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Ten Morning News -

View in ParlView

(generated from captions) to the bank deposit scheme.

With the Opposition on the attack

this morning, we're joined by

Thanks Shadow Finance Minister Joe Hockey.

Thanks for your time, Mr Hockey. Good morning.

of being dishonest. Why? You've accused the Prime Minister

Well, the Prime Minister has said on numerous occasions in the

Parliament that all the decisions

have been based on the advice of

Reserve Bank. Is now emerges that the regulators, including the

the Reserve Bank gave different

advice to the Prime Minister about

the government guarantees, and that

the Prime Minister did not follow

that advice, instead went with some

other decision. What that means is

the Prime Minister is not levelling

with the Australian people, and I

think many Australians will be very

disappointed about that because

this is meant to be a national

crisis. But when the PM announced

the emergency measures on October 12,

12, the Coalition supported it?

Well, it was on the basis of trust.

When the Prime Minister says that

he is being fair dinkum with the

Australian people that he says he

is levelling with people, when he

says he is basing decisions on the best evidence available and the best advice from the Reserve Bank

and others, we took him at face

value, we believed that, and now

Wayne Swan has issued weasel words,

saying the Reserve Bank supports

the decision. That's not the issue.

The issue is what was the advice

the Reserve Bank gave the

guarantee on deposits? What was Government about limiting the

that advice? Because that advice

would have been based on, we assume,

on the very best interests of the

Australian people, and the

advice. Government chose to ignore that

OK. I think we would all agree that

something needed to be done to

instil confidence back into the

market in early October, but the

emergency measures, the blanket

cover for all deposits seems to be having the reverse effects.

Well, that's the danger. That's why

all along we've been asking for the

information that has been the basis

for the decisions of the Prime

Minister and the Government. When

it came to things like short-

selling, the Government went too far

far and then had to pare back. Now

on the guarantee, the Government

seems to have gone way to far. Now

it has to pull back. This is not

should the way to run policy, and policy

should be evidence-based - that's

the commitment Kevin Rudd gave the

Australian people. When he looks

the Australian people in the eye

and says he is levelling with the

Australian people, we expect he is

telling the truth. That's why we're

asking the questions and so far

we're not getting any answers.

Both Lindsay Tanner and Wayne Swan Both Lindsay Tanner and

have both said this policy was made

in consultation with the regulators.

Is this a case of them not seeing eye-to-eye with Treasury?

Well n the case of Lindsay Tanner,

he says he wasn't even consulted.

Alarmingly, on television, he said that

that he was the acting Treasurer

when these decisions were made, but

he didn't understand them and he

had no role to play in the

decisions decisions. So who is making

decisions in the Government and on

what evidence are those decisions

being made? These are fundamental

questions when we are dealing with

literally hundreds of billions of

dollars of potential exposure to

Australian taxpayers. We cannot

afford at this time to roll the

dice and have a guess. It has to be

based on evidence, and so far Kevin

Rudd is refusing to release all the

information for what are very significant decisions.

the Well no doubt we will hear more as