A WA parliamentary question regarding Telstra's decision to cease dividend payments by cheque, raising concerns about the impact on older Australians and seeking government intervention. The Minister responded by expressing concern to the Prime Minister and clarifying the jurisdiction of the Department for Consumer Protection.

AnsweredQoN 1499Legislative Assembly
Asked
8 May 2003
Portfolio
Federal Affairs

QuestionView source ↗

(b) is the Minister aware that Telstra has threatened not to forward future dividend payments unless by e-banking; (c) does the Minister accept that many people, especially older Australians, still prefer to receive such payments by cheque and are sometimes resistant to electronically-driven services; (d) will the Minister intervene with the Prime Minister to request an urgent review of the Telstra demand; and (e) will the Minister consider requesting the Department for Consumer Protection to investigate the lawfulness of such a threat to with-hold dividend payments?
(c) does the Minister accept that many people, especially older Australians, still prefer to receive such payments by cheque and are sometimes resistant to electronically-driven services; (d) will the Minister intervene with the Prime Minister to request an urgent review of the Telstra demand; and (e) will the Minister consider requesting the Department for Consumer Protection to investigate the lawfulness of such a threat to with-hold dividend payments?
(d) will the Minister intervene with the Prime Minister to request an urgent review of the Telstra demand; and (e) will the Minister consider requesting the Department for Consumer Protection to investigate the lawfulness of such a threat to with-hold dividend payments?
(e) will the Minister consider requesting the Department for Consumer Protection to investigate the lawfulness of such a threat to with-hold dividend payments?
(c) Yes. (d) I have written to the Prime Minister to express my concern. (e) The Consumer Affairs Act 1971 does not provide the Commissioner for Fair Trading with the jurisdiction to investigate matters related to share transactions. I believe that this matter should be directed to the Commonwealth Minister for Financial Services, Senator the Honourable Ian Campbell.
(d) I have written to the Prime Minister to express my concern. (e) The Consumer Affairs Act 1971 does not provide the Commissioner for Fair Trading with the jurisdiction to investigate matters related to share transactions. I believe that this matter should be directed to the Commonwealth Minister for Financial Services, Senator the Honourable Ian Campbell.
(e) The Consumer Affairs Act 1971 does not provide the Commissioner for Fair Trading with the jurisdiction to investigate matters related to share transactions. I believe that this matter should be directed to the Commonwealth Minister for Financial Services, Senator the Honourable Ian Campbell.

AnswerView source ↗

Answered
17 June 2003
Responded by
Minister for Federal Affairs
Response time
40 days
(a) & (b) I have just been made aware that Telstra has asked shareholders for details of an Australian bank account into which dividends will be paid directly and that Telstra will not provide dividends by cheque from 2004.
(c) Yes.
(d) I have written to the Prime Minister to express my concern.
(e) The Consumer Affairs Act 1971 does not provide the Commissioner for Fair Trading with the jurisdiction to investigate matters related to share transactions. I believe that this matter should be directed to the Commonwealth Minister for Financial Services, Senator the Honourable Ian Campbell.

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