Changes needed to help smaller issuers and govern FMA’s powers under new laws

The ADLS Commercial Law Committee, led by Frank Chan, has called for the Financial Markets Conduct Bill to be improved in three main areas.

In submissions to the Commerce Select Committee, the ADLS has highlighted the high compliance costs faced by smaller businesses. Smaller issuers will likely find the proposed carve-out from the disclosure regime of limited value. The submissions call for greater scope for small capital raisings, along the lines of changes recently made to US securities laws.

The submissions also advocate that the FMA’s call-in power and the FMA’s offer document lodgement process both require greater procedural certainty.

More certainty is also sought in relation to the scope of the liability for both civil action and criminal penalties for those involved in investment offers. (see PDF attachment)

ADLS Appointment

Frank Chan has been appointed the Convenor of the Auckland District Law Society’s Commercial Law Committee for 2012.

NZ Directory Listing

We are now listed over at

Frank Chan is quoted in The National Business Review

Frank Chan is quoted in The National Business Review on New Zealand’s imminent SOE floats. Please click on the thumbnails below to get a larger view.                 For the pdf version of the whole article, please click here.

Financial Advisers’ Handbook

Leading publisher, LexisNexis, will publish the Financial Advisers’ Handbook authored by Frank Chan in December 2011. The book is a practical guide to the new financial adviser and financial service providers regime.  In addition to covering how the regime applies and the FSPR registration process, it includes the recent disclosure and exemption regulations and other useful legislation and…