Cleaning up the border.....but we’re still not seen as partners

He has vowed that border protection staff involved in graft will be “ripped out by the throat” as he moves towards “massive reforms” to confront corruption and organised crime. But Jason Clare, who as Home Affairs minister has responsibility for the Australian Customs & Border Protection Service (CBP), has made little effort to involve the industry whom he tainted in mid 2012 with loose talk about criminality in the supply chain.

Steve Morris, executive director of the Customs Brokers & Forwarders Council of Australia (www.cbfca.com.au) says there still is lingering resentment in the industry about Clare’s implication that licensed customs brokers and reputable freight forwarders were involved in corruption.

And, notes Morris, the minister has yet to make himself available to meet in person with CBFCA despite several offers to his office to assist with what is acknowledged as a genuine problem.
“We know more about the movement of cargo than they do,” Morris points out. “We want to participate in building the best Customs administration in the world.  We’re disappointed that we’re not being invited to help.”

Expressing the real disappointment of CBFCA and its members in being ignored, Morris puts out a call to Clare and his officials: “Let us work with you. Do not treat us as lepers - look at us as your best bet to get this right.”

Reform board
One of the few bright spots in Clare’s action plan has been appointing Ken Mortimer to the newly-constituted Customs Reform Board as one of what he described as “three distinguished Australians with expertise in law enforcement, corruption resistance and best practice business systems”.

Mortimer is well known in the freight and logistics sector. He is a former TNT chief executive, served as deputy chairman of Ansett and has been chairman of Australia Post – a major freight mover – and Leightons Holdings.

The others are James Wood whose impressive background includes heading the royal commission into the NSW Police Service and Ken Moroney, former NSW Police commissioner.

The three men’s community standing is signalled by them all holding the AO honour.

In appointing the board, Clare said CBP requires major structural and cultural reform to improve its law enforcement capability, integrity culture and business systems. The board has been tasked with providing advice and recommendations to the minister about further action needed and overseeing the implementation of these reforms.

Its top priority, he said, is to provide advice and recommendations to aggressively target corruption and oversee the implementation of reforms to embed an improved culture of professionalism and integrity within the ABP.

CBFCA has welcomed Mortimer’s appointment. “We’re happy to see him there as he adds balance,” says Morris. “He should be able to bring in some of what the industry requires in terms of working with business and applying business processes.”

ACLEI boosted
Clare is also planning to beef up the Australian Commission for Law Enforcement Integrity (ACLEI) to give it more teeth and the legal ability to use them. “I definitely think ACLEI will grow and I am determined to grow its resources,” he said.

ACLEI initially encompassed CBF, the Federal Police and the Australian Crime Commission. All these agencies come within Clare’s extensive reach as minister for home affairs and minister for justice (he’s also minister for emergency management, another demanding role).

 That oversight (one of Clare’s favoured words) has been expanded to include biosecurity staff from DAFF, AUSTRAC and CrimTrac.

Clare has signalled that he would like to see ACLEI extend its reach to the Australian Taxation Office and the Australian Securities & Investments Commission.

When the Customs corruption issue blew up in a big way in the middle of last year, Clare wasn’t a particularly well known minister. Young and well placed, with key mentors and not himself tainted by close association with the factional ‘faceless men’, we suggested he was going places fast.

And so he has, helped not only by big headlines for the Customs corruption crackdown but also reasoned and reasonable handling of a series of emergencies, working more amicably with state governments than some of his fellow ministers.

In the recent cabinet reshuffle that followed the surprise announcements by two ministers to step down from the ailing Gillard administration, Clare was given further power as cabinet secretary, a little-understood but key role.

If Labor loses power in the September election, Clare is tipped to take an even more significant role in the party and is already beginning to attract a little speculation as prime ministerial material in a future administration. If Labor wins, he’s also likely to move further up the ranks but ironically he would probably do better from an electoral loss at this stage of his career.

As was expected, Mike Pezzullo - CBP’s acting chief executive since Michael Carmody stepped down late last year – has been confirmed as the agency’s boss and given new powers.

“Mr Pezzullo is an experienced and well-respected public servant,” said Clare in announcing the appointment. “Customs requires major structural and cultural reform and Pezzullo will drive this reform program.”

CBFCA doubts whether Pezzullo will turn to the trade for more input. Morris notes his absence to date from key industry forums and service provider events.

And there’s still a lingering doubt in the industry as to why Carmody retired, with some people suggesting he was subtly pushed.

Pezzullo’s first action as the new chief executive was to sign an order making it mandatory for all CBF workers to report any suspected misconduct, corrupt conduct or criminal conduct. The dob-in rule extends to off-duty use of drugs, including marijuana.

And CBF is gearing up to soon start drug and alcohol testing.

The dob-in measures could well impact on licensed customers brokers, forwarders and shippers.

“The community is entitled to expect Customs and Border Protection officers will be held to a high standard of professional behaviour, and these new measures are an important step towards providing that assurance,” said Pezzullo.

Time for industry input
Meantime, neither Clare nor CBP have come to terms with the desire by customs brokers and forwarders to be involved in the clean-up, at the same time mitigating last year’s taint.

Morris points out that as far back as 2002, the industry was saying that only cargo reporters importers or their licensed Customs broker should have access to the Integrated Cargo System for data input and cargo release.

Clare’s reference to criminality in the supply chain last year apparently referred to an international forwarder who, if advice had been taken earlier, would (unless that entity cleared the cargo) not have had access to ICS data.

CBFCA, while supportive of professional development, was less than impressed by the way the CBP implemented the process with no consultation with industry and also at the CBP being the arbiter of session point allocation rather than implement contemporary self-assessment professional development schemes used in many other professions.

If CBP is happy with self-assessment in terms of compliance, why not also with continuing professional development?.

Hopefully the Customs Reform Board, Pezzullo or maybe even Clare will respond positively in the near future to CBFCA’s ‘let us help you’ and ‘ourselves’ messages.

Cleaning up the border.....but we’re still not seen as partners

He has vowed that border protection staff involved in graft will be “ripped out by the throat” as he moves towards “massive reforms” to confront corruption and organised crime. But Jason Clare, who as Home Affairs minister has responsibility for the Australian Customs & Border Protection Service (CBP), has made little effort to involve the industry whom he tainted in mid 2012 with loose talk about criminality in the supply chain.

Steve Morris, executive director of the Customs Brokers & Forwarders Council of Australia (www.cbfca.com.au) says there still is lingering resentment in the industry about Clare’s implication that licensed customs brokers and reputable freight forwarders were involved in corruption.

And, notes Morris, the minister has yet to make himself available to meet in person with CBFCA despite several offers to his office to assist with what is acknowledged as a genuine problem.
“We know more about the movement of cargo than they do,” Morris points out. “We want to participate in building the best Customs administration in the world.  We’re disappointed that we’re not being invited to help.”

Expressing the real disappointment of CBFCA and its members in being ignored, Morris puts out a call to Clare and his officials: “Let us work with you. Do not treat us as lepers - look at us as your best bet to get this right.”

Reform board
One of the few bright spots in Clare’s action plan has been appointing Ken Mortimer to the newly-constituted Customs Reform Board as one of what he described as “three distinguished Australians with expertise in law enforcement, corruption resistance and best practice business systems”.

Mortimer is well known in the freight and logistics sector. He is a former TNT chief executive, served as deputy chairman of Ansett and has been chairman of Australia Post – a major freight mover – and Leightons Holdings.

The others are James Wood whose impressive background includes heading the royal commission into the NSW Police Service and Ken Moroney, former NSW Police commissioner.

The three men’s community standing is signalled by them all holding the AO honour.

In appointing the board, Clare said CBP requires major structural and cultural reform to improve its law enforcement capability, integrity culture and business systems. The board has been tasked with providing advice and recommendations to the minister about further action needed and overseeing the implementation of these reforms.

Its top priority, he said, is to provide advice and recommendations to aggressively target corruption and oversee the implementation of reforms to embed an improved culture of professionalism and integrity within the ABP.

CBFCA has welcomed Mortimer’s appointment. “We’re happy to see him there as he adds balance,” says Morris. “He should be able to bring in some of what the industry requires in terms of working with business and applying business processes.”

ACLEI boosted
Clare is also planning to beef up the Australian Commission for Law Enforcement Integrity (ACLEI) to give it more teeth and the legal ability to use them. “I definitely think ACLEI will grow and I am determined to grow its resources,” he said.

ACLEI initially encompassed CBF, the Federal Police and the Australian Crime Commission. All these agencies come within Clare’s extensive reach as minister for home affairs and minister for justice (he’s also minister for emergency management, another demanding role).

 That oversight (one of Clare’s favoured words) has been expanded to include biosecurity staff from DAFF, AUSTRAC and CrimTrac.

Clare has signalled that he would like to see ACLEI extend its reach to the Australian Taxation Office and the Australian Securities & Investments Commission.

When the Customs corruption issue blew up in a big way in the middle of last year, Clare wasn’t a particularly well known minister. Young and well placed, with key mentors and not himself tainted by close association with the factional ‘faceless men’, we suggested he was going places fast.

And so he has, helped not only by big headlines for the Customs corruption crackdown but also reasoned and reasonable handling of a series of emergencies, working more amicably with state governments than some of his fellow ministers.

In the recent cabinet reshuffle that followed the surprise announcements by two ministers to step down from the ailing Gillard administration, Clare was given further power as cabinet secretary, a little-understood but key role.

If Labor loses power in the September election, Clare is tipped to take an even more significant role in the party and is already beginning to attract a little speculation as prime ministerial material in a future administration. If Labor wins, he’s also likely to move further up the ranks but ironically he would probably do better from an electoral loss at this stage of his career.

As was expected, Mike Pezzullo - CBP’s acting chief executive since Michael Carmody stepped down late last year – has been confirmed as the agency’s boss and given new powers.

“Mr Pezzullo is an experienced and well-respected public servant,” said Clare in announcing the appointment. “Customs requires major structural and cultural reform and Pezzullo will drive this reform program.”

CBFCA doubts whether Pezzullo will turn to the trade for more input. Morris notes his absence to date from key industry forums and service provider events.

And there’s still a lingering doubt in the industry as to why Carmody retired, with some people suggesting he was subtly pushed.

Pezzullo’s first action as the new chief executive was to sign an order making it mandatory for all CBF workers to report any suspected misconduct, corrupt conduct or criminal conduct. The dob-in rule extends to off-duty use of drugs, including marijuana.

And CBF is gearing up to soon start drug and alcohol testing.

The dob-in measures could well impact on licensed customers brokers, forwarders and shippers.

“The community is entitled to expect Customs and Border Protection officers will be held to a high standard of professional behaviour, and these new measures are an important step towards providing that assurance,” said Pezzullo.

Time for industry input
Meantime, neither Clare nor CBP have come to terms with the desire by customs brokers and forwarders to be involved in the clean-up, at the same time mitigating last year’s taint.

Morris points out that as far back as 2002, the industry was saying that only cargo reporters importers or their licensed Customs broker should have access to the Integrated Cargo System for data input and cargo release.

Clare’s reference to criminality in the supply chain last year apparently referred to an international forwarder who, if advice had been taken earlier, would (unless that entity cleared the cargo) not have had access to ICS data.

CBFCA, while supportive of professional development, was less than impressed by the way the CBP implemented the process with no consultation with industry and also at the CBP being the arbiter of session point allocation rather than implement contemporary self-assessment professional development schemes used in many other professions.

If CBP is happy with self-assessment in terms of compliance, why not also with continuing professional development?.

Hopefully the Customs Reform Board, Pezzullo or maybe even Clare will respond positively in the near future to CBFCA’s ‘let us help you’ and ‘ourselves’ messages.