Commonwealth Consolidated Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [Help]

CORPORATIONS ACT 2001 - SECT 283AA

Requirement for trust deed and trustee

  (1)   Before a body:

  (a)   makes an offer of debentures in this jurisdiction that needs disclosure to investors under Chapter   6D, or does not need disclosure to investors under Chapter   6D because of subsection   708(14) (disclosure document exclusion for debenture roll overs) or section   708A (sale offers that do not need disclosure); or

  (b)   makes an offer of debentures in this jurisdiction or elsewhere as consideration for the acquisition of securities under an off - market takeover bid; or

  (c)   issues debentures in this jurisdiction or elsewhere under a compromise or arrangement under Part   5.1 approved at a meeting held as a result of an order under subsection   411(1) or (1A);

regardless of where any resulting issue, sale or transfer occurs, the body must enter into a trust deed that complies with section   283AB and appoint a trustee that complies with section   283AC.

Note:   For rules about when an offer of debentures will need disclosure to investors under Chapter   6D, see sections   706, 707, 708, 708AA and 708A.

  (1A)   An offence based on subsection   (1) is an offence of strict liability.

Note:   For strict liability , see section   6.1 of the Criminal Code .

  (2)   The body may revoke the trust deed after it has repaid all amounts payable under the debentures in accordance with the debentures' terms and the trust deed.

  (3)   The body must comply with this Chapter.

Note:   Sections   168 and 601CZB require a register of debenture holders to be set up and kept.

  (4)   The regulations may exempt a specified offer of debentures, or a specified class of offers of debentures, from subsection   (1).


AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback