Philip Ruddock (Berowra, Liberal Party, Attorney-General) Share this | Hansard source

by leave—Just over one year ago, after a request by the Secretary-General of the United Nations, the Australian government moved decisively to set up an open, transparent and independent public inquiry with royal commission powers. Its task was to look into the conduct of the Australian companies identified in the Volcker report, the UN committee report which unveiled corruption throughout the UN oil for food program involving 2,200 companies from 66 countries while Saddam Hussein was in power.

No other country has undertaken such an open and far-reaching inquiry. As Commissioner Cole states in the prologue to the report:

AWB has cast a shadow over Australia’s reputation in international trade. That shadow has been removed by Australia’s intolerance of inappropriate conduct in trade, demonstrated by shining the bright light of this independent public Inquiry on AWB’s conduct.

Like Commissioner Cole, government is disappointed that a major Australian company could be involved in such inappropriate conduct. Australia does not tolerate corruption here or by Australian companies in other parts of the world.

We have acted to get to the bottom of this matter. I am pleased to table the report of Commissioner Cole and, on behalf of the government, to thank him, his legal team and the inquiry staff for conducting the most rigorous, independent and transparent inquiry in the world into matters arising from the Volcker report.

Commissioner Cole’s independence under his letters patent has been clear beyond doubt. As even the Leader of the Opposition said in February:

We’re not worried about Cole. We’re not worried about his independence or his willingness to inquire ...

On this issue alone, the Leader of the Opposition has been proven correct. Commissioner Cole and those assisting him have done an outstanding job in very difficult circumstances. He has worked tirelessly through 76 days of hearings, hundreds of witness statements and tens of thousands of pages of documents.

Getting to the bottom of this matter has not been an easy task; it has taken Commissioner Cole’s inquiry a year. This followed the lengthy Volcker inquiry, which itself relied on the fall of Saddam Hussein 3½ years ago, giving access to Iraqi government documents for the first time.

The Australian government was proactive in facilitating those two inquiries. It has done all it can to assist Commissioner Cole to get to the heart of the matter. When the commissioner asked for resources, we provided them. When the commissioner requested changes to the terms of reference, we provided them—on five separate occasions.

Much has been claimed about the supposed inadequacy of the terms of reference. I reject any claim that Commissioner Cole has been hampered in his important task. As Commissioner Cole himself notes in his report at paragraphs 6.26 and 6.27:

I closely examined the role of the Commonwealth, and particularly that of the Department of Foreign Affairs and Trade, in relation to the operation of the Oil-for-Food Programme, with particular emphasis on the Department’s role in the export of wheat to Iraq by AWB during the programme.

He goes on:

I found no material that is in any way suggestive of illegal activity by the Commonwealth or any of its officers. There was thus no basis for my seeking any widening of the terms of reference in that respect.

The Cole inquiry has been a landmark inquiry in terms of the government’s openness to forensic examination of its internal processes. That examination has extended far beyond government departments to ministers and their offices and to intelligence agencies.

Three senior ministers, including the Prime Minister and the Deputy Prime Minister, gave evidence and were examined by the inquiry. A fourth minister and a former minister also provided sworn statements.

The report being tabled today finds that there is no basis for doubting the evidence provided by the Prime Minister or other current and former ministers. Commissioner Cole found in his report, at paragraph 30.241:

There is no evidence that any of the Prime Minister, the Minister for Foreign Affairs, the Minister for Trade or the Minister for Agriculture, Fisheries and Forestry were ever informed about, or otherwise acquired knowledge of, the relevant activities of AWB.

Furthermore, the commissioner found that there was no evidence to support an inference that the Department of Foreign Affairs and Trade had turned a blind eye to the allegations.

Tabling this report is not an end to the process. Just as the Australian government acted quickly and resolutely to establish a royal commission after the Volcker report, the government will be moving quickly now it has the report.

Commissioner Cole sets out a range of findings in relation to possible breaches of Australian law by AWB and certain former employees.

As recommended, the government will establish a task force of relevant Australian government agencies to consider possible prosecutions in consultation with the Commonwealth Director of Public Prosecutions. The Prime Minister is writing to the Victorian Premier to invite the participation of the Victoria Police and the Victorian Director of Public Prosecutions in this process.

In addition, the government will introduce legislation and seek its passage in this sitting fortnight to facilitate access by the task force to the many documents held by the Cole commission. This will also help responses to future commissions.

Commissioner Cole has also recommended a number of changes designed to strengthen Australian law, in particular in relation to the domestic enforcement of UN sanctions and the conduct of future royal commissions. The government will move speedily to consider Commissioner Cole’s recommendations.

I would like to add a word of caution. Although the government is moving quickly and decisively, it may take time for the independent agencies involved in the task force to thoroughly consider all of the relevant material before commencing any prosecution.

This is appropriate. Government agencies should only take actions to investigate and prosecute citizens or companies when they have a proper basis for doing so. Thanks to Commissioner Cole’s inquiry, we now have a basis for making proper, informed decisions about whether persons or companies can and should be prosecuted for possible breaches of Australian law.

Again, the government thanks Commissioner Cole and his team and the legal inquiry staff for this thorough and important report. I table the report.

See this speech in context