(Cap. 32.)
108
(c) does not include a provision to the effect that the
investment adviser-
() if a firm, will notify the client of any change in the partner of the firm; or
(ii) if a corporation, will notify the client of any change in the directors of the corporation,
within a reasonable time after the change.
(2) Subsection (1)(a) does not-
(a) prohibit an investment advisory contract which provides for remuneration based on the total value of a fund averaged over a definite period, or on definite dates, or taken on a definite date; or
(b) apply to an investment advisory contract with the manager or other representative of a unit trust or mutual fund corporation authorized by the Commission for the purposes of this Ordinance, or a company carrying on business as an investment company and registered under the Companies Ordinance, which contract provides for remuneration based on the asset value of the trust, cor- poration, or company under management averaged over a specified period and increasing and decreasing propor- tionately in accordance with the performance of the trust, corporation, or company over a specified period in relation either to
() the investment record of an appropriate index of securities; or
(ii) such other measure of investment performance as the Commission may specify in writing on the application of either party to a contract or intended
contract.
(3) For the purposes of subsection (1)(b) and (c), "invest- ment advisory contract" means a contract or agreement whereby a person agrees to act as investment adviser or to manage any investment or trading account of a client, not being a unit trust or mutual fund corporation authorized by the Commission for the purposes of this Ordinance, or a company carrying on business as an investment company and registered under the Companies Ordinance,
(4) Any investment adviser who knowingly enters into any contract in contravention of any of the provisions of subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine of $2,000.
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(5) Any contract entered into in contravention of any of the provisions of subsection (1) shall, notwithstanding anything in the contract, be voidable at the option of the client.
144. (1) Where, on the application of the Commissioner. it Court may appears to the Court that a person has contravened this Ordin- make cer
tain orders. ance or any conditions of registration thereunder, or is about to do an act with respect to dealing in securities that, if done, would be such a contravention, the Court may, without prejudice to any orders it would be entitled to make otherwise than pursuant to this section, make one or more of the following orders-
(a) an order restraining a person from acquiring, disposing of, or otherwise dealing with any securities specified in the order;
(5) in relation to a registered dealer, an order appointing a person to administer the property of the dealer; (c) an order declaring a contract relating to securities to be
void or voidable:
(d) for the purpose of securing compliance with any other order under this section, an order directing a person to do or refrain from doing a specified act; or
(e) any ancillary order which it considers necessary in consequence of the making of an order under paragraphs (a) to (d),
(2) The Court shall, before making an order under subsec- tion (1), satisfy itself, so far as it can reasonably do so, that the order would not unfairly prejudice any person.
(3) The Court may, before making an order under subsec- tion (1), direct that notice of the application be given to such persons as it thinks fit or direct that notice of the application be published in such manner as it thinks fit, or both.
(4) The Court may reverse, vary, or discharge an order made by it under this section or suspend the operation of such an order.
145. Any person who-
laneous
(a) obstructs the Commissioner or any other public officer Miscel
or any person in the exercise or performance of any offences. power, authority, duty, or function under this Ordin-
ance; or