Section 1234B — Corporations Act 2001: Purposes for which sub-fund assets may be applied

This section covers the following purposes: (a) meeting liabilities of the sub-fund; (b) carrying on the business of the sub-fund; (c) paying a dividend to members of the sub-fund; (d) providing consideration to a member of the sub-fund in respect of a reduction of share capital affecting the sub-fund; (e) redeeming redeemable shares or redeemable preference shares that are referable to the sub-fund; (f) making a payment covered by section 1237Y (about winding up); (g) making a payment covered by section 1236K (about certain priority payments by a receiver); (h) complying with a compromise or arrangement relating to the sub-fund and approved by the Court under paragraph 411(4)(b), or an order made under section 413 in relation to such a compromise or arrangement; (i) making any other distribution to members of the sub-fund that the CCIV is permitted by this Act and its constitution to make; (j) a purpose prescribed by regulations made for the purposes of this paragraph. Note: The assets may also be applied in accordance with a court order: see subsection 1234E(2).