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Police Minister Annette King says the new Organised and Financial Crime Agency will have the same powers as the Serious Fraud Office it replaces, but judicial approval will be needed to use them.
Former SFO director David Bradshaw told Parliament's law and order committee yesterday that the powers were not the same, and court proceedings would delay cases by years - or see cases ditched - while costs would skyrocket.
"The process could take at least two or three years just to get some answers to questions, and what will happen is very quickly people won't go down that route."
Mr Bradshaw gave the committee an analysis of changes to powers in the Serious Fraud Office (Abolition and Transitional Provisions) Bill.
At present, the SFO director can issue a production notice to get documents. Under the bill, the agency has to establish grounds for such a notice in court.
The SFO director has the power to make people front up for interviews in an investigation, and they have to answer questions even if they are self-incriminating - but restrictions exist on how the SFO can use the answers.
Under the changes the agency will again have to establish several things in court, and there are rules around who can apply to the court and what approval they need first.
Mr Bradshaw said that before the judge could order a compulsory interview he had to be satisfied other ways of getting the information had been tried. The court order had to state the nature of questions to be asked and who would do the interview.
Also, the privilege against self-incrimination was reinstated and interviewees could have a lawyer present who could advise them not to answer questions.
Mr Bradshaw said the changes offered "greatly increased opportunities" for court challenges.
He said the agency had to meet tight criteria and any breach could render a court order invalid and put all the information gathered at risk.
National Party law and order spokesman Simon Power asked Ms King about the changes in Parliament yesterday afternoon.
She said she was "staggered" that Mr Bradshaw did not think the powers had been carried over, and said the only difference was the need to get judicial approval to exercise them.
- NZPA
