Senator KIRK (3:25 PM) —My question is to the Minister for Justice and Customs, Senator Ellison, and follows on from his earlier answers to questions concerning AUSTRAC and its knowledge of the AWB kickback scandal. Does the minister recall saying on 8 February 2006 that AUSTRAC was assisting the Cole commission? Given that AUSTRAC is now cooperating with the Cole commission, can the minister explain why it refused to help the Volcker inquiry that exposed how the Howard government facilitated the channelling of $300 million in kickbacks to Saddam Hussein’s regime? Did the minister order AUSTRAC not to cooperate with the Volcker inquiry? If so, on what basis? Is it any wonder that Mr Volcker found that the Howard government was ‘beyond reticent, even forbidding’ when it came to searching for the truth?

Senator ELLISON (Minister for Justice and Customs) —As I have said, AUSTRAC has signed an MOU with the Cole inquiry and is assisting the Cole inquiry. In relation to the Volcker inquiry, that was a totally different situation. AUSTRAC was not able, under its legislative framework, to provide information to that inquiry. The Cole commission of inquiry is one set up in Australia and one which AUSTRAC can enter into an MOU with. I did not instruct AUSTRAC in any way in relation to its dealings with the Volcker inquiry. The decision in relation to the Volcker inquiry was made by AUSTRAC itself and was done within its legislative framework.

Senator KIRK —Mr President, I ask a supplementary question. Minister, do you agree with AUSTRAC’s claim that it was unable to assist the UN inquiry because the UN is not a country? Can the minister now identify for the Senate what section of the Financial Transaction Reports Act 1988 precludes AUSTRAC from sharing information with the UN inquiry? Isn’t it actually the case that this was just another lame excuse for the Howard government to turn a blind eye to the truth?

Senator ELLISON (Minister for Justice and Customs) —Sections 25 and 27 of the Financial Transaction Reports Act 1988 include secrecy and access provisions that protect financial transaction reports information from dissemination other than to prescribed personnel and agencies involved in the enforcement of Commonwealth, state and territory laws. That protection is an important part of ensuring that the privacy of individuals’ and entities’ financial transactions is maintained and that financial transactions reporting information are not released for use in a manner that is inconsistent with the act. That answers the question.