Dishonest statements with intent to deceive members
This offence makes officers of organisations liable for punishment where they knowingly make a dishonest statement that was intended to deceive members or creditors of the organisation about the organisations affairs.
The section replaces the repealed offence of director/officer publishing false statement (section 176).
In short the offence is committed by an officer of an organisation who dishonestly makes a statement knowing it to be false or misleading with the intention of deceiving creditors of the organisation.
It should be noted, however, that the new section requires a deception, but not an intention to gain an advantage or cause a loss.
The maximum penalty for the offence of Intention to deceive members or creditors by false or misleading statement of officer of organisation is 7 years.
What the police must prove
1. Accused was an officer of an organisation; and
2. The accused made (or published) a statement; and
3. The making of the statement was dishonest (as defined); and
4. That statement was knowingly false or may be false; and
5. The making (or publishing) of the statement was intended to deceive members or creditors of the organization about its affairs.
“Creditor” of an organisation includes a person who has entered into a security for the benefit of the organisation.
“Officer” of an organisation includes any member of the organisation who is concerned in its management and any person purporting to act as an officer of the organisation.
“Organisation” means any body corporate or unincorporated association.
Dishonesty means dishonest according to the standards of ordinary people and known by the defendant to be dishonest according to the standards of ordinary people.
WHERE TO NEXT?
If you suspect that you may be under investigation, or if you have been charged with an offence, it is vital to get competent legal advice as early as possible. Our lawyers are highly specialised in corporate crime and will be able to guide you through the process while dealing with the various authorities related to your matter.