New Zealand Legislation
List of access keys
Skip to main content
Advanced search
Browse
About this site
How the site works
Contact us
News
Site map
Glossary
Access keys
Accessibility
Copyright
Privacy
Disclaimer
Home
Advanced search
Browse
About this site
Web feeds
Tagged sections/clauses
Printing order
Quick search
HelpQuickSearch
?
Type
Acts
Bills
Secondary legislation
Other Instruments
All
Text
title
content
HelpDRegQuickSearch
?
My recent searches
Financial Market Infrastructures Bill
enacted
Search within this Bill
By clauses
View whole (599KB)
Versions and SOPs
Print/Download PDF [547KB]
Add to web feed
Order a commercial print
Contents
Previous clause
Next clause
Tag clause
Remove
Previous hit
Next hit
Hon Grant Robertson
Financial Market Infrastructures Bill
Government Bill
212—3
Contents
Key
1
Title
2
Commencement
Part 1
Preliminary provisions and regulator
Subpart 1—Preliminary provisions
3
Purposes
4
Overview of this Act
5
Interpretation
6
Transitional, savings, and related provisions
7
Act binds the Crown
Subpart 2—Regulator
8
Regulator
9
Requirement to act jointly
10
Cases where requirement to act jointly does not apply
11
RBNZ and FMA working together
12
General provisions about regulator’s functions and Ministers’ functions
13
Purposes and principles of exercising powers under this Act (other than
Part 4
)
Part 2
Regulator’s powers to require information, reviews, and independent reports
14
Regulator’s power to require information
15
Offence for failure to give information
16
Regulator’s power to require information to be reviewed
17
Offence for failure to obtain review
18
Regulator’s power to require independent report
19
Offence for failure to give or publish report
Part 3
Designated FMIs
Subpart 1—Making, revoking, and amending designations
Designations by Minister
20
Designation of FMIs by Minister
Recommendation for designation by regulator
21
Recommendations by regulator
22
Restrictions on recommendations
23
Matters to which regulator may have regard for purposes of recommendations
24
Matters that regulator must take into account for purposes of deciding if FMI is systemically important
Process for applications or recommendations on own initiative
25
Application for issue, revocation, or amendment of designation notice
26
Process where regulator makes recommendation on own initiative
27
Pecuniary penalty for failure to publish proposal
General provisions relating to designation notices
28
Meaning of systemically important
29
Content and publication of designation notice
Offence
30
Offence for wrongly holding out system as designated FMI, etc
Subpart 2—Standards for designated FMIs
31
Regulator may issue standards for designated FMIs
32
Procedure for issuing standards
33
Publication of standards
34
Pecuniary penalty for contravention of standard
35
Subject matter of standards
Subpart 3—Rules of designated FMIs
Rules of designated FMIs
36
Designated FMI’s rules
37
Operators must publish copy of rules of designated FMI
38
Pecuniary penalty for failure to publish copy of rules
Rule changes of designated FMIs (other than overseas FMIs)
39
Time rule change comes into effect
40
Operator of designated FMI may apply for approval of rule change
41
Regulator may require change to designated FMI’s rules
42
Regulator’s decision to approve rule change required under
section 41
43
Regulator’s decision not to approve rule change required under
section 41
44
Offence for contravention of
section 41 or 43
Rule changes of overseas FMIs
45
Changes to rules of designated FMIs that are overseas FMIs
46
Pecuniary penalty for failure to give rule change instrument to regulator
Publication requirements relating to rule changes
47
Publication of rule changes
Subpart 4—FMI contingency plans
48
Designated FMIs to have FMI contingency plans
49
Operator must notify activation of FMI contingency plan
50
Regulator’s power to review FMI contingency plans, etc
51
Regulator’s powers in relation to FMI contingency plans
52
Regulator’s decision on change submitted by operator
53
Offence for contravention of
sections 50 to 52
Subpart 5—Validity and enforceability of settlements under designated FMIs, etc
54
Application of this subpart
Settlements and netting
55
Designated FMI’s rules relating to settlements, etc, are valid and enforceable
56
Settlements must not be reversed, etc
57
Effect of insolvency event on settlement
58
Netting
59
Underlying transactions, etc
60
Interrelationships with other enactments
Other provisions
61
Transfer of personal property in accordance with designated FMI’s rules effective
62
Operators to be notified of insolvency event
Subpart 6—Investigations, remedial notices, and voluntary undertakings
Investigations
63
Regulator may appoint investigator
64
Investigator’s powers
65
Application for warrant
66
Offences relating to investigations
Remedial notices and plans
67
Regulator may require operator to take action in relation to contravention of this Act
68
Approval, amendment, or rejection of remedial plan
69
Other provisions relating to remedial notices and plans
70
Offence for contravention of remedial notice, failure to give amended remedial plan, or failure to take steps to comply with remedial plan
Voluntary undertakings
71
Regulator may accept voluntary undertaking
72
Consequences of accepting undertaking
73
Undertakings that include payment of money
74
Operator may withdraw or amend undertaking
75
Enforcement of voluntary undertakings
76
Court must take into account certain matters
Part 4
Dealing with systemically important FMIs that are distressed, etc
Subpart 1—Application and purposes
77
Application of this Part
78
Purposes for which powers under this Part may be exercised
78A
Principles for exercising powers under this Part
Subpart 2—Directions to operators or participants and removal of directors
79
Application of this subpart
80
Directions to operator
81
Giving and complying with direction does not place person in contravention, etc
82
Power to make direction notice confidential
82A
Disclosure with regulator’s consent
83
Offences for contravention of direction notice or confidentiality notice
84
Direction to participant to comply with FMI’s rules
85
Offence for contravention of direction notice
86
Removal of director
87
Process if regulator proposes to exercise power to remove director
88
How power to remove director is exercised
Subpart 3—Statutory management
Making FMI operator subject to statutory management
89
Power to make operator subject to statutory management
90
Regulator’s recommendation under
section 89
91
Statutory management of operator whose home jurisdiction is not New Zealand
Conduct of statutory management: purposes, duties, and principles
92
Purposes of statutory management
93
General duties of statutory manager
94
Principles for statutory management
95
Other duties of statutory manager
96
Advisory committee
97
Terminating appointment, or resignation, of member of advisory committee
Conduct of statutory management: application of FMI’s rules
98
Application of FMI’s rules
99
Statutory manager may decide that provision of rules is not to apply
100
Statutory manager must pay calls, debts, and claims arising under FMI’s rules
Conduct of statutory management: new operator schemes
101
Purpose of new operator schemes
102
Making of new operator scheme
103
Consent required to make new
operating
operator
scheme
104
Effect of new
operating
operator
scheme
104A
Transfer of property subject to security
105
Registers
Application of provisions of Corporations (Investigation and Management) Act 1989
106
Moratorium
107
Power of statutory manager to sell business undertaking of operator under statutory management, etc
108
Ministers’ approval
109
Body corporate formed and registered also subject to statutory management
110
Applicable provisions of Corporations (Investigation and Management) Act 1989
111
Modifications relating to power to pay creditors and compromise claims
112
Other modifications to Corporations (Investigation and Management) Act 1989
113
Offences relating to statutory management
Termination of statutory management or of statutory manager’s appointment
114
Termination of statutory management
115
Effect of termination of statutory management
116
Termination or resignation of statutory manager’s appointment
117
Appointment of new statutory manager
Other provisions
118
Obligations incurred by statutory manager
119
Statutory management does not place any person in contravention of enactment, etc
120
Continuation of statutory management of company restored to New Zealand register
121
Person who exercises powers under subpart not director of operator under statutory management
121A
Indemnity
Subpart 4—Supplementary provisions
122
Certain rights relating to derivatives may be exercised after stay
123
Regulator may reduce or extend stay on exercise of rights
Part 5
Offences and pecuniary penalties
Subpart 1—Offences
124
Penalties for offences
125
Defence for certain offences
126
Time for filing charging documents
Subpart 2—Pecuniary penalties
127
Pecuniary penalty orders
128
Maximum amount of penalty
129
Considerations for court
130
Defences in pecuniary penalty proceeding for operator that contravenes standard
131
Defence for other operator that is involved in contravention
132
Rules of civil procedure and civil standard of proof apply to civil liability
133
Court must order that recovery from pecuniary penalty be applied to regulator’s actual costs
Subpart 3—Supplementary provisions
134
Liability of directors
135
State of mind of directors, employees, or agents attributed to body corporate or other principal
136
Person not liable for fine and pecuniary penalty for same conduct
Part 6
Regulations, amendments, and other miscellaneous provisions
Subpart 1—Supplementary provisions relating to information
137
False or misleading information given for purposes of Act
Disclosure of information, etc
138
Disclosure of information between RBNZ and FMA
139
Disclosure of information by RBNZ to other persons
140
Offence for unauthorised disclosure
141
Conditions relating to disclosure of information
142
Restrictions on further disclosure of information
143
Offence for unauthorised disclosure or use
144
Effect of proceedings on exercise of powers to require information, etc
145
Decision that exercise of powers is unlawful
Subpart 2—Supplementary provisions relating to regulator’s powers
146
Applications, submissions, and other information given to regulator or other person in accordance with regulator’s requirement
147
Revocation or amendment of requirements imposed, or directions given, by notice
148
Publication requirements
148A
Regulator must publish statements of policies
149
Interaction with Legislation Act 2012
Subpart 3—Regulations
150
Power to make regulations
by Order in Council
Subpart 4—Other miscellaneous provisions
151
Directions to regulator
151
RBNZ to have regard to directions about government policy objectives
152
Limit on FMA’s powers under other enactments
153
Protection from liability
154
Conduct of directors, employees, or agents attributed to body corporate or other principal
155
Prohibition on indemnities or insurance for directors or employees of operators that are not New Zealand companies
156
Exception to prohibition
157
Giving of notices by regulator or investigator
158
Giving notices to agent
Subpart 5—Consequential amendments
158A
Consequential amendments that come into force on day after Royal assent
159
Consequential amendments
to Acts and instruments
that come into force by Order in Council
Schedule 1
Transitional, savings, and related provisions
Schedule 1A
Consequential amendments that come into force on day after Royal assent
Schedule 2
Consequential amendments
that come into force by Order in Council
Legislative history
The Parliament of New Zealand enacts as follows: