transfer, conveyance, disposition or other transaction which the Treasurer is satisfied is in pursuance of any contract or agreement entered into prior to the tenth day of February, 1942, or in pursuance of any option arising from any such contract or agreement; or (b) any transaction— (i) by way of mortgage or sub-mortgage; (ii) by way of discharge of a mortgage or sub-mortgage ; (iii) in exercise of any power of sale conferred upon a mortgagee or sub-mortgagee; or (iv) by way of transfer of a mortgage to a guarantor who, in pursuance of the terms of his guarantee, has repaid the whole or part of the moneys due under the mortgage. Exemptions. 8.—(1.) The Treasurer may, either unconditionally or subject to compliance with such conditions as he specifies in the order or writing, as the case may be— (а) by order published in the Gazette, exempt any particular class of transactions from the provisions of this Part; and (b) by writing, exempt any particular transaction from the provisions of this Part. (2.) Where any exemption is granted subject to conditions, a person shall comply with all such conditions as are applicable to him. Devolution on death and transfer on insolvency. 9. The provisions of this Part shall not prevent any property, or any interest in any property, from vesting in the personal representative of a deceased person, in a trustee in bankruptcy or in the liquidator of a company in liquidation, or prevent any such personal representative, trustee or liquidator from disposing of any property or interest therein which is vested in him as such a personal representative, trustee or liquidator. Validation of transactions. 10.—(1.) Where any transaction is entered into in contravention of this Part or of Part VI., or where any condition to which the transaction is subject is not complied with, the transaction shall not thereby be invalidated and the rights, powers and remedies of any person thereunder shall be the same as if these Regulations had not been made. (2.) Nothing in the last preceding sub-regulation shall affect the liability of any person to any penalty in respect of any contravention of these Regulations. Part IV.—Interest Rates. Fixing of interest rate. 11.—(1.) Subject to any direction of the Treasurer, the Commonwealth Bank may, by order published in the Gazette, fix maximum rates of interest in respect of— (a) any money lent, advanced or deposited; (b) any credit given, either directly or in consequence of any purchase by instalments, or by hire-purchase or letting agreement, or by the issue of cash orders, whether the interest is payable as such or is added to the purchase price or otherwise; or (c) any other form of debt whatsoever, whether security is given or not. (2.) Any such order may be in respect of all such rates of interest, or in respect of the rate or rates of interest payable in respect of any such transaction or classes of transactions as are specified in the order, and the rate or rates so fixed may vary as between any such transaction or classes of transactions. Interest not to exceed maximum so fixed. 12.—(1.) A person shall not, without the consent in writing of the Commonwealth Bank, in respect of any period after the date on which any order under the last preceding regulation is published in the Gazette, pay or charge interest at a rate higher than the rate applicable under the order. (2.) Any sum charged as interest in contravention of this regulation shall be a debt due by the person to whom it was paid to the person by whom it was paid and may be recovered in any count of competent jurisdiction. (3.) The remedy for enforcing any covenant or agreement to pay interest shall be limited to enforcing payment at a rate not exceeding the maximum rate applicable under this Part. (4.) A person shall not, without the consent in writing of the Commonwealth Bank, in respect of any loan, advance, deposit or debt in respect of which a maximum rate of interest is applicable under this Part— (a) repay or pay, or receive by way of repayment or payment, any amount in excess of the amount of the loan, advance, deposit or debt; or (b) make any payment the effect of which is that the loan, advance or deposit is given or made at a discount, or the borrower, or person to whom the advance is made or with whom the deposit is made, does not receive the benefit of the full amount borrowed, advanced or deposited. (5.) Nothing in the last preceding sub-regulation shall prevent the payment or receipt of any amount representing capitalized interest, or rates, taxes, insurance, repairs or other outgoings paid or incurred by a lender for the enforcement, protection or preservation of his security, or any costs, charges or expenses paid or incurred by a lender under or in relation to his security. Not to apply to interest paid by Commonwealth. 13. Nothing in this Part shall apply to any interest payable by the Commonwealth. Part V.—Industrial Provisions. Interpretation. 14. For the purposes of this Part the word “employee” includes a director of any company who is paid any remuneration, whether by a periodical payment or by fees or otherwise. Rates of wages not to be altered. 15.—(1.) Subject to this Part, an employer shall not pay or offer to pay, and an employee shall not accept or seek to accept, any remuneration in respect of the employment, at a rate different from— (a) the rate prescribed by an award, order or determination of an Industrial Authority or industrial agreement in force in relation to that employment on the tenth day of February, One thousand nine hundred and forty-two, or, in the case of an award, order or determination to which sub-regulation (1.) of regulation 17 of these Regulations applies, the rate so prescribed by that award, order or determination; or (b) where no such award, order, determination or agreement was in force on that date and unless and until an award, order or determination to which sub-regulation (1.) of regulation 17 of these Regulations applies is made fixing a rate of remuneration in respect of the employment, the rate being paid by the employer on that day in respect of that employment or, if the employer did not then employ any such employee, the rate applicable to that particular employment or class of employment on that date. (2.) Nothing in the foregoing provisions of this regulation shall render necessary a reduction of the remuneration payable to any employee while remaining in that particular employment, if that remuneration is greater than the remuneration prescribed by any such award, order, determination or industrial agreement. Industrial Authority not to alter rates of wages. 16. Subject to this Part, an Industrial Authority shall not, after the commencement of these Regulations, include in any award, order or determination any provision altering, in respect of any employment, the rate of remuneration applicable to that employment (whether in pursuance of any award, order or determination or otherwise) on the tenth day of February, One thousand nine hundred and forty-two. Industrial Authority may alter rates of remuneration in certain cases. 17.—(1.) Notwithstanding anything contained in this Part, an Industrial Authority may, by any award, order or determination, alter any rate of remuneration— (a) if the plaint, reference or application in respect of which the award, order or determination is made was lodged with or referred to the Industrial Authority prior to the tenth day of February, One thousand nine hundred and forty-two; or (b) with the approval of the Minister, if the Industrial Authority is satisfied that the rates of remuneration in respect of which the alteration is sought are anomalous. (2.) Any Industrial Authority before which any plaint or reference seeking an alteration in remuneration was pending on the tenth day of February, One thousand nine hundred and forty-two shall hear and determine the matter, insofar as it relates to that alteration, before the first day of May, One thousand nine hundred and forty-two or before such later date as the Minister in special cases approves. Part not to apply in certain cases. 18. Nothing in this Part shall prevent the payment or acceptance of any altered rate of remuneration where the alteration is in consequence of— (a) any automatic adjustment which, in pursuance of any law or any award, order or determination of an Industrial Authority or of an industrial agreement, follows a variation in the cost of living; (b) the promotion of the employee to a higher position; (c) the completion by the employee of an initial period of probation; or (d) a periodical increment granted to an employee who, under the terms and conditions of his employment, advances to a maximum rate of remuneration by periodical increments. Persons not to absent themselves from employment. 19.—(1.) Except in the case of— (a) illness or incapacity; (b) leave of absence to which the employee would, but for this Part, have been entitled, or which it is customary to grant to any such employee; or (c) a domestic or other pressing emergency, or except for any reason considered by the Minister to be satisfactory, an employee, or an employer who is actively engaged in the conduct or control of any business, shall not, without reasonable cause (proof whereof shall lie upon him) fail to perform his duties or absent himself from his place of employment, or from the place where his duties are usually performed, at any time during the period during which he is required by the terms and conditions of his employment to be at that place of employment, or, where there are no such requirements, during which it is customary or usual for an employee or employer engaged in similar classes of employment or business to be at the place of employment. (2.) The provisions of this regulation shall not apply to any employee or employer where the absence from the place of employment is, or, in the event of any order or direction being given, would be, an offence against any other law of the Commonwealth. Part VI.—Miscellaneous. False statement. 20. A person shall not make to the Treasurer, or to any person having duties connected with the provisions of Part III. or Part IV. of these Regulations, any statement, whether oral or in writing, relating to any matter dealt with or arising under either of those Parts, which he knows to be untrue in any particular or which is made by him without his having first made proper inquiries to ascertain the truth thereof. Contracts to evade Regulations. 21. A person shall not enter into or make any transaction, contract or arrangement, whether orally or in writing, for the purpose of or which has the effect of, in any way, and whether directly or indirectly, defeating, evading or avoiding, or preventing the operation of, Part III. or Part IV. of these Regulations in any respect. Power to obtain information. 22.—(1.) The Treasurer may, by order, require any person (including any officer employed in or in connexion with any Department of a Government or by a local authority)— (a) to furnish to the Treasurer, or to such other person as the Treasurer directs, such information as the Treasurer or that other person requires; and (b) to attend and give evidence before the Treasurer or such other person as the Treasurer directs, with respect to any act, transaction, matter or thing prohibited by Part III., Part IV. or Part VI. of these Regulation or to which any provision of any of those Parts applies, and may require him to produce all books, documents and other papers whatever in his custody or under his control relating thereto. (2.) The Treasurer may require the information or evidence to be given on oath or affirmation and either orally or in writing and for that purpose the Treasurer or person before whom the evidence is given may administer an oath. (3.) A person shall not— (а) refuse or fail to comply with any requirement made in pursuance of sub-regulation (1.) or (2.) of this regulation; or (b) with intent to evade the provisions of these Regulations, destroy, mutilate, deface, secrete or remove any book, document or other paper. By Authority: L. F. Johnston, Commonwealth Government Printer, Canberra.