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Financial Markets Authority Act 2011

Miscellaneous provisions - Transitional provisions - Disestablishment of Securities Commission

72: Consequences of disestablishment

You could also call this:

“What happens when the Securities Commission is replaced by the Financial Markets Authority”

When the Securities Commission is disestablished, several changes happen on the commencement date. The Financial Markets Authority (FMA) takes over the Commission’s functions, duties, and powers, as long as they are consistent with the FMA’s responsibilities. The FMA also gets all the Commission’s property, information, and documents. Any money owed to or by the Commission now involves the FMA instead.

The FMA takes on the Commission’s rights, responsibilities, contracts, and commitments. Most of the Commission’s employees become FMA employees with the same work conditions. Anything the Commission was doing or was supposed to do is now the FMA’s job. If there were any legal proceedings involving the Commission, the FMA can continue or defend them. The FMA can also finish any tasks the Commission started.

When the FMA receives information from the Commission, it doesn’t count as invading anyone’s privacy under the Privacy Act 2020. The change from the Commission to the FMA doesn’t affect any decisions the Commission made or any ongoing legal matters. The FMA can temporarily take on any of the Commission’s roles to make sure the change goes smoothly.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM3231781.

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Part 4 Miscellaneous provisions
Transitional provisions: Disestablishment of Securities Commission

72Consequences of disestablishment

  1. On the commencement date,—

  2. the functions, duties, and powers of the Commission under any enactment vest in the FMA, except as specifically provided otherwise in this Act, but only to the extent that those functions, duties, and powers are consistent with the functions, duties, and powers of the FMA under this Act and any other enactment (subject to subsection (4)); and
    1. all property belonging to the Commission vests in the FMA; and
      1. all information and documents held by the Commission are held by the FMA; and
        1. all money payable to or by the Commission becomes payable to or by the FMA; and
          1. all rights, liabilities, contracts, entitlements, and engagements of the Commission become the rights, liabilities, contracts, entitlements, and engagements of the FMA; and
            1. subject to section 74, every employee of the Commission becomes an employee of the FMA on the same terms and conditions as applied immediately before he or she became an employee of the FMA; and
              1. anything done, or omitted to be done, or that is to be done, by or in relation to the Commission is to be treated as having been done, or having been omitted to be done, or to be done, by or in relation to the FMA; and
                1. the commencement, continuation, or enforcement of proceedings by or against the Commission may instead be commenced, continued, or enforced by or against the FMA without amendment to the proceedings; and
                  1. the completion of a matter or thing that would, but for this section, have been completed by the Commission may be completed by the FMA.

                    1. The transfer of information from the Commission to the FMA under subsection (1)(c) does not constitute an action that is an interference with the privacy of an individual under section 69 of the Privacy Act 2020.

                    2. The disestablishment of the Commission does not, by itself, affect any of the following matters:

                    3. any decision made, or anything done or omitted to be done, by the Commission in relation to the performance or exercise of its functions, powers, or duties under any enactment:
                      1. any proceedings commenced by or against the Commission:
                        1. any other matter or thing arising out of the Commission’s performance or exercise, or purported performance or exercise, of its functions, powers, or duties under any enactment.

                          1. Despite subsection (1)(a), it is a function of the FMA to perform or exercise any functions, powers, or duties of the Commission that are necessary or desirable for it to perform or exercise, on a temporary basis, for the purpose of effectively managing the transition of functions from the Commission to the FMA.

                          Notes
                          • Section 72(2): amended, on , by section 217 of the Privacy Act 2020 (2020 No 31).