Baptist Foundation Limited

Date Made

Date signed: 2031-06-29

Sectors

Nonbank non-deposit taking lenders (NBNDTLs)

Enacting statement

In accordance with section 157 of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“the Act”), the Associate Minister of Justice hereby gives notice that she has granted the following exemption from the Act:  

Ministerial Exemption: Baptist Foundation Limited 

Commencement date

This exemption comes into force on 2026-06-29

End date

This exemption will expire on 2031-06-29

Exemption

As the Associate Minister of Justice, and pursuant to section 157 of the Act, I exempt Baptist Foundation Limited (Baptist) from the following provisions of the Act: 

1. 1. Sections 10-71 (Inclusive) 

Conditions

This exemption is made subject to the following conditions: 

1. 1. Baptist must continue to be a registered charity under the Charities Act 2005. 
   2. The exemption only applies to lending services provided to entities related to, or associated with, Baptist or the Baptist Union
   3. Baptist must inform the Ministry of Justice of any changes that may affect the exemption within 10 working days from which the changes affecting the exemption occur. For clarity, this includes any material change to Baptist’s money laundering or terrorism financing risks. 

Statement of reasons

The exemption has been made for the following reasons: 

1. 1. There is a low risk of money laundering and terrorism financing through Baptist because:  
      1. Baptist provides lending services only to a limited group of churches, trusts and companies that are affiliated with, or under the control of, the Baptist Union.
      2. Baptist does not provide lending services to the public.
      3. Baptist does not accept cash payments to settle loans.
      4. Baptist does not process international transactions.
      5. Baptist has a low volume of lending.
      6. Baptist’s lending is provided for religious, charitable, or community purposes, and must be consistent with its charitable purpose.
      7. Baptist’s source of funds is readily traceable, as funds come from Baptist Union-related bodies, investment income and, more rarely, donations and bequests from identified persons. 
   2. The obligations imposed on Baptist would be disproportionate given the low risk of money laundering and terrorism financing.
   3. The exemption granted has a low impact on the integrity of the anti-money laundering and countering financing of terrorism system in alignment with section 157 of the Act. 

Contact

Any person wishing to provide comment on this notice should contact the Anti-Money Laundering and Countering Financing of Terrorism Team at the Ministry of Justice by emailing amlcft.exemptions@justice.govt.nz.