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Crown Agents Act 1979

Changes over time for: Section 12

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Version Superseded: 21/03/1997

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12 Control by Crown Agents of subsidiaries.U.K.

(1)As regards any subsidiary of the Crown Agents, the Crown Agents—

(a)shall ensure that no person other than a member of the Crown Agents is appointed as a director of the subsidiary unless his appointment has been approved by the Minister or is made in accordance with any general arrangements for the appointment of directors of the subsidiary which are for the time being so approved;

(b)shall secure that (notwithstanding anything in the subsidiary’s memorandum or articles of association) the subsidiary does not, either alone or in association with any other person, engage in any activity which the Crown Agents are not empowered to carry on; but

(c)shall not by virtue of paragraph (b) be obliged to prevent the subsidiary from carrying on with the consent of, or in accordance with the terms of any general authority given by, the Minister and in accordance with any conditions attached by him thereto, any activity which the Crown Agents would have power to carry on if the consent or authority had been given to them.

(2)As regards any wholly owned subsidiary of the Crown Agents, the Crown Agents shall secure that (notwithstanding anything in the subsidiary’s memorandum or articles of association) the subsidiary does not, except with the consent of the Minister—

(a)issue any of its shares, stock or debentures to a person other than—

(i)the Crown Agents or another wholly owned subsidiary of the Crown Agents; or

(ii)a person who is to hold them as a nominee of the Crown Agents or of a wholly owned subsidiary of the Crown Agents; or

(b)transfer any interest of the subsidairy in another wholly owned subsidiary of the Crown Agents to a person not within paragraph (a)(i) or (ii).

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