CA 1993 provides the legal basis for such challenges. CA 1993 allows for the court to declare incorporation is void if it was done with the intention to defraud creditors or for any fraudulent purpose or company's registration was procured by mistake. A company can be a mistake due to errors such as the absence of a company name , the lack of one or more share , the absence of one or more shareholders , lack of at least one director who resides in NZ or in an enforcement country . The idea of corporate personality can be challenged in the Companies Act through the concept of "piercing the corporate veil", director's personal liability, and fraudulent or wrongful trading. Piercing the Corporate Veil: This is a legal action that challenges the protection of limited liability offered by corporate personality. Courts may "pierce" or "lift" the corporate veil in cases where the company is a mere faade, or where it is used for fraudulent or improper purposes. This means that the court looks beyond the company as a separate legal entity and holds the shareholders or directors personally liable for the company's actions. 1. Director's Personal Liability: The Companies Act also imposes certain duties on directors. If a director breaches these duties, they can be held personally liable. This challenges the idea of corporate personality by holding individuals accountable for the actions of the corporation. 2. Fraudulent or Wrongful Trading: If a company continues to trade while inso