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Reserve Bank of New Zealand Act 2021

Reserve Bank of New Zealand - Board of Bank and its members - Effect of non-compliance with duties

55: Accountability for collective board duties

You could also call this:

"Board members are responsible for doing their job and following rules, or they might lose their job."

Illustration for Reserve Bank of New Zealand Act 2021

You have duties as a board member. These duties are owed to the Minister. You must follow the rules in sections 45 to 49. If you do not follow these rules, you can be removed from your job. If the board does not comply with its duties, some or all members can be removed. This is subject to rules in sections 37 to 39 or sections 90 to 93 for the Governor. But you will not be removed if you did not know about the problem or if you tried to stop it. You do not have to go to court to take reasonable steps. This means you do not have to apply for an order under section 59. These rules do not change other reasons you can be removed from your job, as stated in section 56.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS287084.

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Part 2Reserve Bank of New Zealand
Board of Bank and its members: Effect of non-compliance with duties

55Accountability for collective board duties

  1. The duties of the board and members of the board under sections 45 to 49 (collective duties) are duties owed to the Minister.

  2. If the board does not comply with any of its collective duties, all or any of the members may be removed from office (subject to any requirements in sections 37 to 39 or, in the case of the Governor, sections 90 to 93).

  3. However, subsection (2) does not apply to a member if—

  4. the member did not know and could not reasonably be expected to know that the duty was to be or was being breached; or
    1. the member took all reasonable steps in the circumstances to prevent the duty being breached.

      1. The taking of reasonable steps does not require a member to apply to a court for an order under section 59.

      2. This section and section 56 do not affect any other ground for removing a member from office.

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