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Limited Partnerships Act 2008

General - Financial reporting

75D: Financial reporting offences

You could also call this:

"Breaking financial reporting rules can lead to big fines for limited partnerships"

Illustration for Limited Partnerships Act 2008

If you are a general partner in a large limited partnership, or one that has chosen to follow certain financial reporting rules, you must make sure financial statements are completed and signed on time. This means they must be finished within the time specified in section 75, and they must follow the applicable financial reporting standard. You also need to have the statements audited and give a copy to each partner, as required by sections 75A and 75C.

If you do not do these things, you can commit an offence and be fined up to $50,000. However, you can defend yourself if you can prove that you or the other general partners took all reasonable steps to comply with the rules, or if it was not reasonable to expect you to take those steps.

You need to follow these rules to avoid getting in trouble, and to make sure your limited partnership is doing the right thing financially.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6043643.

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"General partners must share financial reports with all partners within 5 months."

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75E: Non-application of provisions if alternative financial reporting duties under financial markets legislation, or

"You don't have to follow some financial reporting rules if you already report under other laws."

Part 2General
Financial reporting

75DFinancial reporting offences

  1. Subsection (2) applies if—

  2. financial statements in relation to a large limited partnership, or a limited partnership that has opted into compliance with section 75, are not completed and signed within the time specified in section 75(1); or
    1. the financial statements of a limited partnership referred to in paragraph (a) fail to comply with an applicable financial reporting standard; or
      1. the financial statements of a large limited partnership, or of a limited partnership that has opted into compliance with section 75A, are not audited in accordance with section 75A; or
        1. a copy of the financial statements of a large limited partnership, or of a limited partnership that has opted into compliance with section 75C, and a copy of the auditor's report on those statements are not delivered to each partner in accordance with section 75C.

          1. Every general partner of the limited partnership commits an offence and is liable on conviction to a fine not exceeding $50,000.

          2. It is a defence to a general partner of a partnership charged with an offence under this section in respect of a requirement referred to in subsection (1) if the partner proves that—

          3. the general partners took all reasonable and proper steps to ensure that the requirement would be complied with; or
            1. the general partner took all reasonable steps to ensure that the requirement would be complied with; or
              1. in the circumstances, the general partner could not reasonably have been expected to take steps to ensure that the requirement would be complied with.

                Notes
                • Section 75D: inserted, on , by section 107 of the Financial Reporting (Amendments to Other Enactments) Act 2013 (2013 No 102).