Document ID: chunk:federal_register_of_legislation:C2023A00111:clause:3_101jh
Version: federal_register_of_legislation:C2023A00111
Segment Type: clause
Provision Reference: sch 3 cl 101JH
Character Range: 120263–122433

101JH  False trading and market rigging—creating a false or misleading appearance of active trading etc.
 (1) A person must not engage in conduct that has or is likely to have the effect of creating, or causing the creation of, a false or misleading appearance:
 (a) of active trading in a market for eligible tradeable water rights; or
 (b) with respect to the market for, or the price for trading in, eligible tradeable water rights.
Civil penalty:  For an individual—2,000 penalty units.
  For a body corporate—see section 101K.
 (2) For the purposes of subsection (1), a person is taken to have created a false or misleading appearance of active trading in markets for eligible tradeable water rights if:
 (a) the person makes an offer (the regulated offer) to acquire or dispose of eligible tradeable water rights; and
 (b) the regulated offer is to acquire or to dispose of eligible tradeable water rights at a specified price; and
 (c) the person has made or proposes to make, or knows that an associate of the person has made or proposes to make:
 (i) if the regulated offer is an offer to acquire—an offer to dispose of; or
 (ii) if the regulated offer is an offer to dispose of—an offer to acquire;
  the same number, or substantially the same number, of those eligible tradeable water rights at a price that is substantially the same as the price referred to in paragraph (a).
Note: The circumstances in which a person creates a false or misleading appearance of active trading in a market for eligible tradeable water rights are not limited to the circumstances set out in this subsection.
 (3) In considering whether a person has created a false or misleading appearance of active trading in markets for eligible tradeable water rights, regard may be had to:
 (a) whether a trade or transfer of eligible tradeable water rights involved, or did not involve, a change in the beneficial ownership of the eligible tradeable water rights; and
 (b) if a trade or transfer of eligible tradeable water rights did not involve a change in the beneficial ownership of the eligible tradeable water rights—whether there was a genuine purpose for the trade or transfer.