Commonwealth Consolidated Acts

FINANCIAL SECTOR (TRANSFER AND RESTRUCTURE) ACT 1999 - SECT 36G

  (1)   A restructure instrument included in a restructure approval is an instrument in relation to an operating body that gives relief (as mentioned in subsection   (2)) to:

  (a)   if the restructure approval relates to a restructure arrangement covered by subparagraph   36B(1)(b)(i)--any or all of the following, as specified in the instrument:

  (i)   the NOHC that is the subject of the restructure approval;

  (ii)   any body corporate related to that NOHC;

  (iii)   if the instrument specifies a requirement in Division   1 of Part   2J.1 of the Corporations Act 2001 --any other person involved in complying with the requirement; or

  (b)   if the restructure approval relates to a restructure arrangement covered by subparagraph   36B(1)(b)(ii)--any or all of the following, as specified in the instrument:

  (i)   the operating body;

  (ii)   any body corporate related to the operating body;

  (iii)   if the instrument specifies a requirement in Division   1 of Part   2J.1 of the Corporations Act 2001 --any other person involved in complying with the requirement.

  (2)   The Minister may specify in the instrument:

  (a)   that the bodies and persons specified in the instrument are given relief from specified requirements of Division   1 of Part   2J.1, or Part   2J.2, of the Corporations Act 2001 , in accordance with the instrument; and

  (b)   the extent (if any) to which the bodies specified in the instrument are given relief from the requirement in section   254T of that Act.

Note 1:   Division   1 of Part   2J.1 of the Corporations Act 2001 deals with restrictions in share capital. Part   2J.2 of that Act deals with self - acquisition and control of shares.

Note 2:   Section   254T of that Act provides that dividends may only be paid if:

(a)   the company's assets are sufficiently in excess of its liabilities immediately before the dividend is declared; and

(b)   the payment of the dividend is fair and reasonable to the company's shareholders as a whole and does not materially prejudice the company's ability to pay its creditors.

Note 3:   For the legal effect of the instrument, see section   36J.

  (3)   A restructure instrument is not a legislative instrument.