Unit Trusts Act, 1990
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Prohibition of the sale or purchase of units of unauthorised unit trust schemes and certain like schemes. |
9.—(1) The management company or trustee (if any) under, or any person concerned with the management or supervision of— | |
(a) a unit trust scheme (other than a scheme to which subsection (2) applies) that is not an authorised unit trust scheme, or | ||
(b) a scheme which is an arrangement of a kind (not being an arrangement to which subsection (2) applies) made for the purpose, or having the effect, solely or mainly, of providing facilities for the participation by the public, as beneficiaries (otherwise than under a trust or through membership of a company, a building society, a friendly society or an industrial and provident society) in profits or income arising from the acquisition, holding, management or disposal of securities or any other property whatsoever, | ||
shall not, without the approval of the Bank (which approval may be subject to such conditions as the Bank thinks fit to impose) sell or purchase units of the scheme or make solicitation in respect of such sale or purchase. | ||
(2) This subsection applies to a unit trust scheme or an arrangement which is made for the purpose or has the effect, solely or mainly, of providing facilities for the participation by the public, as beneficiaries under a trust, or (in the case of an arrangement) otherwise than under a trust, in profits or income arising from the acquisition, holding, management or disposal of securities or any other property whatsoever and which is administered by the holder of an authorisation under the European Communities (Life Assurance) Regulations, 1984 ( S.I. No. 57 of 1984 ), and for participation in which a policy of assurance upon human life is required to be effected. | ||
(3) The prohibition contained in subsection (1) does not apply to the purchase from a unit-holder of units of a unit trust scheme the authorisation of which under this Act stands revoked. | ||
(4) A person who sells or purchases units, or makes a solicitation in respect of such sale or purchase, in contravention of subsection (1) (whether because the approval of the Bank under that subsection has not been obtained in respect thereof or because any condition to which the approval is subject has not been complied with) shall be guilty of an offence. |