431ZCProvider must pay client money into separate trust account and hold client property on trust

1. A provider who receives client money or client property, as part of a client money or property service,—

2. must hold the client money or client property, or ensure the client money or client property is held, on trust for the client; and
3. must ensure that the client money is paid promptly into a bank in New Zealand (or into any other prescribed entity) to—
   1. a trust account of the provider or of a related body corporate specified in the regulations; or
   2. if section 445 applies, a trust account of a person permitted to hold the money under that section.

4. A provider must ensure that the client money and client property are held separate from money or property held by or for the provider, or other person referred to in subsection (1)(b)(i) or (ii), on its own account.

5. However,—

6. subsection (2) does not apply in the prescribed circumstances; and
7. money or property that is not held separate from client money or client property—
   1. must be treated as client money or client property for all or any purposes if the regulations so provide:
   2. must be separated from client money or client property if required by the regulations or may be so separated if permitted by the regulations.

8. A provider must comply with any prescribed duties and other requirements in relation to the client money and client property held on trust under this section.