Statutory Deposit Issue - Partial Resolution

[George Lombard 1,738]

According to a bulletin to MIA members this afternoon the government will acquiesce in a solution to the statutory deposit issue (A$100,000 migration bonds not being available from state treasuries since last November) where a complying bond can be sourced from a state treasury. We will be able to advise applicants about this after 10am tomorrow. Phone number in Australia is +61-2-97990085.

 

Cheers,

 

George Lombard

[Guest Gollywobbler]

Hi George

 

Thank you very much for this information. I have made the thread sticky for a while though everyone who has commented on the issue on here and on Poms in Adelaide has also chipped in with the big British Expats thread about this.

 

I've been following the BE thread although - obviously - I do not know how the State Treasuries work.

 

I read that the NAB dispute (litigation?) has been settled? How was that resolved in the end, please, as a matter of interest? Did the Bank write off the whole of the loss or has the Government bailed it out or something?

 

I'm delighted to hear that a solution is finally available for the visa applicants. Good luck to all of them and very well done you because I know you have done a tremendous amount to help them all through the impasse.

 

Well done to Senator Evans as well. He does seem to me to be a guy who is willing to tell DIAC, "This is broken. Fix it. Don't tell me about why you can't fix it. Fix it, I said."

 

Cheers

 

Gill

[Guest markjohn]

Hi Gill,

This is great news and had a call from my agent today advising that a resolution is in sight.Not sure of all the details or how its going to work.If you know anything let me know.Can i also thankyou for being so positive and helpful with this issue.You are a star xx

Markjohn

[Guest Gollywobbler]

Hi Markjohn

 

Apart from George's announcement here and on BE, I don't know any more than he has said:

 

5 points for Investment Bond withdrawn Sept 07?? (PART TWO) - Page 50 : British Expat Discussion Forum

 

George says he expects further information sometime in the next 24 - 48 hours or so. I think all we can do is wait and see what happens next.

 

Fingers crossed that the rescue plan will work.

 

Best wishes

 

Gill

[Guest Mike&lou]

Wht is this you tlking about,can you pls give me a brief description as it sounds like it can be important

[Guest Gollywobbler]

Wht is this you tlking about,can you pls give me a brief description as it sounds like it can be important

 

Hi Mike&Lou

 

The issue only affects people who took advantage of the Capital Investment Scheme that used to be available under the old skilled 136 visa. Applicants who were short of 5 points could "earn" the five points via depositing $100,000 with one of the State Treasuries for 12 months.

 

All the State Treasuries pulled out of the scheme during the second half of 2007 and so with no ST willing to accept the money, the visas could not be granted.

 

It then emerged that the State Governments had never been tied into the scheme other than by their own, entirely voluntary, consent. So when they refused to accept any more deposits the Government was stuck because the legislation does not contain the machinery whereby the $100K can be deposited with anybody other than one of the State Treasuries.

 

The latest news seems to be that the State Treasuries are involved with a second type of bond and the legal advice seems to be that depositing the money in this second type of bond is still possible and would comply with the migration legislation.

 

Further developments are now eagerly awaited because some 4,000 visa applicants have been in limbo for over a year. FINALLY it looks like there might be a solution but DIAC have not made any official announcement as yet.

 

George Lombard has his finger on the pulse, so we are waiting for the next update from him.

 

Best wishes

 

Gill

[samozsoon 27]

Hi Gill

Does this mean that the $100K/5 points might be back on? My sister is 5 points short of a 176 family sponsored visa and is having to go 475 prov to rural Qld instead (mom lives there). I would love her to be nearer to me in NSW but we dont live rural enough.

 

Sam x

[jo90 117]

Shame it's taken so long to resolve - but hey! At least it's some good news for those who were patient enough to wait!

x x

[Guest Gollywobbler]

Hi Gill

Does this mean that the $100K/5 points might be back on? My sister is 5 points short of a 176 family sponsored visa and is having to go 475 prov to rural Qld instead (mom lives there). I would love her to be nearer to me in NSW but we dont live rural enough.

 

Sam x

 

Hi Sam

 

No - the scheme was only available under the old sc 136 visa which was closed to new applicants on 1st September 2007. The sc 176 visa came into effect on the same day.

 

The Capital Investment Scheme would not have been available to your sister anyway because it was only useful to people who could score 115 points by themselves.

 

Best wishes

 

Gill

[Guest Gollywobbler]

Hi Markjohn

 

Not good news after all, unfortunately.

 

Alan Collett has said as follows earlier today:

 

Having just spoken to the NT Treasury Corporation (which does accept investments from non residents) it seems the main problem is that their retail investment product is transferable and is redeemable - and as such it fails one of the requirements of a Designated Investment under the Migration Regulations.

 

I understand that presently the same applies to investments issued by the other jurisdictions in Australia.

 

Best regards.

:frown:

 

It looks like it is back to the "wait & see" game whilst they resolve the question that seemingly the deposit which is available is not the right type of investment.

 

Best wishes

 

Gill

[Alan Collett 3,465]

I have asked one of the more senior chaps at DIAC whether a provision in the Migration Regs can be dropped so that investments can be made in one of the generally available State/Territory retail products.

 

I have also written to the Minister on the subject (again), asking for attention to be given to this issue. Lives are in limbo - we need some action!

 

Best regards.

[George Lombard 1,738]

Further to this ongoing discussion we remain convinced that the state treasuries are going to be a part of the solution for at least some of those affected. At the moment it seems most likely that WA can be discounted but the others are not without hope. As with all the previous developments in this field it's safest to wait for an announcement but the announcement may not come from the Commonwealth.

 

Cheers,

 

George Lombard

[SOMV 503]

A further update on the investment bond issue:

 

DIAC has placed information about the $100,000 designated investment bond issue here:

What's new? – Professionals and other Skilled Migrants – Workers – Visas & Immigration

 

and even more information about further options if you have lodged an application and now find yourself short of points here:

Frequently Asked Questions – Capital Investment Scheme

 

The most important information is that:

 

The department is not aware of any investment products currently offered by the four State and Territory Government Authorities listed in the Instrument which meet all the requirements as listed in Regulation 2.26C.

 

(this is not good news)

 

BUT

 

Some States may consider sponsoring offshore applicants whose occupations are not on their State lists, and there may be other options available.

 

So please follow the links above to obtain the latest information. If you are not sure what it all means, feel free to give our office a call, we will be happy to help.

[Guest Gollywobbler]

Hi All

 

Why would it be impossible for one of the State Treasuries to create a deposit that would be compliant? Surely the problem with the last one was only inedequate vetting of the applicants and their funds?

 

Cheers

 

Gill

[Alan Collett 3,465]

I think it is more an issue of desire on the part of the States and Territories, Gill, rather than an inability to create an investment product that ticks all the relevant boxes.

 

Best regards.