XN000022-1992-07-15 — Page 13

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I

WEDNESDAY, JULY 15, 1992

UNDER THE PROPOSAL, A PRIVATE COMPANY MAY BY SPECIAL RESOLUTION AUTHORISE ITS DIRECTORS TO SUBMIT A STATUTORY DECLARATION DECLARING THE COMPANY TO BE "DORMANTt".

THE BILL DEFINES A COMPANY AS DORMANT DURING ANY PERIOD IN WHICH NO SIGNIFICANT ACCOUNT ING TRANSACTION OCCURS ; THAT IS A TRANSACTION WHICH, UNDER SECTION 121 OF THE ORDINANCE, WOULD BE REQUIRED TO BE ENTERED INTO THE COMPANY'S BOOKS.

A COMPANY THAT IS REGARDED AS BEING DORMANT WOULD BE EXEMPTED FROM A NUMBER OF REQUIREMENTS OF THE ORDINANCE.

THESE RELATE MAINLY TO THE

THE SUBMISSION OF DOCUMENTATION, INCLUDING ANNUAL RETURNS, MATTERS RELATING TO THE HOLDING OF MEETINGS AND REQUIREMENTS RELATING TO ACCOUNTS AND AUDITING.

MR NENDICK SAID COMPANIES THAT TOOK ADVANTAGE OF THIS NEW STATUS WOULD BE REQUIRED TO NOTIFY THE REGISTRAR 1F AND WHEN THEY INTENDED TO ENTER INTO A SIGNIFICANT ACCOUNTING TRANSACTION.

THEY WILL THEN CEASE TO BE REGARDED AS DORMANT AND WILL BE REQUIRED TO COMPLY WITH ALL THE PROVISIONS OF THE COMPANIES ORDINANCE IN THE NORMAL WAY, HE ADDED.

ON

SANCTIONS AGAINST ANY POSSIBLE ABUSE OF THIS PRIVILEGE, HE SAID THE BILL PROVIDED THAT THE DIRECTORS AND SHAREHOLDERS OF A COMPANY THAT ENTERED INTO A SIGNIFICANT ACCOUNTING TRANSACTION WITHOUT NOTIFYING THE REGISTRAR WOULD BE LIABLE FOR ANY DEBT OR LIABILITY OF THE COMPANY ARISING OUT OF THAT TRANSACTION.

HOWEVER, CERTAIN CATEGORIES OF COMPANIES WILL NOT BE ABLE TO AVAIL THEMSELVES OF DORMANT STATUS BECAUSE OF THE NEED IN THEIR CASE FOR A HIGHER DEGREE OF PUBLIC ACCOUNTABILITY,

1

AUTHORISED

FINANCIAL

THESE INCLUDE PUBLIC COMPANIES INSTITUTIONS, AUTHORISED INSURERS, REGISTERED DEALERS, AND THEIR RESPECTIVE HOLDING COMPANIES.

DEBATE ON THE BILL WAS ADJOURNED.

PAA REPORT TABLED

PROVISIONAL

AIRPORT

THE

THE ANNUAL REPORT AND ACCOUNTS OF THE AUTHORITY (PAA) FOR THE YEAR ENDING MARCH 31, 1992 ARE TABLED IN LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

THE

FINANCIAL SECRETARY, THE HON HAMISH AUTHORITY HAD HAD AN EXTREMELY ACTIVE AND SUCCESSFUL YEAR WHICH SEEN THE AIRPORT PLAN PROGRESS FROM CONCEPT TO DETAILED DESIGN AND, SOME CASES, TO IMPLEMENTATION ON SITE.

MACLEOD,

SAID THE

HAD

IN

IN PARTICULAR