ACCC probes anti-Israel boycotts

THE Baillieu government's pursuit of protesters who targeted a chocolate shop with alleged links to the Israeli military is unprecedent but could have the desired effect of clamping down on future anti-Israel boycotts, a competition law expert says.

 

Consumer Affairs Minister Michael O'Brien has written to the head of the Australian Competition and Consumer Commission, Rod Sims, and asked him to investigate whether a group that protested outside Max Brenner's chocolate shop in QV last month has broken federal law by engaging in secondary boycotts.

 

''To target businesses because they're owned by Israelis or because they do business with Israel is entirely unacceptable and in our view sets a very, very ugly precedent,'' Mr O'Brien said.

The ACCC will investigate whether the protesters contravened section 45D of the Competition and Consumer Act, which prohibits a group from gathering with the intention of stopping a third person or company from doing business.

Until now, it has only been used to target trade union activity, but Melbourne University competition law professor Dr Caron Beaton-Wells said protesters might have a case to answer if protesters ''had the purpose or their actions had the effect of causing substantial loss and damage to the shop owner's business''.

''That's something the ACCC would have to investigate and form a view on,'' Dr Beaton-Wells said.

Greens MP Greg Barber said that if the investigation results in a prosecution it could have a chilling effect on other consumer boycott campaigns.

''I'm telling people to boycott Reflex Paper because it's made from native forest woodchips, so maybe I'll be next,'' Mr Barber said.

But Mr Barber said he expected the investigation to fall over.

''For that matter a 'Buy Australia' campaign can fall foul of it, so Mr O'Brien might not get the result he's looking for,'' he said.

Nineteen people were arrested outside the store while protesting as part of a global, pro-Palestinian movement called Boycott, Divestment and Sanctions.

Protester Vashti Kenway said yesterday the government was trying to halt a legitimate protest movement.

''This is a shameful attempt to outlaw Palestine solidarity in Australia,'' she said.

Union leader Tim Gooden compared the boycott to that which was successfully waged against South Africa's apartheid regime.

''It wasn't the only thing that worked with South Africa but it definitely contributed to it, and this is the idea, to raise awareness,'' he said.

Opposition Leader Daniel Andrews said the protest had ''no place in a respectful, multicultural and multi-faith Victoria'', he said.