Taitokerau Education Trust

Date Made

Date signed: 2017-08-24

Sectors

Nonbank non-deposit taking lenders (NBNDTLs)

Enacting statement

In accordance with section 157(6)(b) of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“Act”), the Associate Minister of Justice hereby gives notice that he has granted the following exemptionfrom the Act:

Ministerial Exemption: Taitokerau Education Trust

Commencement date

This exemption comes into force on 2017-08-24

End date

This exemption will expire on 2020-06-30

Exemption

In my capacity as the Associate Minister of Justice, and pursuant to section 157 of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009, I exempt the Taitokerau Education Trust (“Taitokerau”) from all provisions of the Act in relation to the provision of laptops to students.

Conditions

The exemption is made subject to the following condition:

1. 1. Taitokerau must inform the Ministry of Justice of any changes that may affect the exemption and/or conditions imposed by this written instrument within 14 days from when the change affecting the exemption occurs

Statement of reasons

The exemption has been made for the following reasons:

1. 1. There is a low risk of money laundering and terrorist financing because Taitokerau is a not-for-profit, local registered charity that provides educational services to children and families from low income communities in the Northland region of New Zealand;
   2. the provision of laptops involves low value and low volume transactions;
   3. Taitokerau has a number of controls in place that reduce money laundering and terrorist financing risk.
   4. The selection process for the provision of laptops involves Taitokerau ascertaining the identity of thestudent and their family. Furthermore, a relationship between the Taitokerau and the family continues throughout the lending process, which allows the Taitokerau to identify any suspicious activity;
   5. Taitokerau generates income from the earnings of its reserves, any grants received and through donations. Donations and grants cannot be returned to their original donors, unless they are subject to restrictions; anddue to the low money laundering and financing of terrorism risk associated with the Taitokerau and the significant compliance costs that would arise from not granting this exemption, I consider that any benefits or requiring compliance with the Act are not justified by the associated risk and costs.

Contact

Any person wishing to provide comment on this notice should contact the AML/CFT Team at the Ministry of Justice by emailing amlcft.exemptions@justice.govt.nz.