Document ID: chunk:federal_register_of_legislation:C2017A00017:clause:1_738ze
Version: federal_register_of_legislation:C2017A00017
Segment Type: clause
Provision Reference: sch 1 cl 738ZE
Character Range: 53285–54711

738ZE  Company making CSF offer or CSF intermediary etc. must not financially assist retail client to acquire securities
 (1) This section applies to the following persons in relation to a CSF offer made by a company or that a company intends to make:
 (a) the company;
 (b) a related party of the company;
 (c) a CSF intermediary that is or intends to be the responsible intermediary in relation to the CSF offer;
 (d) an associate of such a CSF intermediary.
 (2) A person to whom this section applies must not:
 (a) financially assist a person who is a retail client in relation to the CSF offer to acquire securities pursuant to the offer; or
 (b) arrange financial assistance for such a person to acquire securities pursuant to the CSF offer.
Note 1: This subsection applies to financial assistance provided by the company even if that assistance does not contravene section 260A.
Note 2: Failure to comply with this subsection is an offence (see subsection 1311(1)).
 (3) Without limiting subsection (2), the prohibition on financial assistance:
 (a) applies whether the financial assistance is provided or arranged before or after the acquisition of securities pursuant to the CSF offer; and
 (b) extends to the provision of financial assistance in the form of a dividend.
 (4) In this section, financially assist and financial assistance have the same meanings as they have in section 260A.

Division 7—Other matters