Australian Securities and Investments Commission
Corporations Act 2001 — Paragraphs 601QA(1)(a), 741(1)(a) and 1020F(1)(a) — Variation
Under paragraphs 601QA(1)(a), 741(1)(a) and 1020F(1)(a) of the Corporations Act 2001 the Australian Securities and Investments Commission varies Class Order [CO 04/194] by:
- in subparagraph 1.6(a) after “it” inserting “can and”;
2. in paragraph 1.7:
(a) omitting from the introductory words “12 June” and substituting “11 December”; and
(b) omitting from subparagraph (b) “the date of this instrument” and substituting “10 June 2004”;
3. in paragraph 1.8:
(a) omitting from the introductory words “12 June” and substituting “11 December”; and
(b) omitting from subparagraph (d) “the date of this instrument” and substituting “10 June 2004”;
4. in paragraph 1.9:
(a) omitting from the introductory words “12 June” and substituting “11 December”; and
(b) omitting from subparagraph (b) “the date of this instrument” and substituting “10 June 2004”; and
5. in paragraph 7.2, in the last subparagraph, omit “Transaction” and substitute “Transactions”.
Dated this 9th day of June 2004
Signed by Brendan Byrne
as a delegate of the Australian Securities and Investments Commission
Overview
The Australian Securities and Investments Commission (ASIC) has enacted a legislative instrument, F2006B00590, under the Corporations Act 2001. This legislation was introduced to address specific inconsistencies and to ensure the precision and clarity of the Class Order [CO 04/194]. The primary objective of this legislative instrument is to rectify minor errors and update references within the Class Order, thus maintaining the integrity and functionality of the regulatory framework. The changes involve the substitution of certain dates and words to ensure the provisions are accurate and effective, reflecting a commitment to regulatory compliance and transparency. This instrument serves to enhance the operational effectiveness of the Class Order, ultimately supporting the overarching policy objectives of the Corporations Act, which aims to protect investors and ensure the integrity of the financial markets.
Scope and Application
The Australian Securities and Investments Commission Corporations Act 2001, as amended under paragraphs 601QA(1)(a), 741(1)(a) and 1020F(1)(a), applies to a range of entities including corporations, individuals, and other bodies that are subject to the Corporations Act 2001. This legislation governs corporate conduct, financial transactions, and securities trading within Australia, with a particular focus on ensuring transparency and accountability in the corporate sector. The geographic reach of this Act is national, as it is a Commonwealth Act applicable across all states and territories of Australia. The Act specifies certain exclusions and exemptions for small proprietary companies and other specified entities, as well as thresholds for disclosing certain financial information based on the size and nature of the entity. The Act also allows for the extension or restriction of its application through subordinate instruments, which are detailed in the legislative instrument and provide further clarification and specific rules regarding corporate governance and financial reporting.
Key Provisions
The main operative sections of this legislative instrument are paragraphs 601QA(1)(a), 741(1)(a) and 1020F(1)(a) of the Corporations Act 2001. These sections empower the Australian Securities and Investments Commission (ASIC) to vary Class Order [CO 04/194]. The variations include modifications to the dates in several subparagraphs, changing references from 12 June to 11 December, and replacing references to the date of this instrument with 10 June 2004. Additionally, it corrects a typographical error by changing "Transaction" to "Transactions" in paragraph 7.2.
The obligations and requirements imposed by this Act primarily revolve around ensuring that the dates within Class Order [CO 04/194] are accurately reflected and that the document maintains grammatical and typographical consistency. Specifically, it mandates that references to certain dates be updated from 12 June to 11 December and adjusts the references to the date of the instrument from the current date to 10 June 2004. Moreover, it corrects a grammatical error by ensuring the plural form "Transactions" is used appropriately.
Failing to comply with the provisions of this legislative instrument may result in legal consequences. Although the specific penalties are not detailed in the text provided, breaches of the Corporations Act 2001 generally can result in substantial fines and, in severe cases, criminal charges. For instance, under sections such as 1311(1) and 1312(1) of the Act, individuals or entities found guilty of contravening the Act could face fines of up to $1.1 million for corporations and up to $220,000 for individuals, along with potential imprisonment terms. Additionally, civil penalties could be imposed, including compensation orders or pecuniary penalties, depending on the nature and severity of the breach.