annual report 2012 – 13 - Australian Government Solicitor

Corporate governanceAs a government business, AGS differssignificantly from private sector lawfirms in that it operates within a uniquelegislative and accountability framework.Through this framework, we are accountablefor our performance to our shareholderMinisters – the Attorney-General and theMinister for Finance – and, through them,to the Parliament and the Australiancommunity.LEGISLATIVE FRAMEWORKAGS’s legislative framework has 3 mainelements:— The Judiciary Act 1903, which, under s 55J,establishes AGS as a statutory authority:– s 55K sets out AGS’s functions – thesefunctions include providing legal andrelated services to the Commonwealthto, persons and bodies for any purposefor which the Commonwealth has thepower to make laws to, and, on request,the States, Territories and Norfolk Islandand State, Territory and Norfolk Islandpersons and bodies.– s 55N sets out the persons and bodies towhom AGS may provide services in theexercise of its functions.– The Judiciary Act also specifies therights, duties and obligations of AGSlawyers, provides for the appointmentand terms and conditions of AGS’s CEO,sets out AGS’s powers and provides amechanism for setting AGS’s corporategovernance requirements.— The Commonwealth Authorities andCompanies Act 1997 (CAC Act) sets outthe reporting, accountability and otherrequirements AGS must meet. Regulationsmade under that Act prescribe AGS as agovernment business enterprise.— AGS’s corporate governance arrangements,issued by AGS’s shareholder Ministerspursuant to s 55ZE of the Judiciary Act,complement and expand AGS’s obligationsunder the CAC Act. The arrangements alsoset out AGS’s mandate and objectives. Ourmandate is set out on page 7 of this report.AGS has a sole director for the purposes ofthe CAC Act – the CEO. AGS does not havea board of directors in the usual sense thatapplies to Corporations Act companies. TheCEO is appointed by, and is responsible to,shareholder Ministers for ensuring that, indelivering legal services:— AGS is managed in the best interests ofthe Commonwealth— AGS’s business activities are conductedto minimise any risk of divergenceof interests between AGS and theCommonwealth— AGS and its employees maintainthe highest standards of integrity,accountability and responsibility.EXTERNAL CORPORATE GOVERNANCEResponsible MinistersFor the reporting period, the Attorneys-General were the Hon Nicola Roxon MP (to4 February 2013) and the Hon Mark DreyfusQC MP (from 4 February 2013). Shareholderresponsibility for AGS was exercised jointlyby the Attorney-General and the Minister for36 AGS Annual report 2012–13