House of Representatives

Explanatory Memorandum

(Circulated by authority of the Assistant Minister for Customs, Community Safety and Multicultural Affairs, the Honourable Jason Wood MP)

GENERAL OUTLINE

1. This Bill amends the Criminal Code Act 1995 (Criminal Code) to:

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double the maximum penalty for existing firearms trafficking offences from 10 years imprisonment and/or a fine of 2,500 penalty units to 20 years imprisonment and/or a fine of 5,000 penalty units;

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introduce new aggravated offences for trafficking 50 or more firearms or firearm parts, or a combination of firearms and firearm parts, within a six month period within Australia (in Division 360 of the Criminal Code); and

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introduce new aggravated offences for trafficking 50 or more firearms or firearm parts, or a combination of the firearms and firearm parts, within a six month period into or out of Australia (in Division 361 of the Criminal Code).

2. A maximum penalty of life imprisonment, or a fine of 7,500 penalty units, or both, will apply to aggravated offences in Division 360 and Division 361.

3. Mandatory minimum penalties of five years' imprisonment will also apply to both existing firearms offences and the new aggravated offences under Division 360 and Division 361. Courts will have the discretion to reduce this minimum sentence by up to 25% where a person pleads guilty to an offence and up to a further 25% where a person has cooperated with law enforcement agencies in the investigation of the offence.

4. The aggravated offences and the increased maximum penalties aim to more adequately reflect the serious nature and potential consequences of supplying firearms and firearm parts to the illegal market. In particular, the new aggravated offences ensure that offenders cannot avoid liability under the proposed aggravated offences by disposing or acquiring fewer than 50 firearms or firearm parts on 2 or more occasions, but which have a combined total of 50 or more (a practice known as structuring), or by remaining wilfully blind as to the total number of firearms.

FINANCIAL IMPACT

5. The Bill has nil financial impact.