Commonwealth Repealed Acts

This legislation has been repealed.

CORPORATIONS LAW- SECT 48

Matters to be disregarded

 
 
(1)
This section applies for the purposes of
determining whether a body corporate (in this section called the first
body) is a subsidiary of another body corporate.


(2)
Any shares held, or power exercisable, by the other body in a
fiduciary capacity shall be treated as not held or exercisable by it.


(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);


 
shall be treated as held or exercisable by the other body.
 
(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, shall be disregarded.


(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 shall 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.