Published Friday, 23 November, 2007 at 04:38 PM
Minister for Public Works, Housing and Information and Communication Technology
The Honourable Robert Schwarten
QBSA SUCCESSFUL IN PROSECUTION OF ACCOUNTANT
A Brisbane-based accountant who provided false and misleading financial information to the Queensland Building Services Authority has been fined $3,750, Housing Minister Robert Schwarten said today.
Mr Schwarten said Michael Joseph McDonald of Brisbane pleaded guilty to giving false and misleading information about a builder’s financial position to the BSA.
“Mr McDonald provided a report to the BSA in April 2004 stating a builder met the financial requirements for licensing when in fact this was not the case,” Mr Schwarten said.
“As well as being fined, he was ordered to pay the BSA’s costs of $30,000.”
Mr Schwarten said the financial failure of a builder or construction company could effect subcontractors, suppliers and consumers.
“That’s why the BSA examines the financial viability of any builder applying for a licence,” he said.
The BSA’s financial requirements for licensing require licence holders to maintain adequate capital, comply with liquidity ratios, manage their financial affairs and keep appropriate financial records.
“If they do not meet these requirements, they are ineligible to obtain or renew their licence and it will be suspended.”
Mr Schwarten said the Queensland Building Services Act was amended in July 2006 to strengthen financial requirements for building licence holders to minimise the incidence of financial failure.
“The penalty for accountants that falsely give licence holders the financial ‘all clear’ can be a fine, imprisonment or both.”
Mr Schwarten said the case was further evidence that the BSA was continuing to uphold one of the core planks of its charter which is to prosecute persons not complying with the law.
Media contact: Minister’s office (07) 3237 1832, BSA Media (07) 3404 3027
Mr Schwarten said Michael Joseph McDonald of Brisbane pleaded guilty to giving false and misleading information about a builder’s financial position to the BSA.
“Mr McDonald provided a report to the BSA in April 2004 stating a builder met the financial requirements for licensing when in fact this was not the case,” Mr Schwarten said.
“As well as being fined, he was ordered to pay the BSA’s costs of $30,000.”
Mr Schwarten said the financial failure of a builder or construction company could effect subcontractors, suppliers and consumers.
“That’s why the BSA examines the financial viability of any builder applying for a licence,” he said.
The BSA’s financial requirements for licensing require licence holders to maintain adequate capital, comply with liquidity ratios, manage their financial affairs and keep appropriate financial records.
“If they do not meet these requirements, they are ineligible to obtain or renew their licence and it will be suspended.”
Mr Schwarten said the Queensland Building Services Act was amended in July 2006 to strengthen financial requirements for building licence holders to minimise the incidence of financial failure.
“The penalty for accountants that falsely give licence holders the financial ‘all clear’ can be a fine, imprisonment or both.”
Mr Schwarten said the case was further evidence that the BSA was continuing to uphold one of the core planks of its charter which is to prosecute persons not complying with the law.
Media contact: Minister’s office (07) 3237 1832, BSA Media (07) 3404 3027