National Companies and Securities Commission (State Provisions) Act Amendment Act 1987 (Qld)

139 (ueensfanhb ANNO TRICESIMO SEXTO ELIZABETHAE SECUNDAE REGIN AE No. 12 of 198 7 An Act to amend the National Companies and SecuritiesCommission (State Provisions) Act 1981-1984 in certain particulars [ASSENTED TO 15TH APRIL, 1987]

140 National Companies and Securities Commission (State Provisions ) Act Amendment Act 1987, No. 12 BE IT ENACTED by the Queen's Most Excellent Majesty, by and with the advice and consent of the Legislative Assembly of Queensland in Parliament assembled, and by the authority of the same, as follows:- 1. Short title and citation . (1) This Act may be cited as the National Companies and Securities Commission (State Provisions) Act Amendment Act 1987. (2) In this Act the National Companies and Securities Commission(State Provisions) Act 1981-1984 is referred to as the Principal Act. (3) The Principal Act as amended by this Act may be cited as the National Companies and Securities Commission (State Provisions) Act1981-1987. 2. Commencement . (1) Section 1 and this section shall commence on the day this Act is assented to for and on behalf of Her Majesty. (2) Sections 3 and 5 shall be deemed to have commenced on the day on which Part VI, other than section 162, of the Companies andSecuritiesLegislation (Miscellaneous Amendments) Act 1985 of the Commonwealth came into operation. (3) Sections 4, 7 and 8 shall be deemed to have commenced on the day on which the Futures Industry (Application of Laws) Act 1986, other than sections 1 and 2, commenced. (4) Section 6 shall commence, or be deemed to have commenced, as the case requires, on the day on which section 162 of the Companiesand Securities Legislation (Miscellaneous Amendments) Act 1985 of the Commonwealth comes or came into operation. 3. Amendment of s. 3. Interpretation . Section 3 of the Principal Act is amended by, in subsection (1), omitting the definition "investment contract". 4. Amendment of s. 3 . Interpretation . Section 3 of the Principal Act is amended by, in subsection (1), inserting after the definition "functions" the following definition:- "futures contract" means a futures contract within the meaning of the Futures Industry (Queensland) Code or of the provisions of a law in force in a participating State or in a participating Territory that correspond with that Code;". 5. Amendment of s. 9 . Proceedings at hearings . Section 9 of the Principal Act is amended by, in subsection (1)- (a) omitting the word "and" following paragraph (d); (b) omitting paragraph (e) and substituting the following paragraphs:- "(e) except in the case of a hearing before a Division of the Commission-the provisions of section 20 of the

National Companies and Securities Commission (State Provisions) Act Amendment Act 1987, No. 12 141 Commission Act (other than subsections (3A) and (3B)) apply, so far as they are capable of application, as if the hearing were a meeting of the Commission; and (f) in the case of a hearing before a Division of the Commission-the provisions of section 20 of the Commission Act (other than subsections (3A) and (3B)) and of section 21 of that Act (other than subsections (4A) and (4B)) apply, so far as they are capable of application, as if the hearing were a meeting of that Division.". 6. Amendment of s. 12. Delegation by Commission . Section 12 of the Principal Act is amended by- (a) inserting the following subsection after subsection (1):- "(lA) Without limiting the generality of subsection (1), the Commission may, either generally or as otherwise provided by the instrument of delegation, by writing under its common seal, delegate to a member or acting member all or any powers of the Commission under section 7, 8, 9 or 10."; (b) inserting the following subsection after subsection (6):- "(6A) Any act or thing done in the exercise of a power by a person to whom that power has been delegated by the Commission under subsection (1 A) shall be deemed to have been done by the Commission."; (c) in subsections (7), (8) and (13), inserting after the expression "subsection (1)" the expression "or (1 A)"; (d) in paragraph (a) of subsection (13), inserting after the expression "9 (1) (e)" the expression "and (f)". 7. Amendment of s. 16. Restrictions on dealings in securities . Section 16 of the Principal Act is amended by (a) in subsection (1), omitting all words from and including the words "A person" to and including the words "those securities." and substituting the following words:- "A person who- (a) is, or has at any time been- (i) appointed for the purposes of this Act or any other prescribed Act or law; (ii) engaged as a member of the staff of the Commission; or (iii) authorized to perform or exercise any function or power of the Commission or any function or power on behalf of the Commission; and (b) has, by reason that the person is, or has at any time been, so appointed, engaged or authorized,

142 National Companies and Securities Commission (State Provisions ) Act Amendment Act 1987 , No. 12 information that is not generally available but, if it were, would be likely materially to affect- (i) the price of securities; or (ii) the price for dealing in a futures contract, shall not- (c) in a case where paragraph (b) (i) applies-deal in, or cause or procure any other person to deal in, those securities; or (d) in a case where paragraph (b) (ii) applies-deal in, or cause or procure any other person to deal in, that futures contract or a futures contract of the same kind as that futures contract. (b) omitting subsection (2) and substituting the following subsection:- 6(2) Where a person to whom subsection (1) applies has information as mentioned in that subsection and, in contravention of that subsection- (a) deals in, or causes or procures another person to deal in, securities; or (b) deals in, or causes or procures another person to deal in, a futures contract, the first mentioned person is liable to compensate any other party to the transaction for any loss sustained by that party by reason of (c) any difference between the price at which the securities were dealt in in that transaction and the price at which they would be likely to have been dealt in in such a transaction at the time when the first mentioned transaction took place if the information had been generally available; or (d) any difference between the price at which that dealing in that futures contract took place and the price at which it would be likely to have taken place if the information had been generally available, as the case may be.'';. (c) omitting subsection (5) and substituting the following subsection:- "(5) An action under this-section for recovery of compensation for a loss is not maintainable after the end of the period of 2 years commencing on the day of completion of- (a) the transaction in which securities were dealt in and in which the loss occurred;

National Companies and Securities Commission (State Provisions ) Act Amendment Act 1987, No. 12 143 or (b) the dealing in a futures contract , being the dealing in which the loss occurred, as the case requires.' ; (d) adding at the end of the section the following subsection:- "(8) An expression ( other than a reference to a futures contract) used- (a) in subparagraph ( ii) of paragraph ( b) of subsection (1), paragraph (d) of subsection ( 1), paragraph (b) or (d) of subsection ( 2) or paragraph (b) of subsection (5); and (b) in the Futures Industry (Queensland) Code, has the same meaning in that subparagraph or paragraph, as the case may be , as in that Code.". 8. Amendment of s. 17. Notification of interests . Section 17 of the Principal Act is amended by- (a) in subsection ( 1), inserting after paragraph ( c) the following paragraphs:- "(ca) a futures contract in which the person has a relevant interest; (cb) a futures contract that is of the same kind as a futures contract in which the person has a relevant interest;"; (b) in subsection ( 2), omitting the words "or particular securities" and substituting the words ", particular securities or a particular futures contract"; (c) in subsection ( 3), inserting after the word " securities " the words ", or in a futures contract, whether a futures contract is of the same kind as another futures contract".