Commonwealth Numbered Acts

CORPORATIONS ACT 1989 No. 109 of 1989 - SECT 1028

1028. (1) A corporation shall not accept or retain subscriptions to a
debenture issue in excess of the amount of the issue as disclosed in the
prospectus unless the corporation has specified in the prospectus:

   (a)  that it expressly reserves the right to accept or retain
        over-subscriptions; and

   (b)  a limit on the amount of over-subscriptions that may be accepted or
        retained.

(2) Subject to section 1021 and any regulations made for the purposes of
subsection 1021 (7), where a corporation specifies in a prospectus relating to
a debenture issue that it reserves the right to accept or retain
over-subcriptions:

   (a)  the corporation shall not cause, authorise or permit any statement or
        reference as to the asset-backing for the issue to be made or
        contained in any prospectus relating to the issue, other than a
        statement or reference to the total assets and the total liabilities
        of the corporation; and

   (b)  the corporation shall set out in the prospectus a statement or
        reference as to what the total assets and total liabilities of the
        corporation would be if over-subscriptions to the limit specified in
        the prospectus were accepted or retained.

(3) In this section:

"prospectus" includes a prospectus issued before the commencement of this
Part.