Document ID: chunk:federal_register_of_legislation:C2023C00427:clause:2_42
Version: federal_register_of_legislation:C2023C00427
Segment Type: clause
Provision Reference: sch 2 cl 42
Character Range: 65422–67739

42  Direct control interests in a company
(1) For the purposes of this Part, a person holds a direct control interest in a company at a particular time equal to the percentage of the total paid‑up share capital of the company in which the person holds an interest at that time.
(2) For the purposes of this Part, a person also holds a direct control interest in a company at a particular time equal to the percentage of the voting power in the company that the person is in a position to control at that time.
(3) For the purposes of this Part, a person also holds a direct control interest in a company at a particular time equal to the percentage that the person holds, or is entitled to acquire, at that time of the total rights to distributions of capital or profits of the company to its shareholders on winding‑up.
(4) For the purposes of this Part, a person also holds a direct control interest in a company at a particular time equal to the percentage that the person holds, or is entitled to acquire, at that time of the total rights to distributions of capital or profits of the company to its shareholders, otherwise than on winding‑up.
(5) In determining the direct control interest of a particular type that a person holds in a Medibank Private company, it is to be assumed that the only shares in that company are the shares held by persons other than the Commonwealth. For this purpose, share does not include an interest in a share.
(6) For the purposes of this Part, if:
 (a) a person holds a particular type of direct control interest (including a direct control interest that is taken to be held because of one or more previous applications of this subitem) in a company (the first level company); and
 (b) the first level company holds the same type of direct control interest in another company (the second level company);
the person is taken to hold that type of direct control interest in the second level company equal to the percentage worked out using the formula:

where:
first level percentage means the percentage of the direct control interest held by the person in the first level company.
second level percentage means the percentage of the direct control interest held by the first level company in the second level company.

Part 5—Australian identity of Medibank Private companies