Section 17Part 4 — The Operation and Management of Foundation Companies
Compliance with certain laws
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A f oundation company —
shall ensure the foundation company, and its directors, officers, and interested persons give information concerning the foundation company that its secretary may reasonably require to comply with the following Acts and Regulations —
the Proceeds of Crime Act (2025 Revision);
the Terrorism Act ( 201 8 Revision ); and
the Anti - Money Laundering Regulations (2025 Revision) ; and
shall not accept an asset contribution that is gratuitous or is in consideration of a share issue unless its secretary has given the foundation company a notice that there appears to be no objection under those Acts and Regulations to the acceptance.
I f a foundation company contravenes subsection (1), the following commit an offence and are liable to a maximum fine of fifteen thousand dollars and to imprisonment for five years, or both —
the foundation company;
its directors and any manager of t he foundation company; and
anyone else who, when the offence was committed, was purporting to act as a director or manager of the foundation company.
However, it is a defence for an individual to prove the offence was committed without the individu al ’ s consent or connivance or that the individual exercised reasonable diligence to prevent the commission of the offence.
A foundation company ’ s secretary shall maintain a full and proper record of the secretary ’ s activities and enquiries made for giv ing notices under subsection (1)(b), including information given to the secretary for that purpose.
A secretary who contravenes subsection (4) commits an offence and is liable to a maximum fine of fifteen thousand dollars and to imprisonment for five y ears, or both.
In this section, “information” includes accounts, documents and records.