WA: Royal Commission head into WA finance broking scandal chosen

AAP General News (Australia)
04-24-2001
WA: Royal Commission head into WA finance broking scandal chosen

PERTH, April 24 AAP - A royal commission into Western Australia's finance brokers scandal
would be headed by Queens Counsel Ian Temby, Premier Geoff Gallop announced today.

Dr Gallop made the announcement in Albany, the hometown of many elderly self-funded
retirees who were stung by the failed finance broker deals.

The premier said the royal commission would help in the pursuit of those responsible
and help in the recovery of investor losses.

Former Fair Trading Minister Doug Shave, who argued against a royal commission despite
a parliamentary committee report into the scandal recommending one, lost his seat at the
recent state election over his handling of the affair.

Mr Shave had refused to accept responsibility for millions of dollars in losses incurred
by thousands of mainly-elderly small investors through questionable pooled mortgage investments.

Dr Gallop said Mr Temby, the Commissioner of the New South Wales Independent Commission
Against Corruption from 1989 to 1994, would instill confidence.

"His appointment makes us confident that the truth behind this major finance scandal
will finally be exposed," he said.

The premier said cabinet had approved a two-stage process for the appointment of the
royal commission, with a budget of $5 million.

The first stage will require the Ministry of Fair Trading to select investment projects
that then will become the subject of the royal commission; counsel and staff will be appointed
and premises chosen.

The second stage will be the formal appointment of the royal commission, to inquire
into the selected projects and report on illegal or improper conduct, and in light of
those findings, report on practices within the finance broking industry.

The premier said the royal commission would not duplicate the work of the Gunning Inquiry,
which he said had been empowered to investigate patterns relating to the Finance Brokers
Supervisory Board and not the finance broking industry.

AAP lt/sd/hu/de a

KEYWORD: BROKERS

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