8AMeaning of influence or control

8A Meaning of influence or control

(1) An entity is in a position to directly or indirectly influence or control an asset if: (a) the entity is in a position to exercise voting or veto rights in relation to the body that governs the asset; or (b) the entity is in a position to make decisions that materially impact on the running of, or strategic direction in relation to, the asset; or (c) the entity has the ability to appoint: (i) persons to the body that governs the asset; or (ii) key personnel involved in running the asset; or (d) the entity is in a position to influence or determine decisions relating to: (i) the business plan, or any other management plan, for the asset; or (ii) major expenditure relating to the asset; or (iii) major contracts or transactions involving the asset; or (iv) major loans involving the asset.

Note: For interests held by trusts, partnerships, superannuation funds and unincorporated foreign companies, see section 53A.

(2) An entity (the controlling entity) is in a position to directly or indirectly influence or control another entity (the controlled entity) if the controlling entity: (a) is in a position to exercise voting or veto rights in relation to the controlled entity; or (b) is in a position to make decisions that materially impact on the running of, or strategic direction of, the controlled entity; or (c) has the ability to appoint persons to the board of the controlled entity; or (d) is in a position to influence or determine decisions relating to: (i) the business plan, or any other management plan, for the controlled entity; or (ii) major expenditure relating to the controlled entity; or (iii) major contracts or transactions involving the controlled entity; or (iv) major loans involving the controlled entity; or (e) together with any associates of the controlling entity, holds an interest of at least 10% in the controlled entity (including if any of the interests are held jointly with one or more other entities). (3) This section does not limit when an entity is in a position to directly or indirectly influence or control an asset or other entity.