New Zealand Legislation: Bills

21 New section 21AA inserted

• The following section is inserted after section 21:

  “21AA Registration procedure for New Zealand units and approved overseas units

  • “(1) On receipt of a direction in relation to New Zealand units or approved overseas units given by the Minister of Finance, or an application for the registration of a transaction in relation to New Zealand units or approved overseas units by an account holder, that which is completed to the satisfaction of the Registrar and in accordance with any regulations made under this Act, the Registrar must—

    • “(a) create an a unique transaction number; and

    • “(b) if the proposed transaction concerns an overseas registry, send a record of the transaction to the overseas registry if required to do so by the overseas registry; and

    • “(c) if the proposed transaction does not concern an overseas registry,—

      • “(i) record in the unit register the particulars of the transaction set out in the direction or the application; and

      • “(ii) send electronic notification that the transaction has been recorded in the unit register to to,—

        • “(A) the Minister of Finance, in the case of a direction; or

        • “(B) the account holder, in the case of an application.

        • “(A) in the case of a direction, the Minister of Finance and, if the direction specifies that New Zealand units or approved overseas units are to be transferred to the holding account of an account holder other than the Crown, the account holder:

        • “(B) in the case of an application, the account holder who submitted the application and the account holder specified in the application as the account holder to whose holding account New Zealand units or approved overseas units are to be transferred.

    “(2) If the Registrar sends a record of the proposed transaction to an overseas registry under subsection (1)(b) and receives notification back from the overseas registry that there are no discrepancies in the transaction, the Registrar must, as soon as practicable,—

    • “(a) record in the unit register the particulars of the transaction set out in the direction or the application; and

    • “(b) send notification to the overseas registry that the transaction has been recorded in the unit register; and

    • “(c) send electronic notification that the transaction has been recorded in the unit register to—

      • “(i) the Minister of Finance, in the case of a direction; or

      • “(ii) the account holder, in the case of an application.

    “(3) If the Registrar receives a notification from the overseas registry that there is a discrepancy in a proposed transaction in relation to New Zealand units or approved overseas units, the Registrar—

    • “(a) may not register the transaction; and

    • “(b) must terminate the transaction; and

    • “(c) must notify the overseas registry of the termination; and

    • “(d) send electronic notification that the transaction has been terminated to—

      • “(i) the Minister of Finance, in the case of a direction; or

      • “(ii) the account holder, in the case of an application.”