Commonwealth Numbered Acts

COMPANIES AND SECURITIES LEGISLATION (MISCELLANEOUS AMENDMENTS) ACT 1985 No. 192 of 1985 - SECT 94

94. Section 315 of the Principal Act is amended -

   (a)  by omitting sub-section (2) and substituting the following
        sub-sections:

"(2) The Court shall not make an order pursuant to an application under
sub-section (1) unless -

   (a)  14 days notice of the hearing of the application, or such lesser
        period of notice as the Court or the Commission permits, has been
        given to the Commission; and

   (b)  the Court is satisfied that the Commission has had a reasonable
        opportunity -

        (i)    to examine the terms of the proposed compromise or arrangement
               to which the application relates and a draft explanatory
               statement relating to the proposed compromise or arrangement;
               and

        (ii)   to make submissions to the Court in relation to the proposed
               compromise or arrangement and the draft explanatory statement.

"(2A) In sub-section (2), 'draft explanatory statement', in relation to a
proposed compromise or arrangement between a company and its creditors or any
class of them or between a company and its members or any class of them, means
a statement -

   (a)  explaining the effect of the proposed compromise or arrangement and,
        in particular, stating any material interests of the directors of the
        company, whether as directors, as members or creditors of the company
        or otherwise, and the effect on those interests of the proposed
        compromise or arrangement in so far as that effect is different from
        the effect on the like interests of other persons; and

   (b)  setting out such information as is prescribed and any other
        information that is material to the making of a decision by a creditor
        or member of the company whether or not to agree to the proposed
        compromise or arrangement, being information that is within the
        knowledge of the directors of the company and has not previously been
        disclosed to the creditors or members of the company."; and

   (b)  by adding at the end the following sub-section:

"(23) A reference in this section or section 316 to the directors of a company
is a reference to the directors of the company or any one or more of them.".