Australian Capital Territory Numbered Acts Australian Capital Territory Numbered Acts12. After Division 4 of Part IV of the Principal Act, the following Division is inserted in Part IV:
“30B. (1) For the purposes of the definition of ‘club' in section 4, the purposes are recreation, the promotion of social, religious, political, literary, scientific, artistic, sporting or athletic purposes or purposes approved by the Minister by instrument.
“(2) An instrument under subsection (1) is a disallowable instrument for the purposes of section 10 of the Subordinate Laws Act 1989 .
“30C. (1) A club is an eligible club for the purposes of this Act, if and only if—
(a) the club is—
(i) a company within the meaning of the Corporations Law; or
(ii) an incorporated association;
(b) its statement of objects indicates (whether from the order in which it appears or otherwise) that a purpose referred to in subsection 30B (1), or a purpose which is substantially the same as one of those purposes, is its principal object;
(c) the club is conducted primarily to achieve its principal object and any other of its objects that are referred to in subsection 30B (1);
(d) the rules provide in effect that a person shall not be admitted as a member of the club unless the person has attained 18 years;
(e) the rules provide in effect that a person shall not be admitted as a member of the club, other than as an honorary member or temporary member, unless the person is elected to membership—
(i) at a meeting of members of the club; or
(ii) at a duly convened meeting of the governing body or a committee of the club, the names of whose members present and voting at that meeting are recorded by the secretary of the club;
(f) the number of life members of the club does not exceed 5% of the number of ordinary members of the club;
(g) the rules provide in effect—
(i) that a member elected to membership of the club in accordance with the rule of the club referred to in paragraph (e) shall pay an annual fee for membership (whether or not by instalments); and
(ii) that where the membership fee payable by a person so elected is not paid within a period fixed by the rules the person ceases to be a member;
(h) the club has no less than 200 voting members;
(j) the rules provide in effect that at periods not exceeding 3 years the term of office of the governing body of the club shall end and—
(i) the members of the governing body shall be elected or re-elected by members of the club; or
(ii) one or more members of the governing body shall be elected or re-elected on the nomination of, or in accordance with the direction of, an associated organisation and any other members of the governing body shall be elected or re-elected by members of the club;
(k) the premises occupied by the club, and the facilities and property of the club, are kept and maintained for the benefit of members generally;
(m) a person (whether or not a member) is not entitled, under the rules or otherwise, to derive, directly or indirectly, any profit, benefit or advantage from the club that is not available equally to all members of the club other than a profit, benefit or advantage—
(i) that arises under an agreement where the parties are dealing with each other at arms length; or
(ii) conferred on a member under a resolution passed at a general meeting of members;
(n) a person (whether or not a member) is not entitled, under the rules or otherwise, to derive, directly or indirectly, any profit, benefit or advantage from—
(i) the club having applied for the grant of a licence;
(ii) the grant of a licence to the club; or
(iii) any added value that may accrue to the premises of the club because of the grant of a licence to the club;
that is not available equally to all members of the club; and
(p) the rules do not prohibit the playing of games of chance for money on the premises of the club.
“(2) For the purposes of this Act, a reference in a paragraph of subsection (1) to the rules of a club providing in effect in respect of a matter shall be read as including a reference to rules that have substantially the same effect in respect of that matter as mentioned in the paragraph whether or not the rules use the same language as the paragraph.
“(3) For the purposes of paragraph (1) (m), the parties to an agreement shall not be taken not to be dealing with one another at arm's length by reason only—
(a) that they are bodies corporate that are related by virtue of section 50 of the Corporations Law; and
(b) that the person dealing with the club is a relevant influential person.
“30D. Where the Commissioner is satisfied—
(a) that an organisation (whether or not incorporated) is associated with a club;
(b) that the organisation is not carried on for the purpose of profit or gain to its members or any other person; and
(c) that the approval of the organisation under this subsection would not result in the club ceasing to be conducted primarily to achieve its principal object and any other of its objects that are referred to in subsection 30B (1);
the Commissioner may, by instrument, approve the organisation for the purposes of the definition of ‘associated organisation' in section 4.
“30E. (1) A club shall not fail, without reasonable excuse, to maintain records of—
(a) the election of members of the club; and
(b) the election or re-election of members of the governing body of the club;
for at least 2 years after the election or re-election, as the case may be.
Penalty: $2,000.
“(2) In subsection (1), ‘club' means a club in relation to whose premises a licence has been issued.
“30F. (1) Where the Commissioner suspects on reasonable grounds that a club has ceased to be an eligible club, the Commissioner may, by instrument served on an officer of the club, require the officer, within the period specified in the instrument—
(a) to give information; or
(b) to produce documents;
to the Commissioner in connection with the club or an organisation that is an associated organisation of the club.
“(2) In subsection (1), ‘club' means a club in relation to whose premises a licence has been issued.
“30G. (1) Subject to this section, where immediately before 1 January 1992, a club was the holder of a licence, the licence continues in operation subject to this Act on and after that date but shall be taken to be cancelled at the expiration of 31 March 1992.
“(2) Subject to subsection (20), a club referred to in subsection (1) whose licence has not previously been endorsed under subsection (4) may apply to the Commissioner before 1 April 1992 for its licence to be endorsed in accordance with subsection (4).
“(3) An application under subsection (2) shall be accompanied by—
(a) the licence; and
(b) a statement signed by the secretary of the club setting out the grounds on which it is claimed that the club is an eligible club.
“(4) If the Commissioner is satisfied that an applicant under subsection (2) is an eligible club, the Commissioner shall—
(a) endorse the licence with a notation that the club is an eligible club; and
(b) forward the licence as endorsed to the applicant.
“(5) On the making of an endorsement on a licence under subsection (4)—
(a) subsection (1) ceases to apply to the licence; and
(b) the licence shall continue in operation as if it had been granted under section 14A.
“(6) Section 52 applies in relation to a refusal to endorse a licence under subsection (4) as if that section were modified as follows:
(a) after paragraph (1) (e), insert—
‘(eb) refusing to endorse a licence under subsection 30G (4);' and
(b) after subsection (4), add—
‘(5) A club is not precluded from making an application to the Tribunal by reason only that it consented to an endorsement under subsection 30G (7).'.
“(7) Where in respect of an application under subsection (2) the Commissioner is not satisfied that the applicant is an eligible club, the Commissioner may, with the consent of the applicant—
(a) endorse the licence with a notation that the licence is a restricted licence; and
(b) impose conditions relating to the licence or the operation of the club and endorse those conditions on the licence.
“(8) On the making of an endorsement on a licence under subsection (7)—
(a) subsection (1) ceases to apply to the licence and the licence shall continue in operation subject to this Act; and
(b) the Commissioner shall forward the licence to the club.
“(9) For the purpose of calculating the rate of tax payable under this Act, a club whose licence has been endorsed under subsection (7) shall be taken not to be a club.
“(10) A club whose licence has been endorsed under subsection (7) may not request a variation under subsection 22 (2) but the Commissioner may, with the agreement of the club, vary conditions referred to in paragraph (7) (b) and as soon as practicable after the receipt by him or her of the licence—
(a) endorse the variations on the licence; and
(b) forward the licence as endorsed to the club.
“(11) In this Act, a reference to conditions referred to in paragraph (7) (b) shall be read as including a reference to any variation of those conditions under subsection (10).
“(12) Section 23 applies in relation to the transfer of a licence endorsed under subsection (7) as if that section were modified as follows:
(a) omit subsection (1A), substitute—
‘(1A) Where a licence in respect of the premises of a club is endorsed under subsection 30G (7), the Commissioner may only approve the transfer of the licence to another club in respect of its premises where the transferee is an eligible club.';
(b) omit from subsection (5) ‘endorse', substitute ‘cancel the endorsement made under paragraph (7) (a) and any conditions that have been imposed under paragraph (7) (b), endorse';
(c) after subsection (5), insert—
‘(5A) On the cancellation of an endorsement and any conditions under subsection (5), the licence shall continue in operation—
(a) as if it had been granted under section 14A; and
(b) without affecting any rights and liabilities that had accrued before that cancellation .'.
“(13) Section 24 applies in relation to the cancellation of a licence endorsed under subsection (7) as if that section were modified by inserting after paragraph (1) (e)—
‘(ea) the licensee has contravened a condition referred to in paragraph 30G (7) (b); or'.
“(14) Where a club whose licence has been endorsed under subsection (7) becomes an eligible club, the club may apply to the Commissioner for the cancellation of the endorsement in accordance with subsection (16).
“(15) An application under subsection (14) shall be accompanied by—
(a) the licence; and
(b) a statement signed by the secretary of the club setting out the grounds on which it is claimed that the club has become an eligible club.
“(16) If the Commissioner is satisfied that an applicant under subsection (14) has become an eligible club, the Commissioner shall—
(a) cancel the endorsement made under paragraph (7) (a) and any conditions that have been imposed under paragraph (7) (b); and
(b) forward to the applicant the licence as dealt with under paragraph (a).
“(17) On the cancellation of an endorsement and any conditions under subsection (16), the licence shall continue in operation—
(a) as if it had been granted under section 14A; and
(b) without affecting any rights and liabilities that had accrued before that cancellation.
“(18) Section 52 applies in relation to a refusal to endorse a licence under subsection (16) as if that section were modified by inserting after paragraph (1) (e)—
‘(ec) refusing to cancel an endorsement under subsection 30G (16);'.
“(19) A club referred to in subsection (1) may apply to the Commissioner before 1 April 1992 for an order under subsection (20).
“(20) If the Commissioner is not satisfied that an applicant under subsection (19) is an eligible club but is capable of becoming an eligible club by a specified day on or before 1 July 1992, the Commissioner shall order that the applicant may make an application in accordance with subsection (2) on or before the specified day and subsection (2) shall apply accordingly.
“(21) Section 52 applies in relation to a refusal to make an order under subsection (20) as if that section were modified by inserting after paragraph (1) (e)—
‘(ed) refusing to endorse a licence under subsection 30G (20);'.
“(22) Where an application is made under subsection (2) or (19) in respect of a licence on or before 31 March 1992 and at the expiration of that day—
(a) the application had not been withdrawn; or
(b) the Commissioner had not made a decision on the application;
subsection (1) applies in relation to the licence as if the reference in that subsection to that date were a reference to whichever of the following dates is applicable:
(c) the date on which the application is withdrawn;
(d) the date on which the application is refused or the endorsement or order, as the case may be, is made.
“(23) Where an order is made under subsection (20) in relation to an application under subsection (2), subsection (22) applies in relation to that application as if the reference in that subsection to 31 March 1992 were a reference to the day specified in the order.”.