8. Question No. 8—JusticeRACHEL BROOKING (Labour) to the Minister of JusticeQuestion No. 8—Justice8. RACHEL BROOKING (Labour) to the Minister of Justice: What further changes is the Government proposing to ensure greater transparency for political donations?Hon KIRITAPU ALLAN (Minister of Justice): On 8 September I introduced a Supplementary Order Paper (SOP) to the Electoral Amendment Bill to provide a narrow and targeted solution to a loophole identified in the law. The SOP makes an amendment to the bill to clarify the definition of party donation" in the Electoral Act and adds an offence for failing to comply with the existing obligation to transmit a political donation to the intended recipient.Rachel Brooking: Why does the definition of a "party donation" need to be clarified?Hon KIRITAPU ALLAN: As recent decisions have highlighted they've paved the way for entities not involved in the governance and management of a political party to receive donations for the benefit of the party without having to declare it. The amendment clarifies that a party donation is when a person donates to a political party or any other person with the intention that the donation is for the benefit of the party. It is important to fix this before the 2023 general election so that political parties cannot structure their financial affairs in a way that allows them to legally avoid having to disclose their political donations and to uphold the transparency of the political donations regime.Rachel Brooking: Why does an offence need to be added to the Act?Hon KIRITAPU ALLAN: Currently the Act requires every person to whom a candidate and party donation is sent to transmit it to the candidate or party secretary within 10 working days. However if they fail to do so there is currently no corresponding offence in the Act. In line with other offences in the Act for similar behaviour we are proposing a new offence with a maximum fine of $40000 with a complete defence available for anyone who can demonstrate that they had a reasonable excuse for non-compliance.Rachel Brooking: How can the public and experts in electoral law have their say on the proposed changes?Hon KIRITAPU ALLAN: I'd like to particularly just acknowledge the Justice Committee for reopening submissions on the bill following the introduction of the SOP. Submissions are still open and close on 3 October. I do encourage interested members of the public—particularly public law experts and those in the field of electoral law and political parties—to continue to engage the select committee process on this SOP.Rachel Brooking: What other changes to the political donations regime are being considered?Hon KIRITAPU ALLAN: The targeted changes contained in the SOP and the wider bill will increase transparency and improve trust and confidence in our electoral system and will be made before the 2023 general election. In addition to this is the independent review of electoral law which began earlier this year and has been tasked with considering the policy settings and rules for political financing and electoral expenditure alongside a range of other areas. The Government looks forward to receiving the final report from the independent panel by the end of November 2023."