CORPORATIONS ACT 2001

SCHEDULE 4 - TRANSFER OF FINANCIAL INSTITUTIONS AND FRIENDLY SOCIETIES  

Note: See section 1465A.

PART 5 - DISCLOSURE OF THE PROPOSED DEMUTUALISATION  

CLAUSE 34   - UNCONSCIONABLE CONDUCT IN RELATION TO DEMUTUALISATIONS  

34(1)  
A person must not engage in:


(a) conduct that is, in all the circumstances, unconscionable; or


(b) conduct that is misleading or deceptive or is likely to mislead or deceive;

in relation to:


(c) a modification of the constitution of an unlisted company that is a modification to which this Part applies; or


(d) anything done in reliance on, in conjunction with or in connection with the modification.


(e) (Repealed)

34(2)  
In determining whether a person has engaged in conduct that contravenes paragraph (1)(a), have regard to:


(a) whether the person, or someone acting for the person, exerted undue influence or pressure on, or used unfair tactics against, members of the company; and


(b) whether the person, or someone acting for the person, engaged in conduct that resulted in a member or someone else gaining, or being in a position to gain, a benefit that the members generally did not, or would not be in a position to, gain.

This subclause does not limit subclause (1).

34(3)  
A person who contravenes subclause (1) is not guilty of an offence.


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