The concern that inadequacies in our domestic legislation could cause serious detriment to our international trade has resulted in a call for law reform. The Companies and Limited Partnerships Amendment Bill (‘CLPA Bill’) was introduced to Parliament on 13 October 2011. Its purpose is to reassert and strengthen our company laws. If passed by Parliament, the CLPA Bill will amend the Companies Act 1993 (‘Companies Act’) by:
The Government is also seeking to introduce anti-money laundering legislation in 2013 to further safeguard and scrutinise the operation of companies. In a report titled “Strengthening New Zealand’s Resistance to Organised Crime”, the Ministry of Justice further proposes new laws to effect:
It is hoped that these initiatives will give greater confidence in our domestic company laws and restore our image as a safe country in which to conduct business.
We will keep you posted on further developments as they occur.