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Legislative Assembly for the ACT: 1997 Week 1 Hansard (20 February) . . Page.. 300 ..


Mr De Domenico (continuing):

(5) No.

I am advised that Sly & Weigall had no input into the matter. At the request of ACTTAB, Sly & Weigall agreed to make the file available in the event that ACTTAB sought to review the actions of its former solicitors.

The selection of the Sydney solicitors, Freehill Hollingdale and Page, and the decision to appoint them as independent legal advisers on the matter was made solely by the ACTTAB Board.

(6) An examination of the files has not revealed that the previous Board received any written advice about the possible or impending merger between Macphillamy Cummins & Gibson and Sly & Weigall.

During the inquiry, there was an extensive search and review of departmental files. I do not consider it appropriate to divert further departmental resources to this issue.

(7) As I have previously advised, ACTTAB has already sought and received independent legal advice from prominent and highly respected Sydney solicitors Freehill Hollingdale and Page in February 1995 as to whether it would have any claim against Macphillamy Cummins and Gibson, in relation to the agreement it ended with VITAB on 22 October 1993. Freehill Hollingdale and Page concluded "that ACTTAB would not be able to establish a cause of action against Macphillamy Cummins and Gibson giving rise to a right to recover damages".

(8) The Government is committed to ensure that all avenues for recovering have been fully and exhaustively explored. However, in my opinion, the ACTTAB Board has acted responsibly in taking independent legal advice on the matter whilst ensuring the preservation of its rights. The advice has been that an action would not succeed. The clear cost of pursuing a potentially unsuccessful action would result in the awarding of costs against ACTTAB adding to the already substantial financial burden incurred as a result of this matter.


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