1989 Ed.]
Securities
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(IA) For the purposes of subsection (1), "approved stock exchange" means a company which was, immediately before the repeal of section 25, approved or deemed to have been approved as a stock exchange under that section. (Added 58 of 1985 s. 85)
(2) No transaction shall be void or voidable by reason only that it is an insider dealing within the meaning of this Part.
Definition of insider dealing
141B. When insider dealing takes place
(1) Insider dealing in relation to the securities of a corporation takes place and, pursuant to section 141C, may be culpable for the purposes of this Part-
(a) when a dealing in the securities is made, procured or occasioned by a person connected with that corporation who is in possession of relevant information concerning the securities;
(b) when relevant information concerning the securities is disclosed by a person connected with that corporation, directly or indirectly, to another person and the first-mentioned person knows or has reasonable grounds for believing that the other person will make use of the information for the purpose of dealing, or procuring another to deal, in those securities.
(2) A dealing in the securities of a corporation is occasioned by a person connected with that corporation for the purposes of subsection (1)(a) when a person who has obtained relevant information in the circumstances described in subsection (1)(b) actually makes use of that information for the purpose of dealing, or procuring another to deal, in those securities.
141C. Culpability of insider dealing
(1) A person who enters into a transaction which is an insider dealing within section 141B(1)(a) is not culpable for the purposes of this Part-
(a) if his sole purpose in entering into the transaction is the acquisition of qualification shares required by him as a director or intending director of any corporation; or
(b) if he enters into the transaction-
(i) in the bona fide performance of an underwriting agreement with respect to the securities to which the transaction relates;
or
(ii) in the bona fide exercise of his functions as a personal representative, liquidator, receiver or trustee in bankruptcy.
Page 90
Page 91
90
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1989 Ed.]
Securities
[CAP. 333
89
(IA) For the purposes of subsection (1), "approved stock exchange" means a company which was, immediately before the repeal of section 25, approved or deemed to have been approved as a stock exchange under that section. (Added 58 of 1985 s. 85)
(2) No transaction shall be void or voidable by reason only that it is an insider dealing within the meaning of this Part.
Definition of insider dealing
141B. When insider dealing takes place
(1) Insider dealing in relation to the securities of a corporation takes place and, pursuant to section 141C, may be culpable for the purposes of this Part-
(a) when a dealing in the securities is made, procured or occasioned by a person connected with that corporation who is in possession of relevant information concerning the securities;
(b) when relevant information concerning the securities is disclosed by a person connected with that corporation, directly or indirectly, to another person and the first-mentioned person knows or has reasonable grounds for believing that the other person will make use of the information for the purpose of dealing, or procuring another to deal, in those securities.
(2) A dealing in the securities of a corporation is occasioned by a person connected with that corporation for the purposes of subsection (1)(a) when a person who has obtained relevant information in the circumstances described in subsection (1)(b) actually makes use of that information for the purpose of dealing, or procuring another to deal, in those securities.
141C. Culpability of insider dealing
(1) A person who enters into a transaction which is an insider dealing within section 141B(1)(a) is not culpable for the purposes of this Part-
(a) if his sole purpose in entering into the transaction is the acquisition of qualification shares required by him as a director or intending director of any corporation; or
(b) if he enters into the transaction-
(i) in the bona fide performance of an underwriting agreement with respect to the securities to which the transaction relates;
or
(ii) in the bona fide exercise of his functions as a personal
representative, liquidator, receiver or trustee in bankruptcy.
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