Corporations (Aboriginal and Torres Strait Islander) Act 2006

CHAPTER 17 - INTERPRETING THIS ACT  

PART 17-1 - MEANING OF SOME IMPORTANT CONCEPTS  

Division 689 - Subsidiaries and control  

SECTION 689-10   MATTERS TO BE DISREGARDED  

689-10(1)    
This section applies for the purposes of determining whether a body corporate (the first body ) is a subsidiary of another body corporate.

689-10(2)    
Any shares held, or power exercisable, by the other body in a fiduciary capacity are treated as not held or exercisable by it.

689-10(3)    
Subject to subsections (4) and (5) , any shares held, or power exercisable:

(a)    by a person as a nominee for the other body (except where the other body is concerned only in a fiduciary capacity); or

(b)    by, or by a nominee for, a subsidiary of the other body (not being a subsidiary that is concerned only in a fiduciary capacity);

are treated as held or exercisable by the other body.


689-10(4)    
Any shares held, or power exercisable, by a person by virtue of the provisions of debentures of the first body, or of a trust deed for securing an issue of such debentures, are to be disregarded.

689-10(5)    
Any shares held, or power exercisable, otherwise than as mentioned in subsection (4) , by, or by a nominee for, the other body or a subsidiary of it are to be treated as not held or exercisable by the other body if:

(a)    the ordinary business of the other body or that subsidiary, as the case may be, includes lending money; and

(b)    the shares are held, or the power is exercisable, only by way of security given for the purposes of a transaction entered into in the ordinary course of business in connection with lending money, not being a transaction entered into with an associate of the other body, or of that subsidiary, as the case may be.