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

I move amendment (1) on sheet 7344:

(1) Page 29 (after line 25), at the end of the Bill, add:

Schedule 4—Disclosure of certain gifts

Commonwealth Electoral Act 1918

1 After section 304

  Insert:

304A Disclosure of certain gifts

Person must disclose certain gifts

(1) A person must give a return to the Electoral Commission, in the approved form, if:

  (a) the person is:

     (i) a candidate; or

     (ii) a member of the House of Representatives; or

     (iii) a member of the Senate; and

  (b) the person receives one or more gifts from a donor during a financial year; and

  (c) the total amount or value of the gift was, or the total amount or value of the gifts were:

     (i) equal to or more than the amount prescribed for the purposes of this paragraph; or

     (ii) if no amount is prescribed—more than $10,000.

Registered political party must disclose certain gifts

(2) A registered political party or a State branch of a registered political party must give a return to the Electoral Commission, in the approved form, if:

  (a) the party or branch receives one or more gifts from a donor during a financial year; and

  (b) the total amount or value of the gift was, or the total amount or value of the gifts were:

     (i) equal to or more than the amount prescribed for the purposes of this paragraph; or

     (ii) if no amount is prescribed—more than $10,000.

Return to be provided within 24 hours or 30 days

(3) The return must be given to the Electoral Commission:

  (a) for a gift or gifts received during an election period—within 24 hours of the time that the person receives the gift or gifts; or

  (b) for a gift or gifts received at any other time—within 30 days of the time that the person receives the gift or gifts.

Contents of return

(4) The following information must be given to the Electoral Commission, in the approved form:

  (a) the name of the person, corporation or other entity, that provided the gift or gifts;

  (b) the name of the candidate, or the name of the member of the House of Representatives or Senate, that received the gift or gifts, as the case may be;

  (c) if the candidate, or the member of the House of Representatives or Senate, is a member of a registered political party—the name of that party;

  (d) the date that the gift was received, or the date (or dates) that the gifts were received;

  (e) any such other information prescribed by regulations for the purposes of this paragraph.

Electoral Commission must publish information

(5) The Electoral Commission must publish a return provided under subsections (1) or (2) on the Electoral Commission's website:

  (a) for a gift or gifts received during an election period—within 24 hours of the time that the return is given to the Electoral Commission; or

  (b) for a gift or gifts received at any other time—within 1 week of the time that the return is given to the Electoral Commission.

304B Offence of failing to disclose certain gifts

(1) It is an offence if:

  (a) a person, a registered political party or a State branch of a registered political party is required to give a return to the Electoral Commission under section 304A; and

  (b) the person, registered political party or State branch of a registered political party fails to give the return to the Electoral Commission within the period specified in subsection 304A(3).

(2) Where a person, registered political party or a State branch of a registered political party commits an offence under this section, an amount equal to the amount or value of the gift or gifts is payable to the Commonwealth and may be recovered by the Commonwealth as a debt due to the Commonwealth by action in a court of competent jurisdiction.

2 Subsection 307(1)

  Omit "Where no details", substitute "Subject to subsection (3), where no details".

3 Subsection 307(2)

  Omit "Where no details", substitute "Subject to subsection (3), where no details".

4 At the end of Division 4 of Part XX

  Add:

(3) Subsections (1) and (2) do not apply to a return that would otherwise be required to be given to the Electoral Commission under subsections 304A(1) or (2).

The aim of these amendments is to improve transparency in relation to political donations. Voters deserve to know where political parties, candidates and individuals get their financing from in a timely manner. Australia's disclosure regime lags far behind other countries, and it is vitally important we catch up. These amendments expand donation disclosure requirements to cover individual MPs, senators and candidates, including independent senators, candidates and parties. If any of these individuals receive a gift or gifts totalling over the threshold amount, they must provide a return to the AEC within 24 hours during an election period or 30 days outside an election period. The same requirements apply to political parties, including state branches.

This amendment sets out the form which returns must take, including the requirement for details of the giver and recipients, the party the recipient belongs to if relevant, the date the gift was received and any other details set out in regulations. Once the return is received, the AEC must publish it on their website within 24 hours during an election period or within a week outside an election period. The amendment also creates an offence in line with existing offences in the act where the Commonwealth may recover the amount of the donation, or equal to the donation, if the requirements for disclosure are not met. In other words, it is the same framework or penalty and it is something that will sharpen the mind of anyone who does not comply by having to return the donation.

This amendment is an important step in improving Australia's disclosure requirements. We know the current system is well below par. I am concerned that any planned changes will not be made in time to be effective before the next election. Australian voters deserve to know where the money comes from in a timely manner. My issue is not so much with the threshold. My issue is that at the moment a donation can be made on 1 July 2011 and we do not hear about it until 1 February 2013. That 19-month period of time is simply unacceptable for there to be transparency and disclosure.

In my second reading speech I mentioned William Hanna. In fact, I was wrong. I made a reference to a quote from Mark Hanna who ran the successful US presidential campaign for William McKinley in 1896. He said: 'There are two things that are important in politics. The first is money and I can't remember the second.' Well, this is the sort of thing that we need to avoid. I do not want us to have the best democracy that money can buy.

It is very important to ensure greater transparency in disclosure and for the capacity for this to be provided online, with adequate resources, out there for everyone in a timely manner for the electorate. I wish I had known about some of the donations in the course of the poker machine debate because it would have been very useful for the public to know that not just at election time but in the course of important parliamentary debate. I urge my colleagues to support this amendment in terms of a more timely regime of disclosure in relation to political donations.