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Management bans and undertakings of non-participation

Page last updated: 10 May 2016

Listed below are individuals who are precluded from engaging in certain activities in respect of the governance and/or management of companies as a consequence of action taken by the FMA.

Management Bans under the Securities Act 1978

If a person is convicted of an offence against section 58 of the Securities Act 1978 (Securities Act), under section 60E of the Securities Act they are automatically banned for a period of 5 years from the date they are convicted, from being:

  • a director or promoter; or
  • directly or indirectly concerned or taking part in the management of an incorporated or unincorporated body.

The FMA considers that this means that they are not permitted to do any of the following:

  • Occupy the position of director in relation to a company
  • Be a partner in a partnership or a general partner in a special partnership or limited partnership
  • Occupy a position comparable to a director of a company in relation to a corporate or unincorporated body
  • Do any of the following in relation to securities offered to the public for subscription,—
    • Being instrumental in the formulation of a plan or programme pursuant to which the securities are offered to the public; and
    • Being a director where the promoter is a body corporate
  • Make, or participate in making, decisions that affect the whole, or a substantial part of the business of the corporation
  • Exercise the capacity to affect significantly the company’s financial standing
  • Communicate instructions or wishes to the directors of the company where:
    • They are not acting merely in a professional capacity
    • They know that the directors are accustomed to act in accordance with their instructions or wishes
    • They intend that the directors will act in accordance with those instructions or wishes.

The following activities may be permitted:[1]

  • Executing decisions or carrying out directions as an employee / agent
  • Merely administrative work of the kind performed by a company secretary or accountant
  • Carrying out day-to-day routine functions in accordance with predetermined policies of the company
  • Giving professional advice, where decisions in relation to the company are plainly made by others.

[1] Tregurtha v Police HC Auckland AP123/93, 15 October 1993.

Management bans under the Companies Act 1993

If a person is convicted of a dishonesty offence under the Crimes Act 1961 they are automatically banned from being a director, promoter or taking part in the management of a company for a period of 5 years after the conviction/judgment by section 382 of the Companies Act 1993.

If a person is convicted of offences under the Securities Act and the Crimes Act, they will be subject to Securities Act and Companies Act management bans, each running from the relevant date (date of conviction under the Securities Act, date of conviction or judgment under the Companies Act).

Undertakings of non-participation

The individuals can provide undertakings to the FMA pursuant to s46 of the Financial Markets Authority Act 2011, not to be a director, promoter and/or involved in the management of either a company and/or a company which is an issuer of securities to the public for an agreed term.

Search for disqualified directors on the Companies Office website 

Director Ban commenced Ban ends Under Act/undertaking
ROSS David Robert Gilmour 15/11/2013 15/11/2018 s382 Companies Act
HAMILTON Hugh Edward Staples 16/05/2014 16/05/2019 s382 Companies Act
MAYWALD Jason Robert Duncan 21/08/2015 21/08/2020 s60E Securities Act
LACY Mark Lawrence 21/08/2015 21/08/2020 s60E Securities Act
WHITE Craig Robert 18/09/2015 18/09/2020 s60E Securities Act
ANDERSON David Mark 25/09/2015 25/09/2020 s60E Securities Act
FINNIGAN Kerry  05/06/2014 05/06/2019 Strategic Finance Limited - Undertaking
LINDALE Marcel Aubrey  05/06/2014 05/06/2019 Strategic Finance Limited - Undertaking
JACKSON Graham Edward  05/06/2014 05/06/2019 Strategic Finance Limited - Undertaking
THOM Denis Grenville  05/06/2014 05/06/2019 Strategic Finance Limited - Undertaking
WOLFENDEN David John  05/06/2014 05/06/2019 Strategic Finance Limited - Undertaking
RICH Timothy John  05/06/2014 05/06/2019 Strategic Finance Limited - Undertaking
ALCOCK Murray Rex 31/10/2014 31/10/2019 SPI Directors - Undertaking
KNIGHT Allister Ronald 31/10/2014 31/10/2019 SPI Directors - Undertaking
HOBBS David John 09/07/2015 Permanent ban David John Hobbs and Jacqueline Hobbs - Undertaking
HOBBS Jacqueline 09/07/2015 09/07/2019 David John Hobbs and Jacqueline Hobbs - Undertaking
DUFF Stephen (also known as Nick) 06/04/2016 06/04/2021 Stephen Duff - Undertaking
HARDING Andrew John 16/07/2010 Permanent ban Will not be a director or promoter of or in any way concerned in management of an incorporated or unincorporated body in New Zealand (except an overseas company or an incorporated or unincorporated body that does not carry on business in New Zealand).
SCHOLFIELD Murray 16/07/2010 Permanent ban Will not be a director or promoter of or in any way concerned in management of an incorporated or unincorporated body in New Zealand (except an overseas company or an incorporated or unincorporated body that does not carry on business in New Zealand).