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Incorporated Societies Act 2022

Enforcement - Banning order

168: Court may disqualify officers

You could also call this:

"Court can ban you from being a society officer if you break the law or act unfairly"

Illustration for Incorporated Societies Act 2022

A court can stop you from being an officer of a society if you have done something wrong. You might have been convicted of a crime under subpart 6, or a crime involving dishonesty as defined in section 2(1) of the Crimes Act 1961. The court can also stop you if you have not followed the rules of the Incorporated Societies Act 2022 while being an officer. The court can stop you if you have acted in a way that is reckless or incompetent as an officer. You can also be stopped if you have been guilty of fraud or breached your duty to the society. The court can make this decision if it thinks you are not able to manage your own affairs. If the court makes this decision, it can mean you are not allowed to be an officer of a society. You might also not be allowed to help manage a society in any way. This can be a permanent decision or it can be for a certain amount of time.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS101060.

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169: When order may be permanent or for period longer than 10 years, or

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Part 4Enforcement
Banning order

168Court may disqualify officers

  1. A court may make a banning order against a person (A) if—

  2. A has been convicted of an offence under subpart 6, or has been convicted of a crime involving dishonesty as defined in section 2(1) of the Crimes Act 1961; or
    1. A has, while an officer of a society and whether convicted or not,—
      1. persistently failed to comply with this Act or, if the society has failed to so comply, persistently failed to take reasonable steps to obtain compliance with this Act; or
        1. been guilty of fraud in relation to the society or of a breach of duty to the society; or
          1. acted in a reckless or an incompetent manner in the performance of A’s duties as an officer; or
          2. A has become a mentally impaired person who, in the opinion of the court, permanently lacks wholly or partly the competence to manage their own affairs.

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

            2. being an officer of a society:
              1. being concerned or taking part in the management of a society in any way (whether directly or indirectly).