NIN 95/56 - Interim Local Policy Statement 3-24 Statutory and Discretionary Exemptions [NIN - Rescinded]
| Published Date: | 1995-12-22 |
|---|---|
| Effective Date: | 1995-12-21 |
Background
The Former Policy came into effect on February 1, 1987 as the successor to a pre-existing policy regarding statutory exemptions and discretionary orders. The Former Policy has become outdated and contains section references and concepts that no longer apply under current B.C. securities legislation. NIN#88/5, which sets out guidelines for applications for discretionary exemption orders, has also become outdated in several respects. Effective January 1, 1996, the Interim Policy will replace the Former Policy and NIN#88/5.
The Interim Policy
The Interim Policy provides updated guidelines regarding the Commissions views on the use of statutory exemptions and the procedure to be used in applying for discretionary orders. The guidelines in the Interim Policy also reflect the legislative changes resulting from the implementation on January 1, 1996 of the Securities Rules and the remaining unproclaimed sections of the Securities Amendment Act (No. 2), 1995, Securities Amendment Act, 1992, Securities Amendment Act, 1990 and Securities Amendment Act, 1989. In addition, the Interim Policy
- provides expanded and updated guidelines respecting the Commission's views on the use of registration and prospectus exemptions,
- gives examples of circumstances in which discretionary exemption orders have been granted in the past,
- refers to blanket orders that the Commission will be issuing in the near future, or concurrently with the adoption of the Interim Policy,
- provides expanded and updated guidelines respecting the preparation and filing of applications for discretionary orders, and
- discusses numerous miscellaneous matters that commonly give rise to questions from the industry, such as whether an exemption is required when a person transfers securities into the person's own RRSP.
Request for Comments
In the past, the Commission's general practice has been to publish, for comment, a revised local policy statement in draft form prior to adopting the policy. However, given that the Former Policy is substantially out of date and the Interim Policy reflects the legislative changes that will take effect on January 1, 1996, the Commission is adopting the Interim Policy effective January 1, 1996 and concurrently requesting comment on it. Interested persons are encouraged to direct written comments by March 1, 1996 to:
Comment letters submitted in response to Requests for Comment are placed in the public file and form part of the public record, unless confidentiality is requested. Although comment letters requesting confidentiality will not be placed on the public file, freedom of information legislation may require the Commission to make comment letters available. Persons submitting comment letters should therefore be aware that the press and members of the public may be able to obtain access to any comment letter.Brenda J. Benham
Director
Policy and Legislation
British Columbia Securities Commission
1100 - 865 Hornby Street
Vancouver, British Columbia
V6Z 2H4
DATED at Vancouver, British Columbia, on December 21, 1995.
Douglas M. Hyndman
Chair
Ref: Interim LPS 3-24
BOR#88/5
NIN#95/41