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This is a Bill, not an Act. For current law, see the Acts databases.
New South Wales
NSW Lotteries (Authorised
Transaction) Bill 2009
Contents
Page
Part 1 Preliminary
1 Name of Act 2
2 Commencement 2
3 Interpretation 2
Part 2 The authorised transaction
4 Authority for transfer of NSW Lotteries assets to private
sector 3
5 Transfer of NSW Lotteries assets to public sector agencies 3
6 Proceeds of transaction 3
Part 3 Facilitating the authorised transaction
7 Treasurer's functions 5
8 Transaction companies 5
9 Functions of NSW Lotteries and transaction companies 6
b2009-039-20.d10a
NSW Lotteries (Authorised Transaction) Bill 2009
Contents
Page
10 Direction and control of NSW Lotteries and transaction
companies 6
11 Establishment of Lotteries Assets Ministerial
Holding Corporation 7
12 Vesting orders 7
13 Employee protections 7
14 State taxes 7
15 Contracts for sale of land 8
Part 4 Miscellaneous
16 Release of information by Auditor-General 9
17 Delegation 9
18 Act to bind State and other jurisdictions 9
19 General relationship of Act with other State legislation 9
20 Extraterritorial operation of Act 10
21 Construction of Act and instruments so as not to exceed
legislative power 10
22 Protection of contractual and other obligations 11
23 Compensation not payable 12
24 Certificate evidence 13
25 Regulations 13
26 Savings and transitional regulations 13
27 Repeal of New South Wales Lotteries Corporatisation
Act 1996 No 85 13
Schedule 1 Interpretative provisions 14
Schedule 2 Corporate conversion of NSW Lotteries 17
Schedule 3 Vesting of assets, rights and liabilities 19
Schedule 4 Employee protections 22
Schedule 5 Amendment of Acts 26
Contents page 2
New South Wales
NSW Lotteries (Authorised
Transaction) Bill 2009
No , 2009
A Bill for
An Act to provide for the transfer of the business of New South Wales Lotteries
Corporation, and for other purposes.
Clause 1 NSW Lotteries (Authorised Transaction) Bill 2009
Part 1 Preliminary
The Legislature of New South Wales enacts: 1
Part 1 Preliminary 2
1 Name of Act 3
This Act is the NSW Lotteries (Authorised Transaction) Act 2009. 4
2 Commencement 5
This Act commences on a day or days to be appointed by proclamation. 6
3 Interpretation 7
(1) Key definitions 8
In this Act: 9
authorised transaction means the transfer of NSW Lotteries assets 10
authorised by Part 2. 11
NSW Lotteries means New South Wales Lotteries Corporation 12
constituted by the New South Wales Lotteries Corporatisation Act 13
1996. 14
NSW Lotteries assets means assets, rights and liabilities of NSW 15
Lotteries. 16
(2) Other interpretative provisions 17
Expressions used in this Act that are defined in Schedule 1 have the 18
meanings set out in that Schedule. 19
Page 2
NSW Lotteries (Authorised Transaction) Bill 2009 Clause 4
The authorised transaction Part 2
Part 2 The authorised transaction 1
4 Authority for transfer of NSW Lotteries assets to private sector 2
This Act authorises the transfer to the private sector of any NSW 3
Lotteries assets. 4
5 Transfer of NSW Lotteries assets to public sector agencies 5
This Act authorises the transfer of any NSW Lotteries assets to one or 6
more public sector agencies. 7
6 Proceeds of transaction 8
(1) The proceeds of the transfer of NSW Lotteries assets to the private 9
sector pursuant to the authorised transaction (the transaction proceeds) 10
belong to and are payable directly to the State. 11
(2) The transaction proceeds paid to the State are to be paid into the 12
Consolidated Fund. 13
(3) The following deductions are authorised to be made from the 14
transaction proceeds: 15
(a) deduction of such amounts as the Treasurer approves to repay 16
debt and satisfy other liabilities of a public sector agency in 17
respect of NSW Lotteries assets transferred for the purposes of 18
the authorised transaction, 19
(b) deduction of such amounts as the Treasurer approves to 20
reimburse public sector agencies for payments made by them in 21
respect of any tax, duty, fee or charge imposed by any Act or law 22
of the State or any other jurisdiction in connection with a 23
transaction arrangement, 24
(c) deduction of such amounts as the Treasurer approves to satisfy 25
any liability of a public sector agency arising under or in 26
connection with a transaction arrangement, 27
(d) deduction of such amounts as the Treasurer approves to meet 28
expenses reasonably incurred by public sector agencies for the 29
purposes of the authorised transaction. 30
(4) The transaction proceeds do not include any amount certified by the 31
Treasurer to have been paid to a public sector agency as a tax, duty, fee 32
or charge imposed by any Act or law of the State in connection with a 33
transaction arrangement. 34
Page 3
Clause 6 NSW Lotteries (Authorised Transaction) Bill 2009
Part 2 The authorised transaction
(5) The deductions authorised to be made from the transaction proceeds 1
may be made before payment of the transaction proceeds into the 2
Consolidated Fund or may be made by payment from the Consolidated 3
Fund. 4
(6) The requirements of this section do not affect the validity of a 5
transaction arrangement. 6
Page 4
NSW Lotteries (Authorised Transaction) Bill 2009 Clause 7
Facilitating the authorised transaction Part 3
Part 3 Facilitating the authorised transaction 1
7 Treasurer's functions 2
The Treasurer has and may exercise all such functions as are necessary 3
or convenient for the purposes of the authorised transaction. The 4
functions conferred on the Treasurer by any other provision of this Act 5
do not limit the Treasurer's functions under this section. 6
8 Transaction companies 7
(1) The Treasurer may for the purposes of the authorised transaction 8
establish, or direct the establishment of, companies as transaction 9
companies in any of the following ways: 10
(a) the formation or acquisition by or on behalf of the State or a SOC 11
of a company limited by shares, so that all the issued shares in the 12
company are held by or on behalf of the State or a SOC (or both), 13
(b) the formation or acquisition of a company as a wholly owned 14
subsidiary company of a transaction company, 15
(c) the conversion of NSW Lotteries into a company limited by 16
shares as provided by Schedule 2. 17
(2) A transaction company that is a public sector agency may be converted 18
from one kind of company to any other kind of company. 19
(3) Except by express agreement with the Treasurer: 20
(a) a transaction company is not and does not represent the State, and 21
(b) the debts, liabilities and obligations of a transaction company are 22
not guaranteed by the State. 23
(4) The Treasurer may act for or on behalf of the State, a SOC or a 24
transaction company that is a public sector agency in connection with 25
the rights, privileges and benefits, and the duties, liabilities and 26
obligations of the State, the SOC or the transaction company as the 27
holder of shares or other securities in a transaction company. 28
(5) Shares and other securities in a transaction company that is a public 29
sector agency may be issued, sold or transferred in accordance with the 30
directions of the Treasurer. 31
(6) The Treasurer may on behalf of the State, a SOC or a transaction 32
company that is a public sector agency enter into and carry out 33
transaction arrangements for the issue, sale or transfer of shares and 34
other securities in a transaction company. 35
Page 5
Clause 9 NSW Lotteries (Authorised Transaction) Bill 2009
Part 3 Facilitating the authorised transaction
9 Functions of NSW Lotteries and transaction companies 1
(1) NSW Lotteries and any transaction company have and may exercise all 2
such functions as are necessary or convenient for the purposes of the 3
authorised transaction. 4
(2) The functions conferred by this section are in addition to any other 5
functions that NSW Lotteries or a transaction company has apart from 6
this section and those other functions do not prevent or otherwise limit 7
the exercise of the additional functions conferred by this section. 8
(3) The Treasurer may act for and on behalf of and in the name of NSW 9
Lotteries or any transaction company (while it is a public sector agency) 10
in the exercise of any of its functions for the purposes of the authorised 11
transaction. 12
10 Direction and control of NSW Lotteries and transaction companies 13
(1) NSW Lotteries and any transaction company (while it is a public sector 14
agency) are subject to the direction and control of the Treasurer in the 15
exercise of any of their functions for the purposes of the authorised 16
transaction. 17
(2) The Treasurer may give directions for the purposes of the authorised 18
transaction to NSW Lotteries and to any transaction company, and to 19
the directors and other officers of NSW Lotteries or a transaction 20
company. Any such directions must be complied with by NSW 21
Lotteries, the transaction company or the directors or other officers 22
concerned. 23
(3) Directions to a transaction company (or its directors and other officers) 24
can only be given and are only required to be complied with while the 25
transaction company is a public sector agency. 26
(4) The power to give directions under this section extends to directions 27
with respect to the way in which NSW Lotteries or a transaction 28
company is to conduct its business and other affairs. 29
(5) Action taken by NSW Lotteries to comply with a direction of the 30
Treasurer under this Act does not require the approval of the voting 31
shareholders or portfolio Minister of NSW Lotteries. 32
(6) Anything done or omitted to be done by a director or other officer of 33
NSW Lotteries or a transaction company in complying with a direction 34
given by the Treasurer under this Act does not subject the director or 35
officer personally to any action, liability, claim or demand. 36
(7) The provisions of this section are declared to be Corporations 37
legislation displacement provisions for the purposes of section 5G of the 38
Corporations Act. 39
Page 6
NSW Lotteries (Authorised Transaction) Bill 2009 Clause 11
Facilitating the authorised transaction Part 3
11 Establishment of Lotteries Assets Ministerial Holding Corporation 1
(1) There is constituted by this Act a corporation with the corporate name 2
of the Lotteries Assets Ministerial Holding Corporation. 3
(2) The affairs of the Corporation are to be managed by the Treasurer who 4
may authorise another Minister to exercise functions in relation to 5
particular assets, rights and liabilities. 6
(3) Any act, matter or thing done in the name of, or on behalf of, the 7
Corporation by the Treasurer or a Minister authorised by the Treasurer, 8
or with the authority of the Treasurer or any such Minister, is taken to 9
have been done by the Corporation. 10
(4) The Corporation has the functions conferred or imposed on it by or 11
under this or any other Act. 12
(5) The functions of the Corporation are: 13
(a) to hold, on behalf of the Crown, NSW Lotteries assets acquired 14
by it or transferred to it by or under this or any other Act, and 15
(b) to carry on any activities or business that relate to any NSW 16
Lotteries assets held by it, including demanding, collecting and 17
receiving charges, levies, rates, royalties and fees, and 18
(c) such other functions for the purposes of the authorised 19
transaction as may be prescribed by the regulations. 20
12 Vesting orders 21
The Treasurer may make vesting orders under Schedule 3 for the 22
purposes of the authorised transaction. 23
13 Employee protections 24
Schedule 4 contains provisions relating to the transfer of employees of 25
NSW Lotteries for the purposes of the authorised transaction. 26
14 State taxes 27
(1) In this section: 28
relevant matter means any of the following: 29
(a) the transfer of NSW Lotteries assets for the purposes of the 30
authorised transaction, 31
(b) a vesting of assets, rights or liabilities by operation of Schedule 3 32
(Vesting of assets, rights and liabilities) and anything certified by 33
the Treasurer as having been done in consequence of such a 34
vesting (for example, the transfer or registration of an interest in 35
land), 36
Page 7
Clause 15 NSW Lotteries (Authorised Transaction) Bill 2009
Part 3 Facilitating the authorised transaction
(c) the issue, disposal or purchase of shares or other securities in a 1
company for the purposes of the authorised transaction, 2
(d) any matter connected with the corporate conversion of NSW 3
Lotteries for the purposes of the authorised transaction, 4
(e) such other matters for the purposes of the authorised transaction 5
as may be prescribed by the regulations. 6
State tax means application or registration fees, duty under the Duties 7
Act 1997 or any other tax, duty, fee or charge imposed by any Act or law 8
of the State. 9
(2) State tax is not payable by a public sector agency in relation to a relevant 10
matter. 11
(3) State tax is not payable by a person or body (other than a public sector 12
agency) in relation to a relevant matter to such extent (if any) as the 13
Treasurer may direct by order in writing, either generally or in a 14
particular case. 15
(4) An order may be made by the Treasurer under this section before or 16
after the liability to pay the State tax concerned accrues. 17
(5) The Treasurer must give a copy of an order under this section to the 18
Chief Commissioner of State Revenue. 19
15 Contracts for sale of land 20
Section 52A (Contracts for sale of land) of the Conveyancing Act 1919 21
does not apply to a contract for the sale of land that is entered into for 22
the purposes of the authorised transaction. 23
Page 8
NSW Lotteries (Authorised Transaction) Bill 2009 Clause 16
Miscellaneous Part 4
Part 4 Miscellaneous 1
16 Release of information by Auditor-General 2
Section 38 (Secrecy) of the Public Finance and Audit Act 1983 does not 3
apply to or in respect of a report or communication that the Treasurer 4
authorises the Auditor-General to make to a person for the purposes of 5
the authorised transaction. 6
17 Delegation 7
The Treasurer may delegate to the Secretary of the Treasury, or to any 8
other officer of the Government Service prescribed by the regulations, 9
any function of the Treasurer under this Act except this power of 10
delegation. 11
18 Act to bind State and other jurisdictions 12
(1) This Act binds the State and, in so far as the legislative power of the 13
Parliament of New South Wales permits, the other States, the Territories 14
and the Commonwealth. 15
(2) Without limiting subsection (1), this Act has effect despite any privilege 16
or immunity of the Crown in any of its capacities. 17
(3) This Act does not make any State or Territory, the Commonwealth, or 18
the Crown in any of its capacities, liable to be prosecuted for an offence. 19
(4) A reference in this section to a State, Territory or the Commonwealth 20
includes a reference to the Government of the State, Territory or 21
Commonwealth. 22
19 General relationship of Act with other State legislation 23
(1) None of the following provisions operate to prevent, restrict or 24
otherwise limit the carrying out of the authorised transaction or the 25
exercise of a function for the purposes of the authorised transaction: 26
(a) any provision of the State Owned Corporations Act 1989 or the 27
New South Wales Lotteries Corporatisation Act 1996, 28
(b) any provision of the constitution of NSW Lotteries or a 29
subsidiary of NSW Lotteries. 30
(2) In the event of any inconsistency between the provisions of this Act or 31
the regulations and a provision of any other State legislation that is 32
prescribed by the regulations as an inconsistent provision for the 33
purposes of this section, the provisions of this Act or the regulations (as 34
the case may be) prevail to the extent of the inconsistency. 35
Page 9
Clause 20 NSW Lotteries (Authorised Transaction) Bill 2009
Part 4 Miscellaneous
20 Extraterritorial operation of Act 1
(1) It is the intention of the Parliament of New South Wales that the 2
operation of this Act should, as far as possible, include operation in 3
relation to the following: 4
(a) things situated in or outside the territorial limits of the State, 5
(b) acts, transactions and matters done, entered into or occurring in 6
or outside the territorial limits of the State, 7
(c) things, acts, transactions and matters (wherever situated, done, 8
entered into or occurring) that would, apart from this Act, be 9
governed or otherwise affected by the law of another State, a 10
Territory, the Commonwealth or a foreign country. 11
(2) Without limiting subsection (1), it is the intention of the Parliament of 12
New South Wales that the provisions of this Act have an operation in 13
relation to the things, acts, transactions and matters referred to in that 14
subsection even if the rules of private international law (whether at 15
general law or as provided by legislation) would require the application 16
of a law other than this Act instead of the provisions of this Act. 17
21 Construction of Act and instruments so as not to exceed legislative 18
power 19
(1) Unless a contrary intention appears, if a provision of this Act or an 20
instrument made under this Act: 21
(a) would, apart from this section, have an invalid application, but 22
(b) also has at least one valid application, 23
it is the intention of the Parliament of New South Wales that the 24
provision is not to have the invalid application, but is to have every valid 25
application. 26
(2) Despite subsection (1), the provision is not to have a particular valid 27
application if: 28
(a) apart from this section, it is clear, taking into account the 29
provision's context and the purposes or objects underlying this 30
Act, that the provision was intended to have that valid application 31
only if every invalid application, or a particular invalid 32
application, of the provision had also been within the legislative 33
power of the Parliament of New South Wales, or 34
(b) the provision's operation in relation to that valid application 35
would be different in a substantial respect from what would have 36
been its operation in relation to that valid application if every 37
invalid application, or a particular invalid application, of the 38
provision had been within the legislative power of the Parliament 39
of New South Wales. 40
Page 10
NSW Lotteries (Authorised Transaction) Bill 2009 Clause 22
Miscellaneous Part 4
(3) Subsection (2) does not limit the cases in which a contrary intention 1
may be taken to appear for the purposes of subsection (1). 2
(4) This section is in addition to, and not in derogation of, section 31 of the 3
Interpretation Act 1987. 4
(5) In this section: 5
application means an application in relation to: 6
(a) one or more particular persons, things, matters, places, 7
circumstances or cases, or 8
(b) one or more classes (however defined or determined) of persons, 9
things, matters, places, circumstances or cases. 10
invalid application, in relation to a provision, means an application 11
because of which the provision exceeds the legislative power of the 12
Parliament of New South Wales. 13
valid application, in relation to a provision, means an application 14
which, if it were the provision's only application, would be within the 15
legislative power of the Parliament of New South Wales. 16
22 Protection of contractual and other obligations 17
(1) This section applies to the following: 18
(a) the operation of this Act (including any order under this Act and 19
anything done or omitted to be done under or for the purposes of 20
this Act), 21
(b) the transfer of NSW Lotteries assets for the purposes of the 22
authorised transaction, 23
(c) the entering into or performance of obligations under a 24
transaction arrangement by a public sector agency, 25
(d) a disclosure of information by, on behalf of or with the consent 26
of a public sector agency for the purposes of the authorised 27
transaction. 28
(2) None of the matters or things to which this section applies are to be 29
regarded as: 30
(a) a breach of contract or confidence or otherwise as a civil wrong, 31
or 32
(b) a breach of any instrument (including, without limitation, any 33
provision prohibiting, restricting or regulating the assignment or 34
transfer of assets, rights or liabilities) or as requiring any act to be 35
done under an instrument, or 36
(c) giving rise to any right or remedy by a party to a contract or other 37
instrument, or as causing or permitting the termination of, or 38
exercise of rights under, any contract or other instrument, or 39
Page 11
Clause 23 NSW Lotteries (Authorised Transaction) Bill 2009
Part 4 Miscellaneous
(d) an event of default under any contract or other instrument, or 1
(e) giving rise to a breach of or an offence against a provision of an 2
Act that prohibits or restricts the disclosure of information, or 3
(f) releasing a surety or other obligee wholly or in part from an 4
obligation. 5
(3) This section does not affect the rights and obligations of the parties to a 6
transaction arrangement in respect of the performance of obligations 7
under the transaction arrangement. 8
(4) In this section: 9
instrument means an instrument (other than an instrument made under 10
this Act) or any other document that creates, modifies or extinguishes 11
rights or liabilities (or would do so if lodged, filed or registered in 12
accordance with any law), and includes any judgment, order, process or 13
other instrument issued by a court or tribunal. 14
23 Compensation not payable 15
(1) Compensation is not payable by or on behalf of the State: 16
(a) because of the enactment or operation of this Act, or for any 17
consequence of that enactment or operation, or 18
(b) because of any statement or conduct relating to the enactment of 19
this Act. 20
(2) This section does not extend to compensation payable under a 21
transaction arrangement to a party to the transaction arrangement in 22
connection with the performance of obligations under the transaction 23
arrangement. 24
(3) In this section: 25
compensation includes damages or any other form of monetary 26
compensation. 27
conduct includes any act or omission, whether unconscionable, 28
misleading, deceptive or otherwise. 29
operation of this Act includes the operation of any notice or order under 30
this Act and any agreement entered into under or for the purposes of this 31
Act. 32
statement includes a representation of any kind: 33
(a) whether made verbally or in writing, and 34
(b) whether negligent, false, misleading or otherwise. 35
the State means the Crown within the meaning of the Crown 36
Proceedings Act 1988, and includes a public sector agency and an 37
officer, employee or agent of the Crown or a public sector agency. 38
Page 12
NSW Lotteries (Authorised Transaction) Bill 2009 Clause 24
Miscellaneous Part 4
24 Certificate evidence 1
A certificate purporting to be signed by the Treasurer or an officer 2
prescribed by the regulations certifying that an order specified or 3
referred to in the certificate is an order made by the Treasurer under a 4
specified provision of this Act is admissible in evidence in any legal 5
proceedings and is evidence of the matters certified. 6
25 Regulations 7
The Governor may make regulations, not inconsistent with this Act, for 8
or with respect to any matter that by this Act is required or permitted to 9
be prescribed or that is necessary or convenient to be prescribed for 10
carrying out or giving effect to this Act. 11
26 Savings and transitional regulations 12
(1) The regulations may contain provisions of a savings or transitional 13
nature consequent on the enactment of this Act. 14
(2) For the avoidance of doubt, any such provision may, if the regulations 15
so provide, have effect despite any specified provision of this Act. 16
(3) Any such provision may, if the regulations so provide, take effect from 17
the date of assent to this Act or a later date. 18
(4) To the extent to which any such provision takes effect from a date that 19
is earlier than the date of its publication on the NSW legislation website, 20
the provision does not operate so as: 21
(a) to affect, in a manner prejudicial to any person (other than the 22
State or an authority of the State), the rights of that person 23
existing before the date of its publication, or 24
(b) to impose liabilities on any person (other than the State or an 25
authority of the State) in respect of anything done or omitted to 26
be done before the date of its publication. 27
27 Repeal of New South Wales Lotteries Corporatisation Act 1996 No 85 28
The New South Wales Lotteries Corporatisation Act 1996 is repealed. 29
Page 13
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 1 Interpretative provisions
Schedule 1 Interpretative provisions 1
(Section 3) 2
1 Definitions 3
In this Act: 4
assets means any legal or equitable estate or interest (whether present or 5
future, whether vested or contingent and whether personal or 6
assignable) in real or personal property of any description (including 7
money), and includes securities, choses in action and documents. 8
authorised transaction--see section 3. 9
corporate conversion, in relation to NSW Lotteries, means the 10
registration of NSW Lotteries as a company under the Corporations 11
Act. 12
Corporations Act means the Corporations Act 2001 of the 13
Commonwealth. 14
exercise a function includes perform a duty. 15
function includes a power, authority or duty. 16
general law means the common law and equity (as modified from time 17
to time by legislation). 18
legislation includes: 19
(a) any statute of a legislature (whether enacted or made in Australia 20
or elsewhere), and 21
(b) any proclamation, regulation, rule, by-law, order or any other 22
kind of subordinate legislation (however described) made under 23
the authority of a statute (whether enacted or made in Australia 24
or elsewhere). 25
liabilities means any liabilities, debts or obligations (whether present or 26
future, whether vested or contingent and whether personal or 27
assignable). 28
Lotteries Assets Ministerial Holding Corporation or the Corporation 29
means the Lotteries Assets Ministerial Holding Corporation constituted 30
by this Act. 31
NSW Lotteries--see section 3. 32
NSW Lotteries assets--see section 3. 33
private sector means any person other than a public sector agency. 34
Note. A person who is a public sector agency of another jurisdiction is a private 35
sector person for the purposes of this Act. 36
public sector agency means any of the following: 37
(a) the State (including the Crown in right of the State), 38
Page 14
NSW Lotteries (Authorised Transaction) Bill 2009
Interpretative provisions Schedule 1
(b) a Minister, 1
(c) NSW Lotteries, 2
(d) the Ministerial Holding Corporation constituted by the State 3
Owned Corporations Act 1989, 4
(e) the Lotteries Assets Ministerial Holding Corporation, 5
(f) a public authority of the State, 6
(g) a SOC, 7
(h) any other person acting on behalf of the State (or the Crown in 8
right of the State), 9
(i) a transaction company, but only while all the shares in the 10
transaction company are held by or on behalf of the State or a 11
SOC or the transaction company is a subsidiary of another 12
transaction company all the shares in which are held by or on 13
behalf of the State or a SOC. 14
rights means any rights, powers, privileges or immunities (whether 15
present or future, whether vested or contingent and whether personal or 16
assignable). 17
SOC means a State owned corporation within the meaning of the State 18
Owned Corporations Act 1989. 19
State legislation means any legislation of the State. 20
transaction arrangement means a transaction, agreement or other 21
arrangement entered into by a public sector agency for the purposes of 22
the authorised transaction. 23
transaction company means a company established as a transaction 24
company pursuant to this Act. 25
2 Functions for the purposes of the authorised transaction 26
For the purposes of this Act, any act, matter or thing is done or has effect 27
for the purposes of the authorised transaction if it is done or has effect 28
for the purpose of effecting or facilitating the authorised transaction or 29
is done or has effect for any purpose that is ancillary or incidental to or 30
consequential on the authorised transaction. 31
3 Transfer of NSW Lotteries assets--interpretation 32
(1) When this Act authorises the transfer of NSW Lotteries assets to the 33
private sector it is authorising any transaction, arrangement or other 34
action that results in NSW Lotteries assets becoming vested in one or 35
more persons in the private sector. 36
Page 15
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 1 Interpretative provisions
(2) The following are examples of the ways in which NSW Lotteries assets 1
can be transferred to the private sector: 2
(a) direct sale to the private sector, 3
(b) sale to the private sector of a transaction entity, 4
(c) any other transaction whereby any one or more persons in the 5
private sector becomes an owner of NSW Lotteries assets. 6
(3) The transfer of NSW Lotteries assets to the private sector does not 7
require a transfer of NSW Lotteries assets by or from NSW Lotteries 8
and could, for example, be effected by the corporate conversion of 9
NSW Lotteries (to establish a transaction company) and the transfer of 10
shares in the transaction company to the private sector. 11
(4) In this clause: 12
entity includes a transaction company. 13
sale of an entity includes a sale of securities in the entity. 14
transaction entity means: 15
(a) an entity that holds NSW Lotteries assets or into which NSW 16
Lotteries is converted, or 17
(b) an entity that is the holding company of an entity referred to in 18
paragraph (a), or 19
(c) an entity that has control (within the meaning of the Corporations 20
Act) of an entity referred to in paragraph (a), or 21
(d) any other entity the sale of which to the private sector results in 22
NSW Lotteries assets being vested in the private sector. 23
4 Words and expressions defined in Corporations Act 24
Words and expressions used in this Act that are defined in section 9 of 25
the Corporations Act have the same meanings as in that section, except 26
in so far as they are defined differently in this Act or the context or 27
subject-matter otherwise indicates or requires. 28
5 Notes 29
Notes included in this Act do not form part of this Act. 30
Page 16
NSW Lotteries (Authorised Transaction) Bill 2009
Corporate conversion of NSW Lotteries Schedule 2
Schedule 2 Corporate conversion of NSW Lotteries 1
(Section 8) 2
1 Direction for corporate conversion of NSW Lotteries 3
The Treasurer may direct by order in writing (a corporate conversion 4
direction) that NSW Lotteries be converted into a company limited by 5
shares of a specified type. 6
2 Application for conversion to company 7
(1) If a corporate conversion direction is given, NSW Lotteries is 8
authorised to apply to be registered under Part 5B.1 of the Corporations 9
Act as a company limited by shares of the type specified in the direction. 10
(2) The Treasurer can certify that the provisions of this Act have been 11
complied with concerning the transfer of the incorporation of NSW 12
Lotteries to the Corporations Act, and such a certificate is conclusive 13
evidence in any proceedings before a court or tribunal that all the 14
requirements of this Act have been complied with concerning the 15
transfer of the incorporation of NSW Lotteries to the Corporations Act. 16
(3) The Treasurer's certificate under this clause cannot be challenged, 17
reviewed or called into question in proceedings before any court or 18
tribunal. 19
3 Effect of conversion 20
(1) The following provisions are taken to have had effect immediately 21
before NSW Lotteries is registered as a company under the 22
Corporations Act: 23
(a) NSW Lotteries ceases to be a statutory State owned corporation 24
for the purposes of the State Owned Corporations Act 1989 or 25
any other State legislation, 26
(b) the voting shareholders (within the meaning of the State Owned 27
Corporations Act 1989) of NSW Lotteries cease to be members 28
of the corporation, 29
(c) the board of directors of NSW Lotteries is dissolved and each 30
member (including any acting member) of the board ceases to 31
hold office as such, 32
(d) any person who holds a statutory office of NSW Lotteries ceases 33
to hold that office, subject to Schedule 4 (Employee protections), 34
(e) any person who ceases to be a member of NSW Lotteries or to 35
hold an office because of the operation of this subclause is not 36
entitled to any compensation for the loss of that membership or 37
office. 38
Page 17
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 2 Corporate conversion of NSW Lotteries
(2) Nothing in this clause prevents any person from becoming an officer of 1
the company into which NSW Lotteries is being converted in 2
accordance with its constitution and the provisions of the Corporations 3
Act. 4
(3) NSW Lotteries becomes a transaction company for the purposes of this 5
Act only when it is registered as a company under the Corporations Act. 6
Page 18
NSW Lotteries (Authorised Transaction) Bill 2009
Vesting of assets, rights and liabilities Schedule 3
Schedule 3 Vesting of assets, rights and liabilities 1
(Section 12) 2
1 Definitions 3
In this Schedule: 4
transferee means the person or body in whom any assets, rights or 5
liabilities are vested by a vesting order. 6
transferor means the person or body from whom any assets, rights or 7
liabilities are divested by a vesting order. 8
vesting order--see clause 2. 9
2 Making of vesting order 10
The Treasurer may, by order (a vesting order), vest assets, rights and 11
liabilities of NSW Lotteries or a transaction company in a person 12
specified in the order as the transferee. 13
3 Vesting of assets, rights and liabilities in transferee 14
(1) When any assets, rights or liabilities are vested by a vesting order, the 15
following provisions have effect (subject to the vesting order): 16
(a) the assets vest in the transferee by virtue of this clause and 17
without the need for any conveyance, transfer, assignment or 18
assurance, 19
(b) the rights and liabilities become, by virtue of this clause, the 20
rights and liabilities of the transferee, 21
(c) all proceedings relating to the assets, rights or liabilities pending 22
by or against the transferor are taken to be proceedings pending 23
by or against the transferee, 24
(d) any act, matter or thing done or omitted to be done in relation to 25
the assets, rights or liabilities by, to or in respect of the transferor 26
is (to the extent that the act, matter or thing has any force or 27
effect) taken to have been done or omitted by, to or in respect of 28
the transferee, 29
(e) a reference in any Act, in any instrument made under any Act or 30
in any document of any kind to the transferor or a predecessor of 31
the transferor is (to the extent that it relates to those assets or 32
liabilities but subject to the regulations), to be read as, or as 33
including, a reference to the transferee. 34
(2) No attornment to the transferee by a lessee from the transferor is 35
required. 36
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 3 Vesting of assets, rights and liabilities
4 Terms and conditions of vesting 1
A vesting order may be made on such terms and conditions as are 2
specified in the order. 3
5 Consideration for vesting 4
A vesting order may specify the consideration for which a vesting to 5
which it applies is made and the value or values at which assets, rights 6
or liabilities are vested. 7
6 Date of vesting 8
A vesting order takes effect on the date it is made or on such other date 9
as may be specified in the order. 10
7 Vesting of interests in land 11
(1) A vesting order may vest an interest in respect of land vested in the 12
transferor without vesting the whole of the interests of the transferor in 13
that land. 14
(2) If the interest vested is not a separate interest, the order operates to 15
create the interest vested in such terms as are specified in the order. 16
(3) This clause does not limit any other provision of this Schedule. 17
8 Confirmation of vesting 18
(1) The Treasurer may by order in writing confirm a vesting of particular 19
assets, rights or liabilities by operation of this Schedule. 20
(2) Such an order is evidence of that vesting. 21
9 Determinations by Treasurer 22
For the purposes of the making of a vesting order, the Treasurer may 23
determine whether or not particular assets, rights or liabilities comprise 24
assets, rights or liabilities of NSW Lotteries or a transaction company at 25
a particular time, and such a determination is conclusive as to the 26
matters determined. 27
10 Certification to registration authorities 28
(1) In this clause: 29
registration authority means a person or body that has functions under 30
any law in connection with the keeping of a register in respect of assets, 31
rights or liabilities. 32
(2) A public sector agency that is the transferee or transferor under a vesting 33
order may lodge with a registration authority a certificate certifying as 34
to such information as may reasonably be required by the registration 35
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NSW Lotteries (Authorised Transaction) Bill 2009
Vesting of assets, rights and liabilities Schedule 3
authority to enable the registration authority to exercise any function of 1
the authority arising in connection with the vesting of any asset, right or 2
liability pursuant to the vesting order. 3
(3) Such a certificate is to be accepted and acted upon by the registration 4
authority and, despite any other law, the registration authority is not 5
entitled to require that the information concerned be provided to it in 6
any particular form or in any particular manner. 7
(4) No fee or charge is payable by the transferee to a registration authority 8
for or in respect of the exercise of any function by the registration 9
authority in connection with the vesting of an asset, right or liability by 10
a vesting order. 11
11 Evidence of orders and certificates 12
A document purporting to be a vesting order or an order or certificate 13
given under a provision of this Schedule is, unless the contrary is 14
established, taken to be such an order or certificate and to have been 15
properly made or given. 16
12 Public sector accounting policies 17
The Treasurer may give directions to public sector agencies for or with 18
respect to accounting policies to be applied by public sector agencies in 19
connection with the transfer between public sector agencies of assets, 20
rights and liabilities of NSW Lotteries or a transaction company for the 21
purposes of the authorised transaction (in place of public sector 22
accounting policies that would otherwise be applicable in respect of any 23
such transfer). 24
Page 21
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 4 Employee protections
Schedule 4 Employee protections 1
(Section 13) 2
1 Definitions 3
In this Schedule: 4
contract employee means an employee of NSW Lotteries whose 5
employment is under an individual contract of employment. 6
permanent employee means an employee of NSW Lotteries whose 7
employment is in a category of employment that is described in the 8
relevant award as permanent employment. 9
relevant award means: 10
(a) New South Wales Lotteries Corporation (Salaries, Allowances 11
and Conditions of Employment) 2008 Award of the Industrial 12
Relations Commission, or 13
(b) any award, agreement or industrial instrument (under a law of the 14
State or of the Commonwealth) to which NSW Lotteries is a 15
party and that is expressed to cover employees of NSW Lotteries, 16
to the extent that it replaces or supersedes the Award referred to 17
in paragraph (a). 18
temporary employee means an employee of NSW Lotteries whose 19
employment is in a category of employment that is described in the 20
relevant award as temporary employment. 21
transaction completion means the day certified by the Treasurer by 22
order in writing as the day on which the authorised transaction is 23
completed. 24
transferred employee means an employee of NSW Lotteries whose 25
employment is transferred under this Schedule. 26
2 Transfer of employees 27
(1) The Treasurer may by order in writing transfer the employment of an 28
employee of NSW Lotteries to the employment of a Department of the 29
Public Service or to the employment of an employer in the private 30
sector. 31
(2) A transaction company is considered to be an employer in the private 32
sector for the purposes of this Schedule even while it is a public sector 33
agency. 34
(3) A person who is a permanent employee or temporary employee of NSW 35
Lotteries may decline to be transferred to employment in the private 36
sector, in which case the employee may only be transferred under this 37
Schedule to the employment of a Department of the Public Service. 38
Page 22
NSW Lotteries (Authorised Transaction) Bill 2009
Employee protections Schedule 4
(4) The employer to whose employment an employee is transferred under 1
this Schedule is the new employer. 2
3 Employment protection for employees transferred to private sector 3
(1) The employment of a transferred employee with the new employer in 4
the private sector is to be on the same terms and conditions as applied 5
to the employee under the relevant award or the employee's contract of 6
employment immediately before the transfer of employment. 7
(2) Those terms and conditions cannot be varied during the employment 8
guarantee period for the transferred employee except by agreement 9
entered into by or on behalf of the transferred employee. 10
(3) The employment of a transferred employee with the new employer 11
cannot be terminated by the new employer during the employment 12
guarantee period, except: 13
(a) for serious misconduct, or 14
(b) pursuant to the proper application of reasonable disciplinary 15
procedures, or 16
(c) pursuant to a direction in respect of which section 57 (Power to 17
terminate employment of key employee at Minister's direction) 18
of the Public Lotteries Act 1996 applies, or 19
(d) by agreement with the employee. 20
(4) The employment guarantee period for a transferred employee is: 21
(a) for permanent employees--the period of 3 years after the 22
transaction completion, and 23
(b) for temporary employees--the remainder of the employee's 24
current term of employment (as specified in the contract under 25
which the employee was engaged as a temporary employee) 26
immediately before the transaction completion or the period of 3 27
years after the transaction completion, whichever period ends 28
first, and 29
(c) for contract employees--there is no employment guarantee 30
period for contract employees. 31
Note. The employment of a transferred employee who is a contract 32
employee remains governed by the contract of employment. 33
4 Employment protection for employees transferred to Public Service 34
(1) The employment of a person who is transferred to a Department under 35
this Schedule is to be on the same terms and conditions as applied to the 36
employee under the relevant award immediately before the transfer, 37
subject to this clause. 38
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 4 Employee protections
(2) The employment of a transferred employee with the new employer is to 1
be managed in accordance with any relevant public sector policy (an 2
excess employee policy) applicable to excess employees of 3
Departments, and for that purpose the employee is to be treated as an 4
employee declared excess by the Department to which the employee is 5
transferred on the basis that the employee's substantive position in the 6
Department has been deleted. 7
(3) The terms and conditions of employment of the transferred employee 8
cannot be varied for 12 months after the employee becomes an 9
employee of the new employer except by agreement with the employee 10
or in accordance with an excess employee policy. 11
(4) This clause does not operate to extend the period of engagement of a 12
temporary employee of NSW Lotteries. A transferred employee who 13
was a temporary employee of NSW Lotteries immediately before the 14
transfer is not entitled to employment as a transferred employee beyond 15
the finishing date of the person's employment as a temporary employee 16
of NSW Lotteries (as specified in the contract under which the 17
employee was engaged as a temporary employee). 18
5 Superannuation 19
(1) A transferred employee is entitled to continue as a contributor, member 20
or employee for the purposes of any superannuation scheme in respect 21
of which he or she was a contributor, member or employee (as an 22
employee of NSW Lotteries) immediately before the transfer of 23
employment and remains so entitled subject to any variation to that 24
entitlement made either by agreement or otherwise in accordance with 25
law. 26
(2) The new employer is taken to be an employer for the purposes of any 27
superannuation scheme in respect of which the transferred employee 28
continues as a contributor, member or employee pursuant to an 29
entitlement under this clause. 30
6 Continuity of employment 31
The continuity of a transferred employee's employment is taken not to 32
have been broken by the transfer of employment, and service of the 33
employee with NSW Lotteries (including service deemed to be service 34
with NSW Lotteries) that is continuous service up to the time of transfer 35
is deemed for all purposes to be service with the new employer. 36
7 Accrued leave entitlements 37
(1) A transferred employee retains any rights to sick leave, annual leave or 38
long service leave accrued or accruing immediately before the transfer 39
of employment (except accrued leave for which the employee has, on 40
Page 24
NSW Lotteries (Authorised Transaction) Bill 2009
Employee protections Schedule 4
ceasing to be an employee of NSW Lotteries, been paid the monetary 1
value in pursuance of any other entitlement of the employee). 2
(2) Nothing in the Industrial Relations Act 1996, the Long Service Leave 3
Act 1955 or the Annual Holidays Act 1944 prevents payment in 4
connection with the operation of this Act of the monetary value of 5
annual leave or long service leave in lieu of an entitlement to that leave 6
accrued by a person as an employee of a public sector agency before the 7
transfer of the employee's employment under this Schedule. 8
8 Transfer payments 9
(1) A transferred employee is not entitled to receive any payment or other 10
benefit (including in the nature of severance pay or redundancy or other 11
compensation) merely because the employee ceased to be an employee 12
of NSW Lotteries, or the employee's contract of employment with 13
NSW Lotteries was terminated, as a result of the transfer of employment 14
(but without affecting any entitlement to a transfer payment under this 15
clause). 16
(2) The Treasurer or another public sector agency may enter into 17
agreements or other arrangements with respect to the making of transfer 18
payments to employees in connection with the transfer of employment 19
of employees under this Schedule or otherwise in connection with the 20
operation of this Act. 21
(3) Any such arrangements may provide for the payment of any such 22
transfer payments to be payments on the occasion of the termination of 23
employment with the current employer despite any provision of this 24
Schedule. 25
9 Workplace relations 26
The Treasurer may negotiate and enter into agreements or industrial 27
instruments concerning workplace relations for or on behalf of the State 28
or a public sector agency in connection with the operation of this 29
Schedule. 30
10 Operation of Commonwealth law 31
(1) A provision of this Schedule (including a provision to the extent that it 32
imposes or continues a term or condition of employment) has no effect 33
to the extent of any inconsistency with any provision of the Workplace 34
Relations Act 1996 or Fair Work Act 2009 of the Commonwealth or of 35
any instrument under either of those Acts. 36
(2) This clause is not intended to limit the operation of section 21 37
(Construction of Act and instruments so as not to exceed legislative 38
power) of this Act. 39
Page 25
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
Schedule 5 Amendment of Acts 1
5.1 Public Lotteries Act 1996 No 86 2
[1] Section 3 Objects of Act 3
Insert at the end of section 3 (b): 4
, and 5
(c) to ensure that, on balance, the State and the community as 6
a whole benefit from the conduct of public lotteries. 7
[2] Section 4 Definitions 8
Omit the definition of licence from section 4 (1). Insert instead: 9
licence means an operator licence or product licence in force 10
under this Act. 11
[3] Section 4 (1) 12
Insert in alphabetical order: 13
operator licence--see section 10. 14
product licence--see section 10. 15
[4] Section 5A 16
Insert after section 5: 17
5A Meaning of "close associate" 18
(1) For the purposes of this Act, a person is a close associate of 19
another if the person: 20
(a) holds or will hold any relevant financial interest, or is or 21
will be entitled to exercise any relevant power (whether in 22
his or her own right or on behalf of any other person), in 23
the lottery business of the other person, and by virtue of 24
that interest or power is or will be able (in the opinion of 25
the Minister) to exercise a significant influence over or 26
with respect to the management or operation of that 27
business, or 28
(b) holds or will hold any relevant position, whether in his or 29
her own right or on behalf of any other person, in the 30
lottery business of the other person. 31
(2) In this section: 32
lottery business means the business conducted or to be conducted 33
by a person under the authority of an operator licence. 34
Page 26
NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
relevant financial interest, in relation to a business, means: 1
(a) any share in the capital of the business, or 2
(b) any entitlement to receive any income derived from the 3
business, or to receive any other financial benefit or 4
financial advantage from the carrying on of the business, 5
whether the entitlement arises at law or in equity or 6
otherwise, or 7
(c) any entitlement to receive any rent, profit or other income 8
in connection with the use or occupation of premises on 9
which the lottery business of the other person is to be 10
carried on (such as, for example, an entitlement of the 11
owner of premises to receive rent as lessor of the 12
premises). 13
relevant position means: 14
(a) the position of director, manager or secretary, or 15
(b) any other position, however designated, if it is an 16
executive position. 17
relevant power means any power, whether exercisable by voting 18
or otherwise and whether exercisable alone or in association with 19
others: 20
(a) to participate in any directorial, managerial or executive 21
decision, or 22
(b) to elect or appoint any person to any relevant position. 23
(3) A financial institution is not a close associate for the purposes of 24
this section by reason only of having a relevant financial interest 25
in relation to a business. 26
[5] Part 3 27
Omit the Part. Insert instead: 28
Part 3 Licences to conduct public lotteries 29
Division 1 Grant of licences 30
10 Operator licences and product licences 31
(1) The Minister can grant the following kinds of licences for the 32
purposes of this Act: 33
(a) an operator licence, which is a licence to conduct any 34
public lottery for which the licensee holds a product 35
licence, 36
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
(b) a product licence, which is a licence for a particular public 1
lottery that is issued to the licensee under an operator 2
licence to authorise the licensee to conduct the particular 3
public lottery. 4
(2) The grant of an operator licence requires the approval of the 5
Treasurer. 6
(3) A product licence can only be held by the holder of an operator 7
licence. 8
(4) Both kinds of licence can only be held by a corporation or by 2 or 9
more corporations jointly. 10
11 Considerations for grant of operator licence 11
(1) The Minister is not to grant an operator licence to a person (the 12
applicant) unless satisfied that the applicant and each close 13
associate of the applicant is a suitable person to be concerned in 14
or associated with the management and operation of the business 15
(the lottery business) to be conducted under the licence. 16
(2) For the purpose of determining suitability to be concerned in or 17
associated with the management and operation of a lottery 18
business the Minister is to consider whether: 19
(a) the applicant and each close associate is of good repute, 20
having regard to character, honesty and integrity, and 21
(b) the applicant and each close associate is of sound and 22
stable financial background, and 23
(c) the applicant has, or has arranged, a satisfactory ownership 24
or corporate structure, and 25
(d) the applicant has or is able to obtain financial resources 26
that are both suitable and adequate for ensuring the 27
financial viability of the lottery business, and 28
(e) the applicant has or is able to obtain the services of persons 29
who have sufficient experience in the management and 30
operation of a lottery business, and 31
(f) the applicant has sufficient business ability to establish and 32
maintain a successful lottery business, and 33
(g) the applicant has sufficient technical expertise and 34
resources to conduct lotteries of the kind to be conducted 35
as part of the lottery business, and 36
(h) the applicant or any close associate has any business 37
association with any person, body or association who, in 38
the opinion of the Minister, is not of good repute having 39
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
regard to character, honesty and integrity or has 1
undesirable or unsatisfactory financial sources, and 2
(i) each director, partner, executive officer and secretary and 3
any other officer or person determined by the Minister to 4
be associated or connected with the ownership, 5
administration or management of the operations of the 6
lottery business of the applicant is a suitable person to act 7
in that capacity. 8
12 Considerations for grant of product licence 9
(1) The Minister is not to grant a product licence for the conduct of a 10
game as a public lottery unless satisfied that the game is suitable 11
to be conducted as a public lottery. 12
(2) For the purpose of determining the suitability of a game to be 13
conducted as a public lottery the Minister is to consider: 14
(a) whether the proposed rules of the game are appropriate and 15
sufficient to ensure the game's integrity as a public lottery, 16
and 17
(b) whether the harm minimisation and consumer protection 18
measures proposed for the conduct of the game are 19
appropriate and sufficient for the purposes of the conduct 20
of the game as a public lottery, and 21
(c) such other matters as the Minister considers relevant. 22
13 Police assistance 23
(1) The Minister and the Commissioner of Police may enter into 24
arrangements for the supply to the Minister of information 25
contained in the records of the NSW Police Force to assist in the 26
effectual administration of this Part. Those arrangements are 27
sufficient authority for the supply of that information. 28
(2) The Minister may arrange with the Commissioner of Police for 29
police officers to be seconded or otherwise engaged to assist the 30
Minister in the exercise of functions under this Part. 31
14 Conditions of licence 32
(1) The Minister may impose any conditions on a licence at the time 33
of its issue. 34
(2) The Minister may at any time amend the conditions of a licence 35
(by imposing further conditions or by altering or removing 36
existing conditions) but only with the agreement of the licensee. 37
In addition, in the case of an operator licence, the Minister may 38
Page 29
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
not amend the conditions of the licence without the approval of 1
the Treasurer. 2
(3) The agreement of the licensee is not required for an amendment 3
to the conditions of a licence under Division 2 (Disciplinary 4
action). 5
(4) The approval of the Treasurer must be obtained for the inclusion 6
in a licence (either at the time of issue or by subsequent 7
amendment) of a condition specifying the general duty or licence 8
duty, or both, to be paid by the licensee to the Treasurer in 9
accordance with Part 5. 10
Note. Part 5 provides for the inclusion of conditions in the licence 11
relating to the prize fund for a public lottery, and to the payment of duty 12
by the licensee in connection with the grant of the licence and the 13
conduct of the public lottery. 14
(5) The conditions of a licence must at all times include the 15
conditions specified in Schedule 1 as the mandatory conditions of 16
the licence. 17
(6) Without limiting the conditions that can be imposed on a licence, 18
any of the conditions specified in Schedule 1 as the optional 19
conditions of a licence can be imposed on a licence. 20
(7) A licensee may apply to the Minister for an amendment of the 21
conditions of the licence and any such application is to be made 22
and determined in accordance with any relevant conditions of the 23
licence. 24
15 Licence fees 25
The Minister may require the payment of fees for or in 26
connection with the consideration and determination of an 27
application for the grant or transfer of a licence (including fees to 28
cover reasonable costs incurred in investigating and inquiring 29
into any application or proposal for the grant or transfer of a 30
licence). 31
16 Consideration payment for licence 32
(1) The Minister may, on the occasion of the grant of an operator 33
licence, require the licensee to pay a consideration payment in 34
connection with the grant of the licence. 35
(2) The Minister may determine that the consideration payment is to 36
be payable wholly in respect of the operator licence or may 37
determine that it is to be apportioned between the operator 38
licence and any one or more of the product licences issued to the 39
licensee when the operator licence is issued. 40
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
(3) The Minister may determine that a consideration payment is to 1
be: 2
(a) a single amount payable on grant of the licence or licences 3
concerned or by a later time determined by the Minister, as 4
consideration for the grant of the licence or licences, or 5
(b) an amount (or variable amounts) payable periodically for 6
the duration of the licence or licences concerned and at the 7
times determined by the Minister, as consideration for the 8
continuation of the licence or licences. 9
(4) A requirement or determination of the Minister under this section 10
requires the approval of the Treasurer. 11
(5) It is a condition of a licence that the licensee must pay any 12
consideration payment that the licensee is required to pay under 13
this section. 14
(6) A consideration payment paid by a licensee pursuant to a 15
requirement under this section is not recoverable on the grounds 16
of, or on any ground arising from, the surrender, cancellation, 17
suspension or transfer of the licence concerned. 18
(7) A consideration payment paid to the Minister under this section 19
is to be paid into the Consolidated Fund. 20
17 Term of licence 21
(1) A licence is granted for the term specified in the licence. 22
(2) The maximum term for which a licence may be granted is 23
30 years. 24
18 Exclusive operator licence 25
(1) An operator licence can, if the Minister thinks fit, be granted as 26
an exclusive licence for any period (the exclusivity period) up to 27
the term for which the licence is granted. 28
(2) If an operator licence is granted as an exclusive licence, no other 29
operator licence can be granted to be in force during the 30
exclusivity period. This does not affect a licence already in force 31
when the exclusive licence is granted. 32
(3) The grant of an exclusive licence does not create an exclusivity 33
period for games of keno, with the result that one or more 34
operator licences limited to a product licence for games of keno 35
can be granted to be in force during the exclusivity period. 36
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
19 Transfer of licence 1
(1) A licence can be transferred but only with the approval of the 2
Minister given at the Minister's absolute discretion. The Minister 3
must consult with the Treasurer before approving the transfer of 4
a licence. 5
(2) A product licence can only be transferred to the holder of an 6
operator licence. 7
(3) The Minister is not to approve of the transfer of an operator 8
licence to a person (the transferee) unless satisfied that: 9
(a) the transferee and each close associate of the transferee is 10
a suitable person to be concerned in or associated with the 11
management and operation of the business to be conducted 12
under the licence, and 13
(b) there are satisfactory arrangements for the transfer to the 14
transferee of responsibilities for the conduct and 15
completion of any public lottery being conducted at the 16
time of transfer of the licence. 17
(4) For the purpose of determining whether the transferee or any 18
close associate of the transferee is a suitable person to be 19
concerned in or associated with the management and operation of 20
the business being conducted under the licence, the Minister is to 21
have regard to the same matters to which the Minister is required 22
to have regard in deciding whether an applicant or close associate 23
of an applicant is a suitable person for that purpose. 24
20 Changes to ownership structure of licensee 25
(1) A significant change in the ownership structure of a licensee must 26
not occur unless the Minister has given consent in writing for the 27
change to occur. 28
(2) A significant change in the ownership structure of a licensee is 29
considered to occur when: 30
(a) a person acquires a relevant interest in issued voting shares 31
in the licensee or any holding company of the licensee and 32
the acquisition results in that person's, or some other 33
person's, voting power in the licensee or holding company 34
increasing from 20% or below to more than 20%, or 35
(b) a person becomes a person who controls, or ceases to be a 36
person who controls, the licensee or any holding company 37
of the licensee. 38
(3) The regulations may prescribe another percentage to replace 20% 39
in subsection (2). 40
Page 32
NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
(4) Words and expressions used in this section that are defined in 1
section 9 of the Corporations Act 2001 of the Commonwealth 2
have the same meanings as in that section, except in so far as they 3
are defined differently in this Act or the context or subject-matter 4
otherwise indicates or requires. 5
21 Surrender of licence 6
(1) A licensee may surrender the licence by giving notice in writing 7
to the Minister. If the licence is held by more than one licensee, 8
all licensees must surrender the licence. 9
(2) The surrender takes effect only if the Minister consents to the 10
surrender. 11
Division 2 Disciplinary action 12
21A Review of suitability of licensee 13
(1) The Minister may from time to time determine whether in the 14
opinion of the Minister the licensee under an operator licence and 15
each close associate of the licensee remains a suitable person to 16
be concerned in or associated with the management and operation 17
of the business conducted under the licence. 18
(2) For the purpose of determining whether the licensee or any close 19
associate of the licensee is a suitable person to be concerned in or 20
associated with the management and operation of the business 21
conducted under the licence, the Minister is to have regard to the 22
same matters to which the Minister is required to have regard in 23
deciding whether an applicant or close associate of an applicant 24
is a suitable person for that purpose. 25
(3) The Minister may require the licensee under an operator licence 26
to pay to the Minister such reasonable costs as may be incurred 27
by or on behalf of the Minister in conducting any inquiry or 28
investigation for the purposes of a determination under this 29
section. 30
(4) It is a condition of an operator licence that the licensee must: 31
(a) provide such information (including necessary consents to 32
facilitate the provision of information) as the Minister may 33
reasonably request for the purpose of making a 34
determination under this section, and 35
(b) pay the costs that the Minister requires the licensee to pay 36
under this section in connection with any inquiry or 37
investigation conducted for the purposes of a 38
determination under this section. 39
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
(5) The Minister may recover from a licensee (as a debt due to the 1
Crown) any costs that the Minister has required the licensee to 2
pay under this section. 3
(6) The Minister may give a certificate as to the amount of the 4
reasonable costs incurred by or on behalf of the Minister in 5
conducting any inquiry or investigation for the purposes of a 6
determination under this section, and such a certificate is in any 7
proceedings evidence of the matter certified. 8
21B Grounds for disciplinary action against licensee 9
(1) Each of the following grounds constitutes grounds for 10
disciplinary action against a licensee under this Division: 11
(a) the licensee or any close associate of the licensee is not a 12
suitable person to be concerned in or associated with the 13
management and operation of the business being 14
conducted under the licence, 15
(b) the licensee has failed to comply with a provision of this 16
Act or the regulations, 17
(c) the licensee or any close associate of the licensee has been 18
convicted of an offence under a relevant gaming law, 19
(d) the licensee or any close associate of the licensee has been 20
convicted in the State or elsewhere of an offence in 21
connection with the management or operation of a public 22
lotteries, gaming or wagering business, 23
(e) the licensee or any close associate of the licensee has been 24
convicted of an offence in the State that is an indictable 25
offence or has been convicted elsewhere than in the State 26
of an offence that, if committed in the State, would be an 27
indictable offence, 28
(f) the licensee has failed to comply with the rules of a public 29
lottery conducted by the licensee, 30
(g) the licensee has failed to comply with a condition of the 31
licence or a direction given to the licensee under Division 32
2 of Part 7, 33
(h) a significant change in the ownership structure of the 34
licensee (as referred to in section 20) occurs without the 35
consent in writing of the Minister as required by that 36
section, 37
(i) the licensee has failed to use reasonable endeavours to 38
ensure that the licensee's agents comply with this Act, the 39
regulations and any direction given by the Minister under 40
Division 2 of Part 7, 41
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
(j) the licensee has entered into or authorised a dealing with 1
or in respect of securities of, or other instruments issued 2
by, the licensee without the consent in writing of the 3
Minister that, in the opinion of the Minister, affects the 4
control of the licensee, 5
(k) the licensee has become insolvent or an 6
externally-administered body corporate within the 7
meaning of the Corporations Act 2001 of the 8
Commonwealth, 9
(l) the licensee has failed to promptly terminate the 10
employment of a person concerned in the management of 11
the licensee who is convicted of an offence involving fraud 12
or dishonesty, 13
(m) the licence was granted as a result of a material false or 14
misleading representation or declaration. 15
Note. Division 2 of Part 7 enables the Minister to give directions to 16
licensees and other persons engaged in the conduct of public lotteries 17
on a licensee's behalf to protect the integrity of public lotteries and to 18
require the termination of arrangements between licensees and agents 19
and the employment of key employees of licensees for a similar purpose. 20
(2) For the purpose of determining whether the licensee or any close 21
associate of the licensee is a suitable person to be concerned in or 22
associated with the management and operation of the business 23
being conducted under the licence, the Minister is to have regard 24
to the same matters to which the Minister is required to have 25
regard in deciding whether an applicant or close associate of an 26
applicant is a suitable person for that purpose. 27
(3) In this section: 28
relevant gaming law means any of the following laws: 29
(a) Unlawful Gambling Act 1998, 30
(b) Lotteries and Art Unions Act 1901, 31
(c) Gaming Machines Act 2001, 32
(d) Casino Control Act 1992, 33
(e) any other law (including any law of another State or 34
Territory or of another country) that is prescribed by the 35
regulations as a relevant gaming law for the purposes of 36
this definition. 37
21C Disciplinary action 38
(1) The Minister can take any of the following disciplinary actions 39
against a licensee if satisfied that there are grounds for 40
disciplinary action against the licensee under this Division: 41
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
(a) suspend or cancel the licence (but only if there is a 1
sufficient ground for the suspension or cancellation as 2
provided by this Division), 3
(b) amend the conditions of the licence to deal with any act, 4
omission or other circumstance that constitutes a ground 5
for disciplinary action, 6
(c) impose a monetary penalty on the licensee of an amount 7
not exceeding $250,000, 8
(d) direct the licensee to rectify a matter that relates to any act, 9
omission or other circumstance that constitutes a ground 10
for disciplinary action, 11
(e) censure the licensee for any act, omission or other 12
circumstance that constitutes a ground for disciplinary 13
action. 14
(2) A direction to rectify a matter must direct that the matter be 15
rectified within a specified period that is reasonable in the 16
circumstances having regard to the nature of the matter to be 17
rectified. 18
(3) The Minister is not to suspend or cancel a licence except with the 19
approval of the Treasurer. 20
(4) A monetary penalty imposed under this section may be recovered 21
as a debt due to the Crown in a court of competent jurisdiction. 22
21D Sufficient grounds for suspension or cancellation of licence 23
A ground for disciplinary action is a sufficient ground for the 24
suspension or cancellation of a licence if (and only if) the 25
Minister is satisfied that: 26
(a) the act, omission or other circumstance constituting the 27
ground for disciplinary action is of a serious and 28
fundamental nature and the integrity of the conduct of a 29
public lottery may be jeopardised in a material way or the 30
public interest may be adversely affected in a material 31
way, or 32
(b) the ground for disciplinary action is failure by the licensee 33
to pay any duty payable by the licensee under Division 2 34
of Part 5. 35
21E Procedure for taking disciplinary action 36
(1) Before taking disciplinary action, the Minister must first follow 37
the show cause procedure provided for by this Division and then 38
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
decide whether there is a sufficient ground for the taking of the 1
proposed disciplinary action. 2
(2) The Minister is not required to follow the show cause procedure 3
before: 4
(a) immediately suspending the licence as authorised by this 5
Division, or 6
(b) censuring a licensee for any act, omission or other 7
circumstance that constitutes a ground for disciplinary 8
action. 9
(3) If the licensee fails to comply with a direction (imposed as 10
disciplinary action) to rectify a matter within the period allowed 11
for compliance, the Minister may take any other disciplinary 12
action that the Minister could have taken in respect of the ground 13
for disciplinary action concerned (without again following the 14
show cause procedure for that other disciplinary action). 15
(4) The Minister takes disciplinary action by giving notice of the 16
action to the licensee concerned. 17
(5) Disciplinary action takes effect when notice of it is given to the 18
licensee or on such later date as may be specified in the notice of 19
disciplinary action. 20
(6) The Minister may at any time by notice in writing to the licensee 21
under a suspended licence cancel the remaining period of 22
suspension or reduce the remaining period of suspension by a 23
stated period. 24
21F Immediate suspension of licence 25
(1) The Minister may suspend a licence immediately if the Minister 26
considers there is a sufficient ground for the suspension or 27
cancellation of the licence and the circumstances are so 28
extraordinary that it is imperative to suspend the licence 29
immediately to ensure that the integrity of the conduct of a public 30
lottery is not jeopardised in a material way or the public interest 31
is not adversely affected in a material way. 32
(2) An immediate suspension is effected by giving written notice of 33
the suspension (a suspension notice) to the licensee and then 34
following the show cause procedure provided for by this 35
Division. 36
(3) The suspension takes effect when the suspension notice is given 37
and continues to have effect until the show cause procedure is 38
completed. 39
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
21G Show cause procedure 1
(1) The following procedure is the show cause procedure for 2
proposed disciplinary action under this Division: 3
(a) the Minister must give the licensee a show cause notice 4
that requires the licensee to show why the proposed 5
disciplinary action should not be taken, 6
(b) the Minister must promptly give each interested person a 7
copy of the show cause notice, 8
(c) the Minister must consider all written representations 9
made during the show cause period by the licensee or any 10
interested person to whom a copy of the show cause notice 11
is given. 12
(2) A show cause notice must indicate the following: 13
(a) the disciplinary action that the Minister proposes to take, 14
(b) the ground for the proposed disciplinary action and the act, 15
omission or other circumstance constituting the ground for 16
the proposed action, 17
(c) the period (the show cause period) within which the 18
licensee must show why the proposed disciplinary action 19
should not be taken. 20
(3) The show cause period is to be a period of not less than 21 days 21
after the show cause notice is given. 22
(4) An interested person is a person who appears to the Minister to 23
have an interest in the licence that may be adversely affected by 24
the proposed disciplinary action. An interested person is only to 25
be given a copy of the show cause notice if the Minister is 26
satisfied that it is appropriate in the circumstances. 27
(5) In considering whether it is appropriate to give a copy of the show 28
cause notice to an interested person, the matters to which the 29
Minister may have regard include the following: 30
(a) the nature of the person's interest in the licence, 31
(b) whether the licensee's interests may be improperly 32
prejudiced. 33
(6) An interested person to whom a copy of the show cause notice is 34
given may make representations about the proposed disciplinary 35
action to the Minister during the show cause period. 36
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
21H Withdrawal of approval or appointment of agent under conditions 1
of licence 2
(1) The Minister may withdraw the approval or appointment of an 3
agent of a licensee under the conditions of a licence if the 4
Minister is of the opinion that the integrity or apparent integrity 5
of a public lottery conducted by the licensee is likely to be 6
seriously prejudiced because of the criminal record, character or 7
reputation of the agent. 8
(2) An agent ceases to be an agent of the licensee if the approval or 9
appointment is so withdrawn, and any arrangement under which 10
the agent was appointed as the agent of the licensee is taken to be 11
terminated. 12
(3) The Minister is not to withdraw the approval or appointment 13
unless the Minister: 14
(a) has given the licensee and the agent notice, in writing, of 15
the proposed withdrawal, and 16
(b) has invited the licensee and the agent to make 17
representations to the Minister, within the period specified 18
in the notice, concerning the proposed withdrawal, and 19
(c) has, after the end of that period, considered any 20
representations so made. 21
(4) The withdrawal of the approval or appointment takes effect: 22
(a) on the day that is 14 days after the day on which a notice 23
advising the licensee and the agent of the withdrawal is 24
given to the licensee and the agent by the Minister, or 25
(b) if a later day is specified in the notice--on that day. 26
(5) It is taken to be a condition of any arrangement under which a 27
person is appointed as an agent of a licensee that, in the event of 28
the termination of the arrangement because of the withdrawal of 29
an approval or appointment under this section, the licensee does 30
not incur any liability to the agent by reason only of that 31
termination (except to the extent agreed on between the licensee 32
and the agent). 33
21I Completion of public lottery following cancellation or suspension 34
of licence 35
(1) If a licence is suspended or cancelled, the Minister may authorise 36
a person to complete the conduct of any game in a public lottery 37
that was in the course of being conducted when the licence was 38
suspended or cancelled. 39
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
(2) In that event: 1
(a) the person so authorised is taken to be the licensee under 2
the suspended or cancelled licence, and 3
(b) the suspended or cancelled licence is, for the purposes of 4
enabling the completion of the conduct of the public 5
lottery, taken not to have been suspended or cancelled. 6
Division 3 Temporary licences 7
21J Grant of temporary licence on suspension, cancellation or 8
surrender of licence 9
(1) Following the suspension, cancellation or surrender of a licence 10
(the original licence), the Minister may grant a temporary licence 11
to be in force for the period determined by the Minister. 12
(2) The Minister may grant a temporary licence only if satisfied that 13
the proposed licensee and each close associate of the proposed 14
licensee is a suitable person to be concerned in or associated with 15
the management and operation of the business to be conducted 16
under the licence. 17
(3) A temporary licence is granted on such terms and conditions as 18
the Minister determines and Division 1 does not apply to a 19
temporary licence. 20
(4) A temporary licence: 21
(a) may be extended once only for a period determined by the 22
Minister, and 23
(b) may be cancelled at any time by the Minister, and 24
(c) if granted following the suspension of the original licence, 25
is cancelled by the lifting or expiry of that suspension. 26
(5) If a temporary licence (including a temporary licence granted 27
under this subsection) is cancelled or otherwise terminates (other 28
than under subsection (4) (c)), the Minister may grant a further 29
temporary licence under this section. 30
(6) The cumulative periods for which a temporary licence may be 31
granted or extended under this section cannot exceed 3 years after 32
the day on which the original licence was cancelled, suspended 33
or surrendered. 34
21K Arrangements with former licensee 35
(1) A temporary licensee may enter into any arrangements that are 36
approved by the Minister with the former licensee, including 37
Page 40
NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
arrangements relating to the use of assets and services of staff of 1
the former licensee. 2
(2) The former licensee: 3
(a) must make available to the temporary licensee on 4
reasonable terms any assets of, or under the control of, the 5
former licensee that are reasonably necessary for 6
arrangements under subsection (1), and 7
(b) must use its best endeavours to make available any staff of 8
the former licensee that are reasonably necessary for those 9
arrangements. 10
Maximum penalty: 100 penalty units. 11
(3) In this section: 12
former licensee means the person who was a licensee: 13
(a) under the original licence immediately before its 14
cancellation, suspension or surrender, or 15
(b) under a temporary licence immediately before its 16
cancellation or other termination. 17
[6] Section 23 Approval and publication of rules 18
Insert after section 23 (1): 19
(1A) The Minister is required to decide whether to approve an 20
amendment of rules in a timely manner and so as to give effect to 21
any condition of the relevant product licence as to the time within 22
which such a decision is to be made. 23
[7] Section 27 Prize fund account 24
Insert "or section 27A (Unclaimed prizes)" after "conditions of the licence" in 25
section 27 (2). 26
[8] Section 27 (3) (b) 27
Omit the paragraph. Insert instead: 28
(b) in order to make payments in respect of unclaimed prizes 29
or disputed money as authorised or required by or under 30
subsection (9) or section 27A (Unclaimed prizes), 31
[9] Section 27 (4) (c) 32
Omit the paragraph. Insert instead: 33
(c) in order to make payments in respect of unclaimed prizes 34
or disputed money, as authorised or required by or under 35
subsection (9) or section 27A (Unclaimed prizes), that the 36
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
licensee is unable to make from the fund because of the 1
direction. 2
[10] Section 27 (9) 3
Omit the subsection. Insert instead: 4
(9) The regulations may make provision for or with respect to the 5
disposal of money as to which any dispute has arisen. 6
[11] Section 27A 7
Insert after section 27: 8
27A Unclaimed prizes 9
(1) The regulations may make provision for or with respect to the 10
time within which claims for unclaimed prizes must be made. 11
(2) Unclaimed prizes in a prize fund kept by a licensee are to be paid 12
into the Consolidated Fund as directed by the Minister with the 13
approval of the Treasurer and after consultation with the licensee. 14
(3) After an unclaimed prize is paid into the Consolidated Fund any 15
liability to pay the prize to the prize winner becomes a liability of 16
the Crown and payment of the prize to the prize winner is 17
authorised to be made from the Consolidated Fund. 18
[12] Section 32 Irrevocable licence conditions 19
Omit the section. 20
[13] Section 37A 21
Omit the section. Insert instead: 22
37A Agreements with lotteries authorities of other jurisdictions 23
(1) A licensee may, on such terms as are approved by the Minister, 24
enter into an agreement with a lotteries authority of another 25
jurisdiction with respect to: 26
(a) the administration of a scheme for the conduct of public 27
lotteries among participating jurisdictions, and 28
(b) the manner of making payments to and by the licensee, and 29
(c) related matters. 30
(2) In this section: 31
another jurisdiction means another State, a Territory or another 32
country. 33
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
lotteries authority means a person or body who is authorised to 1
conduct public lotteries in another jurisdiction. 2
participating jurisdiction means New South Wales and any other 3
jurisdiction in which a lotteries authority that is a party to an 4
agreement with a licensee under this section is authorised to 5
conduct public lotteries. 6
[14] Section 43 7
Omit the section. Insert instead: 8
43 Credit betting prohibited 9
A licensee or agent of a licensee must not extend, or offer to 10
extend, a cash advance or any other form of credit to a person for 11
the purpose of enabling the person to enter in or subscribe to a 12
public lottery conducted by the licensee. 13
Maximum penalty: 50 penalty units. 14
[15] Section 52 Licensees and agents to inform Minister of changed 15
circumstances 16
Omit "his or her" from section 52 (1). Insert instead "the". 17
[16] Section 79A 18
Omit the section. Insert instead: 19
79A Review by Administrative Decisions Tribunal of certain decisions 20
A person may apply to the Administrative Decisions Tribunal for 21
a review of any of the following decisions: 22
(a) a decision of the Minister to take disciplinary action 23
against the person under Division 2 of Part 3, 24
(b) a decision of the Minister under section 21H to withdraw 25
the approval or appointment of the person as an agent of a 26
licensee under the conditions of a licence. 27
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
[17] Schedule 1 1
Insert as Schedule 1: 2
Schedule 1 Licence conditions 3
(Section 14) 4
1 Mandatory conditions of operator licence 5
The following conditions are mandatory conditions for an 6
operator licence: 7
(a) a condition that provides for the procedure to be followed 8
by the licensee and the Minister in connection with an 9
application by the licensee for a product licence (including 10
providing for the time within which such an application is 11
to be determined), 12
(b) a condition that provides for the licensee to be required to 13
demonstrate the integrity of the equipment or systems used 14
by the licensee or agent in connection with the registration 15
or processing of an entry in a public lottery or that 16
otherwise affects the outcome of the public lottery. 17
2 Mandatory conditions of product licence 18
The following conditions are mandatory conditions for a product 19
licence: 20
(a) a condition that provides for the procedure to be followed 21
by the licensee and the Minister in connection with any 22
application by the licensee for an amendment of the 23
conditions of the licence (including providing for the time 24
within which such an application is to be determined and 25
the determination notified to the licensee), 26
(b) a condition that requires the licensee to comply with the 27
rules of the public lottery. 28
3 Optional conditions of licences 29
Conditions with respect to any of the following matters are the 30
optional conditions of a licence: 31
(a) the approval or appointment of agents by the Minister or 32
any other person, 33
(b) the withdrawal by the Minister of any approval or 34
appointment of agents, 35
(c) the payment of and accounting for commission, 36
Page 44
NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
(d) the maximum amount or rate of commission, 1
(e) the application of and accounting for subscriptions 2
received by the licensee, including the payment of prizes 3
from the subscriptions, the deposit of subscriptions and the 4
accounts to be kept in respect of the subscriptions, 5
(f) the authorisation of agents to charge subscribers to a public 6
lottery for providing such ancillary services in connection 7
with subscriptions as may be approved by the Minister, 8
(g) the contents of the rules for a public lottery, 9
(h) the display, by the licensee and the licensee's agents, of the 10
rules and of other information relating to the conduct of a 11
public lottery, 12
(i) the frequency with which a public lottery must or may be 13
conducted by the licensee, 14
(j) the form and manner of entry in a public lottery, 15
(k) the printing of tickets, rules or other documents relating to 16
the conduct of a public lottery, 17
(l) the amount payable in respect of each entry in a public 18
lottery, 19
(m) the minimum number of entries that one person may make 20
in one public lottery, 21
(n) the maximum number of entries that one person may make 22
in one public lottery, 23
(o) in respect of a public lottery conducted by a draw, the 24
attendance at each draw of a person nominated by the 25
Minister, 26
(p) the number of entries that may be made in a public lottery, 27
the amount of money prizes and the nature of other prizes, 28
(q) the minimum amounts of prizes to be paid in respect of a 29
public lottery, 30
(r) the subsidising by the licensee of the prize fund for a 31
public lottery to the extent necessary to enable prizes to be 32
paid at the minimum amounts specified by the conditions, 33
(s) the provision by the licensee of a bond or other financial 34
guarantee to ensure payment of the duty, in respect of a 35
public lottery, specified in Part 5, 36
(t) the furnishing of information, whether in the form of 37
statements, returns or otherwise, by the licensee to the 38
Minister relating to the conduct of a public lottery, 39
Page 45
NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
(u) the time or times at which, and the form in which, the 1
information must be furnished to the Minister, 2
(v) the auditing of the financial records of the licensee relating 3
to the conduct of a public lottery, 4
(w) the conduct of a promotional lottery, being a public lottery 5
conducted by a licensee for the purpose of promoting or 6
marketing the public lottery and for which no subscription 7
or other amount is charged by the licensee or an agent, 8
(x) the approval by the Minister of contracts or arrangements, 9
entered into by the licensee or the licensee's employees or 10
agents, or by any other person, for the purpose of 11
conducting a public lottery, 12
(y) the approval by the Minister of persons engaged in the 13
repair or maintenance of any device or equipment used in 14
relation to the conduct of a public lottery, 15
(z) the security requirements in respect of a public lottery, 16
(aa) the approval by the Minister of any electrical or 17
mechanical device or equipment that is used by the 18
licensee or agent in connection with the registration or 19
processing of an entry in a public lottery or that otherwise 20
affects the outcome of the public lottery. 21
[18] Schedule 2 Savings, transitional and other provisions 22
Insert at the end of clause 1 (1): 23
NSW Lotteries (Authorised Transaction) Act 2009, but only to the 24
extent that it amends this Act 25
[19] Schedule 2 26
Insert after Part 3: 27
Part 4 Provisions consequent on enactment of 28
NSW Lotteries (Authorised Transaction) 29
Act 2009 30
33 Definitions 31
In this Part: 32
authorised transaction means the authorised transaction under 33
the Transaction Act. 34
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NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
existing keno licence means the licence in force under this Act 1
immediately before the commencement of this clause in respect 2
of games of keno. 3
existing lottery means a public lottery conducted by NSW 4
Lotteries pursuant to a licence under this Act immediately before 5
the commencement of the new licensing arrangements. 6
new licensing arrangements means the provisions of this Act as 7
amended by the Transaction Act. 8
Transaction Act means the NSW Lotteries (Authorised 9
Transaction) Act 2009. 10
transaction completion date means the date determined by the 11
Treasurer to be the date on which the authorised transaction of 12
NSW Lotteries under the Transaction Act is completed. 13
34 Special arrangements for existing keno licence 14
This Act continues to apply to and in respect of the existing keno 15
licence as if this Act had not been amended by the Transaction 16
Act. 17
35 Grant of licence for purposes of authorised transaction 18
(1) The Minister may, in connection with the authorised transaction, 19
grant a licence under the new licensing arrangements before 20
those arrangements commence. 21
(2) Any function of the Minister or Treasurer under this Act and the 22
new licensing arrangements may be exercised for the purposes of 23
or in connection with the grant of a licence under this clause 24
(including any function with respect to requiring the payment of 25
any fee or consideration payment). 26
(3) Any determination to be made by the Minister in connection with 27
the grant of a licence pursuant to this clause is to be made as if the 28
licence were being granted immediately after the completion of 29
the authorised transaction and on the basis of the state of affairs 30
that the Minister considers is likely to exist immediately after 31
completion of the authorised transaction. 32
(4) A licence can be granted under this clause to authorise the 33
conduct of a lottery even if the lottery is of the same kind as an 34
existing lottery. 35
(5) Any licence granted under the new licensing arrangements 36
pursuant to this clause does not operate until the commencement 37
of those arrangements. 38
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NSW Lotteries (Authorised Transaction) Bill 2009
Schedule 5 Amendment of Acts
36 Provisions to ensure continuity of lotteries 1
(1) The rules relating to the conduct of an existing lottery, as in force 2
immediately before the commencement of the new licensing 3
arrangements, are deemed to be the rules (the transitional rules) 4
of a public lottery that is of the same kind as the existing lottery 5
and authorised to be conducted under a product licence that takes 6
effect on the commencement of the new licensing arrangements. 7
(2) An existing lottery being conducted by NSW Lotteries 8
immediately before the commencement of the new licensing 9
arrangements is to be completed: 10
(a) by the licensee under a product licence that takes effect on 11
the commencement of the new licensing arrangements and 12
that authorises the conduct of a lottery of the same kind as 13
the existing lottery, and 14
(b) in accordance with any directions given to that licensee by 15
the Minister. 16
(3) This clause does not prevent the subsequent amendment of the 17
transitional rules in accordance with this Act. 18
37 Payment to Consolidated Fund of surplus prize money on 19
transaction completion 20
(1) The Minister may, with the approval of the Treasurer, require a 21
licensee to pay to the Treasurer for payment into the 22
Consolidated Fund the fund surplus as at the transaction 23
completion date for each prize fund kept in respect of the 24
licensee. 25
(2) The fund surplus for a prize fund is the amount determined by 26
the Minister to be the amount standing to the credit of the prize 27
fund as at the transaction completion date that as at that date is 28
not required for payment of prizes won in a public lottery to 29
which the prize fund relates. 30
(3) A licensee must pay money from a prize fund in compliance with 31
the Minister's direction and such a payment is authorised despite 32
the requirements of section 27. 33
(4) This clause does not apply to the licensee under the existing keno 34
licence. 35
38 Revocation of existing NSW Lotteries licences 36
(1) Any licence held by NSW Lotteries immediately before the 37
commencement of the new licensing arrangements is revoked on 38
the commencement of those arrangements. 39
Page 48
NSW Lotteries (Authorised Transaction) Bill 2009
Amendment of Acts Schedule 5
(2) Compensation is not payable by or on behalf of the State because 1
of the revocation of a licence under this clause, or for any 2
consequence of the revocation of a licence under this clause. 3
5.2 State Owned Corporations Act 1989 No 134 4
Schedule 5 Statutory SOCs 5
Omit "New South Wales Lotteries Corporation". 6
5.3 Subordinate Legislation Act 1989 No 146 7
Schedule 4 Excluded instruments 8
Insert at the end of the Schedule (with appropriate item number): 9
Regulations under the NSW Lotteries (Authorised Transaction) 10
Act 2009. 11
Page 49
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