Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


$110,000 Fine For Breaching Overseas Investment Sensitive Land Rules

The Auckland High Court has ordered defendant Ms Zhang to pay a civil penalty of $110,000 and $15,000 in costs for failing to get consent under the Overseas Investment Act to buy sensitive land.

In September 2015 Ms Zhang bought two properties in Mellons Bay, Auckland. As an overseas person, she needed consent because the land is next to the foreshore and a Heritage New Zealand listed site.

In 2013 Ms Zhang made two unsuccessful applications to the Overseas Investment Office (OIO) for consent to buy the two properties.

Justice Van Bohemen said “at the time Ms Zhang acquired the properties, she believed she was ordinarily resident in New Zealand under s 6(2)(a) of the Act because Immigration New Zealand had approved her application for a residence class visa in principle”.

She gained a residence class visa in May 2017, and became ordinarily resident in New Zealand in March 2018, well after the 2015 property purchase.

People applying for New Zealand residency should not make assumptions about their residency status before buying property, says OIO Group Manager Anna Wilson-Farrell.

“It is important for overseas people to get specialist advice about when they can legally buy property and when to apply for consent.

“We will continue to take action when people fail to follow the rules,” says Ms Wilson-Farrell.

More information about applying for overseas investment consent

More information about enforcement action taken

© Scoop Media

Business Headlines | Sci-Tech Headlines


Air New Zealand: Employees Recognised With $1,000 Share Award

The efforts Air New Zealand employees made during one of the airline’s toughest years will be recognised via an award of $1,000 worth of company shares to all permanent employees... More>>

Consumer NZ: Bank Complaints On The Rise, Survey Shows

Nearly one in five Kiwis had a problem with their bank in the past year, Consumer NZ’s latest satisfaction survey finds. Consumer NZ chief executive Jon Duffy said the number of bank customers reporting problems had jumped to 18%, up from 11% in 2020... More>>

Federated Farmers: Applauds UK-Australia Free Trade Deal

News that Australia and the UK have signed a free trade agreement is a promising step forward in the fight against tariffs and protectionism, Federated Farmers says.
"It reinforces the international rules-based trading framework and is important for rural producers and global consumers," Feds President Andrew Hoggard says... More>>

ASB: New Zealanders Missing Out On Hundreds Of Millions In KiwiSaver Government Contributions

New Zealanders have just over a week to ensure they’re eligible for the maximum annual government KiwiSaver contribution... More>>

Stats NZ: GDP Climbs 1.6 Percent In March 2021 Quarter Following December Dip

Gross domestic product (GDP) rose by 1.6 percent in the March 2021 quarter, following a 1.0 percent fall in the December 2020 quarter, Stats NZ said today. "After an easing of economic activity in the December quarter, we’ve seen broad-based growth in the first quarter of 2021... More>>

Reserve Bank: Debt Serviceability Restrictions Added To Policy Toolkit

The Reserve Bank – Te Pūtea Matua and the Minister of Finance have agreed to update their shared Memorandum of Understanding (MoU) on macro-prudential policy and add debt serviceability restrictions to the list of potential tools available... More>>