Document ID: chunk:federal_register_of_legislation:F2016L00343:body:0:p3
Version: federal_register_of_legislation:F2016L00343
Segment Type: other
Provision Reference: 
Character Range: 5576–8228

applicant:

                       (i) a notice that informs them that their application was made using an incorrect application form and of their rights under this section; and

                       (ii) for a body relying on subsection 712(8)—a copy of the application form most recently lodged with ASIC; and

                       (iii) for a body relying on section 712A—details of the current interest rate for debentures of the amount and the term specified by the applicant in the application form; and

                       (iv) 1 month to withdraw their application and be repaid; or

                   (c) issue the debentures to the applicant at the current interest rate and give them:

                       (i) the notice referred to in subparagraph (b)(i); and

                       (ii) 1 month to withdraw their application and be repaid.

                (4) Subsection (3) does not apply if:

                   (a) the interest rate specified in the incorrect application form is higher than the current interest rate for debentures of the amount and term specified in the application; and

                   (b) the body elects to issue the debentures the subject of the application to the applicant at that higher interest rate.

                (5) For the purposes of this section:

                current interest rate means the interest rate offered by the body for debentures of the specified amount and term on the day that the application is received by it.

                   incorrect application form means either of the following:

                   (a) for a body relying on subsection 712(8)—an application form in relation to which the body does not have reasonable grounds to believe is a copy of the application form most recently lodged by the body with ASIC;

                   (b) for a body relying on section 712A—an application form that:

                       (i) does not specify an interest rate, an amount or a term; or

                       (ii) specifies an interest rate which is not the current interest rate for debentures of the amount and term specified by the applicant.";

       (d) after subsection 727(2) of the Act insert:

            "(2A) If a body relies on subsection 712(8) to make an offer of its debentures for issue, the body must not make an offer of debentures, or distribute a prospectus for an offer of debentures, unless:

                  (a) an application form for the offer has been lodged with ASIC; and
                  (b) the offer or prospectus is accompanied by a copy of the application form most recently lodged with ASIC.".