1964_SECURITIES_(DISCLOSURE_OF_INTERESTS)_ORDINANCE — Page 41

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CAP. 396]

Securities (Disclosure of Interests)

[1988 Ed.

6.

(1) A person is taken to have an interest in shares or debentures if, otherwise than by virtue of having an interest under a trust-

(a) he has a right to call for delivery of the shares or debentures to himself or to his order; or (b) he has a right to acquire an interest in shares or debentures or is under an obligation to

take an interest in shares or debentures,

whether in any case the right or duty is conditional or absolute.

(2) Without prejudice to paragraph 1, rights or obligations to subscribe for shares or debentures are not to be taken, for purposes of sub-paragraph (1), to be rights to acquire, or obligations to take, an interest in shares or debentures.

7. Persons having a joint interest are deemed each of them to have that interest.

8. It is immaterial that shares or debentures in which a person has an interest are unidentifiable.

9.

So long as a person is entitled to receive, during the lifetime of himself or another, income from trust property comprising shares or debentures, an interest in the shares or debentures in reversion or remainder is to be disregarded.

10. (1) A person is deemed to be uninterested in shares or debentures if, and so long as, he holds them as a bare trustee or as a custodian trustee.

(2) For the purposes of sub-paragraph (1) a person shall not be held not to be a bare trustee in respect of any property by reason only---

(a) that the person for whose benefit the property is held is not absolutely entitled thereto as against the trustee by reason only that he is an infant or is a person under a disability; or (b) that the trustee has the right to resort to the property to satisfy any outstanding charge or

lien or for the payment of any duty, tax, cost or other outgoing.

11. There shall be disregarded an interest of a person subsisting by virtue of

(a) any unit trust or mutual fund corporation authorized under section 15 of the Securities

Ordinance (Cap. 333); or

(b) a charitable scheme made by order of any court of competent jurisdiction.

12. Delivery to a person's order of shares or debentures in fulfilment of a contract for the purchase of them by him or in satisfaction of a right of his to call for their delivery, or failure to deliver shares or debentures in accordance with the terms of such a contract or on which such a right falls to be satisfied, is deemed to constitute an event in consequence of the occurrence of which he ceases to be interested in them, and so is the lapse of a person's right to call for delivery of shares or debentures.

PART II

Periods within which duties imposed by section 28 must be fulfilled

13. (1) A duty imposed on a person by section 28(1)(a) to notify an interest must, if he knows of the existence of the interest at the commencement of this Ordinance, be performed before the expiration of the period of 5 days beginning with the day following the day appointed under section 1(2); otherwise it must be performed before the expiration of the period of 5 days beginning with the day next following that on which the existence of the interest comes to his knowledge.

(2) A duty imposed on a person by section 28(1)(b) to notify an interest must, if he knows of the existence of the interest on the day on which he becomes a director or, as the case may be, the chief executive, be performed before the expiration of the period of 5 days beginning with the day following that day.

(3) Otherwise, the duty must be performed before the expiration of the period of 5 days beginning with the day following that on which the existence of the interest comes to his knowledge.

(4)

14. (1) A duty imposed on a person by section 28(2) to notify the occurrence of an event must, if at the time at which the event occurs he knows of its occurrence and of the fact that its occurrence gives rise to the duty, be performed before the expiration of that period of 5 days beginning with the day following that on which the event occurs.

(2) Otherwise, the duty must be performed before the expiration of a period of 5 days beginning with the day following that on which the fact that the occurrence of the event gives rise to the duty comes to his knowledge.

(3)