New Zealand Legislation: Acts

76 Offence for breach of regulations implementing recognition regime

• (1) If there is a contravention, in respect of a security, of a term or condition that must be complied with under a recognition regime, each of the following persons commits an offence:

  • (a) the issuer of the security; and

  • (b) every person who is a principal officer of the issuer at the time of the contravention; and

  • (c) every promoter of the security; and

  • (d) every person who has authorised himself or herself to be named and is named in any advertisement relating to the security as a director of the issuer or as having agreed to become a director either immediately or after an interval of time.

  (2) A person who commits an offence against subsection (1) is liable on summary conviction to a fine not exceeding $300,000 and, if the offence is a continuing one, to a further fine not exceeding $10,000 for every day or part of a day during which the offence is continued.

  (3) No person may be convicted under subsection (1) for a contravention if—

  • (a) the contravention was for matters that, in the opinion of the court, were immaterial, or that otherwise, in the opinion of the court, having regard to all the circumstances of the case, ought reasonably to be excused; or

  • (b) in the case of a person other than the issuer, in the opinion of the court dealing with the case, the contravention did not take place with the person's knowledge and consent.

  Section 76: substituted, on 1 December 2002, by section 26 of the Securities Amendment Act 2002 (2002 No 43).