Commonwealth Development Corporation Act 1999

18 Minimum Crown shareholding

(1) The Secretary of State shall ensure that the Crown—

(a) holds at least 25 per cent of the Corporation’s issued ordinary share capital, and

(b) continues to hold any special share provided for under the Corporation’s articles of association.

(2) For the purposes of this Act a special share is a share which can be held only by the Crown and which gives the shareholder the right to prevent certain events by withholding consent.

(3) The Secretary of State shall not consent to any alteration of the Corporation’s articles of association which requires his consent as special shareholder unless a statement of the intended consent has been laid before and approved by resolution of each House of Parliament.

(4) Where a person enters into a transaction relating to shares issued by the Corporation—

(a) he shall not be concerned to enquire whether the transaction results in a contravention of subsection (1), and

(b) his rights in relation to the shares shall not be questioned on the grounds of, or affected by, a contravention of subsection (1).

(5) The Secretary of State may by order made by statutory instrument amend or repeal this section; but no order shall be made unless a draft has been laid before and approved by resolution of each House of Parliament.