Corporations (Aboriginal and Torres Strait Islander) Act 2006

CHAPTER 6 - OFFICERS  

PART 6-6 - MEMBER APPROVAL NEEDED FOR RELATED PARTY BENEFIT  

Division 287 - Exceptions to the requirement for member approval  

SECTION 287-5   BENEFIT TO OR BY CLOSELY-HELD SUBSIDIARY  

287-5(1)    
Member approval is not needed to give a financial benefit if the benefit is given:

(a)    by a body corporate to a closely-held subsidiary of the body; or

(b)    by a closely-held subsidiary of a body corporate to the body or an entity it controls.

287-5(2)    
For the purposes of this section, a body corporate is a closely-held subsidiary of another body corporate if, and only if, no member of the first-mentioned body is a person other than:

(a)    the other body; or

(b)    a nominee of the other body; or

(c)    a body corporate that is a closely-held subsidiary of the other body because of any other application or applications of this subsection; or

(d)    a nominee of a body referred to in paragraph (c) .

287-5(3)    
For the purposes of subsection (2) , disregard shares that are not voting shares.