Nick Xenophon (SA, Independent) Share this | Hansard source

My question is to the Minister representing the Treasurer, Senator Wong. Virgin Australia recently announced a corporate restructuring that separates its domestic operation from its international operation. The apparent intention is to allow greater foreign investment without testing the limits of 49 per cent foreign ownership limit for Australian designated international airlines. I note that Qantas has lodged an objection to the Virgin Australia proposal with the International Air Services Commission. Minister, is it possible to avoid foreign ownership limitations of Australian designated international airlines by the creation of elaborate corporate structures? Also, is the foreign ownership test applied to the total investment in all of the associated entities—that is, the consolidated business group—or is it applied to each entity separately?