1 Title

2 Commencement

3 Purpose

3A Overview

4 Interpretation

4A Application of this Act to reporting entities

5 Amounts not in New Zealand currency

6 Act binds the Crown

7 Non-compliance not excused by contractual obligations

8 Definitions

9 Customer due diligence

10 Reliance on risk assessment when establishing level of risk

11 Basis for verifying identity

12 Circumstances when standard customer due diligence applies

13 Standard customer due diligence: identity requirements

14 Standard customer due diligence: verification of identity requirements

15 Standard customer due diligence: other requirements

16 Circumstances when simplified customer due diligence applies

17 Simplified customer due diligence: identity requirements

18 Simplified customer due diligence: verification of identity requirements

19 Simplified customer due diligence: other requirements

19 Simplified customer due diligence: other requirements

20 Circumstances when enhanced customer due diligence applies

21 Enhanced customer due diligence: identity requirements

22 Enhanced customer due diligence: verification of identity requirements

22A Enhanced customer due diligence: other requirements

23 Politically exposed persons

23 Politically exposed person

24 Wire transfers: identity requirements

25 Wire transfers: verification of identity requirements

26 Correspondent banking relationships

27 New or developing technologies, or products, that might favour anonymity

28 Ongoing customer due diligence and account monitoring

29 Reliance on member of designated business group

30 Reliance on other reporting entities or persons in another country

31 Reliance on agents

32 Use of information obtained from third party conducting customer due diligence

33 Protection of personal information and designated business groups

34 Prohibitions if customer due diligence not conducted

35 Prohibition on false customer names and customer anonymity

36 Prohibition on establishing or continuing business relationship involving shell bank

37 Reporting entities to report suspicious transactions

38 Nature of suspicious transaction report

39 Privileged communication defined

40 Auditors may report suspicious transactions

41 Protection of persons reporting suspicious transactions

42 Immunity from liability for disclosure of information relating to money laundering transactions

43 Disclosure of information relating to suspicious transaction reports

44 Disclosure of information in proceedings

45 Disclosure of personal information relating to employees or senior managers

46 Obligation to keep transaction records

47 Obligation to keep identity and verification records

48 Obligation to keep other records

49 How records to be kept

50 When records need not be kept

51 Destruction of records

52 Other laws not affected

53 Reporting entity must have AML/CFT programme and AML/CFT compliance officer

54 Minimum requirements for AML/CFT programmes

55 Risk assessment

56 Review and audit of risk assessment and AML/CFT programme

57 Annual AML/CFT report

58 Reporting entities to ensure that branches and subsidiaries comply with AML/CFT requirements

59 Interpretation

60 AML/CFT supervisors to prepare codes of practice for relevant sectors

61 Procedure for approval and publication of codes of practice

62 Amendment and revocation of codes of practice

63 Proof of codes of practice

64 Legal effect of codes of practice

65 Reports about movement of cash into or out of New Zealand

66 Reports about receipt of cash from outside New Zealand

67 Reporting requirements

68 Information to be forwarded to Commissioner

69 When and how civil penalty proceedings brought

70 Relationship between concurrent civil penalty proceedings and criminal proceedings

71 One penalty only rule

72 Restriction on use of evidence given in civil penalty proceedings

72A Protection for AML/CFT supervisors

72B Protection for reporting entities, officers, etc, acting in compliance with this Act

73 Criminal liability of senior managers

74 Liability of senior managers to civil penalty

75 How to establish whether senior manager took all reasonable steps

76 Meaning of civil liability act

77 Possible responses to civil liability act

78 Formal warnings

79 Enforceable undertakings

80 Enforcement of undertakings

81 Assessment of compensation for breach of undertakings

82 Powers of High Court not affected

83 Performance injunctions

84 When High Court may grant performance injunctions

85 Restraining injunctions

86 When High Court may grant restraining injunctions and interim injunctions

87 Undertaking as to damages not required by AML/CFT supervisor

88 Pecuniary penalties for civil liability act

89 Offence and penalties for civil liability act

90 Failing to report suspicious transaction

91 Providing false or misleading information in connection with suspicious transaction report

92 Unlawful disclosure of suspicious transaction report

93 Failure to keep or retain adequate records relating to suspicious transaction

94 Obstruction of investigation relating to suspicious transaction report

95 Contravention of section 44(1)

96 Defence

97 Time limit for prosecution of offences relating to civil liability act and suspicious transaction reports

98 Penalties

99 Structuring transaction to avoid application of AML/CFT requirements

100 Offence to obstruct AML/CFT supervisor

101 Offence to provide false or misleading information to AML/CFT supervisor

102 Time limit for prosecution of offences relating to non-compliance with AML/CFT requirements

103 Penalties

104 Failure to report cash over applicable threshold value moved into or out of New Zealand

105 Failure to report cash over applicable threshold value received by person in New Zealand from overseas

106 Structuring cross-border transportation to avoid application of AML/CFT requirements

107 Defence

108 Providing false or misleading information in connection with cash report

109 Offence to obstruct or not to answer questions from Customs officer

110 Penalties

111 Chief executive of New Zealand Customs Service may deal with cash reporting offences

112 Relationship with Customs and Excise Act 1996

112A Duty of persons with knowledge of computer or computer network or other data storage devices to assist access to Customs officer

113 Definitions

114 Search warrant

115 Powers under search warrant

116 Assistance with searches

117 Enforcement officers to show identity card on request

118 Announcement before entry

119 Details of warrant to be given to occupier

120 Occupier entitled to be present during search

121 Use of electronic equipment

122 Copies of documents seized to be provided

123 Receipts for things seized

124 Application of sections 198A and 198B of Summary Proceedings Act 1957

125 Return and retention of things seized

126 Order to retain things seized

127 AML/CFT supervisors

128 Functions

129 Powers

130 Matters relating to conduct of on-site inspections

130A Delegation of supervisory function and powers

130B Authority to act as delegate

130C Effect of delegation

131 Power to use information obtained as AML/CFT supervisor in other capacity and vice versa

132 Restriction on power to use information under section 131

133 Power to disclose information supplied or obtained as AML/CFT supervisor

134 Power to use and disclose information supplied or obtained under other enactments for AML/CFT purposes

135 Enforcement officers

136 Financial intelligence functions of Commissioner

137 Powers relating to financial intelligence functions of Commissioner

138 Delegation of powers of Commissioner

139 Guidelines relating to reporting of suspicious transactions

140 Consultation on proposed guidelines

141 Availability of guidelines

142 Review of guidelines

143 Role of Ministry

144 AML/CFT co-ordination committee

145 Role of AML/CFT co-ordination committee

146 Functions

147 Regulations

148 Regulations relating to application of Act

149 Regulations relating to countermeasures

150 Consultation not required for consolidation of certain regulations and minor amendments

151 Minister may grant exemptions

152 Minister must consult before granting exemption

153 Requirements relating to exemptions

154 Transitional and savings provisions

155 Amendments to other enactments

156 Amendment to Financial Transactions Reporting Act 1996 consequential on bringing into force of Part 2

157 Amendment to Financial Transactions Reporting Act 1996 relating to cross-border transportation of cash