NEW ZEALAND GAZETTE, No. 41

31 MARCH 2011

securities should be read as a reference to specified futures contracts, and every reference to the issuer should be read as a reference to the Company.

AFS Licence means an Australian financial services licence granted under the Corporations Act 2001.

ASIC means the Australian Securities and Investments Commission.

Company means Velocity Trade Limited.

disclosure document means a written document that:

(a) describes and contains the offer of, and relates specifically to, a particular class, or particular classes, of the specified futures contracts; and

(b) is identical to a document that is a product disclosure statement, other than such changes or additional information as is necessary to:

(i) reflect that the offer is made in New Zealand; and

(ii) comply with the requirements of this notice, including the requirements set out in clause 4.

product disclosure statement means a document that:

(a) is a product disclosure statement in terms of the Corporations Act 2001 issued by the Company;

(b) is signed by the persons (if any) who are required by law to sign that document; and

(c) is not an “offer information statement” or “profile statement” (as those terms are defined in section 9 of the Corporations Act 2001).

qualified auditor has the same meaning as in section 2C of the Securities Act 1978.

Regulations means the Futures Industry (Client Funds) Regulations 1990.

specified futures contract means a futures contract that is issued by the Company and described in a disclosure document.

(2) Any term or expression that is defined in the Act or the Regulations and used, but not defined, in this notice has the same meaning as in the Act or the Regulations.

3. Authorisation—(1) The Company is authorised to carry on the business of dealing in specified futures contracts.

(2) The authorisation only applies to specified futures contracts to which the Company is, or intends to be, a party.

(3) The authorisation is subject to the conditions that:

(a) the Company does not enter into specified futures contracts with any person other than a person who has entered into a written agreement with the Company, and then only in accordance with the terms of that agreement;

(b) the Company is licensed as an Australian Financial Services Licensee under the Corporations Act 2001 and holds an AFS Licence that authorises the Company to advise retail and wholesale clients on, and to deal with retail and wholesale clients in, specified futures contracts;

(c) the Company notifies the Commission if the Company’s AFS licence is varied or revoked and notifies the Commission of any regulatory action taken by ASIC in relation to its AFS Licence;

(d) there is a product disclosure statement relating to the specified futures contracts at the time that the specified futures contracts are made available to New Zealand investors or the Company gives advice or assistance to, or induces or attempts to induce, New Zealand investors in relation to the acquisition or disposal of any specified futures contract;

(e) before the Company enters into a specified futures contract with any person, that person has received a disclosure document relating to that specified futures contract;

(f) every advertisement for a specified futures contract must refer to a disclosure document that relates to the specified futures contracts referred to in the advertisement;

(g) no advertisement shall contain any information, sound, image or other matter that is inconsistent with any disclosure document referred to in the advertisement;

(h) any Company document that states the Company has been authorised by the Commission to carry on the business of dealing in futures contracts includes a statement to the effect that:

(i) the Commission’s role in authorising futures dealers is limited and does not imply approval or endorsement of the business, trading or solvency of the Company; and

(ii) the Commission has not approved any agreements or any disclosure documents of the Company;

(i) the Company holds client funds in a segregated client money account in accordance with the provisions of the AFS licence, the Corporations Act 2001, and any regulations made under the Corporations Act 2001 in relation to the protection of client money and client property; and;

(j) the Company maintains proper records:

(i) to record dealings in respect of specified futures contracts with clients;

(ii) to record client money or property received, held or otherwise dealt with in connection with dealings in specified futures contracts; and

(iii) which are audited or reviewed, and reported on, in accordance with the Company’s AFS Licence and the Financial Reporting Act 1993;

(k) the Company’s financial statements are prepared and registered as if the Company is an issuer in terms of the Financial Reporting Act 1993 and are audited at least once a year by a qualified auditor under the Financial Reporting Act 1993;

(l) the Company sends a copy of its audited financial statements to the Commission not more than three months after the end of each financial year;

(m) the Company maintains adequate professional indemnity insurance for its business at all times; and

(n) the Company immediately notifies the Commission in writing of any material matter concerning the Company’s authorisation as a futures dealer, including the following events:

(i) The insolvency of the Company or the bankruptcy of any of its directors;

(ii) if any auditor’s report prepared in accordance with the Company’s AFS Licence shows any non-compliance with that AFS Licence or the Corporations Act 2001;

(iii) where a receiver, provisional liquidator, liquidator or a similar officer is appointed, or any resolution is passed or order made for the liquidation or dissolution of the Company;

(iv) if the Company, or any of its directors, is convicted of an indictable offence;

(v) any regulatory action taken against the Company, or any of its directors or senior officers.