Government Moves To Takeover Incorporated Societies – Your Organisation Could Be Next
The New Zealand Government is on the verge of presenting legislation to Parliament that will forcibly dissolve a fully compliant incorporated society—Greyhound Racing New Zealand (GRNZ)—and take control of its assets.
Commenting on the Government’s draft legislation now available online, CEO Edward Rennell warns that this same model may be used to shut down other industries and societies in future.
“This is not about greyhound racing anymore, this is about raw political power overriding legal protections. It is a direct attack on the rights of all 23,000+ incorporated societies across New Zealand.
“If it can happen to GRNZ, it can happen to any society—your club, your charity, your union, this is not democracy. It’s dangerous,” says Rennell.
Under the Racing Industry (Closure of Greyhound Racing Industry) Amendment Bill, Parliament will:
Bypass the Incorporated Societies Act and ignore GRNZ’s lawful standing.
Force the dissolution of GRNZ and its affiliated clubs, without wrongdoing.
Confiscate all remaining assets (and millions in cash) transferring them to a state agency and horse racing codes.
Claim the right to do it again, to other sectors, as outlined in the Ministerial Advisory Committee’s own terms of reference.
Rennell says this sets a chilling precedent:
“This Bill sends a clear message from Christopher Luxon’s Government: your organisation exists at our discretion—not under the law.
“Your society’s constitution and legal protections mean nothing if the Government decides you're no longer welcome. There is no legal recourse. No court process. Just political will.”
If this Bill passes:
Every incorporated society becomes vulnerable to political interference.
Assets can be forcibly taken, even when the society is compliant and operational.
The rule of law is replaced by ministerial discretion.
GRNZ believes the closure of greyhound racing is unjustified, but that if it is to proceed, it must be implemented with impeccable fairness to both greyhounds and their people, especially as Minister Peters’ own advisors have drawn attention to the significant wellbeing risks to participants.
“We predicted the Government would excuse its extraordinarily aggressive takeover as necessary to pay for rehoming greyhounds, but what is glaring is the total lack of plans and provisions for those left without assets and employment prospects,” says Rennell.
“This isn't about animal welfare, this is an asset grab without cause, dressed up as policy.”
New Zealanders gamble $238 million annually on more than 46,000 Australian greyhound races annually. GRNZ insists that if betting on greyhound races in New Zealand is deemed unacceptable, then the bill should also prohibit betting on all greyhound racing.
“The Government’s bill allows for New Zealanders to continue betting on overseas greyhound races, even though other racing jurisdictions' welfare standards are no better than ours,” says Rennell.
“This is completely illogical, and makes any ban on New Zealand greyhound racing utterly meaningless. This topsy turvy policy only serves to make more than a thousand people jobless."
GRNZ urges every society in New Zealand to:
Alert your board, members, and community immediately.
Make a submission to the Select Committee opposing the bill, once submissions open.
Join forces with other societies to defend your collective rights.
Contact your MP and demand answers.
For inquiries and interviews please contact GRNZ CEO Edward Rennell:
See draft legislation here.
