Collins Judith: Vehicle Confiscation and Seizure Bill — First Reading 
Collins Judith: Vehicle Confiscation and Seizure Bill — First Reading 
[Volume:654;Page:4105] 
Hon JUDITH COLLINS (Minister of Police) 
: 
 I move  
That the Vehicle Confiscation and Seizure Bill be now read a first time. 
 At the appropriate time I intend to move that the bill be considered by the Transport and Industrial Relations Committee that the committee report finally to the House on or before 10 September 2009 and that the committee has the authority to meet to examine the bill at any time while the House is sitting except during questions for oral answer and during an evening on a day on which there has been a sitting of the House and to meet on a Friday in a week in which there has been a sitting of the House despite Standing Orders 187 and 190(1)(b) and (c). 
Recent events have demonstrated that illegal street racing and the associated antisocial behaviour leads to violence disorder and road fatalities. New Zealand clearly has an illegal street racing problem. The correspondence I have received from members of the public has confirmed that New Zealanders have had enough. The relentless noise uncontrollable behaviour and general disruption to people’s lives has called for a strong and comprehensive response. 
The Government’s response to illegal street racing takes the form of two separate bills that are designed to work in unison to stop illegal street racers in their tracks. The Land Transport (Enforcement Powers) Amendment Bill led by the Minister of Transport will enhance the powers of police and road controlling authorities to tackle illegal street racing and the associated antisocial behaviour. This legislation builds upon the earlier street racing legislation introduced in 2002 by the previous Government. The Land Transport (Street and Illegal Drag Racing) Amendment Bill 2002 introduced specific new offences for illegal street racing. The Vehicle Confiscation and Seizure Bill makes use of these specific offences but goes a lot further in penalising individuals who persist in breaking the law. 
This bill aims to significantly reduce the harm and nuisance to communities caused by illegal street racers by strengthening the powers of the courts to order the confiscation of motor vehicles by empowering the courts to order the destruction of motor vehicles used by persistent illegal street racing offenders and by strengthening the provisions to seize motor vehicles to enforce the collection of unpaid fines and reparation. 
Both the Vehicle Confiscation and Seizure Bill and the Land Transport (Enforcement Powers) Amendment Bill aim to close existing loopholes that permit illegal street racers to circumvent the law. We know that illegal street racers frequently avoid being penalised for breaking the law by exhibiting such practices as switching vehicles with each other registering their vehicle to another person and selling their vehicle to a friend for a nominal fee before a court appearance. Illegal street racers will no longer be able to commit an offence in another person’s car and avoid being penalised. The Vehicle Confiscation and Seizure Bill amends the Sentencing Act to allow the courts to confiscate and in some instances destroy a vehicle used by an offender that a third party owns or has an interest in. 
In the past finance companies have been unaware of illegal street racing offending committed in cars in which they have an interest. This bill includes anyone who has an interest in the vehicle under the definition of “substitute”. This will mean a finance company would receive a written caution if a vehicle that had finance owing on it was used to commit an illegal street racing offence. There has also been difficulty with illegal street racers accruing fines and failing to pay them. Part 2 of the Vehicle Confiscation and Seizure Bill inserts into the Summary Proceedings Act new powers that strengthen the court’s power to seize a vehicle and sell it if there are outstanding fines. 
This bill allows a three-step approach to stop recidivist illegal street racers. The Sentencing Act 2002 already authorises the court to confiscate and sell the vehicle of an offender convicted of specific offences. If an offender is convicted of a second serious traffic offence within 4 years the court must confiscate the vehicle unless this would result in extreme hardship for the offender. This bill amends the confiscation regime in the Sentencing Act to give the courts discretion to allow the confiscation and destruction of a vehicle if an offender commits a third illegal street racing offence within 4 years. This is designed to be a last-resort option to deter and punish the most serious repeat offenders. 
Upon an offender being convicted of an illegal street racing offence the court will have discretion to order the confiscation and destruction of a vehicle used to commit the offence if the offender has two prior convictions for such offending imposed on different occasions within the preceding 4 years and the offender owns or has an interest in the vehicle or if a third party who has been issued with a written caution in respect of the offender for an illegal street racing offence within the previous 4 years owns or has an interest in the vehicle. Under a confiscation and destruction order the vehicle will be confiscated and sold to a vehicle wrecker or scrapyard. It will be a condition of sale that the purchaser remove any sellable parts and destroy the remainder of the vehicle. Once the vehicle is confiscated and sold or confiscated and destroyed the proceeds of sale are applied in the following order of priority: firstly to pay the cost of the sale which includes all costs incurred in seizing the motor vehicle towing and storing it including any prior impoundment costs; secondly to pay any amount owing pursuant to a security interest; thirdly to pay any fines and/or reparation or court costs owed by the offender; and fourthly to pay any surplus to the offender. 
As I stated earlier we know that offenders commit illegal street racing offences in cars that do not belong to them in order to avoid being penalised. This bill closes that loophole by extending confiscation to vehicles that are owned by a third party who allows an offender to use his or her vehicle. If an offender commits an illegal street racing offence in another person’s car the owner is personally served with a written caution. This written caution warns the recipient that any vehicle he or she owns that is used by the offender to commit a further illegal street racing offence is liable to be confiscated. If a third illegal street racing offence is committed the vehicle may be confiscated and destroyed. The intention of this provision is that it will encourage parents and friends to withdraw access to a vehicle if it is being used for illegal street racing. This also encourages people to take a greater level of responsibility for their vehicles and to think more carefully as to whom they lend them. 
The bill contains safeguards to prevent third parties from circumventing the law by selling a car before appearing before the court. Currently the court can reverse any vehicle sale that occurred between the commission of the offence and conviction if the sale was not genuine. This bill provides that the same will apply to third parties. That means if an offender is convicted of a second offence in a vehicle belonging to a third party who has received a written caution but has since sold the vehicle the court can also reverse the sale if it is not bona fide. 
Part 2 focuses on the collection of unpaid fines and subsequent seizure of motor vehicles. The bill proposes to insert new sections into the Summary Proceedings Act. They will strengthen existing provisions to seize motor vehicles enforce the collection of unpaid fines and therefore reduce opportunities for illegal street racing. Motor vehicles will be able to be sold if fines remain unpaid. If fines remain unpaid after the vehicle has been seized then the vehicle can be sold at public auction or in any other manner directed by a District Court judge. The proceeds of the sale are applied in the same way as those for confiscation and destruction. 
Part 3 amends the Privacy Act 1993 to authorise police to automatically release personal information about the driver or registered owner of a car that has been impounded by the Ministry of Justice. This will enable the Ministry of Justice to locate drivers and owners who may have overdue fines by using more up-to-date information. 
I invite the select committee to ensure that the bill meets its objective of reducing the harm and nuisance that illegal street racing causes to communities. I am open to and indeed anticipate changes through the select committee process to better reflect this intention. I encourage all interested parties to remain actively involved in the development of the bill through the select committee process. This will ensure that we have legislation that is workable and effective. 
I would like to acknowledge all those who have contributed to this bill being introduced and all those people who have taken the time to write to my office and explain how illegal street racing has affected them and their families. I acknowledge the officials from the Ministry of Transport and the Ministry of Justice the New Zealand Police and the Parliamentary Counsel Office for the work that has gone into the drafting of this bill. I acknowledge the support parties for their backing of this important piece of legislation and also the previous Government for its past efforts to address the issue of illegal street racing. 
This bill responds to the demands of New Zealanders to live in their homes in peace and to drive on their roads without mayhem. Illegal street racing is dangerous irresponsible and infuriating. This Government will not tolerate the wayward behaviour of a few people who are ruining the quality of life for many. This bill delivers a tightened vehicle confiscation regime with severe penalties for those offenders who have no respect for the law or the people of New Zealand. I therefore commend this bill to the House.