Palmer prods China over role in business

Palmer prods China over role in business

Clive Palmer has risked inflaming tensions with China, saying that State-owned companies should not expect any special treatment and must follow the rule of law.

In a provocative appearance at the National Press Club yesterday, the MP and mining magnate accused his estranged business partner in a WA iron ore project of using the media in a fight over royalty payments.

Asked by a reporter from the China’s State-owned Xinhua news agency what other Chinese companies observing the bitter battle between Mr Palmer and the CITIC Pacific would make of the legal spat, Mr Palmer was blunt.

"I think it’s good that Chinese companies are focusing on this case because unlike CITIC we haven’t fought it in the media so much," he said.

"We’ve fought it in court and we’ve been successful in getting a Supreme Court ruling against CITIC and a ruling last week in the Federal Court and that will continue."

Mr Palmer said the fundamental dispute was that CITIC believed that having spent billions on the project, "for that reason they don’t think they should have to pay for our resources when they take them."

"We find that objectionable," he said.

"So it’s well that the Chinese companies look at that and realise if they are going to do business in Australia, they want to buy our resources, they have to pay for them. That’s the fundamental of any democracy or any business.

"Just because they are owned by a large government doesn’t mean they are exempt from following the law that applies in this country."

"Chinese investment to Australia is important from an economic sense but what’s more important than that is actual freedom, the rights of citizens under our laws to live a free society, something that doesn’t exist in China.

Mr Palmer dismissed suggestions trouble in his business dealings would hurt his political credibility.

As well as the legal fight with CITIC, Mr Palmer has also faced scrutiny over mass lay-offs at his Coolum resort and allegations his nickel refinery is discharging toxic waste into the Great Barrier Reef Marine Park.

But Mr Palmer claimed the refinery did not discharge toxic waste and accused Rupert Murdoch’s News Corporation of running a vendetta against him.

The main topic of Mr Palmer’s address was the need for voting reform in the wake of the votes being lost for the WA Senate and the drawn out count in his own seat of Fairfax.

Mr Palmer confirmed if a fresh election was held in WA, the party’s lead candidate Dio Wang – who grabbed a seat on the first count – was not guaranteed to run again as Palmer United Party’s rules required a fresh pre-selection to decide the ticket.

"It’s up to all members to nominate… so I can’t pre-empt that," he said.

"I would say there is a lot of support for him. He is a wonderful guy."

Mr Palmer said he would not base himself in WA for the 33-day campaign and revealed the party had a $2.4 million cheque in public funding from the last election it had not cashed that it could spend on electioneering.

He said Electoral Commissioner Ed Killesteyn should resign over the WA Senate debacle and suggested the ballot papers had been stolen to prevent his party from gaining a third senator and greater influence in the upper house.

"Obviously [illusionist] Uri Geller was a scrutineer because they disappeared," he said.

Among Mr Palmer’s suggested reforms are the introduction of electronic voting instead of paper and pencil ballots, counting pre-poll votes on the day they are cast to avoid them being rorted or stolen and requiring voters to present identification at polling places.