The Insolvency Practitioners Regulation Act 2019 (the Act) comes into force on 1 September 2020. The Act establishes a co-regulatory scheme, requiring insolvency practitioners operating in New Zealand to be licensed by an accredited body1. The purpose of the Act is to promote quality, expertise, and integrity in the profession of insolvency practitioners.
The Registrar of Companies (the Registrar) has approved the New Zealand Institute of Chartered Accountants (NZICA) as the first accredited body under the Act. NZICA is the statutory body responsible for regulating New Zealand resident members of Chartered Accountants Australia and New Zealand (CA ANZ). Members of CA ANZ should direct any queries regarding insolvency practitioner licensing to the NZICA Regulatory Team at Regulation.email@example.com
The Registrar has also approved the Restructuring Insolvency & Turnaround Association of New Zealand (RITANZ) to be a recognised body under the Act. Broadly, a member of a recognised body can apply to an accredited body, such as NZICA, for a licence even though they are not a member of the accredited body.
The following notice has been published on the New Zealand Gazette website, Insolvency Practitioners Regulation Act (Recognised Bodies) Notice 2020 .
Accredited insolvency practitioners under the existing CA ANZ-NZICA-RITANZ voluntary scheme may be entitled to a transitional licence under the new regime. This would allow them to accept new insolvency engagements while applying for an insolvency practitioner’s licence.
For further information about the new regulatory regime for insolvency practitioners, see the Insolvency Practitioners Register website.