Section 242 — Crimes Act 1961: False statement by promoter, etc

242 False statement by promoter, etc (1) Every one is liable to imprisonment for a term not exceeding 10 years who, in respect of any body, whether incorporated or unincorporated and whether formed or intended to be formed, makes or concurs in making or publishes any false statement, whether in any prospectus, account, or otherwise, with intent— (a) to induce any person, whether ascertained or not, to subscribe to any security within the meaning of the Securities Act 1978 ; or (b) to deceive or cause loss to any person, whether ascertained or not; or (c) to induce any person, whether ascertained or not, to entrust or advance any property to any other person. (2) In this section, false statement means any statement in respect of which the person making or publishing the statement— (a) knows the statement is false in a material particular; or (b) is reckless as to the whether the statement is false in a material particular. Compare: 1961 No 43 s 250 Part 10 (comprising sections 217 to 305) was substituted by a new Part 10 (comprising sections 217 to 272), as from 1 October 2003, by section 15 Crimes Amendment Act 2003 (2003 No 39).