Peter Georgiou (WA, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

My question is directed to the Attorney-General, Senator George Brandis, representing the Prime Minister. For the last five months, One Nation has held a Senate inquiry into the conduct of banks and receivers towards rural customers and the devastating impact their erroneous behaviour has had on families around Australia. This inquiry received 85 submissions and unearthed some disturbing and horrifying stories of dishonesty by bank appointed receivers and liquidators, farmers who have been left financially ruined and some who, unfortunately, have committed suicide as a result of such unlawful foreclosures. When will the government be able to finally announce the date of implementation of the revised voluntary banking code of conduct?

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

Thank you very much, indeed, Senator Georgiou. It's a very important question, and I agree with you. But the issue of the conduct of banks and, in particular, their treatment of a large number of customers—in particular, categories of customers belonging to the vulnerable groups you have mentioned—has been a proper subject of national discussion now for some time. The question is: what can the government most effectively do to address the concerns?

Senator Cameron interjecting—

Senator Cameron over there says there should be a royal commission. The problem with a royal commission is that it will take forever and achieve nothing. That's the problem. It will take forever and achieve nothing—except for the bevy of lawyers who will be able to afford new beach houses on the strength of all the fees that they will charge.

Senator Georgiou, what we are doing is taking action that will be much more effective and immediate. Let me run you through what we are doing. We've set up a new one-stop-shop dispute resolution body to ensure that consumers and small business can access fair compensation straightaway—not years into the future after a royal commission that might go for five years but straightaway. We've introduced new legislation for banking executive accountability to make bank executives more accountable to their customers. We've introduced a major bank levy to ensure a fair contribution to budget repair from institutions that have benefited from our stable financial system. We've strengthened the resources and powers of ASIC, the regulatory body, through an additional $127 million invested in that body and introduced an industry funding model for ASIC. (Time expired)

Scott Ryan (President, Special Minister of State) Share this | Link to this | Hansard source

Senator Georgiou, a supplementary question.

Peter Georgiou (WA, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

It's not just the banks, Senator Brandis. In one submission, the inquiry was told that transporting 3½ thousand sheep from a property in Western Australia should have cost around $15,000. Instead, the receivers, KordaMentha, charged the farmer more than $90,000. What action is the federal government intending to take, and when, to make receivers and managers accountable for their actions, not to the banks that appoint them but to the parties they are administrating?

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

Once again, Senator Georgiou, a very, very relevant question. Senator Georgiou, corporate insolvency is an area of law in which I used to practise, I might say, and I am very well familiar with the way in which corporate insolvency practitioners sometimes charge from the estate, from the administration, extremely large fees.

Corporate insolvency practitioners are subject to very, very rigorous regulation under the Corporations Act. They are also subject to very rigorous regulation and oversight by their professional body. But nevertheless, Senator Georgiou, you are right. You are right to say that the level of fees and charges charged by corporate insolvency practitioners such as receivers and liquidators and administrators is something that should be kept under review, and it is something that the Treasurer, Mr Morrison, and the assistant Treasurer, Ms O'Dwyer, do keep under review.

Scott Ryan (President, Special Minister of State) Share this | Link to this | Hansard source

A final supplementary question, Senator Georgiou?

Peter Georgiou (WA, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

There have been at least 17 inquiries into Australia's finance sector post the GFC, including the government's own Ramsay report, which found that over 80,000 customers were affected—that's 80,000 customers—with losses totalling more than $5 billion. When will the Liberal Party and the Prime Minister wake up, show some leadership, act to stop this unlawful and unreasonable behaviour and hold a royal commission on the banks?

George Brandis (Queensland, Liberal Party, Attorney-General) Share this | Link to this | Hansard source

Well, Senator Georgiou, if there have been 17 inquiries, including parliamentary inquiries, since the GFC then perhaps that's a good argument why we don't need another one. Perhaps that's an argument that what we ought to be doing—as this government is doing—is to get on with implementing the recommendations of those 17 inquiries, which is precisely what we are doing.

Some of the measures that the government has introduced that I just ran you through in answer to your first question, Senator Georgiou, are evidence of the government giving effect to the recommendations of the 17 inquiries we've already held. In relation to the Ramsay review, the government is responding to the second report of Professor Ramsay's review, addressing the issue of legacy cases of bank misconduct. The reason we had the Ramsay review and the reason the government are responding to it to get a real outcome for those customers are that we've adopted the recommendations of one of those inquiries.