sec.164Water allocations may be forfeited

### sec.164 Water allocations may be forfeited Subsection (2) applies if a water allocation holder has been convicted of an offence against this Act. The chief executive may give the holder a show cause notice as to why the water allocation should not be forfeited. If, after considering any properly made submission, the chief executive is still satisfied the water allocation should be forfeited, the chief executive may forfeit the water allocation. If the chief executive decides to forfeit the water allocation, the chief executive must give the holder an information notice within 10 business days after the chief executive makes the decision. The forfeiture takes effect on the later of— if the holder does not appeal against the forfeiture—the day the period for appeals ends; or if the holder appeals against the forfeiture but withdraws the appeal—the day the appeal is withdrawn; or if the holder appeals against the forfeiture and the appeal is dismissed—the day the appeal is decided. If the water allocation is forfeited, the chief executive must sell the allocation by public auction, public ballot, public tender or in another way decided by the chief executive. Any money received by the chief executive on the sale of the forfeited water allocation must be applied as follows— first—in paying the costs of the sale and any other costs incurred in proceedings under this section; second—in discharging any liability of the former water allocation holder under this Act to the chief executive under this Act; third—in discharging the liability, if any, of the former water allocation holder for any outstanding debt owing to the distribution operations licence holder under distribution arrangements; fourth—in discharging the liability, if any, of the former water allocation holder for any outstanding debt owing to the resource operations licence holder under a supply contract; fifth—in discharging, in accordance with the priorities of their registered interests, any liabilities of the former allocation holder owing to a person who has a registered interest recorded over the forfeited allocation on the water allocations register; sixth—in payment to the former water allocation holder. If the former allocation holder can not be found after making reasonable inquiries as to the holder’s whereabouts, an amount payable to the holder must be dealt with as unclaimed money under the Public Trustee Act 1978 . A genuine purchaser for value of a water allocation under this section takes the allocation free of all interests. Section 146 (2) to (7) applies to the purchaser of a water allocation under this section as if the allocation were granted on the day the allocation was sold. s 164 ins 2014 No. 64 s 68 (sec.164-ssec.1) Subsection (2) applies if a water allocation holder has been convicted of an offence against this Act. (sec.164-ssec.2) The chief executive may give the holder a show cause notice as to why the water allocation should not be forfeited. (sec.164-ssec.3) If, after considering any properly made submission, the chief executive is still satisfied the water allocation should be forfeited, the chief executive may forfeit the water allocation. (sec.164-ssec.4) If the chief executive decides to forfeit the water allocation, the chief executive must give the holder an information notice within 10 business days after the chief executive makes the decision. (sec.164-ssec.5) The forfeiture takes effect on the later of— if the holder does not appeal against the forfeiture—the day the period for appeals ends; or if the holder appeals against the forfeiture but withdraws the appeal—the day the appeal is withdrawn; or if the holder appeals against the forfeiture and the appeal is dismissed—the day the appeal is decided. (sec.164-ssec.6) If the water allocation is forfeited, the chief executive must sell the allocation by public auction, public ballot, public tender or in another way decided by the chief executive. (sec.164-ssec.7) Any money received by the chief executive on the sale of the forfeited water allocation must be applied as follows— first—in paying the costs of the sale and any other costs incurred in proceedings under this section; second—in discharging any liability of the former water allocation holder under this Act to the chief executive under this Act; third—in discharging the liability, if any, of the former water allocation holder for any outstanding debt owing to the distribution operations licence holder under distribution arrangements; fourth—in discharging the liability, if any, of the former water allocation holder for any outstanding debt owing to the resource operations licence holder under a supply contract; fifth—in discharging, in accordance with the priorities of their registered interests, any liabilities of the former allocation holder owing to a person who has a registered interest recorded over the forfeited allocation on the water allocations register; sixth—in payment to the former water allocation holder. (sec.164-ssec.8) If the former allocation holder can not be found after making reasonable inquiries as to the holder’s whereabouts, an amount payable to the holder must be dealt with as unclaimed money under the Public Trustee Act 1978 . (sec.164-ssec.9) A genuine purchaser for value of a water allocation under this section takes the allocation free of all interests. (sec.164-ssec.10) Section 146 (2) to (7) applies to the purchaser of a water allocation under this section as if the allocation were granted on the day the allocation was sold. - (a) if the holder does not appeal against the forfeiture—the day the period for appeals ends; or - (b) if the holder appeals against the forfeiture but withdraws the appeal—the day the appeal is withdrawn; or - (c) if the holder appeals against the forfeiture and the appeal is dismissed—the day the appeal is decided. - (a) first—in paying the costs of the sale and any other costs incurred in proceedings under this section; - (b) second—in discharging any liability of the former water allocation holder under this Act to the chief executive under this Act; - (c) third—in discharging the liability, if any, of the former water allocation holder for any outstanding debt owing to the distribution operations licence holder under distribution arrangements; - (d) fourth—in discharging the liability, if any, of the former water allocation holder for any outstanding debt owing to the resource operations licence holder under a supply contract; - (e) fifth—in discharging, in accordance with the priorities of their registered interests, any liabilities of the former allocation holder owing to a person who has a registered interest recorded over the forfeited allocation on the water allocations register; - (f) sixth—in payment to the former water allocation holder.