2010-2011-2012-2013 

 

The Parliament of the 

Commonwealth of Australia 

 

HOUSE OF REPRESENTATIVES 

 

 

 

 

Presented and read a first time 

 

 

 

 

 

 

 

 

 

Australian Ownership Bill 2013 

 

No.      , 2013 

 

(Mr Katter) 

 

 

 

A Bill for an Act to maintain Australian ownership 

of Australian agribusiness and land, and for related 

purposes 

   

   

   

 

 

i       Australian Ownership Bill 2013       No.      , 2013 

Contents 

Part 1--Preliminary

 

1

 

1 

Short title ........................................................................................... 1

 

2 

Commencement ................................................................................. 2

 

3 

Extension to external Territories ........................................................ 2

 

4 

Act prevails over other inconsistent law ............................................ 2

 

5 

Definitions ......................................................................................... 2

 

Part 2--Maintaining Australian ownership of Australian 

agribusiness and Australian land

 

4

 

6 

FIRB review of foreign investment proposals affecting large 

Australian agribusiness or Australian land ........................................ 4

 

7 

Limit on foreign investment in large Australian agribusiness 

and Australian land ............................................................................ 5

 

Part 3--Miscellaneous

 

7

 

8 

Anti-avoidance ................................................................................... 7

 

9 

Application of Part 2 .......................................................................... 7

 

10 

Application of Crimes Act 1914 ........................................................ 7

 

11 

Australian Ownership Rules .............................................................. 7

 

 

 

 

Australian Ownership Bill 2013       No.      , 2013       1 

A Bill for an Act to maintain Australian ownership 

1 

of Australian agribusiness and land, and for related 

2 

purposes 

3 

The Parliament of Australia enacts: 

4 

Part 1--Preliminary 

5 

   

6 

1  Short title 

7 

 

  This Act may be cited as the Australian Ownership Act 2013. 

8 

   

Part 1  Preliminary 

   

 

Section 2 

 

2            Australian Ownership Bill 2013       No.      , 2013 

2  Commencement 

1 

 

  This Act commences on the day after this Act receives the Royal 

2 

Assent. 

3 

3  Extension to external Territories 

4 

 

  This Act extends to every external Territory. 

5 

4  Act prevails over other inconsistent law 

6 

 

  To the extent that this Act would be inconsistent with a provision 

7 

of the Foreign Acquisitions and Takeovers Act 1975 or of any 

8 

other law, this Act prevails. 

9 

5  Definitions 

10 

 

  In this Act: 

11 

associate has the meaning given by the Foreign Acquisitions and 

12 

Takeovers Act 1975. 

13 

Australian agribusiness means an Australian business (within the 

14 

meaning of the Foreign Acquisitions and Takeovers Act 1975) 

15 

whose main source of revenue is agribusiness. 

16 

Australian land means land in Australia. 

17 

foreign person has the meaning given by the Foreign Acquisitions 

18 

and Takeovers Act 1975. 

19 

large Australian agribusiness means an Australian agribusiness 

20 

the value of whose total assets (worked out in accordance with 

21 

section 13B of the Foreign Acquisitions and Takeovers Act 1975) 

22 

exceeds $1 million. 

23 

ownership interest: 

24 

 

(a)  in a large Australian agribusiness--means any of the 

25 

following: 

26 

 

(i)  a share in a company that carries on a large Australian 

27 

agribusiness; 

28 

   

Preliminary  Part 1 

   

 

Section 5 

 

Australian Ownership Bill 2013       No.      , 2013            3 

 

(ii)  a share in a holding company of a company that carries 

1 

on a large Australian agribusiness; 

2 

 

(iii)  any other form of interest prescribed by the Rules; and 

3 

 

(b)  in Australian land--means any of the following: 

4 

 

(i)  a legal or equitable interest in the land; 

5 

 

(ii)  any other form of interest prescribed by the Rules. 

6 

relevant influence, over a large Australian agribusiness, means 

7 

influence prescribed by the Rules. 

8 

Rules means the Australian Ownership Rules made under 

9 

section 11. 

10 

 

 

11 

   

Part 2  Maintaining Australian ownership of Australian agribusiness and Australian 

land 

   

 

Section 6 

 

4            Australian Ownership Bill 2013       No.      , 2013 

Part 2--Maintaining Australian ownership of 

1 

Australian agribusiness and Australian 

2 

land 

3 

   

4 

6  FIRB review of foreign investment proposals affecting large 

5 

Australian agribusiness or Australian land 

6 

 

(1)  The Foreign Investment Review Board must review any proposal 

7 

that would result in a foreign person, or 2 or more foreign persons, 

8 

alone or together with associates, acquiring any of the following: 

9 

 

(a)  an ownership interest in a large Australian agribusiness; 

10 

 

(b)  relevant influence over a large Australian agribusiness; 

11 

 

(c)  an ownership interest in any parcel of Australian land of 

12 

more than 4 hectares. 

13 

 

(2)  The Foreign Investment Review Board must: 

14 

 

(a)  consider whether the result of the proposal would be contrary 

15 

to the national interest; and 

16 

 

(b)  make recommendations to the Treasurer for the purposes of 

17 

subsection (3). 

18 

 

(3)  If the Treasurer considers, having regard to the recommendations 

19 

of the Foreign Investment Review Board under subsection (2), that 

20 

the result of the proposal: 

21 

 

(a)  would be contrary to the national interest; or 

22 

 

(b)  would contravene subsection 7(1); 

23 

the Treasurer must, by notice in writing, prohibit the proposed 

24 

acquisition. 

25 

 

(4)  A person commits an offence if the person contravenes a notice 

26 

given under subsection (3). 

27 

Penalty: 

28 

 

(a)  for the first day on which the person contravenes the notice--

29 

50% of the value given by or on behalf of the person to make 

30 

the prohibited acquisition; and 

31 

 

(b)  for each subsequent day--$500,000. 

32 

   

Maintaining Australian ownership of Australian agribusiness and Australian land  Part 

2 

   

 

Section 7 

 

Australian Ownership Bill 2013       No.      , 2013            5 

 

(5)  If a person acquires an interest or influence in contravention of a 

1 

notice under subsection (3), the Treasurer may, by notice in 

2 

writing, order the person to dispose of the interest or influence 

3 

within a specified time to any person or persons approved in 

4 

writing by the Treasurer. 

5 

 

(6)  A person commits an offence if the person contravenes a notice 

6 

given under subsection (5). 

7 

Penalty: 

8 

 

(a)  for the first day on which the person contravenes the notice--

9 

50% of the value given by or on behalf of the person to make 

10 

the prohibited acquisition; and 

11 

 

(b)  for each subsequent day--5% of that value. 

12 

 

(7)  If: 

13 

 

(a)  a corporation commits an offence under subsection (4) or (6); 

14 

and 

15 

 

(b)  an officer of the corporation authorised or permitted the 

16 

commission of the offence; 

17 

the officer commits an offence under this section. 

18 

Penalty:  $100,000. 

19 

7  Limit on foreign investment in large Australian agribusiness and 

20 

Australian land 

21 

 

(1)  A foreign person, or 2 or more foreign persons, alone or together 

22 

with associates, must not hold ownership interests of more than 

23 

49% in: 

24 

 

(a)  a large Australian agribusiness; or 

25 

 

(b)  a parcel of Australian land of more than 4 hectares. 

26 

 

(2)  If the Treasurer considers that one or more foreign persons has 

27 

contravened subsection (1), the Treasurer may, by notice in 

28 

writing, order the person or persons to take any action the 

29 

Treasurer considers necessary to ensure that subsection (1) ceases 

30 

to be contravened, by the end of the period specified in the notice. 

31 

   

Part 2  Maintaining Australian ownership of Australian agribusiness and Australian 

land 

   

 

Section 7 

 

6            Australian Ownership Bill 2013       No.      , 2013 

 

(3)  A person commits an offence if the person contravenes a notice 

1 

given under subsection (2). 

2 

Penalty: 

3 

 

(a)  for the first day on which the person contravenes the notice--

4 

50% of the value of the person's share of the ownership 

5 

interest; and 

6 

 

(b)  for each subsequent day--5% of that value. 

7 

 

(4)  Subsection (3) does not apply if the Foreign Investment Review 

8 

Board has determined in writing that the holding of the ownership 

9 

interests by the person or persons and any associates provides 

10 

substantial benefits to the nation and is in the national interest (for 

11 

example, by the opening of new markets, by providing for the 

12 

financial betterment of all Australians or by providing for either or 

13 

both technological advancement and major capital investment). 

14 

Note: 

A defendant bears an evidential burden in relation to the matter in 

15 

subsection (4): see subsection 13.3(3) of the Criminal Code. 

16 

 

(5)  On request by a person or persons to whom a notice has been 

17 

given, or is expected to be given, under subsection (2), the Foreign 

18 

Investment Review Board: 

19 

 

(a)  must consider whether to make a determination for the 

20 

purposes of subsection (4); and 

21 

 

(b)  may make or refuse to make the determination. 

22 

 

(6)  If: 

23 

 

(a)  a corporation commits an offence under subsection (3); and 

24 

 

(b)  an officer of the corporation authorised or permitted the 

25 

commission of the offence; 

26 

the officer commits an offence under this section. 

27 

Penalty:  $100,000. 

28 

 

 

29 

   

Miscellaneous  Part 3 

   

 

Section 8 

 

Australian Ownership Bill 2013       No.      , 2013            7 

Part 3--Miscellaneous 

1 

   

2 

8  Anti-avoidance 

3 

 

  For the purposes of this Act, in determining whether a person or 

4 

persons has acquired or proposes to acquire an ownership interest 

5 

in a parcel of land of at least 4 hectares, regard may be had to 

6 

multiple acquisitions and to multiple parcels of adjoining land. 

7 

9  Application of Part 2 

8 

 

(1)  Section 6 applies to: 

9 

 

(a)  any proposal made after this Act commences; and 

10 

 

(b)  any proposal made but not implemented before this Act 

11 

commences. 

12 

 

(2)  Subsection 7(2) does not apply in relation to a contravention of 

13 

subsection 7(1) if the circumstances that give rise to the 

14 

contravention were in existence for at least 12 months before this 

15 

Act commenced. 

16 

10  Application of Crimes Act 1914 

17 

 

  Section 4AB of the Crimes Act 1914 does not apply to this Act. 

18 

Note: 

Section 4AB of the Crimes Act 1914 has the effect of converting 

19 

penalties expressed in dollars into a number of penalty units. 

20 

11  Australian Ownership Rules 

21 

 

  The Minister may, by legislative instrument, make rules 

22 

prescribing matters: 

23 

 

(a)  required or permitted by this Act to be prescribed by the 

24 

Rules; or 

25 

 

(b)  necessary or convenient to be prescribed in order to carry out 

26 

or give effect to this Act. 

27