THE CORPORATIONS LAW

CHAPTER 7 - SECURITIES

PART 7.11 - CONDUCT IN RELATION TO SECURITIES

Division 2 - Prohibited conduct

SECTION 995   MISLEADING OR DECEPTIVE CONDUCT  

995(1)  (Omitted by No 110 of 1990, Sch 1 (effective 18 December 1990).)

995(2)  [Misleading or deceptive conduct]  

A person shall not, in or in connection with:

(a)  any dealing in securities; or

(b)  without limiting the generality of paragraph (a):

(i) the allotment or issue of securities;

(ii) a notice published in relation to securities;

(iii) the making of, or the making of an evaluation of, or of a recommendation in relation to, offers under a takeover bid;

(iv) the carrying on of any negotiations, the making of any arrangements or the doing of any other act preparatory to or in any other way related to any matter referred to in subparagraph (i), (ii) or (iii);

engage in conduct that is misleading or deceptive or is likely to mislead or deceive.

995(2A)  [Exceptions]  

Conduct that contravenes:

(a)  section 670A (misleading or deceptive takeover document); or

(b)  section 728 (misleading or deceptive fundraising document);

does not contravene subsection (2). For this purpose, conduct contravenes the provision even if the conduct does not constitute an offence, or does not lead to any liability, because of the availability of a defence.

995(3)  [Contravention not an offence]  

A person who contravenes this section is not guilty of an offence.

995(4)  [Generality of subsection (2) not limited]  

Nothing in the following provisions of this Part or in the provisions of Chapter 6D shall be taken as limiting by implication the generality of subsection (2).