Commonwealth Numbered Acts

CUSTOMS AMENDMENT ACT (NO. 3) 1980 No. 110 of 1980 - SECT 10

10. (1) Part V of the Principal Act is repealed and the following Part
substituted:

                               "PART V-WAREHOUSES
Interpretation

"78. (1) In this Part, unless the contrary intention appears-

'place' includes an area, a building and a part of a building;

'warehouse', in relation to a warehouse licence, means the warehouse to which
the licence relates;

'warehouse licence' means a licence granted under section 79 and includes such
a licence that has been renewed under section 84.



"(2) A reference in this Part to the Comptroller shall be read as including a
reference to a Collector of Customs for a State or Territory.



"(3) For the purposes of this Part, a person shall be taken to participate in
the management or control of a warehouse if-

   (a)  he has authority to direct the operations of the warehouse or to
        direct activities in the warehouse, the removal of goods from the
        warehouse, or another important part of the operations of the
        warehouse; or

   (b)  he has authority to direct a person who has authority referred to in
        paragraph (a) in the exercise of that authority. Warehouse licences

"79. (1) Subject to this Part, the Comptroller may grant a person or
partnership a licence in writing, to be known as a warehouse licence, to use a
place described in the licence for warehousing goods.



"(2) A warehouse licence may be a licence to use a place for warehousing goods
generally, goods included in a specified class or specified classes of goods
or goods other than goods included in a specified class or specified classes
of goods.



"(3) A warehouse licence may authorize manufacturing, processing, trading or
other activities specified in the licence to be carried on in the warehouse.
Applications for warehouse licences

"80. An application for a warehouse licence shall-

   (a)  be in writing;

   (b)  contain a description of the place in relation to which the licence is
        sought;

   (c)  specify the kinds of goods that would be warehoused in that place if
        it were a warehouse;

   (d)  set out the name and address of each person whom the Comptroller is
        required to consider for the purposes of paragraph (a), (b), (c) or
        (d) of sub-section (1) of section 81;

   (e)  set out such particulars of the matters that the Comptroller is
        required to consider for the purposes of paragraph (e), (f) or (g) of
        sub-section (1) of section 81 as will enable him adequately to
        consider those matters; and

   (f)  contain such other information as is prescribed. Requirements for
        grant of warehouse licence

"81. (1) The Comptroller shall not grant a warehouse licence if, in his
opinion-

   (a)  where the applicant is a natural person-the applicant is not a fit and
        proper person to hold a warehouse licence;

   (b)  where the applicant is a partnership-any of the partners is not a fit
        and proper person to be a member of a partnership holding a warehouse
        licence;

   (c)  where the applicant is a company-any director, officer or shareholder
        of the company who would participate in the management or control of
        the warehouse is not a fit and proper person so to participate;

   (d)  an employee of the applicant who would participate in the management
        or control of the warehouse is not a fit and proper person so to
        participate;

   (e)  the physical security of the place in relation to which the licence is
        sought is not adequate having regard to-

        (i)    the kinds of goods that would be kept in that place if it were
               a warehouse; or

        (ii)   the procedures and methods that would be adopted by the
               applicant to ensure the security of goods in the place if it
               were a warehouse;

   (f)  the plant and equipment that would be used in relation to goods in the
        place in relation to which the licence is sought if it were a
        warehouse are not suitable having regard to the nature of those goods
        and that place; or

   (g)  the books of account or records that would be kept in relation to the
        place in relation to which the licence is sought if it were a
        warehouse would not be suitable to enable the Customs adequately to
        audit those books or records.



"(2) The Comptroller shall, in determining whether a person is a fit and
proper person for the purposes of paragraph (a), (b), (c) or (d) of
sub-section (1), have regard to-

   (a)  any conviction of the person for an offence against this Act committed
        within the 10 years immediately preceding the making of the
        application;

   (b)  any conviction of the person for an offence under a law of the
        Commonwealth, of a State or of a Territory that is punishable by
        imprisonment for a period of one year or longer, being an offence
        committed within the 10 years immediately preceding the making of the
        application;

   (c)  whether the person is an undischarged bankrupt;

   (d)  any misleading statement made in the application by or in relation to
        the person; and

   (e)  where any statement by the person in the application was false-
        whether the person knew that the statement was false. Conditions of
        warehouse licences

"82. (1) A warehouse licence is subject to the condition that, if-

   (a)  a person not described in the application for the licence as
        participating in the management or control of the warehouse commences
        so to participate;

   (b)  in the case of a licence held by a partnership-there is a change in
        the membership of the partnership;

   (c)  a person who participates in the management or control of the
        warehouse, the holder of the licence or, in the case of a licence held
        by a partnership, a member of the partnership, is convicted of an
        offence referred to in paragraph (a) or (b) of sub-section (2) of
        section 81 or becomes bankrupt;

   (d)  there is a substantial change in a matter affecting the physical
        security of the warehouse;

   (e)  there is a substantial change in plant or equipment used in relation
        to goods in the warehouse; or

   (f)  there is a substantial change in the keeping of accounts or records
        kept in relation to the warehouse, the holder of the licence shall,
        within 30 days after the occurrence of the event, change, conviction
        or bankruptcy, as the case requires, give the Comptroller particulars
        in writing of that event, change, conviction or bankruptcy, as the
        case requires.



"(2) A warehouse licence is subject to such other conditions (if any) as are
prescribed.



"(3) A warehouse licence is subject to such other conditions (if any) as are
specified in the licence, being conditions considered by the Comptroller to be
necessary or desirable for the protection of the revenue.



"(4) The conditions specified in a warehouse licence may include-

   (a)  conditions specifying the persons or classes of persons whose goods
        may be warehoused in the warehouse; and

   (b)  conditions limiting the operations that may be performed upon, or in
        relation to, goods in the warehouse.



"(5) The Comptroller may, upon application by the holder of a warehouse
licence and production of the licence, vary the conditions specified in the
licence by making an alteration to, or an endorsement on, the licence.
Duration of warehouse licence

"83. A warehouse licence-

   (a)  comes into force on a date specified in the licence or, if no date is
        so specified, the date on which the licence is granted; and

   (b)  subject to this Part, remains in force until 30 June next following
        the grant of the licence but may be renewed in accordance with section
        84. Renewal of warehouse licence

"84. (1) The Comptroller may, by writing, renew a warehouse licence on the
application, in writing, of the holder of the licence.



"(2) Where a warehouse licence is renewed, the Comptroller may specify
conditions different from those specified in the original licence.



"(3) The Comptroller may refuse to renew a licence if he is satisfied that, if
the licence were renewed, he would be entitled to cancel the licence.



"(4) Subject to this Part, a warehouse licence that has been renewed continues
in force for 12 months but may be further renewed. Fees for warehouse licences

"85. (1) Such fees as are prescribed are payable in respect of warehouse
licences.



"(2) Regulations for the purposes of sub-section (1) may prescribe-

   (a)  annual fees in respect of warehouse licences;

   (b)  fees calculated in accordance with the duration of warehouse licences;

   (c)  a fee for each transaction, or each transaction in a class of
        transactions, involving the movement of goods into or out of the
        warehouse to which a warehouse licence relates; and

   (d)  a fee calculated by reference to the volume or value of transactions,
        or of a specific class of transactions, relating to goods in the
        warehouse to which a warehouse licence relates.



"(3) Different fees may be prescribed in relation to warehouse licences
subject to different conditions or in relation to warehouse licences for
warehouses of different kinds. Suspension of warehouse licences

"86. (1) The Comptroller may give notice in accordance with this section to
the holder of a warehouse licence if he has reasonable grounds for believing
that-

   (a)  the physical security of the warehouse is no longer adequate having
        regard to the matters referred to in paragraph (e) of sub-section (1)
        of section 81;

   (b)  the plant and equipment used in the warehouse are such that the
        protection of the revenue in relation to goods in the warehouse is
        inadequate;

   (c)  where the licence is held by a natural person-that person is not a fit
        and proper person to hold a warehouse licence;

   (d)  where the licence is held by a partnership-a member of the partnership
        is not a fit and proper person to be a member of a partnership holding
        a warehouse licence;

   (e)  where the licence is held by a company-a director, officer or
        shareholder of the company who participates in the management or
        control of the warehouse is not a fit and proper person so to
        participate;

   (f)  an employee of the holder of the licence, being an employee who
        participates in the management or control of the warehouse, is not a
        fit and proper person so to participate;

   (g)  a condition to which the licence is subject has not been complied
        with; or

   (h)  a fee payable in respect of a licence is unpaid and has been unpaid
        for 28 days after the day on which it became payable, or it otherwise
        appears to him to be necessary for the protection of the revenue to
        give the notice.



"(2) Notice in accordance with this section to the holder of a warehouse
licence shall be in writing and shall be-

   (a)  served, either personally or by post, on the holder of the licence; or

   (b)  served personally on a person who, at the time of service, apparently
        participates in the management or control of the warehouse.



"(3) A notice in accordance with this section to the holder of a warehouse
licence-

   (a)  shall state that, if the holder of the licence wishes to prevent the
        cancellation of the licence, he may, within 7 days after the day on
        which the notice was served, furnish to the Comptroller at an address
        specified in the notice a written statement showing cause why the
        licence should not be cancelled; and

   (b)  may, if it appears to the Comptroller to be necessary for the
        protection of the revenue to do so, state that the licence is
        suspended, and, if the notice states that the licence is suspended,
        that licence is suspended on and from the service of the notice.



"(4) A notice in accordance with this section to the holder of a warehouse
licence shall-

   (a)  state the ground or grounds on which the notice is given; and

   (b)  if the notice states that the licence is suspended-also state that any
        person whose interests are affected by the suspension may make an
        application to the Administrative Appeals Tribunal for a review of the
        decision to suspend the licence.



"(5) Where a warehouse licence is suspended under this section, the
Comptroller-

   (a)  may at any time revoke the suspension; and

   (b)  if the licence has not been cancelled within 28 days after the day on
        which the licence was suspended-shall revoke the suspension.



"(6) Subject to sub-section (7), during a period in which a warehouse licence
is suspended under this section, a person shall not use the warehouse for
warehousing goods. Penalty: $1,000.



"(7) Notwithstanding sub-section (6), during a period in which a warehouse
licence is suspended under this section, a Collector may-

   (a)  permit goods to be placed in the warehouse;

   (b)  permit a process to be carried out in the warehouse;

   (c)  permit the removal of goods from the warehouse, including the removal
        of goods to another warehouse;

   (d)  by notice in writing to the owner of goods in the warehouse, require
        him to remove his goods to another warehouse approved by the
        Collector;

   (e)  take such control of the warehouse or all or any goods in the
        warehouse as may be necessary for the protection of the revenue; and

   (f)  by notice in writing to the holder of the licence, require him to pay
        to the Customs in respect of the services of officers required as the
        result of the suspension, including services relating to the
        enforcement of the suspension, the supervision of activities in
        relation to the warehouse permitted by a Collector, the stocktaking of
        goods in the warehouse or the reconciliation of records relating to
        such goods, such fee as the Minister determines, having regard to the
        cost of the services.



"(8) If an amount that the holder of a licence is required to pay in
accordance with a notice under paragraph (f) of sub-section (7) is not paid,
that amount may be recovered as a debt due to the Commonwealth by action in a
court of competent jurisdiction. Cancellation of warehouse licences

"87. (1) The Comptroller may cancel a warehouse licence if-

   (a)  he is satisfied in relation to the licence as to any of the matters
        mentioned in paragraphs (a) to (h) (inclusive) of sub-section (1) of
        section 86; or

   (b)  he is satisfied on any other grounds that cancellation of the licence
        is necessary for the protection of the revenue.



"(2) The Comptroller shall cancel a warehouse licence under sub-section (1) by
notice in writing-

   (a)  served, either personally or by post, on the holder of the licence; or

   (b)  served personally on a person who, at the time of service, apparently
        participates in the management or control of the warehouse.



"(3) A notice under sub-section (2) of the cancellation of a warehouse licence
shall set out the ground or grounds of the cancellation of the licence and
shall state that any person whose interests are affected by the cancellation
may make an application to the Administrative Appeals Tribunal for a review of
the decision to cancel the licence.



"(4) Subject to sub-section (5), where the Comptroller cancels a warehouse
licence, he shall by notice-

   (a)  published by being displayed on a public Notice Board in the Customs
        House or other office of the Customs nearest to the warehouse;

   (b)  published in the Gazette; and

   (c)  published in a newspaper circulating in the locality in which the
        warehouse is situated, inform the owners of goods in the place that
        was the warehouse-

   (d)  that they are required, within a time specified in the notice or any
        further time allowed by the Comptroller, to-

        (i)    pay to the Collector duty payable in respect of their goods in
               the warehouse; or

        (ii)   remove their goods in the warehouse to another place in
               accordance with permission obtained from the Collector; and

   (e)  that, if they do not comply with the requirements of the notice, their
        goods in that place will be sold.



"(5) Where the Comptroller who has cancelled a warehouse licence under this
section is satisfied that all the goods in the place that was the warehouse
are the property of the person who held the licence, the notice referred to in
sub- section (4) need not be published as mentioned in that sub-section but
shall be-

   (a)  served, either personally or by post, on that person; or

   (b)  served personally on a person who, at the time of the cancellation of
        the licence, apparently participated in the management or control of
        the place that was the warehouse.



"(6) Where the owner of goods to which a notice under sub-section (4) applies
fails to comply with the requirements of the notice within the time specified
in the notice or any further time allowed by the Comptroller, the goods may be
sold by a Collector.



"(7) Where a warehouse licence is cancelled under this section, the holder of
the licence shall, if requested by the Comptroller to do so, surrender the
licence to the Comptroller.

Penalty: $100. Service of notices

"88. For the purpose of the application of section 29 of the Acts 
Interpretation Act 1901 to the service by post of a notice under this Part on
a person who holds or held a warehouse licence, such a notice posted as a
letter addressed to the person at the address of the place that is or was the
warehouse shall be deemed to be properly addressed. Death of licence holder

"89. If the holder of a warehouse licence, being a natural person, dies, the
licence shall be deemed to be transferred to his legal personal
representative. Obligations of holders of warehouse licences

"90. The holder of a warehouse licence shall-

   (a)  stack and arrange goods in the warehouse so that officers have
        reasonable access to, and are able to examine, the goods;

   (b)  provide officers with adequate space and facilities for the
        examination of goods in the warehouse and with devices for accurately
        measuring and weighing such goods;

   (c)  if required by a Collector, provide adequate office space, and a
        telephone service, for the official use of officers performing duties
        at the warehouse; and

   (d)  provide sufficient labour and materials for use by a Collector in
        dealing with goods in the warehouse for the purposes of this Act.

Penalty: $250. Access to warehouses

"91. A Collector may, at any time, gain access to and enter, if necessary by
force, any warehouse and examine any goods in the warehouse. Repacking in
warehouse

"92. A Collector may, in accordance with the regulations, permit the owner of
warehoused goods to sort, bottle, pack or repack those goods. Regauging, &c.,
of goods

"93. Where-

   (a)  any warehoused goods are examined by an officer or by the owner of the
        goods with the approval of an officer; and

   (b)  the examination shows that there has been a decrease in the volume or
        weight of the goods since they were first entered, the volume or
        weight of the goods shall, for the purposes of this Act or any other
        law of the Commonwealth, be taken to be-

   (c)  except where paragraph (d) applies-the volume or weight found on that
        examination; or

   (d)  where, in the opinion of a Collector, that decrease is excessive-the
        volume or weight shown in the original entry reduced to an extent that
        the Collector considers appropriate, and duty in respect of the goods
        is payable accordingly. Goods not worth duty may be destroyed

"94. (1) Where a Collector is satisfied that the value of any warehoused goods
is less than the amount of duty payable in respect of the goods, he may, if
requested by the owner of the goods to do so, destroy the goods and remit the
duty.



"(2) The destruction of warehoused goods under sub-section (1) does not affect
any liability of the owner of the goods to pay the holder of a warehouse
licence any rent or charges payable in respect of the goods. Revaluation

"95. Where a Collector is satisfied that warehoused goods that have been
valued for the purposes of this Act in accordance with section 154 have
deteriorated in value as the result of accidental damage, the Collector may,
if requested by the owner of the goods to do so, cancel that valuation and,
for the purposes of this Act and in accordance with section 154, revalue those
goods as at the time of the revaluation. Arrears of warehouse charges

"96. (1) Where any rent or charges in respect of warehoused goods has or have
been in arrears for-

   (a)  except where paragraph (b) applies-6 months; or

   (b)  where the goods are the unclaimed baggage of a passenger or member of
        the crew of a ship or aircraft-30 days, a Collector may sell the
        goods.



"(2) In this section, 'member of the crew' includes-

   (a)  in relation to a ship-the master, a mate or an engineer of the ship;
        and

   (b)  in relation to an aircraft-the pilot of the aricraft. Goods for public
        exhibition

"97. (1) A Collector may, by writing signed by him, grant to the owner of
warehoused goods permission to take those goods out of the warehouse for the
purpose of public exhibition, testing or a similar purpose without entering
the goods for home consumption.



"(2) Permission under sub-section (1) shall specify the period during which
the owner of the relevant goods may keep the goods outside the warehouse.



"(3) The owner of goods in relation to which permission has been granted under
sub-section (1) shall not take the goods out of the warehouse unless security
has been given to the satisfaction of the Collector for the payment, in the
event of the goods not being returned to the warehouse before the expiration
of the period specified in the permission, of the duty that would have been
payable if the goods had been entered for home consumption on the day on which
they were taken out of the warehouse.

Penalty: $1,000. Goods manufactured in warehouse

"98. Subject to the regulations, where a warehouse licence authorizes
manufacturing in the warehouse, goods may be manufactured in the warehouse in
accordance with, and subject to any relevant conditions of, the licence, and
goods so manufactured may, subject to the payment of any duty in respect of
the goods the payment of which is required by the regulations, be delivered
for home consumption. Entry of warehoused goods

"99. Warehoused goods may be entered-

   (a)  for home consumption; or

   (b)  for export to parts beyond the seas. Constructive warehousing

"100. (1) Where goods have been entered for warehousing, they may, without
being warehoused in accordance with the entry, be further entered in
accordance with section 99 and be dealt with in accordance with that further
entry as if they had been so warehoused.



"(2) Where a person makes a further entry in accordance with sub-section (1)
in respect of goods that have been entered for warehousing, he shall-

   (a)  at the time of lodging the further entry, give the Collector
        particulars of the entry for warehousing; and

   (b)  as soon as practicable, give particulars of the further entry to the
        holder of the warehouse licence relating to the warehouse in which the
        goods were intended to be warehoused in accordance with the entry for
        warehousing.

Penalty: $500. Delivery of warehousing authority

"101. Where the owner of goods receives written authority for warehousing
goods in pursuance of an entry for warehousing or written permission under
this Act to warehouse the goods, he shall, as soon as practicable, before the
goods are delivered to the warehouse nominated in the authority or permission,
deliver the authority or permission to the holder of the warehouse licence by
leaving it at the warehouse with a person apparently participating in the
management or control of the warehouse.

Penalty: $500. Holder of licence to inform Collector of certain matters

"102. (1) Where goods are delivered to a warehouse but documents relating to
those goods required to be delivered to the holder of the warehouse licence in
accordance with this Act are not so delivered or such documents are so
delivered but do not contain sufficient information to enable the holder to
make a record relating to the goods that he is required to make under this
Act, the holder shall, as soon as practicable, inform a Collector of the
non-delivery or inadequacy of those documents, as the case may be.



"(2) Where documents relating to goods to be warehoused in a warehouse are
delivered to the holder of the warehouse licence in accordance with this Act
but those goods are not received at the warehouse within 7 days after the
delivery of the documents, the holder shall, as soon as practicable, inform a
Collector of the non-delivery of those goods.

Penalty: $500.".

(2) Notwithstanding the amendments of the Principal Act made by sub- section
(1)-

   (a)  licences granted under section 78 of the Principal Act and in force
        immediately before the commencement of this section continue in force
        until 30 June 1980; and

   (b)  Part V of the Principal Act continues to apply to licences in force by
        virtue of paragraph (a).