Western Australian Consolidated Acts Western Australian Consolidated Acts (1) Subject as
hereinafter provided, a company may issue at a discount shares in the company
of a class already issued: Provided that —
(a) the
issue of the shares at a discount must be authorised by special resolution
passed in general meeting of the company and must be sanctioned by the Court:
(b) the
special resolution must specify the maximum rate of discount at which the
shares are to be issued:
(c) not
less than one year must at the date of the issue have elapsed since the date
on which the company was entitled to commence business:
(d) the
shares to be issued at a discount must be issued within 28 days after the
date on which the issue is sanctioned by the Court or within such extended
time as the Court may allow:
(e) the
provisions of paragraphs (a) to (d) inclusive of this proviso shall not
apply to a no liability company.
(2) Where a company
has passed a special resolution authorising the issue of shares at a discount,
it may apply to the Court for an order sanctioning the issue, and on any such
application the Court, if, having regard to all the circumstances of the case,
it thinks proper so to do, may make an order sanctioning the issue on such
terms and conditions as it thinks fit.
(3)(a) Every
prospectus relating to the issue of the shares and every balance sheet issued
by the company subsequently to the issue of the shares must contain
particulars of the discount allowed on the issue of the shares or of so much
of that discount as has not been written off at the date of the making or
issue of the document in question.
(b) If a
company makes default in complying with the requirements of this subsection,
the company and every officer of the company who is in default shall be liable
to a fine not exceeding $100.
[Section 61 amended by No. 113 of 1965
s. 8(1).]