AIR NAVIGATION ACT 1920 - SECT 11A Foreign shareholdings in Australian international airlines
AIR NAVIGATION ACT 1920 - SECT 11A
Foreign shareholdings in Australian international airlines(1) The Minister may, by written notice, require an Australian international airline:
(a) to give to the Minister such information as is specified in the notice concerning the extent (if any) to which foreign persons have relevant interests in shares in the Australian international airline; or
(b) if foreign persons have relevant interests in shares in the Australian international airline that represent, in total, more than 49% of the total value of the issued share capital of the Australian international airline--to take all necessary action to ensure that its constitution complies with subsection (2).
(2) The constitution of an Australian international airline complies with this subsection if it:
(a) imposes restrictions on the issue and ownership (including joint ownership) of shares in the Australian international airline so as to prevent foreign persons having relevant interests in shares in the Australian international airline that represent, in total, more than 49% of the total value of the issued share capital of the Australian international airline; and
(c) confers the following powers on the directors of the Australian international airline to enable the directors to enforce the restrictions referred to in paragraph (a):
(i) the power to do anything necessary to effect the transfer of shares held by a person;
(ii) the power to remove or limit the right of a person to exercise voting rights attached to voting shares;
(iii) the power to end the appointment of a person to the office of director of the Australian international airline.
(3) For the purposes of this section, a person has a relevant interest in a share if, and only if, the person would be taken to have a relevant interest in the share for the purposes of the Corporations Act 2001 if paragraph 608(3)(a) of that Act were disregarded.
"another country" includes any region:
(a) that is part of a foreign country; or
(b) that is under the protection of a foreign country; or
(c) for whose international relations a foreign country is responsible.
"Australian international airline" means an international airline (other than Qantas) that may be permitted to carry passengers or freight, or both passengers and freight, under a bilateral arrangement as an airline designated by Australia to operate a scheduled international air service.
(a) an individual who is an Australian citizen or is ordinarily resident in Australia; or
(b) the Commonwealth, a State or a Territory; or
(c) a person who is a nominee of the Commonwealth or of a State or a Territory; or
(d) a Commonwealth, State or Territory authority; or
(e) a person who is a nominee of a Commonwealth, State or Territory authority; or
(f) a local government body (whether incorporated or not) formed by or under a law of a State or a Territory; or
(g) a person who is a nominee of a local government body referred to in paragraph (f); or
(i) is incorporated by or under a law of the Commonwealth or of a State or a Territory; and
(ii) is substantially owned and effectively controlled by persons referred to in paragraph (a), (b), (c), (d), (e), (f), (g) or (i); or
(i) a person in the capacity of a trustee, or manager, of a fund in which the total interests (if any) of persons referred to in paragraph (a), (b), (c), (d), (e), (f), (g) or (h) represent 60% or more of the total interests in the fund.
"bilateral arrangement" means an agreement or arrangement between:
(a) Australia, or an entity or organisation nominated or otherwise similarly authorised by Australia to enter into the agreement or arrangement; and
(b) another country;
under which the carriage by air of passengers or freight
"foreign airline" means an air transport enterprise other than:
(a) an Australian international airline; or
(b) Qantas; or
(c) an air transport enterprise offering or operating an air service solely within Australian territory.
(a) a foreign airline; or
(b) a person (other than a foreign airline) who is not an Australian person.
"Qantas" means Qantas Airways Limited, as the company exists from time to time (even if its name is later changed).
"share" , in relation to a body corporate, means a share in the body's share capital.
"voting share" has the same meaning as in the Corporations Act 2001 .