Corporations Act 2001

CHAPTER 8B - CORPORATE COLLECTIVE INVESTMENT VEHICLES  

PART 8B.5 - OPERATING A CCIV  

Division 4 - Purposes for which sub-fund assets may be applied  

SECTION 1234B  

1234B   PURPOSES FOR WHICH SUB-FUND ASSETS MAY BE APPLIED  

This section covers the following purposes:

(a)    meeting liabilities of the sub-fund;

(b)    carrying on the business of the sub-fund;

(c)    paying a dividend to members of the sub-fund;

(d)    providing consideration to a member of the sub-fund in respect of a reduction of share capital affecting the sub-fund;

(e)    redeeming redeemable shares or redeemable preference shares that are referable to the sub-fund;

(f)    making a payment covered by section 1237Y (about winding up);

(g)    making a payment covered by section 1236K (about certain priority payments by a receiver);

(h)    complying with a compromise or arrangement relating to the sub-fund and approved by the Court under paragraph 411(4)(b) , or an order made under section 413 in relation to such a compromise or arrangement;

(i)    making any other distribution to members of the sub-fund that the CCIV is permitted by this Act and its constitution to make;

(j)    a purpose prescribed by regulations made for the purposes of this paragraph.

Note: The assets may also be applied in accordance with a court order: see subsection 1234E(2) .