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BROTHEL REGULATION HANSARD, NSW Tuesday 5th June 2007

Ms ALISON MEGARRITY: My question without notice is addressed to the Minister for Planning. Will the Minister update the House on the Government's plans to shut down illegal brothels?

Mr FRANK SARTOR: I thank the member for Menai for raising this rather important community issue. During the election campaign the Iemma Government made a commitment to give councils stronger powers to identify and shut down illegal brothels and to prosecute those involved in running them. The community told the Government it wanted stronger mechanisms to tackle those operators who are flouting criminal laws and planning regulations. Residents were concerned about the impact of those illegal operations on their neighbourhood and on the amenity of their local area, and the potential risk of increased crime. We listened to the community and are responding to those concerns.

The State Plan already outlines the Iemma Government's commitment to reduce antisocial behaviour. Today I am pleased to inform the House of our latest efforts on this front. The Government will introduce a range of practical, workable measures to help achieve that State Plan priority by tackling the issue of illegal brothels. We will back our courts and strengthen our planning laws to help reduce antisocial behaviour in our neighbourhoods. The changes will focus on illegal brothel operators who attempt to circumvent the law and will increase penalties for repeat offenders. The changes will give councils new powers to deal with illegal brothels, and will ease the burden of evidence on councils, which can currently make it difficult to prove a breach has occurred under the Environmental Planning and Assessment Act.

In particular, the types of circumstantial evidence that can be relied upon in the courts will be expanded. We will give power and enforcement options back to communities. This package of reforms will help to swing the pendulum back in favour of hardworking families. Families want safe streets and vibrant communities, free of antisocial behaviour and crime. That is why a key measure of these reforms will be new powers for the Local Court, empowering the court to issue interim orders to cut electricity, gas and water supplies to illegal brothels. These new measures will make it easier for councils to take action against brothels that are causing a disturbance or interfering with the amenity of a local neighbourhood. That action can currently be taken under the Restricted Premises Act regardless of whether the brothel has development consent or not.

However, a recent case illustrates the need to make those provisions more effective. In December 2006 the Land and Environment Court made an order against a brothel operating in Potts Point following an application from the Council of the City of Sydney. The order was to prevent the continued use of those premises as a brothel. However, recent reports indicate that the brothel subsequently reopened at the same location, with the same staff, but under a different name. Under the current system, that council is required to commence new proceedings against the brothel under the Restricted Premises Act.

The Government is, therefore, proposing two key changes to address that issue. Firstly, a court order to cease operating a brothel would also prohibit the operation of a related business, such as a massage parlour. In line with the Premier's election commitment, councils could act to prevent the new business operating without having to gather evidence to prove that it was a front for the previous operation. Further, because development consents run with the land, an order against one brothel owner does not apply if the land is sold or the lease is transferred to a new owner or occupier or a different corporate vehicle. To overcome that, the Government will also empower the court to suspend a development consent for up to six months when it orders that a brothel be shut down. That will close the loophole that allows operators to sell or transfer a lease into a different name and to continue operating.

The Government will ensure that criminal proceedings against illegal brothels can continue, even if the business is sold. The changes would make council orders to close the illegal brothels effective within five working days unless the order is challenged in court. In addition, we will increase financial penalties for illegal brothel operators by ensuring that fines and orders against illegal brothel operators escalate if the offender opens another illegal brothel. All those measures are designed to strengthen court procedures to enable councils to take swift action if an illegal brothel is detected. We are acting to ensure that residents with legitimate concerns can take steps to remove illegal brothels from their neighbourhood. The Government is committed also to consulting with the Local Government and Shires Associations and convening a task force to help guide these changes. We will continue to work to deliver on this important election commitment.