INDU Committee Meeting

The Standing Committee on Industry, Science and Technology met at 3:45 p.m. this day, in Room 308, West Block, the Chair, Hon. Michael D.Chong, presiding.

The Committee commenced its clause-by-clause study of the Bill.

The witnesses made statements and answered questions.

Pursuant to Standing Order 75(1), consideration of Clause 1 is postponed.

The Chair called Clause 2.

On Clause 2,

“corporation under paragraph 128(1)(e) or subsection 182(1) or 187(1) or who fills a vacancy under subsection 185(2) or 186(1).”

After debate, the question was put on the amendment of Mike Lake and it was agreed to.

“that has, in the period covering the immediately preceding financial year, received”

Debate arose thereon.

By unanimous consent, the amendment was withdrawn.

Mike Lake moved, — That Bill C-4, in Clause 2, be amended

(a) by replacing line 21 on page 3 to line 12 on page 4 with the following:

“that is referred to in subsection (5.1).”

(b) by adding after line 23 on page 5 the following:

“(5.1) A corporation becomes a soliciting corporation for a prescribed duration from the prescribed date, if it received, during the prescribed period, income in excess of the prescribed amount in the form of

(a) donations or gifts or, in Quebec, gifts or legacies of money or other property requested from any person who is not

(i) a member, director, officer or employee of the corporation at the time of the request,

(ii) the spouse of a person referred to in subparagraph (i) or an individual who is cohabiting with that person in a conjugal relationship, having so cohabited for a period of at least one year, or

(iii) a child, parent, brother, sister, grandparent, uncle, aunt, nephew or niece of a person referred to in subparagraph (i) or of the spouse or individual referred to in subparagraph (ii);

(b) grants or similar financial assistance received from the federal government or a provincial or municipal government, or an agency of such a government; or

(c) donations or gifts or, in Quebec, gifts or legacies of money or other property from a corporation or other entity that has, during the prescribed period, received income in excess of the prescribed amount in the form of donations, gifts or legacies referred to in paragraph (a) or grants or similar financial assistance referred to in paragraph (b).”

After debate, the question was put on the amendment of Mike Lake and it was agreed to.

Clause 2, as amended, carried.

On Clause 3,

“(5) No corporation may be incorporated under this Act unless

(a) its objects are under the legislative authority of the Parliament of Canada; or

(b) it carries on business in more than one province or has a fixed place of business in more than one province.”

After debate, the question was put on the amendment of Robert Bouchard and it was negatived.

Clause 3 carried.

Clause 4 carried.

Clause 5 carried.

Clause 6 carried.

On Clause 7,

“(3.1) Any requirement under this Act to set out a provision in the by-laws is deemed met by setting out the provision in the articles.”

After debate, the question was put on the amendment of Mike Lake and it was agreed to.

“(a.1) its objects;”

After debate, the question was put on the amendment of Robert Bouchard and it was negatived.

Clause 7, as amended, carried.

By unanimous consent, Clauses 8 to 28 inclusive carried severally.

Clause 29 was negatived.

By unanimous consent, Clauses 30 to 37 inclusive carried severally.

The Chair called Clause 38.

Debate arose thereon.

By unanimous consent, Clauses 38 to 145 inclusive carried severally.

On Clause 146,

(a) by replacing lines 16 to 27 on page 61 with the following:

“146.(1) Directors of a corporation who vote for or”

(b) by replacing line 37 on page 61 with the following:

“(2) A director who has satisfied a judgment”

(c) by replacing line 42 on page 61 with the following:

“(3) A director liable under subsection (1) is”

(d) by replacing line 4 on page 62 with the following:

“(4) On an application under subsection (3), a”

(e) by replacing lines 11 to 18 on page 62 with the following:

“(5) An action to enforce a liability imposed”

After debate, the question was put on the amendment of Mike Wallace and it was agreed to.

Clause 146, as amended, carried.

By unanimous consent, Clauses 147 to 160 inclusive carried severally.

On Clause 161,

“(2) On application of the corporation, the Director may authorize the corporation, on any terms that the Director thinks fit, to extend the time for calling an annual meeting if the Director reasonably believes that members will not be prejudiced.”

After debate, the question was put on the amendment of Mike Wallace and it was agreed to.

Clause 161, as amended, carried.

By unanimous consent, Clauses 162 to 180 inclusive carried severally.

On Clause 181,

“of a province; and

(b) subject to subsection (6), comply with the standards of independence of that institute or association of accountants.”

After debate, the question was put on the amendment of Robert Bouchard and it was negatived.

“of the corporation, its affiliates or the”

Clause 181, as amended, carried.

By unanimous consent, Clauses 182 to 209 inclusive carried severally.

On Clause 210,

“(a.1) for the purposes of determining whether the amalgamated corporation is a soliciting corporation or whether paragraph 236(1)(c) applies to the amalgamated corporation, the income received prior to that date by any of the amalgamating corporations is deemed to have been received by the amalgamated corporation;”

After debate, the question was put on the amendment of Mike Wallace and it was agreed to.

Clause 210, as amended, carried.

By unanimous consent, Clauses 211 to 258 inclusive carried severally.

On Clause 259,

“25(1) or (2), 105(3), 161(2), 163(5) or 172(2) or”

Clause 259, as amended, carried.

By unanimous consent, Clauses 260 to 283 inclusive carried severally.

On Clause 284,

“(3) After the expiry of the prescribed period, the Director is not required to keep or produce a document other than

(a) a document referred to in section 129, 135 or 154;

(b) a certificate and attached articles or statement received under section 277; and

(c) the most recent notice of registered office, if no notice under section 20 has been received during the prescribed period.”

After debate, the question was put on the amendment of Mike Wallace and it was agreed to.

Clause 284, as amended, carried.

By unanimous consent, Clauses 285 to 293 inclusive carried severally.

On Clause 294

“section 2(6), 25(1) or (2), 105(3), 161(2), 163(5) or”

Clause 294, as amended, carried.

By unanimous consent, Clauses 295 to 373 inclusive carried severally.

The Short Title carried.

The Title carried.

The Bill, as amended, carried.

ORDERED, — That the Chair report the Bill, as amended, to the House.

ORDERED, — That Bill C-4, as amended, be reprinted for the use of the House at report stage.

At 5:16 p.m., the Committee adjourned to the call of the Chair.