Canadian Telecommunications Common Carrier Ownership and Control Regulations — 26
26 (1) Where there is a sale, repurchase or redemption of holdco excess voting shares in accordance with section 23 or 24, the carrier holding corporation shall, not later than 10 days after the sale, repurchase or redemption, deposit an amount equal to the amount of the net proceeds of the sale or the repurchase or redemption proceeds in a special account in any bank or trust company in Canada selected by the carrier holding corporation. (2) Not later than 30 days after a deposit is made pursuant to subsection (1), the carrier holding corporation shall send a notice to the registered holder of the holdco excess voting shares sold, repurchased or redeemed, and the notice shall state (a) that a specified number of voting shares has been sold, repurchased or redeemed; (b) the amount of the net proceeds of the sale or the repurchase or redemption proceeds; (c) the name and address of the bank or trust company at which the carrier holding corporation has made the deposit of the net proceeds of the sale, or the repurchase or redemption proceeds; (d) that the registered owner may obtain the net proceeds of the sale or the repurchase or redemption proceeds, less the costs of administering the special account, on presentation and surrender of the certificate representing the excess voting shares to the bank or trust company referred to in paragraph (c); and (e) all other relevant particulars of the sale, repurchase or redemption. (3) The amount of the deposit referred to in subsection (1), less the costs of administration of the special account, shall be paid to the registered holder of the holdco excess voting shares sold, repurchased or redeemed on presentation and surrender by the registered holder of the certificate representing the excess voting shares to the bank or trust company. (4) Any interest earned on any amount deposited in accordance with subsection (1) shall accrue to the benefit of the carrier holding corporation. (5) Where the amount of the deposit referred to in subsection (1) is not claimed by the registered holder of the holdco excess voting shares that were sold, repurchased or redeemed or by the carrier holding corporation within six years after the sale, repurchase or redemption, the deposit shall escheat to Her Majesty in right of Canada and the rights of a bona fide purchaser under section 25 shall be extinguished by such escheat. (6) After a deposit is made pursuant to subsection (1), the registered holder shall not be entitled to any of the remaining rights of a registered holder in respect of the holdco excess voting shares sold, repurchased or redeemed, other than the right to receive the funds so deposited in accordance with subsection (3). (7) Where only a part of the voting shares represented by a certificate is sold, repurchased or redeemed in accordance with section 23 or 24, the carrier holding corporation shall (a) on presentation and surrender of the certificate and at the expense of the registered holder, issue a new certificate representing the balance of the voting shares not sold, repurchased or redeemed; and (b) amend the security register to indicate (i) the name of the new registered holder of the voting shares that have been sold, repurchased or redeemed, and the number of the voting shares that are now registered in that name, and (ii) the remaining number of the voting shares that are registered in the name of the registered holder of the holdco excess voting shares that were sold, repurchased or redeemed.