Industry reform will push on: Campbell
PARLIAMENTARY Secretary to the Treasurer, Senator Ian Campbell, has reinforced his commitment to continuing reform momentum at a recentInvestment and Financial Services Association’s(IFSA) member briefing in Sydney.
Campbell has named July 1, 2004, as the likely launch date for the Corporation Law Economic Reform Program (CLERP) 9, with hopes to get the proposed legislation at least introduced into Parliament by the end of this year.
According to Campbell, the actual CLERP 9 draft — which tackles the issue of corporate disclosure, behaviour and enforcement — is due to be released within a month and will hold no surprises.
He also flagged continuing reforms once CLERP 9 has reached Parliament. The senator says he is working on a range of further measures for business reform, as “there are many things still to be addressed”.
One of the focuses of future reform is likely to be the merger and acquisition of funds, with Campbell suggesting substantial progress could be made in this area.
Campbell has accused the Federal Opposition of trying to alter financial services reform for political gain, and making changes to drafts to the detriment of the economy.
As far as changes to CLERP 9 that might be suggested by the Opposition, Campbell said he was not worried about the regulation failing to be enacted, and would rather it fall over than agree to unworkable suggestions just to get it passed.
Campbell says it is his great confidence in our economic system that allows him to take this stance, noting the finalised implementation of the Financial Services Reform Act will make Australia the “definition of global best practice”.
He stated his support for property brokers and real estate agents being brought into the financial services industry’s regulatory environment, while also speaking out on accountants giving financial planning advice.
“If they start giving advice on SMSFs over any other fund, then they are giving advice. In that case, they will have to be licensed. They will also have to be licensed if they are advising on what should be in that fund.”
Campbell says while the Parliamentary Joint Committee left this issue open in its last report, it will be revisited once CLERP 9 passes through Parliament.
A further warning was issued to financial institutions to get FSRA applications in on time, with the Senator reiterating that no extensions will be granted.
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