Document ID: chunk:federal_register_of_legislation:C2004A04041:section:1990:p170
Version: federal_register_of_legislation:C2004A04041
Segment Type: section
Provision Reference: s 1990 (pt 170/212)
Character Range: 444799–447437

purchase

  "206hc. (1) A notice that:

     (a) sets out the intention to propose a resolution of a body corporate to approve a proposed employee-shares purchase; and

  (b) is sent to a person entitled to vote on the resolution;

must comply with this section.

"(2) It must set out the text of the proposed resolution and full particulars of such of the terms of the agreement constituting the proposed purchase as are not specified in the resolution.

"(3) It must set out the reasons why the purchase is being proposed and the facts and principles underlying those reasons.

"(4) It must set out, in relation to each person by whom, or for whose benefit, shares to which the proposed purchase relates are held:

  (a) the person's name; and

     (b) particulars of the employment by virtue of which the person is a participating employee in relation to the body corporate, or was such an employee immediately before the person last ceased to be such an employee, as the case requires.

  "(5) It must set out:

     (a) how many of the shares to which the proposed purchase relates are partly-paid shares at the time when the notice is prepared; and

     (b) the total of all amounts (including amounts of premium) that at that time remain unpaid on the first-mentioned shares.

"(6) If the proposed purchase relates to shares in the body corporate, the notice must set out:

  (a) the takeover aspects of the proposed resolution; and

     (b) what the directors consider will be the likely effect on the body corporate's state of affairs if the purchase is made; and

  (c) a copy of a solvency declaration by the directors that relates to

SCHEDULE 5—continued

     the proposed purchase and was made within 7 days before the day on which the notice is prepared.

"(7) If the proposed purchase relates to shares in a subsidiary of the body corporate, the notice must set out:

     (a) what the subsidiary's directors consider will be the likely effect on the subsidiary's state of affairs if the purchase is made; and

     (b) a copy of a solvency declaration by the subsidiary's directors that relates to the proposed purchase and was made within 7 days before the day on which the notice is prepared; and

     (c) what the body corporate's directors consider will be the likely effect on the body corporate's state of affairs if the purchase is made.

"(8) The notice must set out all other information that is known to any of the directors referred to in subsection (6) or (7), as the case may be, and may reasonably be expected to influence a person in deciding whether or not to vote in favour of the resolution.

"(9)