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CHEQUES AND PAYMENT ORDERS REGULATIONS (AMENDMENT) 1994 NO. 406EXPLANATORY STATEMENT
STATUTORY RULES 1994 No. 406
Issued by the Authority of the Attorney-General
Cheques and Payment Orders Act 1986
Cheques and Payment Orders Regulations (Amendment)
Section 119 of Cheques and Payment Orders Act 1986 (the Act) provides that the Governor-General may make regulations prescribing matters which are required or permitted by the Act to be prescribed. Subsection 65A(5) and subsection 109A(5) of the Act provide that the regulations may make provision for, and in relation to, the keeping of a register of notices under sections 65A and 109A by the eligible authority.
The purpose of the regulations is, in particular, to make provision for:
(a) the register to be kept in such form and manner as the eligible authority directs.,
(b) persons to inspect the register;
(c) persons to obtain information contained in the register; and
(d) fees to be charged by the eligible authority for such an inspection or for providing such information.
The 'eligible authority' is defined in both subsection 65A(6) and subsection 109A(6) to mean the Australian Payments Clearing Association (APCA). APCA is comprised of representatives of the banks, the Reserve Bank, and non-bank financial institutions (building societies and credit unions), and is responsible for the day-to-day management and overall effectiveness of the various payments clearing systems in Australia, including the cheque clearing system.
The register to be kept by APCA will be a register of notices of 'notified places'. Notified places will be specified by a bank or a non-bank financial institution for the purposes of the internal presentment of cheques by banks and the internal presentment of payment orders by non-bank financial institutions. Notified places will be identified in written notices which banks and non-bank financial institutions are required to give to the eligible authority.
The purpose of the regulations is also to amend the Forms in the Schedule to Statutory Rules 1987 No. 130 made under the Act
The regulations commenced on the date of commencement of Part 4 of the Law and Justice Legislation Amendment Act 1994. Part 4, of that Act was proclaimed to commence on 16 December 1994.
Details of the regulations are contained in the Attachment.
The regulations commenced on 16 December 1994.
CHEQUES AND PAYMENT ORDERS REGULATIONS (AMENDMENT)
Regulation 1 provides that the regulations commence on the day on which Part 4 of the Law and Justice Legislation Amendment Act 1994 commences.
This formal regulation provides that the Cheques and Payment Orders Regulations (the Regulations) are amended as set out in these regulations.
This regulation inserts after regulation 5 of the existing Regulations new regulations 6, 7 and 8.
New regulation 6-Register of notices given under sections 65A and 109A of the Act
New regulation 6 provides for the keeping by the eligible authority of a register of notices given to the authority under subsection 65A(2) of the Act by banks, and under subsection 109A(2) of the Act by non-bank financial institutions, specifying notified places for the purposes of the Act in relation to cheques and to payment orders respectively.
New regulation 6 also requires the eligible authority to keep on the register notices varying or revoking previous notices given to the eligible authority.
New regulation 6 also provides for the register of notices to be kept in the form and manner directed by the eligible authority.
New regulation 7-Inspection of the register
New subregulation 7(1) describes the persons who are entitled to inspect the register. These are employees of the eligible authority and employees of a bank or a non-bank financial institution, who are required by an officer of the bank or the non-bank financial institution to inspect the register.
New subregulation 7(2) provides that in order to inspect the register, a person referred to in subregulation 7(1) must apply to the eligible authority to inspect the register and must show to the eligible authority a written statement by an officer of the relevant bank or non-bank financial institution requiring the person to inspect the register.
New subregulation 7(3) requires the eligible authority, as soon as practicable, to allow a person to inspect the register, where the person shows the written statement to the eligible authority.
New regulation 8-Obtaining information contained in the register
Under new regulation 8 a person is entitled to obtain from the eligible authority, for a fee, information contained in notices in the register. The fee payable for providing information that must be obtained from one notice in the register is $20.00. The fee for providing information that must be obtained from more than one notice in the register is determined in accordance with the formula provided under new subregulation 8(3).
Regulation 4 amends the Schedule to the Regulations.
Regulation 4.1 omits from Form 1 (which pertains to Regulation 3) the reference to subsection 62(6) of the Act, as new subsection 62(6) no longer relates to a place designated by the collecting bank.
Regulation 4.2 omits from Form 1 the reference to the year 1987 and substitutes the word 'date' in parenthesis.
Regulations 4.3 and 4.4 amend Form 2 by substituting the term 'non-bank financial institution' for the term 'Financial institution' wherever occurring.
Regulation 4.5 omits from Form 2 (which pertains to Regulation 5) the reference to subsection 106(6) of the Act, as new subsection 106(6) no longer relates to a place designated by a collecting financial institution.
Regulation 4.6 omits from Form 2 the reference to the year '1987' and substitutes the word 'date' in parenthesis.