14DPowers of trustee in relation to securities

14D Powers of trustee in relation to securities (1) If securities of a body corporate are subject to a trust, the trustee may concur, in the same way as if the trustee were beneficially entitled to the securities, in any scheme or arrangement— (a) for or arising out of the reconstruction, reduction of capital or liquidation of, or the issue of shares by, the body corporate; or (b) for the sale of all or part of the property and undertaking of the body corporate to another body corporate; or (c) for the acquisition of securities of the body corporate, or of control of the body corporate, by another body corporate; or (d) for the amalgamation of the body corporate with another body corporate; or (e) for the release, modification or variation of rights, privileges or liabilities attached to all or any of the securities. (2) The trustee may accept instead of, or in exchange for, the securities subject to the trust securities of any denomination or description of another body corporate party to the scheme or arrangement. (3) If a conditional or preferential right to subscribe for securities in a body corporate is offered to a trustee in relation to a holding in the body corporate or another body corporate, the trustee may, for all or any of the securities— (a) exercise the right and apply capital money subject to the trust in payment of the consideration; or (b) assign to any person, including a beneficiary under the trust, the benefit of the right, or the title to the right, for the best consideration that can be reasonably obtained; or (c) renounce the right. (4) A trustee accepting or subscribing for securities under this section is, for any provision of this division, exercising a power of investment. (5) A trustee may keep securities accepted or subscribed for under this section for any period for which the trustee could properly have kept the original securities. (6) The consideration for an assignment made under subsection (3) (b) is to be held as capital of the trust. (7) This section applies in relation to securities subject to the trust instrument.