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Takeovers Act 1993

Investigation and enforcement - Other court orders - Management bans

44J: Persons automatically banned from management

You could also call this:

"People who break certain laws can't help run a company for 5 years"

Illustration for Takeovers Act 1993

If you have been convicted of a crime against section 44 or section 44C, you cannot be a director or help manage a company in New Zealand for 5 years. You are not allowed to be involved in managing a company without the court's permission. If you break this rule, you can be punished with up to 3 years in prison or a fine of up to $100,000, or both.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM326710.

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Crime and justice > Criminal lawBusiness > Industry rules
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"Rules for Banning Company Managers"

Part 3Investigation and enforcement
Other court orders: Management bans

44JPersons automatically banned from management

  1. This section applies to a person if the person has been convicted of an offence against either section 44 or section 44C or a pecuniary penalty order has been made against the person under this Act for a contravention of the takeovers code.

  2. The person must not, for the period of 5 years after the conviction or making of the order (without the leave of the court) be a director or promoter of, or in any way (whether directly or indirectly) be concerned or take part in the management of, an incorporated or unincorporated body (other than an overseas company, or an incorporated or unincorporated body, that does not carry on business in New Zealand).

  3. An individual who acts in contravention of this section commits an offence and is liable, on conviction to imprisonment for a term not exceeding 3 years or to a fine not exceeding $100,000, or to both.

Notes
  • Section 44J: inserted, on , by section 24 of the Takeovers Amendment Act 2006 (2006 No 48).
  • Section 44J(3): amended, on , by section 413 of the Criminal Procedure Act 2011 (2011 No 81).