Serious Fraud Office (Abolition and Transitional Provisions) Bill

Serious Fraud Office (Abolition and Transitional Provisions) Bill The Parliament of New Zealand enacts as follows: 1 Title This Act is the Serious Fraud Office (Abolition and Transitional Provisions) Act 2008 . 2 Commencement Sections 5, 8, and 45 come into force on the day after the date on which this Act receives the Royal assent. The rest of this Act comes into force 21 days after the date on which this Act receives the Royal assent. 3 Act binds the Crown This Act binds the Crown. 4 Purposes The purposes of this Act are— a to repeal the Serious Fraud Office Act 1990 and to provide for matters consequential on the abolition of the Serious Fraud Office; and b to vest control of the documents of the Serious Fraud Office in the police, while continuing the protection given to those documents under that repealed Act; and c to empower courts, during a transitional period, to order persons to produce documents and supply information that constitutes evidentiary material of offending in the context of serious or complex fraud; and d to enable the police, during that period, to conduct effective investigations into offending in the context of serious or complex fraud. 5 Interpretation In this Act, unless the context otherwise requires,— business context , in relation to the acquisition of any information by a person, means the acquisition of the information in the person's capacity as— a a provider of professional services or professional advice in relation to a person who is being investigated, or 1 or more of whose transactions are being investigated, in respect of an offence; or b a director, manager, officer, trustee, or employee of an entity that is being investigated, or 1 or more of whose transactions are being investigated, in respect of an offence Commissioner means— a the person from time to time holding office under section 3 of the Police Act 1958; and b if there is a vacancy in the office of Commissioner or if the Commissioner is absent from duty, means the Deputy Commissioner referred to in section 4(5) of that Act delegate of the Commissioner , in relation to any power conferred by a provision of this Act, means a person to whom that power has been delegated under section 45 designated person means a person designated by the Commissioner under section 8 Director of the Serious Fraud Office has the same meaning as Director in section 2 of the Serious Fraud Office Act 1990 immediately before its repeal by section 6 document means— a any material, whether or not it is signed or otherwise authenticated, that bears symbols (including words and figures), images, or sounds or from which symbols, images, or sounds can be derived, and includes— i a label, marking, or other writing that identifies or describes a thing of which it forms part, or to which it is attached: ii a book, map, plan, graph, or drawing: iii a photograph, film, or negative; and b information electronically recorded or stored, and information derived from that information entity means a body corporate, trust, partnership, association of persons, or sole trader evidentiary material , in relation to the commission or suspected commission of any offence, means any document, thing, information, or matter (whether tangible or intangible) that is relevant to the investigation of the offence, including any such document, thing, information, or matter that— a is evidence of the commission of the offence; or b indicates that the alleged offence has not been committed or that a person has not been involved in the commission of the offence examination order means an order made under section 26 lawyer has the same meaning as in section 6 of the Lawyers and Conveyancers Act 2006 police has the same meaning as in section 2 of the Police Act 1958 production order means an order made under section 20 protected information has the same meaning as in section 2 of the Serious Fraud Office Act 1990 immediately before its repeal by section 6 and includes— a any information obtained by the Commissioner or a delegate of the Commissioner by reason of section 15 ; and b any information derived from the information described in paragraph (a) Serious Fraud Office means the department of State in existence immediately before the commencement of section 6 serious or complex fraud includes a series of connected incidents of fraud that, if taken together, amount to serious or complex fraud. 6 Repeal of Serious Fraud Office Act 1990 The Serious Fraud Office Act 1990 (1990 No 51) is repealed. 7 Documents of Serious Fraud Office On the commencement of this section, the possession and control of all documents held by the Serious Fraud Office, immediately before that commencement, vests in the Commissioner. Any information that immediately before the vesting by subsection (1) was subject to sections 36 to 44 of the Serious Fraud Office Act 1990 continues to be subject to those sections with the modifications specified in subsection (4) . Any information that the Commissioner or a delegate of the Commissioner obtains by reason of section 15 is deemed to be information to which subsection (2) applies. For the purposes of subsection (2) , the definition of protected information in section 2 and sections 36 to 44 of the Serious Fraud Office Act 1990 must be read as if— a the references to a member of the Serious Fraud Office were references to a designated person: b the references to the Director were references to the Commissioner or a delegate of the Commissioner: c in any case where any information is disclosed by reason of section 15 , the references to the Serious Fraud Office were references to the Commissioner, or a delegate of the Commissioner, or a designated person. 8 Designation of persons by Commissioner The Commissioner may designate, by name or by reference to any position held or to be held, any person as a person who is eligible to be involved in the implementation of this Act in accordance with any delegations made under section 45 or any directions given by the Commissioner or a delegate of the Commissioner. 9 Restriction of compensation for technical redundancy arising from abolition of Serious Fraud Office An employee or former employee of the Serious Fraud Office is not entitled to receive any payment or other benefit on the ground that his or her position in the Serious Fraud Office has ceased to exist, as a result of the abolition of the Serious Fraud Office and the transfer of its functions to the police, if— a the employee is offered equivalent employment in the police (whether or not the employee accepts the offer); or b the employee is offered, and accepts, other employment in the police. Equivalent employment to the employee’s employment in the Serious Fraud Office is employment in the police— a in substantially the same position; and b in the same general locality; and c on terms and conditions of employment that are no less favourable than those that apply to the employee immediately before the offer of equivalent employment (including any service-related redundancy and superannuation conditions); and d on terms that treat the period of service with the Serious Fraud Office (and any other period of service recognised by the Serious Fraud Office as continuous service) as if it were continuous service with the police. This section overrides Part 6A of the Employment Relations Act 2004. 10 Appointment of employees of Serious Fraud Office to police Sections 8 to 11 of the Police Act 1958 do not apply to the appointment of an employee or former employee of the Serious Fraud Office to a position in the police if the employee’s position in the Serious Fraud Office ceases to exist as a result of the abolition of the Serious Fraud Office and the transfers of its functions to the police. 11 References to Serious Fraud Office Subsection (2) applies to an enactment (other than this Act) or other things including (without limitation) deeds, agreements, proceedings, instruments, documents, and notices that— a are in force or existing at the commencement of this section; and b contain a reference to the Serious Fraud Office or to the Director or chief executive of the Serious Fraud Office. The reference to the Serious Fraud Office must be read as a reference to the police and the reference to the Director of the Serious Fraud Office must be read as a reference to the Commissioner. The Commissioner or a delegate of the Commissioner may continue the prosecution of every criminal proceeding taken by the Director of the Serious Fraud Office that is pending at the commencement of this section. Nothing in this section or any other provision of this Act transfers the chief executive or any employee of the Serious Fraud Office to the police. 12 Other savings and transitional matters arising from abolition of Serious Fraud Office The Governor-General may, by Order in Council, provide for savings and transitional matters connected with the abolition of the Serious Fraud Office. 13 Effect of repeal of Serious Fraud Office Act 1990 The repeal of the Serious Fraud Office Act 1990 does not affect— a property, rights, or obligations of the Crown (whether or not in the name of the Crown or of the Serious Fraud Office, the chief executive of the Serious Fraud Office, or other person in the Serious Fraud Office); or b the commencement or continuation of proceedings by or against the Crown (whether or not in the name of the Crown or of the Serious Fraud Office, chief executive, or other person in the Serious Fraud Office). In this section, property means property of every kind, whether tangible or intangible, real or personal, corporeal or incorporeal; and includes rights, interests, and claims of every kind in relation to property, however they arise. This section does not limit section 11 . This section applies for the avoidance of doubt. 14 Consequential amendments to other Acts The Acts specified in the Schedule are amended in the manner indicated in that schedule. 15 Continuing application of Serious Fraud Office Act 1990 to certain matters The Serious Fraud Office Act 1990 (the repealed Act ), as in force immediately before the commencement of this Act, continues to apply in respect of the instruments specified in subsection (2) . The instruments are as follows: a any notice under section 5 or 9 of the repealed Act, being a notice given to a person before the commencement of this Act and in force immediately before that commencement: b any application for a warrant made under section 6(1) or 10(1) of the repealed Act, being an application pending before a court immediately before the commencement of this Act: c any warrant issued under section 6(2) or 10(2) of the repealed Act, being a warrant issued either before the commencement of this Act and in force immediately before that commencement or issued after that commencement and in reliance on this section. For the purposes of subsection (1) , the repealed Act must, in respect of any thing done, or required to be done, after the commencement of this section, be read as if— a for Director there were substituted Commissioner or a delegate of the Commissioner : b for member of the Serious Fraud Office there were substituted delegate of the Commissioner . The indemnity conferred by section 35 of the repealed Act continues in effect and enures for the benefit of every person who has been a member of the Serious Fraud Office. 16 Expiry and repeal of subpart This subpart expires on the close of 31 July 2011 or on the close of an earlier date appointed by the Governor-General by Order in Council. This subpart, if not earlier repealed, is repealed at the time at which it expires. Any application under this subpart pending before a court immediately before the repeal of this subpart may be heard and determined as if this subpart had not been repealed. Any order under this subpart that is in effect immediately before the repeal of this subpart, or that is made after that repeal in reliance on subsection (3) , has effect according to its tenor and as if this subpart had not been repealed. 17 Factors relevant to existence of serious or complex fraud Whenever any question arises, under this subpart, whether an offence arises in the context of serious or complex fraud or involves such fraud, regard must be had to the following matters: a the suspected nature and consequences of the fraud: b the suspected scale of the fraud: c the legal, factual, and evidential complexity of the matter. 18 Conditions for making production order The conditions for making a production order are that— a there are reasonable grounds to suspect that— i an offence punishable by imprisonment has been committed, or is being committed, or is about to be committed; and ii the offence arises in the context of serious or complex fraud; and b there are reasonable grounds to believe that the documents sought by the proposed order— i constitute evidentiary material in respect of the offence; and ii are in the possession or under the control of the person against whom the order is sought. 19 Commissioner or Commissioner's delegate may apply for production order The Commissioner or a delegate of the Commissioner may, without notice, apply to a High Court Judge or to a District Court Judge for a production order against a person if the Commissioner or the delegate is satisfied that the conditions specified in section 18 for making the order against the person are met. A delegate of the Commissioner may apply under subsection (1) only with the prior approval of the Commissioner or another delegate of the Commissioner. In no case may a delegate of the Commissioner who applies under subsection (1) approve, under subsection (2) , his or her own application. An application under this section must be in writing, and on oath, and must set out the following particulars: a the name of the applicant: b a description of the offence suspected of having been committed: c the facts relied on to show reasonable grounds to suspect the commission of the offence: d a description of the documents for which production is sought: e the facts relied on to show reasonable grounds to believe the documents sought are in the possession or under the control of the person against whom the order is sought. 20 Judge may make production order A High Court Judge or a District Court Judge may make a production order against a person if satisfied, on an application made under section 19 , that the conditions specified in section 18 for making the order are met. The order must be promptly served on the person against whom it is made. 21 Contents of production order A production order must require the person against whom it is made to give the Commissioner, or a person identified in the order, any documents described in the order. A production order must require the person against whom it is made ( person A )— a to give the Commissioner, or a person identified in the order, any documents described in the order that are in the possession or under the control of person A; and b if any of those documents are not, or are no longer, in the possession or under the control of person A, to disclose, to the best of person A's knowledge or belief, the location of those documents to the Commissioner or to the person identified in the order. The production order must set out the following: a the name of the person required to comply with the order: a the name of person A: b the grounds on which the order is made: c the documents required to be given: d the time by which, and the way in which, the documents must be produced. The production order may describe the documents required to be given by reference to a class or category of document. If the production order is made against person A is a body corporate or an unincorporated body, the order may specify an individual (whether by name or by reference to a position held in the body) who is to comply with the order as the body’s representative. 22 Duration of production order A production order is in force for the period specified in the order (not exceeding 30 days after the date on which the order is made). 23 Documents produced under production order When any document is produced in compliance with a production order, the Commissioner or a delegate of the Commissioner may do 1 or more of the following things: a retain the original document produced if it is relevant to the investigation, provided that a copy of the document is taken and returned as soon as practicable after the document is produced: b take copies of the document, or of extracts from the document: c if necessary, require the person producing the document to reproduce, or to assist any person nominated by the Commissioner or a delegate of the Commissioner to reproduce, in usable form, any information recorded or stored in the document. If any person is required to produce any document under a production order and fails to do so, the Commissioner or a delegate of the Commissioner may require that person to state to the best of his of her knowledge or belief where the document is. 24 Conditions for making examination order The conditions for making an examination order against a person are that— a there are reasonable grounds to suspect— i that an offence punishable by imprisonment has been committed, or is being committed, or is about to be committed; and ii that the offence arises in the context of serious or complex fraud; and b there are reasonable grounds to believe that the person sought to be examined has information that constitutes evidentiary material in respect of the offence; and c the person has been given a reasonable opportunity to provide that information but has declined or neglected to do so. 25 Commissioner or Commissioner's delegate may apply for examination order The Commissioner or a delegate of the Commissioner may, without notice, apply to a High Court Judge or to a District Court Judge for an examination order against a person if the Commissioner or the delegate is satisfied that the conditions specified in section 24 are met in respect of the person. If the Commissioner applies under subsection (1) , the Commissioner must have (subject to subsection (6) ) the prior approval of the Secretary for Justice. If a delegate of the Commissioner applies under subsection (1) , the delegate must have the prior approval of— a the Secretary for Justice (subject to subsection (6) ); and b the Commissioner. A delegate of the Commissioner may approve, under subsection (3)⁠(b) , an application for an examination order against a person if the applicant for the order believes on reasonable grounds that the person acquired the information in respect of which the order is sought in a business context. In no case may a delegate of the Commissioner who applies under subsection (1) approve, under subsection (4) , his or her own application. The prior approval of the Secretary for Justice under subsection (2) or (3)⁠(a) is not required if the applicant for an examination order against a person believes on reasonable grounds that the person acquired the information in respect of which the order is sought in a business context. An application made under this section must be made in writing, and on oath, and must set out the following particulars: a the name of the applicant: b a description of the offence that is suspected of having been committed: c the facts relied on to show reasonable grounds to suspect the commission of the offence: d a description of the information sought to be obtained by the examination order: e the facts relied on to show reasonable grounds to believe that the person against whom the order is sought has the information: f the facts that indicate that the person against whom the order is sought has been given a reasonable opportunity to provide the information but has declined or neglected to do so. The powers conferred on the Secretary for Justice by subsection (2) and (3)⁠(a) must be exercised personally by— a the person holding that position; or b if that person is absent from duty or there is a vacancy in that position, by the person who, under section 40 or 41 of the State Sector Act 1988, may exercise and perform the powers, functions, and duties of the chief executive of the Ministry of Justice. 26 Judge may make examination order A High Court Judge or a District Court Judge may, on an application made under section 25 , make an examination order against a person if the Judge is satisfied— a that the conditions specified in section 24 are met in respect of the person; and b that it is reasonable to subject the person to compulsory examination, having regard to the nature and seriousness of the suspected offending, the nature of the information sought, the relationship between the person to be examined and the suspect, and any alternative ways of obtaining the information. The order must be promptly served on the person against whom it is made. 27 Contents of examination order An examination order must require the person against whom it is made— a to attend before the Commissioner or a delegate of the Commissioner; and b to answer any questions that are relevant to the information in respect of which the order was made. The examination order must set out the following: a the name of the person required to comply with the order: b the grounds on which the order is made: c the nature of the questions that the person is to be asked, being questions that are relevant to the information in respect of which the order was made: d if the examination is to be conducted by a delegate of the Commissioner, the name of the delegate: e where the examination is to take place: f when the examination is to take place or how a time for the examination is to be fixed: g that the person required to comply with the order may be accompanied by a lawyer. 28 Presence of lawyer A person against whom an examination order is made must, before being required to appear before the Commissioner or a delegate of the Commissioner, be given a reasonable opportunity to arrange for a lawyer to accompany him or her. 29 Duration of examination order An examination order is in force for the period specified in the order (not exceeding 30 days after the date on which the order is made). 30 Privilege against self-incrimination A production order or an examination order does not affect the privilege against self-incrimination that an individual may have under section 60 of the Evidence Act 2006. Any assertion of a privilege against self-incrimination must be based on section 60 of the Evidence Act 2006. If any individual refuses to produce any information or document or to answer any question on the ground that it is a privileged communication under section 60 of the Evidence Act 2006, the Commissioner or a delegate of the Commissioner may apply to a District Court Judge for an order determining whether or not the claim of privilege is valid; and, for the purposes of determining any such application, the individual must offer sufficient evidence to enable the District Court Judge to assess whether self-incrimination is reasonably likely if the individual produced the information or the document or answered the question. Section 63 of the Evidence Act 2006 does not apply to a production order or to an examination order. 31 Other privileges If a person against whom a production order or an examination order is made could, in a criminal proceeding, assert a privilege under any of sections 54 to 59 of the Evidence Act 2006, the person is taken to have the same privilege in respect of either order. If any person refuses to disclose any information on the ground that it is privileged under this section, the Commissioner or a delegate of the Commissioner may apply to a District Court Judge for an order determining whether or not the claim of privilege is valid; and, for the purpose of determining any such application, the District Court Judge may require the information or document to be produced to him or her. A District Court Judge may, on the application of the Commissioner or a delegate of the Commissioner, disallow a privilege claimed under this section if the Judge is satisfied that the claim to privilege would, under section 67(1) of the Evidence Act 2006, be disallowed in a proceeding. Subsection (5) applies to documents that are books of account or accounting records kept— a by a solicitor in relation to any trust account money that is subject to section 112 of the Lawyers and Conveyancers Act 2006; or  b by a nominee company that— i is subject to practice rules made by the Council of the New Zealand Law Society pursuant to section 96 of the Lawyers and Conveyancers Act 2006; and ii is operated by a barrister and solicitor or an incorporated law firm as a nominee in respect of securities and documents of title held for clients. The application by subsection (1) of section 54 of the Evidence Act 2006 (which relates to the privilege for communications with legal advisers) does not prevent, limit, or affect— a the making of a production order in respect of a document to which this subsection applies; or b the obligation to comply with that production order in respect of a document to which this subsection applies; or c the admissibility, in a criminal proceeding for an offence described in the production order, of any evidence that relates to the contents of a document obtained under the production order. 32 Exclusion of civil liability No person is under any civil liability in respect of anything that the person states, whether orally or in writing, or does (for example, producing a document) in compliance or intended compliance with a production order or an examination order. Subsection (1) does not apply to a person who purports to comply with the order concerned in bad faith. 33 Effect of proceedings This section applies when any proceeding has been commenced in any court in respect of— a the exercise of any power conferred by this Act; or b the discharge of any duty imposed by this Act. Until a final decision in relation to the proceeding is given, the power or duty to which the proceeding relates may be, or may continue to be, exercised or discharged as if the proceeding had not been commenced, and no person is excused from fulfilling any obligation under this Act by reason of that proceeding. Subsection (2) has effect despite any interim order made in the proceeding unless the High Court is satisfied that— a it is highly likely from the evidence before the court that the exercise or discharge of the power or duty would be found to be unlawful; and b the applicant would suffer harm from the exercise or discharge of the power or duty; and c if the power or duty is exercised or discharged before a final decision is made in the proceeding, none of the remedies specified in subsection (4) , or any combination of those remedies, could subsequently provide an adequate remedy for that harm. The remedies are as follows: a any remedy that the court may grant in making a final decision in relation to the proceeding (for example, a declaration): b any damages that the applicant may be able to claim in concurrent or subsequent proceedings: c any opportunity that the applicant may have, as defendant in a criminal proceeding, to challenge the admissiblity of any evidence obtained as a result of the exercise or discharge of the power or duty. This section applies despite any other provision of any Act or rule of law or equity. 33 Effect of proceedings challenging powers and duties under this subpart This section applies if any person makes any challenge in any proceeding in any court in respect of— a the exercise of any power conferred by this subpart: b the discharge of any duty imposed by this subpart. If this section applies, until a final decision (as described in subsection (4) ) in relation to those proceedings is given, the power or duty may be, or may continue to be, exercised or discharged as if no such proceedings of that kind had been commenced, and no person is excused from fulfilling any obligation under this subpart by reason of those proceedings. This section applies despite any other provision of any enactment or rule of law or equity. A final decision does not include a decision in proceedings for an interim order under section 8 of the Judicature Amendment Act 1972. 34 Failing to comply with orders Every person commits an offence who, being a person against whom a production order or an examination order is made,— a fails, without reasonable excuse, to comply with that order; or b in purported compliance with the order, produces or makes available to the Commissioner or a delegate of the Commissioner a document or makes a statement that the person knows is false or misleading in a material particular. To avoid doubt, a person who owes a duty of confidentiality to his or her client or customer (including, without limitation, a person carrying on the business of banking) is not, merely because of that duty, excused from complying with a production order or an examination order. Every person who commits an offence against subsection (1) is liable on indictment,— a in the case of an individual, to imprisonment for a term not exceeding 1 year or a fine not exceeding $15,000 or both; b in the case of a body corporate, to a fine not exceeding $40,000. 35 Secrecy of certain information relating to investigations carried out under this subpart This section applies to information— a obtained as a result of or in connection with the exercise, or possible exercise, of any power conferred by this subpart: b obtained as a result of or in connection with the execution of a search warrant issued on an application made by, or at the direction or request of, a designated person acting for the purposes of this Act: c derived from or based upon any information described in paragraph (a) or (b) . Every designated person who holds any information to which this section applies must observe the strictest secrecy in relation to that information and, except as provided in subsection (3) , must not disclose that information in any way whatever to any person who is not a designated person. Despite subsection (2) , the Commissioner or a delegate of the Commissioner may disclose any information to which this section applies, or authorise any designated person to disclose such information,— a if the person from whom that information was obtained consents to that disclosure; or b to the extent that the information is available to the public under any Act; or c for the purposes of this Act or in connection with the exercise of powers under this Act; or d for the purposes of any prosecution anywhere; or e to any person who the Commissioner or a delegate of the Commissioner is satisfied has a proper interest in receiving the information. This section is subject to sections 36 and 38 . Every designated person commits an offence, and is liable on summary conviction to a fine not exceeding $5,000, who knowingly contravenes this section. 36 Secrecy of information protected under Inland Revenue Department Act 1974 Tax Administration Act 1994 Every designated person must observe the strictest secrecy in relation to revenue information. For the purposes of this section, revenue information means any information— a that is subject to an obligation of secrecy under the Tax Administration Act 1994; and b that has been disclosed by the Commissioner of Inland Revenue to a designated person. Despite subsection (1) or anything in the Tax Administration Act 1994,— a any designated person may disclose any revenue information to any other designated person for the purpose of investigating or prosecuting any inland revenue offence; and b the Commissioner or a delegate of the Commissioner may disclose any revenue information, or authorise any designated person to disclose any revenue information,— i with the consent of the Commissioner of Inland Revenue, to any person; or ii to any Judge in order to obtain, for the purpose of investigating or prosecuting any inland revenue offence, a production order, an examination order, or a search warrant; or iii to any person commencing or conducting any proceedings relating to any suspected inland revenue offence; or iv to any court hearing any proceedings relating to any suspected inland revenue offence. Every designated person commits an offence, and is liable on summary conviction to imprisonment for a term not exceeding 6 months or to a fine not exceeding $15,000, who knowingly contravenes this section. 37 Disclosure to designated person of information protected under other Acts Any information that is protected under any Act other than the Tax Administration Act 1994 or the Statistics Act 1975 may, despite any provision of that Act, be disclosed to a designated person for the purpose of investigating or prosecuting any offence involving serious or complex fraud. No person is liable to prosecution for an offence by reason of disclosing information under this section. Every person who discloses any such information to a designated person must, at the time of making the disclosure, inform the person that the information is so protected. 38 Secrecy of information protected under other Acts Every designated person must observe the strictest secrecy in relation to any information that is protected under any Act other than the Tax Administration Act 1994. Despite subsection (1) or anything in the Act that protects the information,— a any designated person may disclose any such information to any other designated person for the purpose of investigating or prosecuting any offence involving serious or complex fraud; and b the Commissioner or a delegate of the Commissioner may disclose any such information, or authorise any designated person to disclose any such information,— i with the consent of the person who disclosed the information to a designated person, to any other person: ii to any Judge for the purpose of obtaining a production order or an examination order or a search warrant: iii to any person commencing or conducting any proceedings relating to any suspected offence involving serious or complex fraud: iv to any court hearing any proceedings relating to any suspected offence involving serious or complex fraud. Every designated person commits an offence, and is liable on summary conviction to a fine not exceeding $5,000, who knowingly contravenes this section. 39 Obligation to inform that disclosed information is secret Every person who discloses any information under any of sections 35(3), 36(3), and 38(2) must inform the recipient— a that the recipient is, in accordance with section 40 , under an obligation to observe the strictest secrecy in relation to the information; and b that, if the recipient discloses the information under section 40 , the recipient will be bound by the obligation that is imposed by paragraph (a) . Every person commits an offence, and is liable on summary conviction to a fine not exceeding $1,000, who knowingly contravenes this section. 40 Secrecy to be observed by other recipients of disclosed information No person to whom any information to which any of sections 35 to 38 applies is disclosed under this Act must disclose that information in any way whatever to any other person unless the disclosure is,— a in the case of information to which section 35 applies,— i authorised by the Commissioner or a delegate of the Commissioner; or ii necessary or desirable for the purposes of commencing or conducting any proceedings relating to any suspected offence involving serious or complex fraud: b in the case of any revenue information protected under the Tax Administration Act 1994,— i authorised by the Commissioner of Inland Revenue; or ii necessary for the purposes of commencing or conducting any proceedings relating to any suspected inland revenue offence: c in the case of any information protected under any Act other than the Tax Administration Act 1994,— i authorised by the person who disclosed the information to the designated person concerned; or ii necessary for the purposes of commencing or conducting any proceedings relating to any suspected offence involving serious or complex fraud. Every person commits an offence, and is liable on summary conviction to a fine not exceeding $5,000, who knowingly contravenes subsection (1)⁠(a) or (1)⁠(c) . Every person commits an offence, and is liable on summary conviction to imprisonment for a term not exceeding 6 months or to a fine not exceeding $15,000, who knowingly contravenes subsection (1)⁠(b) . 41 Authorisations to disclose information Every authorisation given pursuant to section 35(3), 36(3)⁠(b), or 38(2)⁠(b) — a must be in writing; and b may be given subject to any conditions the Commissioner or a delegate of the Commissioner thinks fit; and c may authorise the disclosure of information to any person or class of persons, or, subject to paragraph (d) , may authorise the general disclosure of information; and d in the case of an authorisation given under section 36(3)⁠(b) or 38(2)⁠(b) , must only authorise the disclosure of specified information; and e expires at the time when the person to whom it is given ceases to be a designated person. 42 Information may cease to be secret Sections 35 to 41 cease to apply to any information that— a is lawfully released in any court proceedings; or b is lawfully released under section 35 or 36(3)⁠(b)⁠(i) or 38(2)⁠(b)⁠(i) in circumstances where the Commissioner or a delegate of the Commissioner informs the person to whom the information is disclosed, by notice in writing, that the information is no longer protected under the relevant section. The Commissioner or a delegate of the Commissioner must not serve a notice under subsection (1)⁠(b) in respect of information that is released under section 36(3)⁠(b)⁠(i) or 38(2)⁠(b)⁠(i) unless the person who disclosed the information to a designated person consents. 43 Persons ceasing to be designated under continuing obligation of secrecy Every person who ceases to be a designated person— a must continue to observe the strictest secrecy in relation to any information that was disclosed to him or her in his or her capacity as a designated person; and b may be charged and convicted of any offence against section 35(5), 36(4), 38(3), or 39(2) in all respects as if he or she had not ceased to be a designated person. 44 Service of orders and notices Where an order or notice is to be given to a person for the purposes of this subpart, it may be given— a by delivering it personally to the person; or b by delivering it at the usual or last known place of residence or business of the person, including by fax; or c by sending it by pre-paid post addressed to the person at the usual or last known place of residence or business of the person. Where an order or notice is to be served on a corporation for the purposes of this subpart, service on an officer of the corporation, or on the registered office of the corporation, in accordance with subsection (1) is deemed to be service on the corporation. Where an order or notice is to be served on a partnership for the purposes of this subpart, service on any one of the partners in accordance with subsections (1) and (2) is deemed to be service on the partnership. Where an order or notice is sent by post to a person in accordance with subsection (1)⁠(c) , the order or notice is deemed, in the absence of proof to the contrary, to have been given on the third day after the day on which it was posted. 45 Delegation of powers, functions, or duties of Commissioner The Commissioner may, in writing, as he or she thinks fit, delegate to any designated person any of his or her powers, functions, or duties under this Act. A delegation under subsection (1) — a may be made subject to any conditions or restrictions that the Commissioner thinks appropriate, including any factors that must be taken into account when the delegation is exercised: b may be made generally or in any particular case: c is revocable at will: d does not prevent the Commissioner from exercising any power, or carrying out any function or duty: e does not affect the responsibility of the Commissioner for the actions of any person acting under delegation. A designated person who is delegated any powers, functions, or duties under subsection (1) may,— a with the prior written approval of the Commissioner, delegate those powers, functions, or duties to any other designated person: b subject to any conditions or restrictions, exercise those powers and carry out those functions or duties in the same manner and with the same effect as if they had been conferred on that person directly by this Act and not by delegation. Every person purporting to act under any delegation under subsection (1) is, in the absence of proof to the contrary, presumed to be acting in accordance with the terms of the delegation. A delegation under subsection (1) that is made before the commencement fixed by section 2(2) — a must specify the date on which it takes effect, which must not be before that commencement; and b is, on and after that commencement, deemed to have been made on that commencement. 46 Regulations The Governor-General may, by Order in Council, make regulations for any of the following purposes: a prescribing forms for the purposes of this Act: b providing for any other matters contemplated by this Act, necessary for its administration, or necessary for giving it full effect. Consequential amendments Sections 89(1)⁠(c)⁠(viii) and 96(2)⁠(b)⁠(viii): repeal. Sections 150(g) and 188(2)⁠(e), clauses 4(g) and 6(e) of Schedule 2, and clause 10(2)⁠(c) of Schedule 3: omit or the Serious Fraud Office . Item relating to the Serious Fraud Office in Part 1 of Schedule 1: omit. Schedule 5: omit Serious Fraud Office in each place where it appears. Third column of the item relating to details of hearings in Schedule 5: omit (access is limited so as to exclude details relating to young persons, being persons over 14 years but under 17 years, where the offence did not carry a liability to imprisonment) in the second place where it appears. Paragraph (a)⁠(iii) of the definition of appropriate authority in section 3: repeal. Item relating to the Serious Fraud Office in Schedule 1: omit. Item relating to the Serious Fraud Office Act 1990 in Part 2 of Schedule 1: omit. Part 2 of Schedule 1: omit the item relating to the Serious Fraud Office Act 1990 and substitute the following item: Serious Fraud Office (Abolition and Transitional Provisions) Act 2008 34 Failing to comply with orders Section 81(4)⁠(c): omit the Director of the Serious Fraud Office and substitute: the Commissioner of Police or any member of the police authorised by that Commissioner for the purpose . Section 81(4)⁠(c): omit Divulging or communicating any matter or thing to the Director of the Serious Fraud Office, or producing in any Court any book or document, that the Commissioner considers desirable for the purposes of any investigation or prosecution in relation to any suspected inland revenue offence, and substitute divulging or communicating any matter or thing to the Commissioner of Police, or producing in any Court any book or document, that the Commissioner of Inland Revenue considers desirable for the purposes of any investigation or prosecution in relation to any suspected inland revenue offence, .