Document ID: chunk:federal_register_of_legislation:C2004A03415:body:0:p19
Version: federal_register_of_legislation:C2004A03415
Segment Type: other
Provision Reference: 
Character Range: 47410–50107

trust account as, or as part of, a deposit lodged with a stock exchange under this Part continues to be money in that trust account notwithstanding that it is so lodged.
"(6) Where a person or partnership contravenes subsection (1) or (2), the person, or each partner in the partnership, as the case may be, is guilty of an offence.
Penalty: $5,000 or imprisonment for 1 year, or both.
"(7) It is a defence to a prosecution for a contravention of subsection (1) if it is established that the contravention was attributable to the making of a payment out of the trust account kept by the person or partnership concerned, being a payment that:
     (a) paragraph 74 (1) (a), (c), (d) or (e) authorised the person or partnership to make out of that trust account; and
     (b) the person or partnership would not have been able to make if the person or partnership had complied with subsection (1).
"(8) A person or partnership is not required to comply with this section unless he, she or it carries on:
     (a) in the Territory; or
     (b) both in the Territory and outside it, whether within Australia or not;
a business of dealing in securities, whether or not that business is part of, or is carried on in conjunction with, any other business.
"(9) A member organisation of a stock exchange is not required to comply with this section if, and for so long only as, the member organisation:
     (a) is a member organisation of a body corporate that is a stock exchange for the purposes of a corresponding law of a participating State or participating Territory; and

     (b) complies with the provisions of a law of that State or Territory that correspond with this Part.".

Deposit to be proportion of trust account balances
8. Section 96 of the Principal Act is amended:
     (a) by omitting from subsections (1), (2) and (4) "sole trader or member firm" (wherever occurring) and substituting "person or partnership";
     (b) by omitting from subsection (4) "sole trader or a member firm" and substituting "person or partnership"; and
     (c) by omitting the definition of "trading day" from subsection (5) and substituting the following definition:
        "'trading day', in relation to a stock exchange, means:
          (a) in the case of the Exchange—a day on which a stock market of an Exchange subsidiary; or
          (b) in any case—a day on which a stock market of the stock exchange;
      is open for trading in securities;".

Deposits to be invested by stock exchange
9. Section 97 of the Principal Act is amended:
     (a) by omitting from subsection (1) "sole trader or member firm" (twice occurring) and substituting "person or partnership";
     (b) by omitting subsection