Charges laid in 2009 with respect to offences under Companies Act 1993

In the 12 months ending December 2009, 143 charges were laid by the National Enforcement Unit against 24 defendants for offences they committed against the Companies Act 1993. Given that there are over 520,000 companies registered in New Zealand this number of offences would appear to be miniscule. However, the Society believes that these figures bear little relationship to the actual level of offending that is taking place, which we believe is very much higher. It finds it very odd that no one has ever been prosecuted under section 377 of the Companies Act which relates to the supplying of false information to the Companies Register. The Companies register is based upon good faith principles: that is the Registrar accepts all information provided at face value. The Society considers this approach flawed and It wants more checks and balances written into law to ensure full compliance with regard to the recording of basic information required,