Falklands : Falklands say Yes to Fish Farming and No to Money Laundering
Submitted by Falkland Islands News Network (Juanita Brock) 01.10.2006 (Article Archived on 15.10.2006)
Legislation passed by Councillors reflect new industries and an old problem.
LEGISLATIVE COUNCIL: FRIDAY, 22 SEPTEMBER 2006
(Part 2: Legislation)
By J. Brock (FINN)
ORDERS OF THE DAY: BILLS
The Supplementary Appropriation 2006/2007 Bill (2006):
The Bill required a first reading. The Financial Secretary, Mr. Derek Howatt (DH), spoke to the Bill.
DH: Mr. Speaker, Honourable Members, this is the first supplementary Bill to be presented for the current financial year. In addition to the sum of £40,773,880.00 already appropriated the purpose of this Bill is to authorise the withdrawal of £822,740.00 from the consolidated funds to meet supplementary expenditure approved by the Standing Finance Committee on the 25th of August 2006. The Bill provides for the Contingencies Fund to be replenished in respect of any advances made.
An additional sum of £124,500.00 is inserted under the operating budget. £100,000.00 is allocated for Health and Social Services to provide additional resources following a review of the Dental Department. £12,000.00 is for education and training to provide a special needs assessment and training for learning support assistance. £7,500.00 is for Central Administration and represents a carry-over of unspent funds in 2005/2006 to meet a commitment for a specific bird study. £5,000.00 is allocated to the Legislature Department and relates to carry-over of unspent funds from 2005/2006 for a re-scheduled visit to the Islands by British Members of Parliament.
Under the Transfer Payments Budget, the sum of £698,240.00 is inserted. Out of this sum, £375,000.00 is allocated to supplement subsidy for the Abattoir. £175,000.00 is required to cover the actual operating deficit for 2005/2006 and £200,000.00 to cover the revised estimated shortfall for the current year. The balance of £323,240.00 represents carry-overs of unspent funds from 2005/2006 for six items of committed expenditure as follows: £193,700.00 for a contribution to Defence in respect of housing, £73,000.00 for a contribution to Defence in respect of Met Services, £3,380.00 for the Historic Building renewal programme, £3,150.00 for the wool freight subsidy, £25,000.00 for the Museum and National Trust and finally, £25,000.00 for Camp Energy Grants.
The Standing Finance Committee were satisfied that all the supplementary expenditure was necessary, as o savings could be identified for viorment.
I beg to move the first reading of the Bill.
The Bill was seconded by Cllr Dr Andrea Clausen.
The Bill passed through all stages and was passed.
The Marine Farming Bill (2006):
The Chief Executive Mr. Chris Simpkins (CS) spoke to the Bill:
CS: Mr Speaker, Honourable Members, in submitting this Bill to the House for approval I wish to move amendments to clause 4 as follows;
Firstly, to delete sub-clauses 2 and 3
Secondly, to then re-number existing sub-clauses 4, 5, and 6 so that they become sub-clauses 2, 3, and 4 respectively.
And, thirdly, by altering the present cross-references in those sub-clauses to sub-section 4 so that they become cross-references to sub-section 2.
Let me explain to the House the reason for the deletions. The reason for the deletion of existing sub-clauses 2 and 3 is effectively to remove duplication and therefore the potential for confusion since the issue of the qualifications of Companies to which licences may be issued is dealt with in Clause 3 of the Bill.
The purpose of the Bill is to provide a regulatory framework and licensing regime for fish farming in marine waters. This is a new and emerging industry for the Islands but has great promise. The Bill makes provisions for the application and issue of marine farming licences with the power to make conditions to Companies Incorporated in the Falkland Islands.
Clause 9 contains provisions which would enable the cancellation of licences where the terms of the licence have not been complied with. And, there are provisions to enable appeal against cancellation contained in clause 11.
Royalties will be payable to the Government in respect of the financial benefits accruing from licences.
Finally, Clause 20 makes it an offence to undertake fish farming activities other than in accordance with the terms of a licence. And, the schedule grants powers of entry and search of fisheries offices.
I beg to move the second reading of the Bill.
The Bill was seconded by Mr. Derek Howatt the Financial Secretary.
Cllr. the Hon Mrs Janet Robertson (JR):
I was just wondering if the Attorney General could help me. In Section 5(b) – well, in Section 5, it refers to determination of applications and the Governor shall have regard in particular to the affects which the fish farming will have on the marine environment. I was wondering who would assess – who would be advising the Governor in these instances and what if there are any regulations regarding the requirement for environmental impact assessments before fish farming can commence?
The Attorney General Mr David Lang QC (DL):
I will answer the last question first if I may. There are as yet no environmental impact regulations. Those will have to be made in relation to fish farming. The first question – it will, of course, be the Director of Fisheries who will be responsible for advice to the Governor in relation to environmental considerations of the kind you have mentioned. He may well, of course, involve outside consultants or other members of his staff. That remains to be seen. But the responsibility will be that of the Director of Fisheries.
JR: Sorry, I just need to clarify, who will then decide whether a proper protection of the marine environment is being undertaken?
DL: I have answered the question Mr. Speaker.
The Bill went through all the proper stages and passed.
The Fishery Products Bill (2006):
CS: Mr Speaker, Honourable Members, this Boll makes provisions in respect of the quality of marine and other waters and of water use for washing or processing fishery products, the designation of areas as being suitable for the production, election or relaying of shellfish, for securing the health of shellfish and for regulating the treatment, marketing, transport, import, export, introduction and movement of fishery products. It is therefore sister legislation to the aforementioned Marine Farming Bill.
I beg to move the second reading of the Bill.
DH: I second the Bill.
JR: May I ask a question?
DL: Yes. Please proceed.
JR: Yes – again to the Attorney General – I see from section 29 about quarantine requirements. I just wanted to clarify that the quarantine would mean that any fish caught in the Deep Sea would not be able to be placed in any marine waters or would it be only that it would not be allowed in any marine waters which have been designated? Perhaps you could clarify “Quarantine?”
DL: The Clause provides that fish caught in the deep sea, which are to be used for breeding purposes must first be placed in quarantine. Must First Be Placed In Quarantine under appropriate conditions to be determined by a food authority. Food Authority is a defined term, “the Senior Veterinary Officer or any other public officer appointed by the Governor to be a food authority for the purposes of the ordinance.“ The placing into quarantine is compulsory. The conditions are not compulsory. Those are to be determined by the food authority concerned.
The Bill passed through all its proper stages and was passed.
The Proceeds of Crime Bill (2006):
CS: Mr. Speaker, Honourable Members, the Proceeds of Crime Bill incorporates the UK Proceeds of Crime Act 2002 with appropriate amendments into the law of the Falkland Islands. It provides for the making of confiscation orders in relation to persons who benefit from criminal conduct. Such orders would allow the recovery of property which is, or represents property obtained through unlawful conduct or which is intended to be used in unlawful conduct. Lastly, there are provisions in respect of money laundering.
I beg to move the second reading of the Bill.
DH: I second the Motion.
JR: I wonder if the Attorney General could explain how this Bill relates – I am going to describe a particular circumstance – to someone who is authorising or processing in their function as an accountant expenditure which they may query but in their position are subordinate to the person who has authorised or presented the expenditure for processing. I wonder how this leaves the person in that role as an accountant who may be processing expenditure which they are not terrible happy with but in their subordinate position feel they have got no - they cannot object or they cannot refuse to carry out what they have been asked to do.
DL: Mr Speaker I am afraid I am not going to be able to provide a very adequate answer to that question. I would have preferred that I would have been given notice of it because it requires a detailed consideration of the provisions of the – or which are adopted by the Bill – or would be adopted by the Bill and I have not – I regret – brought the English Act along with me so as to be able to answer that question.
But it should be appreciated that the law will provide the professional people who are making payments which they suspect, particularly if they are the manager of the business concerned, for example, a bank, if there were to be a transfer by a bank which gave rise to suspicion of money laundering of the proceeds of crime, any member of the staff who was in charge of that payment, who had reason to suspect that a money laundering transaction is being carried out will be under a duty to report their suspicions to an appropriate authority. That reflects the provisions which are in force in England. Money laundering, I should explain, is a very serious matter internationally.
We are not involved in a criminal society in the Falkland Islands and this Bill, I do not expect, will have very great impact here. We’ve had no need to invoke any of the present provisions of the Criminal Justice Ordinance, which might bear upon the subject. But we may need to invoke it in relation to foreign transactions which come through here. And, we can never know whether will we will need to invoke the provisions or not.
But we are obliged in terms of our international obligations to enact legislation of this kind. And, that is one of the purposes why this Bill is being presented to the House.
The Bill went through tits proper processes and was passed.
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