Chadwick Steve: Financial Service Providers (Pre-Implementation Adjustments) Bill — Second Reading In Committee 
Text is incorporated into the Bound Volume 
Chadwick Steve: Financial Service Providers (Pre-Implementation Adjustments) Bill — Second Reading In Committee 
[Sitting date: 22 June 2010. Volume:664;Page:11971. Text is incorporated into the Bound Volume.] 
Hon STEVE CHADWICK (Labour) 
: 
 I have enjoyed sitting listening to the debate. Predominantly the members of the Commerce Committee are reporting back on this bill today. But I felt rather sad actually when I heard a member opposite Melissa Lee talk with that rhetoric about what Labour had done over the last 9 years. Many of us— 
John Hayes 
: Nothing. 
Hon STEVE CHADWICK 
: Well that is not true. The member is a relatively new member. I think that the member firing those barbs across the Chamber when he has just come into the Chamber after we have had 2 hours of fantastic debate and agreement shows his naivety. No one opposes this bill. 
While we are talking about the Minister of Commerce bringing this bill into the House in urgency today I will point out that it is 18 months since the National Government took the reigns of power. That is a long time because Lianne Dalziel as the then Minister of Commerce introduced the first discussion document in 2006. Let us look at the environment at that time. Four years ago we started to feel nervous about the financial market and about investment companies. Since that time 30 companies have gone to the wall and collapsed so it is only in the last 4 years that that environment has started to cause some great unrest. The then Minister of Commerce moved very quickly to get a discussion document moving around the financial and investment sector. As a result of that she introduced two bills into Parliament which were supported by National. That is not doing nothing and it is not sitting back and watching the crash and burn of the financial sector. I wanted to put that on the record and to acknowledge Lianne Dalziel’s contribution. 
I was an electorate MP at the time that the Blue Chip disaster started to occur and I found that investors were travelling over from Tauranga because of the representation there at the time. They came to my office in Rotorua desperately seeking some help. They were not what I would call mum and dad investors. They were sophisticated investors. They had invested up to $100000 but I believe that they had a degree of naivety in the way that they were conned by Blue Chip at the time. The Minister came to a meeting in Tauranga and met with these investors. There was a whole roomful of them. They wanted the Minister to do something there and then to save and protect their money and now they have other avenues of redress to try to recoup some of those massive losses of life-savings which was incredibly sad. 
The Minister moved quickly with the implementation of the Financial Advisers Act and the Financial Service Providers (Registration and Dispute Resolution) Act in 2008. At the same time in that environment the Labour Government was looking at regulating other professions such as the police and we had also carried out a major legislative reform programme on health professionals. Financial advisers were another sector that was ripe for the plucking at that time in that environment. I just wanted to put that on the record. 
I thought it was sad to hear the rhetoric we have heard from National after the consensual way in which the Commerce Committee has worked. That was reflected today by the technical experts in this debate who were clearly on the Labour side of the House. I appreciated the contribution from Sam Lotu-Iiga who put up a perspective and also Melissa Lee. But the actual technical expertise sat with the previous Minister of Commerce who is now sitting on the Opposition benches. I wanted to put that right. 
I am not now an electorate MP but people are bringing their concerns to me as a list MP about loan sharks. That is a category another class that I urge the Government to have a look at. I think this is evolutionary legislation. This bill is amending legislation to allow the implementation of the regime. But I also believe that the Government now has to look at the principles of Carol Beaumont’s member’s bill. Loan sharks are another category that has to be regulated and we have to move quite swiftly on this matter. This bill was the perfect tool to bring in those considerations in the Committee of the whole House through a Supplementary Order Paper. What a missed opportunity that will be. The Labour members in Opposition will be holding the Government to account on that issue.