4
**IMPORTANT
If you are in any doubt about this prospectus you should consult your stockbroker, bank manager, solicitor, professional accountant or other professional adviser.";
and in the Chinese version a statement in the follow- ing form-
如對此招睌茸程有任何疑間,應向股螺經紀,銀行經理、李 師、會計師或其他有變數。
M
(1B) If any prospectus is issued which does
not comply with or contravenes the requirements of subsections (1) and (1A), the company and every person who is knowingly a party to the issue there- of shall be liable to a fine of ten thousand dollars.". (c) by inserting at the beginning of subsection (3) the follow-
ing-
"Subject to the provisions of section 38A.";
(d) in the proviso to subsection (4), by deleting "15" and
substituting the following-
**19":
(e) by deleting subsection (5) and substituting the following
new subsection-
"(5) This section shall not apply--
(a) to the issue to existing members or deben- ture holders of a company of a prospectus or form of application relating to shares in or debentures of the company, whether an applicant for shares or debentures will or will not have the right to renounce in favour of other persons; or
(b) to the issue of a prospectus or form of application relating to shares or debentures which are or are to be in all respects uni- form with shares or debentures previously issued and for the time being dealt in or quoted on a recognized stock exchange in the Colony;
but, subject as aforesaid, this section shall apply to a prospectus or a form of application whether issued on the formation of a company or subsequently.";
(f) by adding after subsection (6) the following-
"X7) The Governor in Council may by regula- tion amend the Third Schedule.".
5
6. The principal Ordinance is amended by adding after section 38 the following new sections-
"Exclusion of section 18 and relaxation
of Third
Schedule
in case of certain
38A. (1) Where it is proposed to offer any shares in or debentures of a company to the public by a prospectus issued generally, there may, on the request of the applicant, be given by the Registrar a certificate of exemption, that is to say, a certificate that, having regard to the proposals (as stated in the prospectuses. request) as to the size and other circumstances of the issue of shares or debentures and as to any limitations on the number and class of persons to whom the offer is to be made, compliance with the Todel Schedule Tequirements of the Third Schedule would be either
irrelevant or unduly burdensome.
# 1948 « 3.
39.
(2) A certificate of exemption given under sub. section (1) shall be expressed to have offect with regard to all of the requirements of the Third Schedule or to such of them as are specified in the certificate.
(3) If a certificate of exemption is given, and if the proposals referred to in subsection (1) are adhered to and every form of application issued is accompanied by a document containing the partic- ulars and information required to be published as a condition of the granting of a certificate of exemp- tion, then-
(a) a prospectus giving the particulars and in- formation aforesaid in the form in which they are so required to be published shall be deemed to comply with the requirements of the Third Schedule; and
(b) section 38 shall not apply to any issue of a prospectus or form of application relating to the shares or debentures.
Advertise-
38B. (1) Subject to subsection (2), it shall not meats
be lawful for any person to publish or cause to be concerning prospectuses, published by way of newspaper, radio, television or cinematograph advertisement, or advertisement in any other manner, any extract from or abridged version of a prospectus whether in English or in any other language in relation to shares or debentures of a com- pany whether incorporated in or outside the Colony.
(2) Notwithstanding subsection (1)—
Addition of new sections 38A, 38B, 18C and 380.