Corporations Act 2001

CHAPTER 2D - OFFICERS AND EMPLOYEES  

PART 2D.2 - RESTRICTIONS ON INDEMNITIES, INSURANCE AND TERMINATION PAYMENTS  

Division 2 - Termination payments  

SECTION 200C   BENEFITS ON TRANSFER OF UNDERTAKING OR PROPERTY NEED MEMBERSHIP APPROVAL  

200C(1)    
A person must not give a benefit to a person who:

(a)    

holds, or has at any previous time held, a managerial or executive office in a company or a related body corporate; or

(b)    is the spouse of a person referred to in paragraph (a); or

(c)    is a relative of a person referred to in paragraph (a) or of the spouse of such a person; or

(d)    is an associate of a person referred to in paragraph (a) or the spouse of an associate of such a person;

in connection with the transfer of the whole or any part of the undertaking or property of the company.

Note: This section has a modified operation in relation to CCIVs: see section 1224ZD .

200C(2)    

For an offence based on subsection (1) , strict liability applies to the circumstance, that the transfer is in connection with the transfer of the whole or any part of the undertaking or property of the company.

Note: For strict liability , see section 6.1 of the Criminal Code .

200C(3)    

Subsection (1) does not apply to the extent that there is member approval under section 200E .

Note: A defendant bears an evidential burden in relation to the matter in subsection (3) , see subsection 13.3(3) of the Criminal Code .