Commonwealth Consolidated Acts

INSURANCE ACQUISITIONS AND TAKEOVERS ACT 1991 - SECT 7

  (1)   For the purposes of this Act, the following persons are associates of a person:

  (a)   a relative of the person;

  (b)   a partner of the person;

  (c)   a corporation of which the person is an officer;

  (d)   if the person is a company--an officer of the company;

  (e)   an employee or employer of the person;

  (f)   an officer of a company of which the person is an officer;

  (g)   an employee of a natural person of whom the person is an employee;

  (h)   the trustee of a discretionary trust where the person or another person who is an associate of the person by virtue of another paragraph of this subsection benefits, or is capable (whether by the exercise of a power of appointment or otherwise) of benefiting, under the trust, either directly or through any interposed companies, partnerships or trusts;

  (i)   a company whose directors are accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of the person;

  (j)   a company where the person is accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of the company;

  (k)   a company in which the person has, apart from this paragraph, an associate - inclusive control interest of not less than 15%;

  (l)   a person who is, because of this subsection, an associate of any other person who is an associate of the person (including a person who is an associate of the person by any other application or applications of this paragraph).

  (2)   If a person (in this subsection called the first person ) enters, or proposes to enter, into an arrangement with another person (in this subsection called the second person ) that relates to any of the following matters:

  (a)   the first person and the second person being in a position, by acting together, to control any of the voting power in a company;

  (b)   the power of the first person and the second person, by acting together, to appoint or remove a director of a company;

  (c)   the situation where one or more of the directors of a company are accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of the first person and the second person acting together;

then, the second person is taken to be an associate of the first person for the purposes of the application of a provision of this Act in relation to the matter concerned.