Water Act 2000

A water authority must not, directly or indirectly—

make a loan to a director, a director’s spouse, or a relative of a director or a director’s spouse; or

give a guarantee or provide security for a loan made to a director, a director’s spouse, or a relative of a director or a director’s spouse.

Subsection (1) does not apply to the entering into by the authority of an instrument with a person mentioned in the subsection if the instrument is entered into on the same terms as similar instruments are entered into by the authority with members of the public.

A director of a water authority must not be knowingly concerned in a contravention of subsection (1) by the authority, whether or not in relation to the director.Maximum penalty—100 penalty units.

In this section—relative, of a person, means the person’s—

parent or remoter lineal ancestor; or

son, daughter or remoter issue; or

brother or sister.