4Prescribed interests

4 Prescribed interests

(1) For the purposes of this Act, a person holds a prescribed interest in a business entity if he holds an ownership interest, a loan interest or a guarantor interest in the business entity. (2) For the purposes of this Act: (a) a person holds an ownership interest in a business entity that is a company if he holds an interest in any shares in the company; and (b) the amount of the ownership interest is an amount equal to the aggregate of the amounts paid on those shares. (3) For the purposes of this Act: (a) a person holds an ownership interest in a business entity that is a partnership if he is a partner; and (b) the amount of the ownership interest of that person, as at a particular time, is the amount of capital subscribed by that person to the partnership up to that time. (4) For the purposes of this Act: (a) a person holds an ownership interest in a business entity that is a unit trust if he is the holder of a unit or units in the trust; and (b) the amount of the ownership interest is the amount of moneys paid to acquire the unit or units or the value, at the time of transfer, of property transferred to the trustee of the unit trust for the purpose of acquiring the unit or units. (5) For the purposes of this Act: (a) a person holds a loan interest in a business entity that is a company if he is beneficially entitled: (i) to moneys, other than interest, that are or will become payable under, or that are secured by, debentures of the company; or (ii) to any other moneys that are or will become payable by the company by way of repayment of moneys lent to or deposited with the company by any person; and (b) the amount of the loan interest is an amount equal to the aggregate of the amounts of the moneys that are so secured or that are or will become payable. (6) For the purposes of this Act: (a) a person holds a loan interest in a business entity that is not a company if he is beneficially entitled to moneys that are or will become payable by the business entity by way of repayment of moneys lent to or deposited with the business entity by any person; and (b) the amount of the loan interest is an amount equal to the amount of the moneys that are or will become payable. (7) For the purposes of this Act: (a) a person holds a guarantor interest in a business entity that is a company if he is a guarantor of the repayment of: (i) any moneys, other than interest, that are or will become payable under, or that are secured by, debentures of the company; or (ii) any other moneys that are or will become payable by the company by way or repayment of moneys lent to or deposited with the company by any person; and (b) the amount of the guarantor interest is an amount equal to the amount of the moneys that are so secured or that are or will become payable. (8) For the purposes of this Act: (a) a person holds a guarantor interest in a business entity that is not a company if he is a guarantor of the repayment of any moneys that are or will become payable by the business entity by way of repayment of moneys lent to or deposited with the business entity by any person; and (b) the amount of the guarantor interest is an amount equal to the amount of the moneys that are or will become payable. (9) For the purposes of this Act: (a) a person holds a substantial ownership interest in a business entity that is a company if the aggregate of the amounts paid on shares in which he holds interests in the company is not less than 15% of the total of the amounts paid on all shares in the company; and (b) a person holds a substantial ownership interest in a business entity that is not a company if the amount of that ownership interest is not less than 15% of the aggregate of the amounts of all ownership interests in the business entity. (10) For the purposes of this Act, where 2 or more persons hold a prescribed interest jointly in a business entity, each of those persons shall be deemed to hold the whole of that interest, but nothing in this subsection shall be taken to affect the amount of that interest. (11) For the purposes of this Act: (a) a person holds an interest in a share if he has any legal or equitable interest in the share; and (b) without limiting the generality of paragraph (a), where a person is entitled (otherwise than by reason of his having been appointed a proxy or representative to vote at a meeting of members of a company or of a class of its members) to exercise or control the exercise of a right attached to a share, not being a share of which he is the registered holder, that person shall be deemed to hold an interest in that share.