Minister for Industry, Tourism and Resources v Mobil Oil Australia Pty Ltd

[2004] FCA 694

FEDERAL COURT OF AUSTRALIA

Minister for Industry, Tourism and Resources v Mobil Oil Australia Pty Ltd

[2004] FCA 694

THE MINISTER FOR INDUSTRY, TOURISM AND RESOURCES v MOBIL OIL AUSTRALIA PTY LTD
N 1593 OF 2003

GYLES J

31 MAY 2004
SYDNEY

IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY	N 1593 OF 2003

BETWEEN:	THE MINISTER FOR INDUSTRY, TOURISM AND RESOURCES APPLICANT
AND:	MOBIL OIL AUSTRALIA PTY LTD RESPONDENT
JUDGE:	GYLES J
DATE OF ORDER:	31 MAY 2004
WHERE MADE:	SYDNEY

THE COURT DECLARES THAT:

The respondent has, in contravention of s 10(2) of the Petroleum Retail Marketing Sites Act 1980 (the Sites Act), during the period from January 1998 to January 2000 (inclusive) operated retail sites such that the aggregate of the sites each month operated by the respondent in excess of the permissible number of retail sites specified in the Petroleum Retail Marketing Sites Regulations (the Sites Regulations) was 563.

THE COURT ORDERS THAT:

1. The respondent whether by its directors, employees, agents or otherwise be restrained for a period of six (6) months from the date of these Orders from acquiring equity in any corporation so that by that acquisition the respondent becomes by virtue of the deeming provisions in s 4 of the Sites Act, a related body corporate to that corporation and the respondent thereby operates retail sites exceeding the permissible number of retail sites specified in the Sites Regulations.

2. The respondent pay to the Commonwealth a pecuniary penalty of $844,500 pursuant to s 13 of the Sites Act in respect of the conduct referred to in the above declaration.

3. The respondent shall implement, maintain and audit a compliance program in the terms of annexure ‘A’ to the Application in this proceeding to reduce the risk of a repeat of breaches of s 10 of the Sites Act.

4.   The respondent cause to be published in the Australian Convenience Store News in its next available edition following the making of this Order, a notice in the form of Annexure ‘B’ to the Application in this proceeding.

5.   The respondent pay the applicant’s costs as taxed or agreed.

Note:   Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY	N 1593 OF 2003

BETWEEN:	THE MINISTER FOR INDUSTRY, TOURISM AND RESOURCES APPLICANT
AND:	MOBIL OIL AUSTRALIA PTY LTD RESPONDENT

JUDGE:	GYLES J
DATE:	31 MAY 2004
PLACE:	SYDNEY

REASONS FOR JUDGMENT

1. The essential features of the case are dealt with in two judgments – Minister for Industry, Tourism and Resources v Mobil Oil Australia Pty Ltd [2003] FCA 1454 and Minister for Industry, Tourism and Resources v Mobil Oil Australia Pty Ltd [2004] FCAFC 72. The issue left outstanding in my previous judgment was the fixing of penalties. The authorities which are relevant to the fixing of penalties were discussed in argument in the Full Court and most, if not all, are referred to in the Full Court judgment. I need not repeat the essential features of the case nor recite the authorities again.

2. Having re-examined the agreed facts and the submissions of both parties in accordance with the decision of the Full Court in this case, I am satisfied that the amount of $844,500 is an appropriate penalty to impose in total for the 563 contraventions of the Petroleum Retail Marketing Sites Act 1980 (Cth) which have been admitted.

I certify that the preceding two (2) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice Gyles.

Associate:

Dated:            31 May 2004

Counsel for the Applicant:	M Painter
Solicitor for the Applicant:	Australian Government Solicitor
Counsel for the Respondent:	T North SC and MR Speakman
Solicitor for the Respondent:	Blake Dawson Waldron
Date of Hearing:	3 December 2003
Date of Judgment:	31 May 2004