Corporations Regulations (Amendment) (Cth)

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Rules1991No. 218 1

__________________

Corporations Regulations 2(Amendment)

I, THE GOVERNOR-GENERAL of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following Regulations under the Corporations Act 1989.

 Dated 27 June 1991.

 

  BILL HAYDEN

 Governor-General

 By His Excellency’s Command,

MICHAEL DUFFY

Attorney-General

____________

1.   Commencement

1.1   Regulations 4 and 9 are taken to have commenced on 1 January 1991.

2.   Amendment

2.1   The Corporations Regulations are amended as set out in these Regulations.

3.   Regulation 5.6.23 (Creditors who may vote)

3.1   Paragraph 5.6.23 (3) (b):

Omit the paragraph, substitute:

  • “(b)

    to treat the liability to him or her on the instrument or security of a prescribed person as a security in his or her hands; or”.

3.2   Subregulation 5.6.23 (4):

Omit the subregulation, substitute:

“(4)

For the purposes of paragraph 5.6.23 (3) (b), a prescribed person is a person whose liability is referred to in paragraph 5.6.23 (3) (a) who:

(a)

is liable to the company directly; or

  • (b)

    may be liable to the company on the default of another person with respect to the liability;

at the time of voting, but who is not:

(c)

an insolvent under administration; or

  • (d)

    a person against whom a winding up order is in force.”.

4.   New regulation 7.1.03

4.1   After regulation 7.1.02, insert:

Prescribed index: definition of “option contract”

“7.1.03.

For the purposes of subparagraph (b) (ii) of the definition of ‘option contract’ in section 9 of the Corporations Law, each of the following indexes is prescribed:

(a)

the Nikkei Index;

(b)

the S&P 500 Composite Stock Price Index;

(c)

the FT-SE 100 Index;

  • (d)

    the Australian Stock Exchange Fifty Leaders Share Price Index;

  • (e)

    the Australian Stock Exchange Twenty Leaders Share Price Index.”.

5. Regulation 7.12.04 (Exempt rights or interests:

definition of “prescribed interest” in section 9 of the Corporations Law)

5.1   Subparagraph 7.12 04 (b) (iii):

After “person”, insert “, or an associate of a person,”.

5.2   Paragraph 7.12.04 (b):

Add at the end:

 “and (iv) except in the case of an agreement that has been entered into when this provision commences, that provides, or will provide, for no more than 15 parties;”.

5.3   Subparagraph 7.12.04 (c) (i):

After “a person”, insert “, or an associate of a person,”.

5.4   Paragraph 7.12.04 (c):

Add at the end:

 “or (iii) except in the case of a trust that existed when this provision commences, the deed of the trust or proposed trust provides or will provide for more than 15 beneficiaries”.

6.   Regulation 7.12.06 (Excluded offers or invitations: paragraph 66 (3) (k) of the Corporations Law)

6.1   Subparagraph 7.12.06 (h) (ii):

Omit “dividends”, substitute “amounts”.

7.   Regulation 7.12.13 (Section 1080 (Particulars to be included in statement))

7.1 Modified paragraphs (f) and (g) of section 1080 of the Corporations Law:

Omit “scheme”, substitute “arrangement, common enterprise, financial or business undertaking, investment contract or scheme”.

8. Regulation 7.12.15 (Prescribed covenants: paragraph 1069(1) (n) of the Corporations Law)

8.1   Subregulation 7.12.15 (4):

Omit the subregulation, substitute:

“(4)

For the purposes of paragraph 1069 (1) (n) of the Corporations Law, the following covenant is prescribed to bind:

  • (a)

    a holder of prescribed interests who, in another capacity, may benefit if the proposed transaction referred to in paragraph (5) (n) is approved at a meeting referred to in that paragraph; and

  • (b)

    an associate of the holder, being an associate who is the holder of prescribed interests;

namely, that neither the holder nor the associate will vote at the meeting in relation to the approval.”.

8.2   Paragraph 7.12.15 (5) (d):

After “trustee will” insert “instruct the valuer to”.

8.3   Subparagraphs 7.12.15 (5) (g) (i) and (ii):

Omit “less”, substitute “more”.

8.4   Paragraph 7.12.15 (6) (f):

Omit “or its associate”.

8.5   Subparagraph 7.12.15 (6) (h) (i):

Omit the subparagraph, substitute:

“(i) is the holder of a dealers licence granted under Part 7.3 of the Corporations Law or a corresponding law; or”.

8.6   Sub-subparagraph 7.12.15 (6) (h) (v) (a):

Omit the sub-subparagraph, substitute:

“(a) the holder of an investment advisers licence granted under Part 7.3 of the Corporations Law or a corresponding law; or”.

8.7   Subparagraph 7.12.15 (9) (b) (ii):

Omit the subparagraph, substitute:

 “(ii) calling for the retirement of the trustee in relation to the scheme concerned or the representative of the holders of prescribed interests in respect of the scheme; or”.

8.8   Subparagraph 7.12.15 (9) (b) (v):

Add at the end “or the representative”.

9.   New regulation 7.13.03

9.1   After regulation 7.13.02, insert:

Eligible body: subsection 1097 (1) of the Corporations Law

“7.13.03.

For the purposes of paragraph (b) (ii) of the definition of ‘eligible body’ in subsection 1097 (1) of the Corporations Law, the Westpac Banking Corporation is prescribed.”.

10.   New Part 8.1

10.1   Before Part 8.2, insert:

“PART 8.1—INTERPRETATION

Exemption from Parts 8.3, 8.4 and 8.5 of the Corporations Law

“8.1.01.

Parts 8.3, 8.4 and 8.5 of the Corporations Law do not have effect in relation to a service as a futures adviser or futures broker that is provided by CSR Limited to the Crown in right of Queensland, to the Queensland Sugar Board or to another public authority of Queensland in connection with the sugar industry.”.

11.   Exemption: Part 8.3—certain futures contracts

11.1   Subregulation 8.3.02 (1) (definition of “investment manager”, paragraph (b)):

Omit the paragraph, substitute:

  • “(b)

    who is not a person involved in a dealing to which Part 8.3 of the Corporations Law does not apply because of paragraph (2) (a), (b), (c), (d) or (e);”.

11.2   Subregulation 8.3.02 (2):

Omit “Divisions 1 and 5 of Part 8.3 of the Corporations Law do”, substitute “Part 8.3 of the Corporations Law does”.

____________________________________________________________

NOTES

1. Notified in the Commonwealth of Australia Gazette on 5 July 1991.

 

2 Statutory Rules 1990 No. 455.

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