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Government says these measures will strengthen the integrity of the foreign investment framework

The Coalition Government today announced that it is taking action to strengthen the integrity of our foreign investment framework.

The Government recognises that foreign capital is vital to help grow our economy and provide jobs. In the case of residential real estate, the current foreign investment regime aims to channel foreign investment into new homes for Australians to purchase or rent.

The Government’s changes will ensure that this aim is fulfilled, and that the current rules that prohibit non-resident foreign investors from purchasing existing homes is enforced.

As the former Chairman of the House Standing Committee on Economics, I am delighted that the Government has accepted all of the Committee’s recommendations.

Today’s announcement includes:

- stronger enforcement of the existing rules by transferring responsibility for foreign investment residential applications from the Foreign Investment Review Board (FIRB) to the Australian Taxation Office (ATO);
- stronger criminal penalties for those who breach the rules – including higher fines and terms of imprisonment;
- new civil penalties to ensure that those who breach the rules do not profit from their illegal purchase;
- new civil and criminal penalties for third parties who knowingly assist a foreign investor to breach the rules;
- application fees to ensure that Australian taxpayers no longer have to fund the cost of administering the framework;
- increased transparency on the levels of foreign investment in Australia through the establishment of a national land register; and
- a modernisation and simplification of the foreign investment framework – the most significant overhaul of the system in 40 years.

The Government also announced that as from Monday 4 May 2015, the ATO will be responsible for the residential real estate functions of the foreign investment framework – including audit, compliance and enforcement activities. This new unit has sophisticated data matching technology that will use existing ATO data, and will match this information against other datasets held by the Department of Border Protection and Immigration, the Australian Transaction Reports and Analysis Centre (AUSTRAC), amongst others.

In addition, the ATO will be issuing letters to individuals and companies suspected to be involved in breaches of the foreign investment framework. It will also conduct investigations of property sales reported to them by the public, along with random audits of properties that have been sold over the past 10 years.

Those in breach of the foreign investment framework will have from today until 30 November 2015 to self-report their breach and be given a longer period of time to divest the illegally purchased property before the new rules come into effect from 1 December 2015. The ATO will pursue breaches against foreign investors who do not voluntarily come forward.

To find out more about today’s announcement click here.

Kelly O'Dwyer, Federal Member for Higgins
Parliamentary Secretary for Federal Treasurer

Comments

"The Government recognises that foreign capital is vital to help grow our economy and provide jobs..." Just what "jobs" are provided for by selling our real estate overseas, and allowing property developers to spruik their wares in Australia?

Jobs in construction are short-term, and when population growth must continue to fill the towers and housing, it's actually adding to our unemployment rate.

What we need is foreign capital from productivity, innovation, knowledge, exports and industries, not brought in by pumping up the housing bubble from foreign buy-ups. There's no integrity in losing our sovereignty, and overloading our cities with unaffordable housing.

We need a real economy, with production, not an invasion of foreigners grabbing control of our housing, and discarding more people into social housing, a life of renting, or homelessness. That's not an industry, but a Ponzi scheme.

Chinese investors and immigrants purchased more than $8 billion in Australian residential property in the space of 12 months, with growing demand forecast to pump another $60 billion into the market over the next six years. The number of first home buyers are dwindling, and thus our borders must be opened up to keep the Ponzi housing bubble inflated!

The Chinese money pumped into Australian housing was the equivalent of 15 per cent of national housing supply.

"We expect $60 billion of additional Chinese demand for Aussie housing over the next six years to 2020. This will be more than double the $28 billion over the past six years," according to a Credit Suisse analysis. The proposed new foreign investment rules may make Australian real estate less attractive for Chinese buyers, but that "the potential erosion of demand will be marginal". So, with all these cashed up property investors, extra tax is hardly a disincentive! This foreign-buy ups will be supported and accompanied by 2% new settler rates from China, while it was assumed the "investment" flows from Chinese buyers would grow at a rate of five per cent per annum. Living in this housing bubble is meant to bring great wealth for Australia? It's aimed at investors, not average Australians trying to buy into unaffordable housing.

The Australian: Chinese to buy 60bn in Australian housing

Baby boomers grew up with the assumption that if they had a full-time job, they could afford to buy a house –and pay it off in their working life. It was a hallmark of the egalitarian society Australians are so fond of remembering.

We had a lifestyle to be envied by the world. Thanks to high population growth, and tax benefits to favour investors, we have a working poor population that will never be able to afford to buy a house, flat or fibro shack in the ‘burbs. Malaysia and Thailand allow Australians to buy freehold property, but few other countries!

Australia is under attack from greedy foreign intruders who are rapidly acquiring Australian residential property pricing locals out of the market. Aussie battlers are being pushed to the fringes of our cities while foreign intruders are reaping the benefits of hard working previous generations. The price of housing in Sydney and Melbourne has skyrocketed crushing the dreams and aspirations of young Australian families who are increasingly dispossessed. The new dispossessed or forgotten people will one day be remembered as the ‘stolen generation’ priced out of the market by invading overseas Chinese colonising our suburbs and cities.

The Australian dream of owning a residential home is rapidly becoming a distant memory due to the drastic increase in mass third world immigration coupled with foreign ownership. Housing affordability has become a smashed due to foreign buyers snapping up property at our expense.

In particular Chinese foreign ownership of residential property and assets is pushing the Australian prospective homebuyer to the fringes of society living in compromised living arrangements competing against foreign forces invited here by the policies of the major political parties who ignore the plight and struggles of young families seeking to progress up the economic ladder.

Struggling & isolated Aussie families:

Australians are feeling alienated and isolated in areas once considered safe and cohesive. Not only are Australians becoming a ‘stolen generation’ due to being priced out of the housing market, our families and children are feeling a loss of identity and community.

The ‘Aussie Dream’ has been shattered due to the greed of government, foreign speculators and invaders who are colluding together to ethnically cleanse suburbs of Australian families. Many of these hard working families are now trapped in a rental cycle struggling to pay over-priced rents competing against foreign intruders.

Segregated Chinese ghettoes:

Over the past ten years, Australia’s Chinese born population has more than doubled having an obvious impact on housing, jobs and schools. Chinese immigration has created a parallel society with Chinese preferring to live in areas with large Chinese populations creating segregated ghettoes. Chinese are increasingly turning to Chinese speaking property agents who are more than obliging to contravene Australian foreign investment rules in the pursuit of greed and conquest.

Chinese nationals are Australia’s largest foreign buyers of residential property and farms with recent figures showing over 20% of new residential property in NSW and Victoria sold to foreign nationals but contrary to the lies perpetrated by real estate agents (pimps) and government officials, they’re not just buying expensive properties. New figures reveal that around 70% of all sales to foreign buyers were below the $1 million mark.

Housing Bubble to Burst:

Australia is experiencing its worst housing bubble ever having the most indebted housing sector per capita in the world. An insatiable Chinese appetite for limited residential property has created a debt bubble as local families increase borrowings in the hope of securing a home. National mortgage and household debt has skyrocketed to over $1.9 trillion making the US sub prime collapse look like a walk in the park when our housing bubble bursts.

In particular, the Sydney property market has reached new unsustainable highs with the median Sydney house price now standing at $914,000 smashing local home ownership rates and creating more unproductive debt.

Illegal Occupation:

According to the FIRB (Foreign Investment Review Board) foreign nationals are not allowed to purchase residential property yet China has become Australia’s biggest source of approved foreign investment after a $12.4 billion splurge on real estate last year. Fat cat Treasurer Joe Hockey said the new figures was evidence Australia was “once again, open for business”. Indeed, ‘open for racial replacement or genocide of the Australian people’.

Thousands of Australian homes have been illegally embezzled and occupied yet the FIRB enforcement of foreign investment rules has been virtually non-existent with only two residential real estate purchases rejected last year.

Treasonous Politicians:

A recent parliamentary committee confirmed that local buyers were being squeezed out of the residential property market by foreign investors, particularly from China. The review found there were serious gaps in the enforcement of foreign investment rules.

Never before have we witnessed such treason from our elected politicians who have remained largely silent while the Australian Dream slips further away from working families. The plight of struggling Australian families ethnically cleansed from their suburbs highlights the treason and preference that our self-serving politicians give to foreign intruders over locals.

Genocide Demographics:

The economic impact of foreign ownership coupled with large scale Chinese immigration means more Australian workers are being displaced. Chinese residential property ownership means more immigration resulting in increasing competition for diminishing affordable housing, scarce jobs and university places. The effect of this invasion is far reaching with locals being pushed to the fringes, competing against Chinese workers who are known to work for less resulting in fewer jobs for locals and their children.

Demography is destiny, and with the full support of the major parties, Australia is undergoing a drastic demographic change. Traditional Australians are becoming strangers in their own land with many of our suburbs being turned into third world ghettoes riddled with crime, social friction and impending real estate bubble collapse. Current trends indicate Australians will become a minority in their own land within the next 30 years if present invasion figures continue.

Party for Freedom is a grassroots patriotic political party that represents the forgotten people. We need your support on the 30th May in sending a strong message to the Chinese government and Chinese nationals that their residential property purchases (ownership) in Australia is not welcome.

Pls. bring Aussie flags, and placards expressing your opposition to Chinese nationals raiding the local residential property market.

Facebook discussion group: https://www.facebook.com/events/697645543694220/

Where: Chinese Consulate,

39 Dunblane Street, Camperdown

Date: Saturday 30th May 2015

Time: 12 noon to 2pm

Meet: Front of Chinese Consulate

One could make some academic criticism of the above post for not mentioning the large number of British, Irish, Indian and other buyers, but that would be hair-splitting. One must concede the overall case: it is obvious that the property industry is focusing on certain buyer groups and Chinese buyers are a noticable target, and the origin of such vast streams of money that Australian citizens are increasingly disadvantaged. They cannot compete and why should they? Australians have been conditioned - by a variety of stretched interpretations of multiculturalism - to fear punishment (ostracism) if they identify any particular ethnic group for anything but praise, yet how can one expect struggling Australians to stand mutely by when the mainstream media daily focuses on the cash or investment value of this or that ethnic group, and lately particularly on the Chinese, with this kind of announcement: "Chinese investors and immigrants purchased more than $8 billion in Australian residential property in the space of 12 months, with growing demand forecast to pump another $60 billion into the market over the next six years." (Sydney Morning Herald Business Day, May 17 2015.

To many this is catastrophic news.

There is a real problem in selling off our land and resources and in growing our population. Not only have the Australian public not been asked, but these policies are creating debt and dispossession. For this reason Nick Folkes's demonstration seems aptly focused.

It is very unfortunate that State and Federal Governments have allowed Australia's population growth and foreign investment situation to become so extreme that people feel they must protest outside consulats, but the situation is extreme.

More discussion welcome.

Thank you, Nick for drawing our attention to this scam. The government and the selfish vested interests they represent are treating this generation of Australians no better than the indigenous Australians who were dispossessed before us. If they get away with this, the habitable territory on this continent will, in the not-too-distant future, be turned into a huge crowded urban slum.

Any state or Federal government that had the interests of today's native Australians at heart would have acted by now to end the selling off of our housing. They clearly do not represent us.

'STOP THE CHINESE REAL ESTATE INVASION' FLYER DROP.

Party for Freedom needs your help in distributing our rally notice and party flyers in the Lane Cove area this Sunday. We will start early and finish late to get the message out to as many residents as possible. Even if you can only spare a few hours, your help is much appreciated.

Our government has disowned us on all issues facing the Australian people. It is up to us to fight back against the dark forces of Labor and Liberal and their treasonous policies on foreign ownership and open borders immigration.

Meet-up: Front of Woolworths, Longueville Rd., Lane Cove

Time: 10.00 to 10.30am, Sunday 24th May 2015

Info: Nick Folkes ph: 0417-679972