Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Regulations 2011

15 Inclusion: transactions involving certain stored value instruments

(1)

This regulation applies to every transaction (whether the transaction is carried out in a single operation or several operations that appear to be linked) that occurs outside of a business relationship and that involves the issuing or provision of a stored value instrument that—

(a)

has a maximum possible value at any one time of,—

(i)

if the stored value instrument is redeemable for cash, $1,000 or more:

(ii)

if the stored value instrument is not redeemable for cash, $5,000 or more; or

(iii)

despite subparagraphs (i) and (ii), if the stored value instrument is a voucher issued by TAB NZ, $10,000 or more; or

(b)

is capable of being reloaded with $10,000 or more in any consecutive 12-month period; or

(c)

is capable of being reloaded directly through transfer from an account held at a financial institution that is—

(i)

unregulated for AML/CFT purposes; or

(ii)

located in a country with insufficient money laundering and countering financing of terrorism systems and measures.

(1A)

Where the transaction under subclause (1) involves several operations that appear to be linked, the maximum possible value thresholds in subclauses (1)(a) and (b) apply to the combined total maximum value of all of the stored value instruments issued that are of the same kind (for example, all of the instruments are redeemable for cash or all of the instruments are not redeemable for cash).

(2)

This regulation does not apply to a stored value instrument that—

(a)

is issued or provided by a casino solely for 1 or more of the following purposes:

(i)

to facilitate gambling in the casino:

(ii)

to redeem winnings from gambling in the casino:

(iii)

to redeem unused credit provided by the casino; and

(b)

has a maximum potential value at any one time of less than $6,000.

(3)

Every transaction to which this regulation applies is declared to be an occasional transaction for the purposes of the Act.

(4)

For the purposes of this regulation,—

debit card means an instrument that can be used to withdraw cash or make payments by debiting an account held at a financial institution that is not a non-finance business

gift facility has the same meaning as in regulation 9(2) of the Financial Service Providers (Exemptions) Regulations 2010

non-finance business means a person whose only or principal business is the provision of goods or services that are not relevant services

stored value instrument

(a)

means a portable device, including a gift facility or voucher, that is capable of storing monetary value in a form that is not physical currency, regardless of whether the device is reloadable or able to be redeemed for cash; and

(b)

includes—

(i)

a portable device whose value, or associated value, is transferable to a third party or is able to be remitted; and

(ii)

any account or other arrangement associated with the value stored on the device; but

(c)

does not include a credit card or a debit card

voucher includes any document or other instrument issued by TAB NZ that has a monetary value and can be used to facilitate or carry out a transaction (for example to place a bet) irrespective of whether—

(a)

it can be redeemed for cash:

(b)

it can be split or consolidated for use in 2 or more transactions.

Regulation 15: replaced, on 27 July 2016, by regulation 6 of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations 2016 (LI 2016/132).

Regulation 15(1): amended, on 9 July 2021, by regulation 8(1) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations 2021 (LI 2021/145).

Regulation 15(1)(a)(iii): inserted, on 1 August 2019, by regulation 4(1) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations (No 2) 2018 (LI 2018/199).

Regulation 15(1)(a)(iii): amended, on 1 August 2020, by section 129 of the Racing Industry Act 2020 (2020 No 28).

Regulation 15(1A): inserted, on 9 July 2021, by regulation 8(2) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations 2021 (LI 2021/145).

Regulation 15(4) debit card: amended, on 9 July 2021, by regulation 8(3) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations 2021 (LI 2021/145).

Regulation 15(4) non-finance business: inserted, on 9 July 2021, by regulation 8(4) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations 2021 (LI 2021/145).

Regulation 15(4) stored value instrument paragraph (a): amended, on 1 August 2019, by regulation 4(2) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations (No 2) 2018 (LI 2018/199).

Regulation 15(4) voucher: inserted, on 1 August 2019, by regulation 4(3) of the Anti-Money Laundering and Countering Financing of Terrorism (Definitions) Amendment Regulations (No 2) 2018 (LI 2018/199).

Regulation 15(4) voucher: amended, on 1 August 2020, by section 129 of the Racing Industry Act 2020 (2020 No 28).