Mr MELHAM(3.45 p.m.) —by leave—The Minister for Aboriginal and Torres Strait Islander Affairs (Senator Herron) deserves to be congratulated in this instance because he has not filibustered or stalled. He has had the matter of this general direction drawn to his attention. There were problems with the earlier general direction and, by giving this present general direction, he has ensured that no funding to indigenous organisations would be delayed over the next three months by virtue of the special auditor mechanism.

I have reservations about these general directions, by the way. I do not blame the minister for this. I blame the cabinet. The cabinet acted on the run and, in my opinion, acted without considered advice in relation to imposing on the minister this requirement to issue these special directions for a special auditor—a special auditor that is going to cost the ATSIC organisation $750,000 for six months work. That is $750,000 that could have been delivered to providing community services to organisations.

My reservations to this House were put on notice on 2 May 1996, when I put question on notice No. 108 to the Attorney-General (Mr Williams). It is worth repeating that question:

(1)   Was he consulted in relation to the purported general directions issued on 10 April 1996 by the Minister for Aboriginal and Torres Strait Islander Affairs under section 12 of the Aboriginal and Torres Strait Islander Act 1989 concerning the grant or loan of money by the Aboriginal and Torres Strait Islander Commission.

(2)   If he was consulted, did the consultations include consideration as to whether the proposed directions:

(a)   were of an appropriate nature to be made as general directions;

(b)   amounted to the Minister exercising a delegated legislative power not authorised by the Act; and

(c)   conflicted with several sections of the Act specifying the powers of the Commission and the Aboriginal and Torres Strait Islander Commercial Development Corporation.

(3)   If he was consulted and the consultations included the considerations specified in part (2), what conclusions were reached in respect of each consideration.

(4)   If he was not consulted, will he seek urgent consultation on the considerations specified in part (2) with the Minister for Aboriginal and Torres Strait Islander Affairs.

I have grave reservations as to whether these are genuine general directions within the definition of section 12 of the ATSIC Act. There is a real problem. The Attorney-General should answer that question as quickly as possible. I think it is incumbent on him to do it ASAP. Other than that, I just want to congratulate the minister for admitting that there was a problem and for remedying it at the earliest opportunity.