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Deposit Takers Act 2023

Supervision of deposit takers - Bank’s information-gathering power

106: Offence to fail to obtain audit or review

You could also call this:

"Breaking the audit rules can cost you a big fine"

Illustration for Deposit Takers Act 2023

If you are a licensed deposit taker or another person, you must follow the rules. You must not break the rules in section 105 without a good reason. If you do, you commit an offence. You can be fined if you are found guilty. If you are an individual, the fine can be up to $50,000, but if you are not an individual, the fine can be up to $500,000.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS538452.

Topics:
Money and consumer rights > Banking and loansBusiness > Industry rules
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105: Requirement that information be audited or reviewed, or

"The Bank can ask you to check some information you give them to make sure it's correct."

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107: Disclosure of information to Bank by auditors, or

"Auditors must tell the Bank about problems with deposit-taking companies"

Part 4Supervision of deposit takers
Bank’s information-gathering power

106Offence to fail to obtain audit or review

  1. A licensed deposit taker or other person that, without reasonable excuse, contravenes a requirement under section 105 commits an offence and is liable on conviction to,—

  2. in the case of an individual, a fine not exceeding $50,000:
    1. in any other case, a fine not exceeding $500,000.