Securities and Futures Act 2001 · 2020 Revised Edition · Part 12 · Market Conduct
236J. Actions not to commence or stayed in certain situations
Feedback & supportLast amended by an amending law of 2021. 2 amendments in all.
Except with the permission of court, no action may be brought against —
a defendant corporation under section 236B, 236C or 236D;
a defendant partnership (including, in the case of a partnership, any of the partners) under section 236E, 236F or 236G; or
a defendant under section 236H or 236I,which relates to a contravention of a provision in this Part (called in this section the primary contravention) by a contravening person referred to in section 236B(1) or 236C(1) (in relation to the defendant corporation), 236E(1) or 236F(1) (in relation to the defendant partnership) or 236H(1) (in relation to the defendant), as the case may be, after the commencement of —
criminal proceedings in respect of the primary contravention against the contravening person; or
an action under section 232 in respect of the primary contravention against the contravening person,and any such action in paragraph (a), (b) or (c) pending on the date of commencement of the proceedings or action in paragraph (d) or (e) must be stayed, and may not thereafter be continued except with the permission of court.
Permission under subsection (1) may not be granted if —
in the criminal proceedings referred to in subsection (1)(d), the contravening person has been acquitted of the primary contravention; or
in the action under section 232 referred to in subsection (1)(e), the court is not satisfied that the contravening person has committed the primary contravention.
Except with the permission of court, no action under section 236D, 236G or 236I may be brought against the defendant corporation, defendant partnership or defendant in respect of a primary contravention after the commencement of —
corporation
“corporation” has the meaning given by section 4(1) of the Companies Act 1967;
criminal proceedings against the defendant corporation under section 236B(1), the defendant partnership (including, in the case of a partnership, any of the partners) under section 236E(1) or the defendant under section 331 in respect of the same contravention;
an action against the defendant corporation under section 236B(3), the defendant partnership under section 236E(3) or the defendant under section 236H in respect of the same contravention; or
an action against the defendant corporation under section 236C(2) or the defendant partnership under section 236F(2) in respect of the failure to prevent or detect that contravention,and any such action under section 236D, 236G or 236I (as the case may be) pending on the date of commencement of the proceedings or action in paragraph (a), (b) or (c) must be stayed, and may not thereafter be continued except with the permission of court.
Permission under subsection (3) may not be granted if a date has been fixed by a court under section 236K for the filing of claims, and in that event the claimant to the proposed action or the action that has been stayed (as the case may be) must comply with such directions relating to the filing and proof of the claimant’s claim under section 236K as that court may issue in the claimant’s case.