This note is not part of the regulations, but is intended to indicate their general effect.
These regulations, which come into force on 16 October 2010, prescribe the amount $9,999.99 for the purposes of Part 2 of the Financial Transactions Reporting Act 1996 (the Act).
Consequently, if the amount of cash involved in a transaction or transactions exceeds $9,999.99, a financial institution must, in certain circumstances specified in Part 2 of the Act, verify the identity of the person conducting the transaction and, if applicable, the person on whose behalf the transaction is conducted.
These regulations re-enact unchanged the amount prescribed for Part 2 of the Act by the Financial Transactions Reporting (Prescribed Amount) Regulations 1996, but prescribe no amount for Part 5 (obligation to report imports and exports of cash) of the Act. That is because that Part is, on 16 October 2010, repealed by section 163, and replaced by subpart 6 of Part 2, of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009. The threshold value $9,999.99, and its application, are prescribed for purposes of that subpart by the Anti-Money Laundering and Countering Financing of Terrorism (Cross-border Transportation of Cash) Regulations 2010, which also come into force on 16 October 2010.
Date of notification in Gazette: 7 October 2010.
These regulations are administered by the Ministry of Justice.