The Ernst & Young entities

Date Made

Date signed: 2024-11-19

Sectors

Lawyers, Accountants

Enacting statement

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

Ministerial Exemption: The Ernst & Young entities

Commencement date

This exemption comes into force on 2024-11-19

End date

This exemption will expire on 2029-11-19

Exemption

As the Associate Minister of Justice, and pursuant to section 157 of the Act, I exempt Ernst & Young (“EY”), Ernst & Young Limited, Ernst & Young Strategy and Transactions Limited, Ernst & Young Group Limited, Ernst & Young Services Pty Ltd, and EY Law Limited, together ‘the entities’ from: 

1. 1. Subsection (d) of the definition of a ‘designated business group’ (DBG) under section 5(1) of the Act.

 In this exemption, unless the context otherwise requires:

1. 1. The entities refer to: 
      1. Ernst & Young refers to the global organisation.  
      2. Ernst & Young Limited
      3. Ernst & Young Strategy and Transactions Limited  
      4. Ernst & Young Group Limited
      5. EY Law Limited
      6. Ernst & Young Services Pty Ltd. 

Conditions

This exemption is made subject to the following conditions: 

1. 1. The EY entities must satisfy all other requirements in subparagraphs (a) to (c) of the definition of a DBG in section 5(1) of the Act;
   2. The EY entities must comply with all other provisions of the Act (including those under section 32 of the Act as they relate to DBGs);
   3. Each EY entity must remain under the EY umbrella of entities; and
   4. The EY entities must inform the Ministry of Justice of any changes that may affect the exemption and/or conditions imposed by this written instrument within 10 working days from which the change affecting the exemption 
      occurs.

Statement of reasons

I approve the exemption with these conditions because, on balance, I consider the 
EY entities to be a low risk of money laundering or terrorism financing (“ML/TF”), as set out below:  

1. 1. A limited exemption from the section 5(1) definition of DBG presents a low ML/TF risk because the EY entities will have to comply with all other provisions of the Act, including all substantive obligations of the Act.  
   2. The conditions to this exemption include all other criteria that form part of the definition of a DBG under section 5. This means that, in substance, the exemption allowed for under this exemption would require the EY entities to comply with all provisions as they apply to DBGs.   
   3. This exemption is merely a reflection of the fact that the EY entities do not meet the definition of ‘related’ as under the definition of a DBG due to its unique corporate structure. For all intents and purposes, the EY entities are connected and related to each other as is required under the DBG definition.

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.

Corrigendum: The Ernst & Young entities (2024-11-21).