Bill 46 2005

An Act to amend
the Securities Act
with respect to
insider trading and tipping

Note: This Act amends the Securities Act. For the legislative history of the Act, see Public Statutes - Detailed Legislative History on www.e-Laws.gov.on.ca.

Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:

1.  The definition of "person or company in a special relationship with a reporting issuer" in subsection 76 (5) of the Securities Act is amended by adding the following clause:

(f) if the material fact or material change with respect to the reporting issuer is an Act or a regulation proposed by the Government of Ontario or Canada that could reasonably be expected to have a material effect on the value of the securities of the reporting issuer, a person who learns of the proposed Act or regulation before it is introduced, made or otherwise made public.

Commencement

2.  This Act comes into force on the day it receives Royal Assent.

Short title

3.  The short title of this Act is the Securities Amendment Act (Insider Trading and Tipping), 2005.

EXPLANATORY NOTE

The Bill amends the Securities Act to extend the prohibition against trading and tipping in section 76 of the Act with respect to securities of a company and the liability in damages in section 134 of the Act to persons who do so with knowledge of an Act or a regulation proposed by the Government of Ontario or Canada that could reasonably be expected to have a material effect on the value of the securities of the company, if the proposed Act or regulation has not been introduced, made or otherwise made public.