THE CORPORATIONS LAW

CHAPTER 1 - INTRODUCTORY

PART 1.2 - INTERPRETATION

Division 6 - Subsidiaries and related bodies corporate

SECTION 46   WHAT IS A SUBSIDIARY  

46    A body corporate (in this section called the ``first body'') is a subsidiary of another body corporate if, and only if:

(a)  the other body:

(i) controls the composition of the first body's board;

(ii) is in a position to cast, or control the casting of, more than one-half of the maximum number of votes that might be cast at a general meeting of the first body; or

(iii) holds more than one-half of the issued share capital of the first body (excluding any part of that issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital); or

(b)  the first body is a subsidiary of a subsidiary of the other body.