Dalziel Lianne: Financial Service Providers (Pre-Implementation Adjustments) Bill — Second Reading In Committee 
Text is incorporated into the Bound Volume 
Dalziel Lianne: Financial Service Providers (Pre-Implementation Adjustments) Bill — Second Reading In Committee 
[Sitting date: 22 June 2010. Volume:664;Page:11956. Text is incorporated into the Bound Volume.] 
Hon LIANNE DALZIEL (Labour—Christchurch East) 
: 
 I was hoping that the Minister of Commerce would be here to answer some questions; it may well be that he is in a position to do so at some stage in the near future. 
Given that the advisers have come into the Chamber I take the opportunity to acknowledge them and the work they have done. I know that it is not appropriate to bring the advisers into the debate while they are sitting in the Chamber but they made an extraordinary effort. That effort was acknowledged in second reading speeches but I wanted to acknowledge them while they were in the Chamber. The Minister can be very proud of the efforts made by parliamentary counsel the officials from the Ministry of Economic Development who gave advice and also our committee clerks who under extraordinary time limits worked hard to produce what I think is a bill that better reflects the original intent of it. 
I have already confessed in the second reading of the Financial Service Providers (Pre-Implementation Adjustments) Bill that I now know more about the detailed aspects of this legislation than I ever knew when I was Minister of Commerce. I feel very strongly that in the future in this technical area where there is a non-partisan approach across the House we need to look at getting out draft exposure bills so that people can see the detail. Important stakeholders once they have seen how the bill has been written will be able to say how they consider it will work in practice. A number of people spoke to me during the passage of this legislation through our Commerce Committee. They made the point that they had not understood how the legislation that had been passed prior to the last election would work in practice until they set about the task of implementing it. There really was not any way of their knowing in advance but I think that if they had had a draft exposure bill to look at last year we could have got through this process with a little more time and opportunity to reflect on things in the way that we would normally expect to do. 
The Committee stage is an opportunity to go through some of the detail of the bill. One of the things that I want to query though is a question that was raised subsequent to the bill being reported back. Some people raised concerns one of which related to the Mortgage Brokers Association. A number of members of the association had actually started training that would take them up to the authorised financial adviser level. I want to place on record how much I approve of anyone in the financial advisory space getting himself or herself up to that level and beyond. I totally support those brokers who although not required by the legislation to reach that level of authorisation wished to gain the qualifications in order to reach that level. It was a very good approach for them to take. The position we had put to us after we had reported back the bill was that inadvertently we had prevented those people from becoming authorised financial advisers because the Securities Commission would not have the power to grant them that status. They were ineligible because they did not advise on a category 1 product. I spoke to the Minister’s office and I know that other members of the committee did as well. We realised that if we were to encourage better standards within the industry as a whole then we would not want that to be the case. I think it was a typical lawyers’ interpretation of legislation whereby they look for problems rather than solutions—I personally did not think it was intended to be restricted in that way—but I understand that Supplementary Order Paper 146 now addresses that issue and I would like the Minister to explain it.