Marginal note:Restriction on control and substantial investments
552 (1) Subject to subsections (2) and (3), no society shall acquire control of, or hold, acquire or increase a substantial investment in, any entity other than a permitted entity.
Marginal note:Exception: indirect investments
(2) A society may acquire control of, or acquire or increase a substantial investment in, an entity other than a permitted entity by way of
(a) an acquisition of control of an entity referred to in any of paragraphs 554(1)(a) to (c), or of a prescribed entity, that controls or has a substantial investment in the entity; or
(b) an acquisition of shares or ownership interests in the entity by
(i) an entity referred to in any of paragraphs 554(1)(a) to (c), or a prescribed entity, that is controlled by the society, or
(ii) an entity controlled by an entity referred to in any of paragraphs 554(1)(a) to (c), or a prescribed entity, that is controlled by the society.
Marginal note:Exception: temporary investments, realizations and loan workouts
(3) A society may acquire control of, or acquire or increase a substantial investment in, an entity by way of
(a) a temporary investment permitted by section 557;
(b) an acquisition of shares of a body corporate or of ownership interests in an unincorporated entity permitted by section 558; or
(c) a realization of security permitted by section 559.
Marginal note:Exception: uncontrolled event
(4) A society is deemed not to contravene subsection (1) if the society acquires control of, or acquires or increases a substantial investment in, an entity solely as the result of an event not within the control of the society.
- 1991, c. 47, s. 552
- 1997, c. 15, s. 290
- 1999, c. 31, s. 144
- 2001, c. 9, s. 437
- Date modified: