563 Procedural requirements

(1)

The FMA must not make a declaration under this subpart unless—

(a)

it is satisfied that the declaration is necessary or desirable in order to promote either or both of the main purposes of this Act specified in section 3 or any of the additional purposes specified in section 4; and

(b)

in the case of section 562(1)(a) to (d), it has had regard to the economic substance of the relevant security; and

(c)

in the case of section 562(1)(e), it is satisfied that the offer or class of offers has, or would have, a purpose or an effect of circumventing, evading, or defeating any of the purposes referred to in paragraph (a) (having regard to the economic substance of the offer or offers); and

(ca)

in the case of section 562(1)(gb), (gc), or (h)(i), it is satisfied that the declaration is necessary or desirable in order to promote the additional purpose specified in section 431B; and

(d)

it has consulted the persons or representatives of the persons that the FMA considers will be substantially affected by the declaration.

(2)

A failure to comply with subsection (1)(d) does not affect the validity of the declaration.

Section 563(1)(ca): inserted, on 9 April 2019, by section 52 of the Financial Services Legislation Amendment Act 2019 (2019 No 8).