CCH Note:
Part 13 of the
Corporations Act 1989, inserted
by sec 6 of No 110 of 1990, Sch 1 (effective 1 January 1991), begins as
follows:
PART 13 - THE CORPORATIONS LAW
THE CORPORATIONS LAW
82
The Corporations Law is as follows:...
CHAPTER 2J - TRANSACTIONS AFFECTING SHARE CAPITAL
History
Chapter 2J inserted by No 61 of 1998, Sch 1 (effective
1 July 1998).
PART 2J.1 - SHARE CAPITAL REDUCTIONS AND SHARE BUY-BACKS
History
Part 2J.1 inserted by No 61 of 1998, Sch 1 (effective
1 July 1998).
Division 1 - Reductions in share capital not otherwise authorised by law
SECTION 256D
CONSEQUENCES OF FAILING TO COMPLY WITH SECTION 256B
256D(1)
[Compliance with sec 256B(1)]
The company must not make the reduction unless it complies with subsection
256B(1).
History
S 256D(1) inserted by No 61 of 1998, Sch 1 and substituted by Sch 5 (effective 1 July 1998).
256D(2)
[Contravention]
If the company contravenes subsection
(1):
(a)
the contravention does not affect the validity of the reduction or of any contract or transaction connected with it; and
(b)
the company is not guilty of an offence.
History
S 256D(2) inserted by No 61 of 1998, Sch 1 and substituted by Sch 5 (effective 1 July 1998).
256D(3)
[Person involved in contravention]
Any person who is involved in a company's contravention of subsection (1) contravenes this subsection.
Note 1:
Subsection
(3) is a civil penalty provision (see section
1317E).
Note 2:
Section
79 defines
involved
.
History
S 256D(3) (Note 1) amended and (Note 2) inserted by No 156 of 1999, Sch 3, Pt 7 (effective 13 March 2000).
S 256D(3) inserted by No 61 of 1998, Sch 5 (effective 1 July 1998).
256D(4)
[Dishonest involvement]
A person commits an offence if they are involved in a company's contravention of section
256B and the involvement is dishonest.
History
S 256D(4) inserted by No 156 of 1999, Sch 3, Pt 7 (effective 13 March 2000).
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