Mr JOHN BROWN(5.22) —Clause 12 relates to the power of the National Companies and Securities Commission to require the production of books of companies. We have some reservations about this clause. We feel that the Commisson is prevented from getting books in certain circumstances under the provisions of this Bill. For example, we think that the Commission should be able to obtain access to books to enable it to formulate recommendations for law reform. Clause 12 (1) (a) contains a rather pleasant phrase. It states:

Other than the power of the Commission under sub-section 6 (3) of the National Companies and Securities Commission Act.

The Commission is prevented from obtaining access to books by that sub-clause. We have no doubt that this clause was inserted after the 1980 exposure draft at the behest of business interests wanting to maximise privacy. I guess that in practice the provision is not likely to have any great effect but it raises the point as to how much privacy public companies are entitled to. That runs counter to the Labor Party's argument that requires maximum public accountability.

Clauses 12 (2) (a) and 12 (3) (a) require that the reason for the examination of the books be specified. The intention is obviously to prevent fishing by the Commission. But we feel that this is not justified in the light of public accountability. In our view it is necessary to distinguish between civil liberties like privacy and the liberties of those engaged in business. I take issue with the Minister for Business and Consumer Affairs (Mr Moore) on this matter-I say in passing that on this side of the House we have considerable respect for his integrity-and disagree violently with his view as to how business should be done. We do not think that doing business with a company under the many guises that companies have and under the many corporate forms that companies may take should be like being involved in a lottery. Certainly there is a risk involved in doing business with some types of companies. The old caveat emptor rule remains paramount. But if a proper national companies law existed, a lot of the risk that is taken both by creditors and shareholders would be eliminated. That is all we are asking for in a national companies law, that proper accountability be made paramount so that companies can not only be seen to be doing business respectably and be doing it respectably but also that they pay their fair share of the tax burden.