NEW ZEALAND GAZETTE, No. 93 — 13 OCTOBER 2016

5. The exemption has been granted for the following reasons:
   a. There is a low risk of money laundering or the financing of terrorism associated with allowing former members, who are still employees of a participating employer, to continue contributing to the fund through payroll.
   b. Regulation 20A grants an exemption for services provided in respect of promoting or operating a limited employer superannuation scheme or a specified restricted scheme. This reflects the idea that an employee making contributions through their employer to a superannuation scheme presents a low risk of money laundering or terrorist financing.
   c. Due to the very low money laundering and terrorism financing risks raised by the Plan and the significant compliance costs that would arise from not granting this exemption, I consider that any benefits of requiring compliance with the Act are not justified by the associated costs.
   d. This exemption is consistent with (and has no effect on the purpose or intent of) the Act, the Financial Transactions Reporting Act 1996 and New Zealand’s international obligations as a member of the Financial Action Task Force and the Asia/Pacific Group on Money Laundering.

6. This exemption came into force on the day after the date I granted this exemption (22 September 2016).

7. This exemption will expire on 30 June 2020.

Any person wishing to provide comment on this notice should contact the Criminal Law Team at the Ministry of Justice by emailing international.crime@justice.govt.nz.

2016-go5767

Ministerial Exemptions Under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009

In accordance with section 157(6)(b) of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 ("Act"), the Associate Minister of Justice hereby gives notice that he has granted the following partial exemption from the Act:

Ministerial Exemption: the Maritime Retirement Scheme and the Maritime KiwiSaver Scheme

1. This exemption is subject to the following conditions:
   a. The Trustees are required to remove any mechanisms contained in the Trust Deed for the Maritime Retirement Scheme ("MRS") that enable members to contribute to the MRS voluntarily other than through payroll or the Accident Compensation Corporation.
   b. The Trustees are required to introduce a cap on voluntary contributions made (other than those made through payroll or the Accident Compensation Corporation) to the Maritime KiwiSaver Scheme ("MKS"). The cap should be set at the amount required to enable a member to maximise those government contributions set out in section MK 4 of the Income Tax Act 2007.
   c. With the exception of Australian superannuation transfers to the MKS, customer due diligence in accordance with sections 10–36 of the Act and suspicious transaction reports in accordance with sections 40–48 of the Act are required on all transfers to the MRS and the MKS ("Schemes") from international sources.

2. The exemption has been granted for the following reasons:
   a. the Trustees’ only duties as a reporting entity under the Act are in respect of the Schemes;
   b. the Schemes pose a very low risk of money laundering or terrorism financing;
   c. any risks posed by voluntary contributions outside of payroll have been covered off by conditions;
   d. due to the very low money laundering and terrorism financing risks raised by the Schemes and the significant compliance costs that would arise from not granting this exemption, I consider that any benefits of requiring compliance with the Act are not justified by the associated costs;
   e. this exemption is consistent with (and has no effect on the purpose or intent of) the Act, the Financial