Page 5585 - Week 13 - Thursday, 17 November 2011

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things that must be done under law. And we get those reports. We get the audited financial statements here every year. The previous auditor did a lot of work in helping agencies, particularly small agencies, through her financial background and her understanding of how public service works—helping people improve, helping the small agencies improve.

There is a requirement under the law, under the Corporations Act. I will tell you what the qualifications for an auditor under the Corporations Act, under section 1280, are. It says that you must have obtained “a degree, diploma or certificate” and “passed examinations in such subjects” as:

(i) … accountancy (including auditing) of not less than 3 years duration; and

(ii) … commercial law (including company law) of not less than 2 years duration …

It goes on:

The next clause in the Corporations Act says that anybody appointed as Auditor-General is deemed to have those qualifications. It is like having a first law officer who does not have a law degree but who wants the respect of the community because he is the first law officer.

The Corporations Act, which we cannot overrule because it is a federal act, says, “If you get the gig, you are deemed to have those qualifications.” It does not make you an auditor; it does not give you those qualifications. That is what we are saying here today: because of the flaws in this process, and it is a dreadfully flawed process, the problem for the community now is that we have got a report from the privileges committee that says we need to now formalise this process. It seems that we have a problem, a problem created by the Chief Minister herself. The problem is that—as the letter that you signed, Ms Le Couteur, says—it puts the nominee at a disadvantage. That disadvantage is being played out well and truly here today.

The problem is that we have had a flawed process. The problem is, and I will be quite happy—

Members interjecting—

MADAM ASSISTANT SPEAKER (Ms Le Couteur): One moment, Mr Smyth. Mr Doszpot and Ms Burch, we are not having a conversation. Mr Smyth, the floor is yours.

MR SMYTH: Thank you, Madam Assistant Speaker. I do question the lack of qualifications. I am entitled to question that lack of qualification. In fact, as a member of the oversight committee, I think I am obliged to question that lack of qualification. That is what has led us here today.

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