South Australia is looking at new fines and even jail time for builders who bully subcontractors.

SA Small Business Minister Martin Hamilton-Smith has introduced amendments to the Building and Construction Industry Security of Payment Act 2009 that could see fines of up to $50,0000 or two years’ jail for anyone who assaults, threatens or intimidates someone seeking payment for work

Companies could be fined up to $250,000.

“Businesses working in the building and construction sector are entitled to be paid in a timely manner for work properly completed or goods which have been supplied,” Mr Hamilton-Smith said.

“We need to keep the cash moving in this important industry and the Act provides one of the means in which this can occur.”

But Master Builders SA chief executive Ian Markos said he thought was committed to reducing red tape.

“Why duplicate an existing crime of assault?” he told reporters.

“We agree there is no place for threats and intimidation when it comes to getting paid. But who will investigate the alleged breaches and prepares briefs of evidence for the Crown Prosecutor?

“We understand and applaud the intention behind this new crime, but in practice we are concerned it may create disputes rather than resolve them.”

A quarter of a million dollars was put aside in the State Budget partly to fund an officer to investigate claims of bullying and intimidation.

“I also have powers under other acts that require people to do certain things and if they don’t I can launch a prosecution through the Crown [Solicitor],” Small Business Commissioner John Chapman said.

“It’s only going to be a problem if people are behaving badly.”

The proposed legislation also includes tougher reporting criteria and accountability targets for private adjudicators in building disputes.

Mr Chapman said adjudicators will have to publish their decision in full on the Small Business Commissioner’s website to provide “greater transparency”.