That a select committee, to be known as the Select Committee on Lending to Primary Production Customers, be established to inquire into and report on the regulation and practices of financial institutions in relation to primary production industries, including agriculture, fisheries and forestry, with particular reference to:
- the lending, and foreclosure and default practices, including constructive and non-monetary default processes;
- the roles of other service providers to, and agents of, financial institutions, including valuers and insolvency practitioners, and the impact of these services;
- the appropriateness of internal complaints handling and dispute management procedures within financial institutions; and
- the appropriateness of loan contract terms particular to the primary production industries, including loan-to-value ratios and provision of reasonable written notice.
The committee has resolved that:
- in conducting the inquiry, the committee will not investigate, or seek to resolve or adjudicate disputes between customers, banks or other parties; and
- where the experience of customers may inform the committee about the practices of banks, the committee welcomes submissions that explicitly address the terms of reference.