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.