Discussion paper - A new regime for unravelling Ponzi schemes
06 July 2018, 5pm
Published: 8 May 2018
Asks for feedback on a proposal that a new liquidation mechanism be incorporated within the Financial Markets Conduct Act 2013, for resolving Ponzi schemes relating to financial products and certain types of financial services.
PDF, 1.1MB, 59 pages
On 10 May 2018, the Minister of Commerce and Consumer Affairs announced the release of a discussion document that sets out a proposal for a new, Ponzi-specific, insolvency regime. It is based on the idea that investors should be treated equally.
A Ponzi scheme is a fraudulent investment scheme in which investors are paid false profits from the amounts invested by new investors.
The deadline for making submissions on the discussion document was 6 July 2018.
Six writen submissions were received.
Last updated: 05 November 2019