In accordance with section 157 of the Anti-Money Laundering and Countering Financing Terrorism Act 2009 (“Act”). The Associate Minister of Justice hereby gives notice that she has granted the following exemption from the Act:

Ministerial Exemption: Newtown Ethical Lending Trust

1. As the Associate Minister of Justice, and pursuant to section 157 of the Act, I exempt Newtown Ethical Lending Trust from the following provisions of the Act:
1. Sections 10–71 (inclusive).
2. This exemption is made subject to the following conditions:
1. Newtown Ethical Lending Trust must state in their Customer Terms and Conditions documents that they do not accept cash for the repayments of loans; and
2. Newtown Ethical Lending Trust must inform the Ministry of Justice of any changes that may affect the exemption and/or conditions imposed by this written instrument within 10 working days from which the change affecting the exemption occurs.
3. Changes that may affect the exemption and/or conditions imposed in this context, include but are not limited to:
1. Any increase in the maximum loan limit.
3. This exemption has been made for the following reasons:
1. There is a low risk of money laundering and terrorism financing through Newtown Ethical Lending Trust because:
1. All repayments and donations are made from New Zealand bank accounts which are subject to their own anti-money laundering and countering financing of terrorism obligations under the Act.
2. Newtown Ethical Lending Trust’s application process is thorough.
3. Most repayment are made through a Work and Income redirection administered by the Ministry of Social Development.
4. Newtown Ethical Lending Trust does not accept cash repayments of loans.
5. Client repayments are checked and reconciled at least weekly from the Trust’s bank accounts.
2. The obligations imposed on Newtown Ethical Lending Trust would be disproportionate given the low risk of money laundering and financing of terrorism.
3. The exemption granted has a low impact on the integrity of the anti-money laundering and countering financing of terrorism system in alignment with section 157 of the Act.
4. Date made: 29 April 2026.
5. This exemption comes into force on 30 April 2026.
6. This exemption will expire on 30 April 2031.
7. This exemption is secondary legislation for the purposes of the Legislation Act 2019.

This secondary legislation can be accessed on the administering agency’s (the Ministry of Justice) website: https://www.justice.govt.nz/justice-sector-policy/key-initiatives/aml-cft/info-for-businesses/ministerial-exemptions/decisions/.

Any person wishing to provide comment on this notice should contact the Anti-Money Laundering and Countering Financing of Terrorism Team at the Ministry of Justice by emailing amlcft.exemptions@justice.govt.nz.