Lloyd, Peter Hugh v Costigan, Francis Xavier Esquire QC [1983] FCA 87
Federal Court of Australia
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CATCHWORDS
JUDICIAL REVIEW - Decision by Royal Commissioner -
Subpoena to give evidence and to produce material -
Whether hearing should proceed by way of affidavit
evidence - Power of Court to order compliance with a
request under s.13 Administrative Decisions (Judicial
Review) Act 1977.
APPEAL - Practice and procedure - Interlocutory orders -
attitude of appellate court.
Administrative Decisions (Judicial Review) Act 1977, ss 5 &
PETER HUGH LLOYD v. FRANCIS XAVIER COSTIGAN ESQUIRE, Q.C.
No. W.A. G14 of 1983
BOWEN CJ, MORLING & FITZGERALD JJ
PERTH
9 MAY 1983
ow
"-
IN THE FEDERAL COURT OF AUSTRALIA )
WESTERN AUSTRALIAN DISTRICT REGISTRY ) No. W.A. G14 of 1983
GENERAL DIVISION )
ON APPEAL FROM A SINGLE JUDGE OF THE
FEDERAL COURT OF AUSTRALIA
BETWEEN:
PETER HUGH LLOYD
Appellant
AND:
FRANCIS XAVIER COSTIGAN ESQUIRE Q.C.
ROYAL COMMISSIONER ON THE ACTIVITIES
OF THE FEDERATED SHIP PAINTERS AND
DOCKERS UNION
Respondent
ORDER
JUDGES MAKING ORDER: Bowen, C.J., Morling & Fitzgerald
WHERE MADE: PERTH
DATE: 9 MAY 1983
THE COURT ORDERS THAT:
1. The appeal be dismissed with costs
JJ
IN THE FEDERAL COURT OF AUSTRALIA )
WESTERN AUS''TRALTAN DISTRLCT REGISTRY ) No. W.A. G14 of 1983
GENERAL DIVISION )
ON APPEAL FROM A SINGLE JUDGE OF THE
FEDERAL COURT OF AUSTRALIA
BETWEEN:
PETER HUGH LLOYD
Appellant
AND:
PRANCIS XavinR COSTIGAN ESQUIRE Q.C.
ROYAL COMM1SS.LONER ON THE ACTIViTILS
OF THE FEDERATED SHLP PAINTERS AND
DOCKERS
Respondent
CORAM: Bowen C.J., Morling & Fitzgerald JJ
DATE: 9 Mav 1983
REASONS FOR JUDGMENT
THE COURT: This 1S an appeal from an interlocutory order
made by a single judge of this Court (Toohey J.) on 25 March 198
in the course of proceedings under the Administrative Decisions
(Judicial Review) Act 1977 ("the Act"). His Honour dismissed,
with costs, a motion by the applicant. It 1s desirable, before
dealing further with the nature of the motion, to describe
the events which led to the order which 1s now in question.
On 10 September 1980, Letters Patent were issued by
the Governor-General to the respondent, Mr F.X. Costigan Q.C.,
pursuant to the Royal Commissions Act 1902. On 1 October 1980
2.
the Governor of the State of Victoria issued further Letters
Patent to Mr Costigan in the exercise of the prerogative of
the Crown in right of that State. It may be noted immediately
that, although the Commissions have been and are being
conducted in conjunction, so that in some senses at least
there is but a single enquiry, there is not one proceeding
but two which are being conducted concurrently, one which
1s dependent upon and is being conducted under Commonwealth law,
and the other which is dependent upon and is being conducted
under the law of the State of Victoria: cf. Gallagher v.
Attorney-General (Victoria), (High Court, unreported, reasons
published 10 December 1982). The Victorian Commission and
the Victorian legislation relevant thereto are for present
purposes immaterial. It 1s with the Commonwealth Commission
alone that the proceedings in this Court are concerned.
The scope of the Commonwealth Commission was extended
by further Letters Patent dated 1 April 1982. There is no
present need to record the terms of Mr Costigan's Commission.
It is sufficient, for the moment, to describe the matters upon
which he is required to report, as being the following:
1. Have members of the Federated Ship Painters
and Dockers Union been engaged in illegal
activities?
2. Have persons associated with the union or its
members been engaged in illegal activities?
3. Have persons been using the union or its
members for illegal activities?
3.
Mr Costigan has made interim reports. However the dates
for reporting under each of the Letters Patent have been
extended and the inquiries are continuing.
The applicant, Peter Hugh Lloyd, is a Western
Australian legal practitioner and a member of the firm
Dwyer and Thomas, Barristers and Solicitors of Perth.
His firm has acted at all material times for each of
Charles Catt and Son Pty Ltd, Alan C. Brooker, June A. Brooker,
Donald Brooker, Kevin J.D. Bain, and Emma B. Bain "in transations
relating to West Australian Petroleum Permit 104", to quote
from an affidavit filed by Mr Lioyd in these proceedings.
On 18 October 1982, the Commissioner issued a
subpoena requiring Mr Lloyd "to attend ... to give evidence
at an Inquiry being ... conducted by the Commissioner". A
further subpoena was issued on the same day requiring
Mr Lloyd "to attend ... to give evidence at an Inquiry ...
being conducted by the Commissioner and also to bring ...
and produce ... All notes, resolutions, correspondence,
agreements, contracts, balance sheets, statements of
account, auditors'' reports, payment books, cash books,
receipt books, bank books and any and all other like
documents relating to Hammid Pty Ltd, Femor Pty Ltd,
and/or Brunswick Oil N.L. and in respect of the period
commencing the lst of January 1972 to and including
the date of service of the summons". Similar subpoenae
were issued to Mr Kevin Bain on 19 November 1982.
-
4.
Early in December 1982, a written submission
apparently composed by senior counsel on behalf of
Mr Lloyd was received by the Commissioner. The written
submission contained sections dealing with what
were described as the facts and, separately in relation
to relevance and legal professional provilege, the law.
A written submission in reply was made to the Commissioner
by Counsel assisting the Commission. The Commissioner also
heard oral submissions from senior counsel for Mr Lloyd
and senior counsel assisting the Commissioner.
Largely, if not entirely, Mr Lloyd's initial attempt
to resist attendance at the Commission was based on a
contention that insufficient connection had been established
by the material before the Commission between the Federated
Ship Painters and Dockers Union or any member of that union,
as such, and a project with which Mr Lloyd and his clients
were associated.
The "facts" stated in the written submission by counsel
for Mr Lloyd were subjected to a scathing attack by counsel
for the Commissioner. They pointed out, inter alia, that the
source of the "facts" was not stated and further that the
voluminous material before the Commission had not been analysed
by the appellant.
5.
Despite their criticisms of Mr Lloyd's facts,
Counsel assisting the Commission detailed at length
(but not necessarily exhaustively) discrepancies which
they contended existed between the "facts" as stated
by Counsel for Mr Lloyd and evidence then before the
Commission, which they summarised. But they added a
rider. They said:
"10. Before that is done, however, it is
necessary to point but that it is quite
inappropriate to make submissions at this
stage as to what the truth may be in respect
of this matter. This Commission is conducting
an enquiry for the purpose of determining the
truth. It should not be asked, in the middie
of its enquiry, to determine such matters
when plainly further enquiry should be made.
Accordingly, the matters hereafter set out
are for the purpose of demonstrating that the
"facts" are not, in many respects, supported
by the present state of the evidence. It is
not put that the counter-assertions are
necessarily the final conclusions that
should be reached by the Commission.
Submissions as to final conclusions can only
be made when all the evidence has been
collected and analysed."
The Commissioner delivered his ruling on 8 December 1982.
In effect, he said that he was relevantly investigating the
facilities provided by the Union and its members "to people
involved in what is€ommonly described as white collar crime"
and that, for that purpose, he wished to inquire into the
particular project with which Mr Lloyd and his clients had
been associated, including the circumstances in which a person
known to be a painter and docker had become involved in that
transaction. He therefore persisted in his requirement that
Mr Lloyd attend before the Commission.
6.
These proceedings were commenced by Mr T.loyd on
9 December 1982. Because in the end result it will
minimise the confusion, we set out the terms of the
Application:
"Application to review the decision of the
Respondent (hereinafter 'the Commissioner')
that he may call before him pursuant to
subpoenana and examine on oath or cause to
be examined on oath before him the Applicant
and Kevin J.D. Bain in relation to transactions
by Charles Catt & Son Pty. Ltd., Alan C. Brooker,
June A. Brooker, the said Kevin J.D. Bain and
Emma E. Bain (hereinafter 'the clients'
transactions")
Application to review conduct in which the
Commissioner proposes to engage whereby he
proposes to receive evidence in relation to
the clients' transactions
The applicant is a person aggrieved by the
decision or conduct because they involve
(a) An unwarranted interference with the
professional practice of Messrs.
Dwyer & Thomas, Solicitors of
95 St. George's Terrace, Perth,
in which firm he is a partner, he
and his firm having acted as Solicitors
in the clients' transactions on behalf of
those persons.
(b) An unwarranted interference with the
private affairs of the company and
persons above mentioned who are the
clients of Messrs. Dwyer & Thomas.
The grounds of the application are that:-
(a) The Commissioner does not have
jurisdiction to make the decision.
(b) The Commissioner is authorised neither
by the Royal Commissions Act nor his
Consolidated Letters Patent to
make that decision.
(c) The decision is an unauthorised exercise
of power by the Commissioner.
7.
(d) The decision involves an error of law
by the Commissioner.
(e) The Commissioner has no evidence or
other materials before him to justify
the making of the decision.
(f) The décision is otherwise contrary to the
law.
PARTICULARS PURSUANT TO ORDER 54 RULE 2(2)
(i) Any enguiry into the clients' transactions
is an enquiry into matters outside the
Commissioner's consolidated terms of
reference;
(1i) Whe Commissioner having received evidence
over a long period there are still no
Materials before him which provide a
real possibility that an enquiry into the
clients' transactions will provide any
information relevant to the consolidated
terms of reference.
(iii) There is now no material before the
Commissioner which can sustain a
reasonable belief that an enquiry into
the clients' transactions will provide any
information relevant to the consolidated
terms of reference.
The applicant claims an order -
(a) quashing the decision;
(b) a declaration that the Applicant and
Kevin J.D. Bain are not obliged to answer
questions on oath before the Commissioner
which relate to the clients' transactions;
(c) an injunction restraining the Commissioner
from examining any person on oath or
permitting any person to be examined on
oath before him about the clients'
transactions;
(d) further or other relief;"
On 10 December 1482, Mr Lloyd swore an affidavit
"in support of an application to expedite the trial of
this matter", following an undertaking by his counsel
to the Commissioner that Mr Lloyd would co-operate in the
expeditious disposal of the proceedings in this Court.
Paragraphs 4 and 8 of that affidavit by Mr Lloyd are
8.
in the following terms:
"4, There 1s no suggestion that any question
will be asked by Counsel assisting the
Commissioner which would infringe upon the
legal professional provilege of those clients.
8. It has not been thought proper at this time
to make application to the Commissioner for
a statement of the facts upon which he bases
his decision, pursuant to Section 13 of
the Administrative Decisions (Judicial Review)
Act because it is thought that any relevant
facts sufficiently emerge from the submissions
contained in the transcript as responded to
by Counsel leading Counsel assisting the
Commissioner."
(A change of heart occurred and a request was made on
4 January 1983 under s.13 of the Act but no response has
yet been forthcoming.) Exhibits to the affidavit included
the subpoenae, the written and oral submissions to the
commissioner, and the Commissioner's ruling.
A directions hearing took place on 20 December 1982
when orders were made by consent that the hearing of the
application proceed by way of evidence on affidavit and
that the hearing be fixed for 11 February 1983. Directions
were given relating to the filing of affidavits and the
discovery of documents. On 24 December 1982, the dates
for the filing of affidavits were varied, the order for
discovery was vacated, and a direction was made confining
the hearing on 11 February 1983 to the dispute which had
arisen as to the obligation of the Commissioner to give
discovery, particularily in relation to documents
received in confidential session. The hearing of the
9.
substantive application was tixed on 24 December 1982
to take place on 2 March 1983. Subsequently, at the
request of the parties, the February date was vacated
and the date 2 March 1983 was assigned for the hearing
of the motion by the applicant which has given rise to
this appeal. That motion was the product of further
interlocutory disputation arising out of the affidavits
filed pursuant to the directions which had beengiven.
Mr Lloyd swore an affidavit on 17 January 1983 which
was filed, pursuant to 0.4, r.6 of this Court's Rules and
by way of compliance with the consent directions which
had been given, in support of the substantive relief
sought by hin in his Application under the Act, A
version of the "facts", consisting for the most part of
contentious assertions as to the effect of the evidence
before the Commission, was put forward by Mr Lloyd.
What he swore to did not, however, touch upon the matters
concerning which the Commission sought to question him.
Further, the affidavit revealed no basis for the
assertions which he made as to the material which was
available to the Commission. Mr Lloyd swore as follows:
"1, I am the abovenamed Applicant and a
partner in the firm of Dwyer & Thomas,
Barristers & Solicitors of 5th Floor,
Prudential Building, 95 St. George's
Terrace, Perth.
10.
10.
At all material times Charles Catt & Son
Pty. Ltd., Allan C. Brooker, June A. Brooker,
Donald Brooker, Kevin J.D. Bain and Emma E. Bain
have been clients of my firm and I and other
practitioners in the firm have been acting
for each of them in transactions relating
to Western Australian Petroleum Exploration
Permit 104P.
I have read what I believe to be the relevant
portions of the transcript of the Commission
and the exhibit "A" to the Affidavit sworn by
me on the 10th day of December 1982 and
verily believe that they disclose the following
material facts.
One Johanson, whilst a person whom I now
understand to be a member of the Federated
Ship Painters & Dockers Union ("the Union")
and his associate one Wallace, became directors
of and the only shareholders in Hamidan Pty Ltd
on or about the 18th dayof February 1981.
According to the evidence of R.D. Huston,
on or about the 14th October,.1981 they
transferred their shares to Winston Management
Pty Ltd by transfers executed bearing that
date or in any event not later than about the
12th February 1982.
According to the evidence of R.D. Huston,
on or about the |]2th February, 1982 Johanson and
Wallace executed Resignations as Directors of
Hamidan Pty Ltd effective from that date.
Messrs Middleton and Ireland executed Consents
to Act as Directors of Hamidan Pty Ltd as from
the 12th February 1982 and have acted as its
Directors ever since that date.
Robin D..Huston has been the administrator and
controller of the affairs of Hamidan Pty Ltd
since it commenced business on the 3lst day
of July 1981.
It is four months since the Respondent began
to investigate the relationship between
Johanson, Huston and Hamidan Pty Ltd and
there is no evidence that any of the following
is in any way connected with a member or members
of the Union or has ever been so connected, yiz
Winston Management or Messrs Middleton and
Ireland.
Further, there is no evidence that Johanson
or Wallace did any act as directors of Hamidan
for or for the benefit of the Union or that
they became its directors because they were
V1.
well known to the members of or connected
with the Union or that Johanson or Wallace
acted other than in their capacity as private
citizens independent of any Union influence.
11. Further, there is no evidence that Johanson
or Wallace had any meaningful connectéon whatsoever
with Hamidan Pty Ltd or Huston or Middleton and
Ireland after the date of their Resignations
as Directors.
12. Hamidan Pty Ltd has an interest in West
Australian Petroleum Exploration Permit W.A.
104P.
13. On or after the Ist June, 1982 the clients of
Messrs. Dwyer & Thomas referred to in paragraph 2
hereof invested in that Permit by entering into
a Sub-Joint Venture Agreement with Hamidan Pty Ltd.
14. There is no evidence that any of those clients
or myself or any member of my firm is in any way
connected with a member or members of the Union
or has ever been so connected or that our clients
invested funds have ever been under the control
of Huston or Hamidan Pty Ltd or the Union or any
member of the Union or any associate of any member.
15. The possibility that any enquiry into the affairs
of the clients of Dwyer & Thomas referred to in
paragraph 2 hereof may provide information even
indirectly relevant to the Respondent's terms
of reference is fanciful.
16. There are no materials capable of sustaining
a bona fide belief that such enquiries will
assist the Respondent in relation to any matter
within his terms of reference."
The Commissioner's response was an affidavit from
Mr Harkin who is a solicitor employed by the Commonwealth
Attorney-General's Department and who is and at all material
times was "attached as an Instructing Solicitor to the
Royal Commission". After describing and exhibiting copies
of the Commissioner's Letters Patent, Mr Harkin continued:
12.
"7. Pursuant to its Inquiry the Commission has been
and is investigating investment by members of the
public in conjunction with a company Hamidan Pty Ltd
(Hamidan) into an oil and gas drilling fund.
This related to a Western Australian exploration
permit WA-104-P. Further to that investigation the
Commission has received evidence of the involvement
of the Applicant and the firm of solicitors of which
he is a partner, Dwyer & Thomas, and its clients
in the affairs of Hamidan. The Commission first
received evidence in connection with these matters
in public or private hearings in February 1982.
8. To the date of swearing of this Affidavit and in
furtherance of its investigations referred to in
paragraph 7 hereof the Commission has received
evidence in numerous private and public hearings
and has acquired a large amount of documentary
and other evidence.
The Commission's enquiries into Hamidan and associated
persons and matters have proceeded in all Australian
states and overseas. The Commission has received
and expects to receive information and material
from authorities overseas together with the results
of enquiries made at its request by diplomatic
agencies of Australia. Further, the Commission has
received information from Australian authorities
and agencies and individuals and private organizations.
Other and numerous enquiries have been made by the
Commission staff on the instruction of theCommissioner.
In these ways, as well as by the examination of
witnesses and documents, the Commissioner informs
himself of matters germane to his enquiries.
9. In relationto the matters set out in paragraphs 4 to 14
inclusive of the Affidavit of the Applicant sworn
the 17th day of January 1983 I say the evidence before
the Commission is, inter alia, as follows:-"
Mr Harkin then proceeded over many pages to summarise the
evidence before the Commission in relation to the matters
which have led to its attempt to derive assistance from
Mr Lloyd; that is to say, he stated his view of its effect.
Having done so, he concluded his affidavit as follows:
"10.
13.
Evidence before the Commission establishes
a connection between members of the Union
and their associates and the Applicant and
his clients Catt, Bain and Brooker.
Further such evidence is relevant to the
terms of reference of the Commissioner and
that it is capable of sustaining a bona fide
enquiry into the affairs of the Applicant and
such clients."
Mr Lloyd complains that Mr Harkin's affidavit is
oppressive. The reasons why it is said to be oppressive
are set out in the orders sought by Mr Lloyd on this appeal.
The appeal is primarily concerned with the issue thus raised
and the question of whether the proceedings should go forward
on affidavit or on pleadings with oral evidence at the trial.
The orders sought by Mr Lloyd are as follows:
"Ca)
(b)
(ec)
the Respondent pay the costs of this appeal;
the Order of His Honour Mr Justice Toohey made
on 20th December 1981 for the hearing of this
application to proceed by way of evidence on
affidavit be vacated;
the affidavit of Brendan William Harkin sworn
herein the seventh day of February 1983 be
taken off the file because it is oppressive
in that:
(i) most of it is inadmissible as being hearsay;
(ii) it states a large number of conclusions without
detailing the evidentiary and other material
said to support them;
(iii) if it stands as a pleading it does not raise,
but conceals, the issues;
(iv) if it is allowed to stand as the evidence for
the Respondent in this Application, it deprives
the Appellant of any worthwhile opportunity to
cross-examine upon his particulars pursuant to
Order 54, Rule 2(2).
14.
(d) The Appellant file and deliver a Statement of
Claim within ten days;
(e) The Respondent file and deliver a defence
within ten days;
(f£) The Respondent give discovery on oath within
seven days of the close of pleadings and an
inspection in Perth within seven days thereafter;
(g) The Appellant have leave to administer
interrogatories for the examination of the
Respondent (if so advised) within seven days
of the last day for inspection of documents."
The question of discovery was not argued either below or
before us and it is appropriate, whatever the outcome of
the appeal otherwise, that no formal order be made with
respect to paragraphs (f) and (g) of the orders sought but
that, to that extent, the motion stand but be adjourned to
a date to be fixed.
The principal steps in the argument for the appellant
may be briefly stated as follows:
A. The Commissioner's inquiry is limited by the
terms of the Letters Patent.
B. The Commissioner's opinion as to the permissible
scope of the inquiry cannot be conclusive.
C. A decision by the Commissioner which is based upon
an erroneous view of the permissible scope of
the inquiry is reviewable under the
Administrative Decisions (Judicial Review) Act.
D. The next proposition can best be seen, in the first
instance, by reference to passages in a written
submission put before us by counsel for Mr Lloyd,
namely:
"20.
21.
23.
15.
To review the Royal Commissioner's
decision it is necessary to know
what 'materials' in the broadest sense
are before him. It is submitted that a
Royal Commissioner must be in a position
to point to the 'materials' upon which
his further inquiry is based. For the
highest motives a Royal Commissioner might
be drawn to investigate some matter which
he saw as possible evidence of some form
of tax avoidance but when the 'materials'
before him were displayed the matter might
be seen to be so remote from his terms of
reference as to be beyond power.
The 'materials' may exist in the transcript
of the proceedings or in documents which have
come into his possession, or indeed in things
which he has been told or he has seen. However,
if his mind is activated by something which he
has seen and of which he does not have a copy,
or of which he has been told which is not
recorded then it is necessary to know
what it is. However, it is submitted that
there must come a point where mere speculation
and suspicion unconnected with any 'material'
takes an inquiry beyond power.
Although there is no set order in which
evidence must be adduced before a Royal
Commission and the links in the evidence
will usually be dealt with separately
(Ross & Another v. Costigan & Another (1982)
41 A.L.R. 319 at 334) and whether one
applies the test in that case at p.335 of a
real as distinct from a fanciful possibility
that a line of questioning may provide
information directly or indirectly relevant
to the matters which the Commission is
required to investigate under its letters
patent, or whether one applies the test in
Ross v. Costigan (No. 2) (1982) 41 A.L.R.
337 at 352 'what the Commissioner can look
to is what he bona fide believes will assist
him in his inquiry', it is submitted that
there must, in an action such as this, be
opportunity to test what is fanciful or what
is bona fide believed will assist, by
reference to the 'materials'.
16. -
24. Only when the 'materials' in their
primary form are matched against the
terms of reference upon their proper
construction has a party in the position
of the Appellant any prospect of
restraining a Royal Commissioner from
compelling his attendance under what was
s.5(1) of the Royal Commissions Act 1902
and is now s.3 of the Royal Commissions
Amendment Act 1982. But for the
Administrative Decisions (Judicial Review)
Act a person in the position of the Appellant
would have to test the point as an accused
person."
E. The Commissioner has failed to obey the obligation
imposed upon him by s.13 of the Act. Notwithstanding
a request under sub-s. 13(1), the Commissioner
has failed to furnish "a statement in writing .
setting out the findings on material questions
of fact, referring to the evidence or other
material on which those findings were based
and giving the reasons for the decision".
F. The Commissioner's failure to furnish a statement
under s.13 leaves the appellant in the position
in which he must resort to the ordinary procedures
of the Court for the definition of issues and the
acquisition of information in the possession of
the adverse party, the Commissioner.
G. The affidavit of Mr Harkin is unsatisfactory.
It does not lead to a proper definition of' the
issues and will impede any attempt by the appellant
to ascertain the basis for the Commissioner's
decision. Mr Harkin does not identify the material
before the Commissioner but swears to his conclusion
as to what that evidence discloses. Further, it
must be hearsay for the solicitor to the
Commission to say in this way what the Commissioner
has looked at or heard and what of it has operated
upon his mind to form his belief.
There are numerous respects in which the various
propositions advanced for the appellant would fall for
close scrutiny were we not of opinion that the orders sought
by the appellant ought in any event be refused.
17.
For example, upon analysis, the extracts quoted
from the appellant's written submissions to this Court can
be seen to contain assertions that:
(i) the Commissioner must have 'materials'
as a basis for a decision to inquire into
a particular matter;
(ii) a party wishing to challenge such a decision
who denies that there are such materials is
entitled to require the Commissioner to state
what these materials are.
The first of these assertions cannot be accepted without
qualification, if at all. There is a balance of interest
involved. It is important that the Executive Government be
able to inquire into matters affecting government, and do so
effectively and speedily. It is also important that the power
of inquiry be not used as an instrument of oppression of the
citizen.
When Letters Patent are issued to a Commissioner to
inquire into some matter, it becomes his duty to inquire into it.
It is the lack of material which prompts the inquiry. If the
Commissioner could never properly inquire into a particular aspect
of a matter unless he was already in possession of materials which
would support his action, in logic he would not be justified in
starting his inquiry. We refrain from saying more because the
question is central to the present proceedings but was not
argued on this interlocutory appeal.
18.
The second of the assertions likewise cannot stand
in such broad terms. There is much to be said for the view
that it is not open to a party simply to allege that a
decision was made without basis and then to seek to use
the process of the Court to attempt to make out a case
and indeed to find out if his allegation has any foundation:
cf W.A. Pines Pty Ltd v. Bannerman (1980) ATPR 40-163.
Such a use of legal proceedings would tend to delay and
frustrate the normal operations of a Royal Commissioner.
A person aggrieved by a decision of a Commissioner
has the rights given by the Act, s.5. He may request reasons
under s.13. We are satisfied that, if the request is
refused or not complied with, the Court has power to order
reasons to be given, certainly once there are proceedings
commenced to review a decision. Such a construction plainly
accords with the intent of the legislation. A person aggrieved
may apply for an order of review on any of the grounds
specified in the Act. If he does so, the onus of proving
his case rests upon the applicant. He may have his statement
under s.13, but the procedures of discovery and interrogatories
will often be inappropriate. Generally, at least, the
information to which a person is entitled under that Act
is intended to be obtained in the manner which the Act prescribes.
The proceedings were conducted below on the footing
that the Court cannot oblige the Commissioner to furnish a
statement under s.l3 of the Act and a similar assumption
was persisted in by both parties in this Court. There may
also, it seems, have been some misapprehension below as to the
breadth of Mr Lloyd's contentions. He does not accept that the
material before the Commissioner is as described by Mr Harkin
19.
and wishes to mount a challenge on that question as an
element of his challenge to the Commissioner's decision
insofar as it is related to the material before the Commission.
That misapprehension has been referred to before us to support
alleged difficulties which the judgment below would cause the
appellant in the conduct of cross-examination at the trial.
In our opinion, nothing in what has been said or done
by Toohey J. to date purports to limit or control the conduct
of the trial in any way. We agree entirely with Toohey J.'s
opinion that, for the purposes of the present proceedings
the truth or accuracy of the material before the Commissioner
is not relevant. Subject to that qualification, Toohey J.
has not sought to fix the permissible limits of cross-examination
nor for that matter has he sought to rule that some or any
cross-examination will be permissible. That will be a matter
for the trial judge.
The real difficulties in this matter seemto us to
emerge from the lack of a statement under s.13 of the
Act. Because a request for such a statement has not been
complied with, Mr Lloyd complains that he is denied information
which he says he needs and to which, he says, he is
entitled. That has caused him to go fishing. His Application
is in the most general terms and his affidavit pursuant to
0.4, r.6 of the Rules made assertions for which he now
concedes he knows no basis, relying, according to his affidavit,
on transeript of proceedings before the Commission. The
20.
Commissioner's adoption of a somewhat similar technique
in Mr Harkin's affidavit in response has led to Mr Lloyd's
complaints of oppression and unfairness, and interlocutory
skirmishes including a foreshadowed fight concerning discovery
and interrogatories. All this could likely have been avoided
by a s.13 statement. It has been made plain that there is no
attack upon the Commissioner's bona fides. The crux of
Mr Lloyd's case is simply that the Commissioner has exceeded
his power and erred in law because the Commissioner has no
evidence or other materials before him to justify the making
of the decision.
When considering the absence of a statement, it may
not be irrelevant that the Commissioner did make a ruling which
was recorded in the transcript and that, initially, Mr Lloyd
was content not to have a s.13 statement and was satisfied that
a statement was unnecessary. As the proceedings have progressed,
the absence of a statement has been adverted to, but as a
relatively subsidiary consideration, and no attempt has been
made to oblige the Commissioner to furnish a statement.
In our opinion, the course which has been followed
by the parties will, if continued, distort the operation of
the review procedure. As we have already said, we are
satisfied that the Court has a general power to order that
a statement be furnished where there is a duty to furnish a
statement. The contents of such a statement must, of course be
governed by the nature of the decision and of the proceedings,
21.
where there are proceedings, in which it was given.
It is not appropriate for us to order that a statement
be furnished. There has been no application to the
Court for such an order and no argument on the question.
However we consider that the appellant is not entitled to
rely upon the absence of a statement to support his claim
to the orders refused by Toohey J.
That consideration aside, no basis whatever exists
for interfering with the decision to refuse the orders
sought by the appellant.
The only orders which have been made to date, including
the dismissal of the appellant's motion, have been interlocutory
orders of a procedural nature. The undesirability of appeals
from such orders has previously been mentioned (see, e.g.
Superstar Australia Pty Ltd v.Coonan and Denlay Pty Ltd (1981)
40 A.L.R. 183) and we add our support to such comments. There
is particular force to be found in the objection to such
appeals when there has been an undertaking to proceed
expeditiously and there is obvious urgency in a final
determination on the merits. If there are unsatisfactory
features in the present position in the litigation, that
is not a matter for which the appellant can escape
responsibility. In any event, we are satisfied that there
is no basis for a fear that the appellant will be prejudiced
or otherwise suffer injustice.
In our opinion, the appeal should be dismissed with costs.
22.
I certify that this and the
twenty-one preceding pages
are a true copy of the
Reasons for Judgment herein
of the Court.
9 May 1983