Plain language law

New Zealand law explained for everyone

Companies Act 1993

Offences and penalties

378: Fraudulent use or destruction of property

You could also call this:

“Misusing or destroying company property dishonestly is illegal”

If you are a director, employee, or shareholder of a company, you must not misuse or destroy the company’s property in a dishonest way. This means you can’t:

Take or use the company’s property for yourself or for someone else when it’s not meant for that purpose.

Hide or destroy any of the company’s property.

If you do either of these things, you are breaking the law. The punishment for this offence is explained in section 373(4) of this Act.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM323245.

Topics:
Business > Industry rules
Business > Fair trading
Crime and justice > Criminal law
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Part 21 Offences and penalties

378Fraudulent use or destruction of property

  1. Every director, employee, or shareholder of a company who—

  2. fraudulently takes or applies property of the company for his or her own use or benefit, or for a use or purpose other than the use or purpose of the company, or for the use or benefit of a person other than the company; or
    1. fraudulently conceals or destroys property of the company—
        1. commits an offence, and is liable on conviction to the penalties set out in section 373(4).

      Compare
      • 1955 No 63 s 461A
      • 1980 No 43 s 47
      Notes
      • Section 378(a): amended, on , by section 6 of the Companies Amendment Act 2014 (2014 No 46).