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Financial Markets Conduct Act 2013

Enforcement, liability, and appeals - Banning orders

518: Terms of banning orders

You could also call this:

"Rules for when someone is banned from doing certain finance jobs"

Illustration for Financial Markets Conduct Act 2013

A banning order can stop you from doing certain things, either forever or for a set amount of time. This can include being a director of a company in New Zealand, or helping to manage one. You might also be stopped from giving financial advice or handling clients' money. The court can make a banning order that lasts a long time, more than 10 years, but only in very serious cases. You can find more information about this by looking at the Financial Services Legislation Amendment Act 2019 and other related laws, such as s 60B and s 43G.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4091752.

Topics:
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517: When court may make banning orders, or

"When can a court stop you from working in finance if you've done something wrong?"

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519: Offence of contravening banning order, or

"Breaking a banning order is a crime that can lead to prison or a big fine."

Part 8Enforcement, liability, and appeals
Banning orders

518Terms of banning orders

  1. A banning order may, permanently or for a period specified in the order, prohibit or restrict the person, without the leave of the court, from doing either or both of the following things:

  2. being a director or promoter of, or in any way (whether directly or indirectly) being concerned or taking part in the management of, an entity (other than an overseas company, or other entity, that does not carry on business in New Zealand):
    1. providing financial advice services or client money or property services, or contributing, as employee or agent, to the provision of those services.

      1. The court may make a banning order permanent or for a period longer than 10 years only in the most serious of cases for which a banning order may be made.

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      Notes
      • Section 518(1)(b): replaced, on , by section 45 of the Financial Services Legislation Amendment Act 2019 (2019 No 8).