COMMISSIONS OF ENQUIRY

Press, Volume LXX, Issue 21118, 20 March 1934, Page 10

COMMISSIONS OF ENQUIRY

♦ J POWERS DEKINIiI) ! POSSUM.K REASONS lOK I OIU KCTIOX Although many commission.- of enquiry appointed by the GovernorsGeneral have worked in New Zealand. ' legal proceedings to restrain them 1 from sitting have apparently never t before been taken. Tito powers of j such commissions, and the probable » reasons for the present application for , a writ of injunction against the Com- [ panics Promotion Commission by ccr- [ tuin company interests in Auckland 3 were explained yesterday by Mi- W. J. j Hunter, who said that he remembered l no similar action in New Zealand. 5 Tlio powers of such commissions are - defined in the Commissions of Enquiry ; Act. 1900, and its amendment. The relevant clauses are as follows: " 11? > The Governor-Gencral-in-Coun-r cil may appoint any person or persons to be a commission to enquire into and report on any question arising out of the administration of the Government, or the working of any existing law. or regarding the necessity or expediency of any proposed legislation, or concerning the conduct o 1 any officer in the public service. "i'li Every such commission shall for the purpose of the enquiry have the power and slatus of a magistrate in i cspect of citing parties interested in i lite enquiry, summoning witnesses, j hearing evidence, administering oaths, and conducting and maintaining order at the enquiry. "i f> • Every witness attending and giving evidence in pursuance of any such summons, and every counsel appiarmg before any commission, shall have the same privileges and immunities as witnesses and counsel in courts of law. "i!>> Every person who. after bein;; duly summoned lo appear before the commission, or to produce thereto any books, papers, writings, or documents ia> fails to appear according to the exigency of such summons, or (b> refuses to be sworn or to give eivdence. or lo give answers lo such questions as I may be put to him by the commission or any member thereof touching the subject of the enquiry, or ic> fails to produce any such books, papers, writings". or documents-- is liable fur every .such default to a tine not excecdinc. | iC ' 1 "If the Government issued a comir>b.sioi> certain peopie to do things : hat were contraiy to the law 'and the Government has no authority to issue such a com in iss mil > then 'thai commission would he ultra nrc. and liable to be : laved by an injunction." said Mr Hunter. ! "In tli'" present case i; may be that t ho.-e who are .seeking the injunction clan.i that the cumin..- .-'onV I'uqmry constitute.- an undue mi< rlcience with the legal right.-. of people to do a leu:;, thing." .-aid Mr Hunter. "Huwiver. the ci.mmis: ion i- nut given any p.»wer to Men an.\uuc Irom doing a r,;. i !ni ig. It to n.;:!;c it.- emiiurv and re'iori to the Go\ e: omen: to tiial end. bi mg given the power to siibpmna wd-l ' nesscs to give evidence and to pro- ! ) ciuee books. | "In this requirement to give evi- j fience may be the pom! objected to '■ I by the claimants in the present action, j ; They may be claiming that this means , the divul.gence of private business be-| j twoen them and their clients. i i "A witness m a court of law need ■lot give evidence which will incriminate him. Apart Irom the immunity .given witnesses in the act (lie commission has the power to ;i:bp<u:ia and question witnesses, and those questions may rclale to things ihev do! which are quite legal. The Government merely wants to gain information so that it may frame legislation, j "The claimants probably maintain that they may be required to divulge information about private dealings | which the.v have no legal authority to eivi. and winch they think they should not have to disclose. Yet in a court of law the.v may have to divulge their private business Another possible objection on their part may be that in a court of law such questions are conlined to the point at issue, while the commission's field is very wide." Mr Hunter added in conclusion that a great dea' depended mi the powers of commissions as delim d by the act. Purpose nf Investigation The Companies Promotion Commission was appointed on December 21. l(i:r:. "The object of flie commission," saifl the Minister for Finance i the Rt. Hon. ,1. G. Coatesi. "will be to enquire into and repori on the tendencies and developments apparent in the Dominion in relation to the promotion, financial methods, control, and opt. ration of certain companies and other corporations which seek to raise capital and loan funds in the Dominion." "The order of reference embraces lh" methods of promotion and administration of such companies, including subsidiary companies and syndicates: the scheme of control under which the.v are operated, and the relative powers and rights of the promoters, subscribers to shares, debentures, etc. Power was also given tu the commission to enquire intu the financial structure of financial investment and trust companies, and into the question whether any additional legislative pro-vis-ion should be made to atlord investors a greater mensnre of prelection. The scope of the commission's investigations includes the operation of the tins-cut statute law .govcrnim; the constitution and registration of j stock exchanges within New Zealand, j