A recent reprimand by the London Stock Exchange of an AIM/TSX
dual-listed company for not releasing an announcement in the UK at
the same time as the announcement was released in Canada highlights
the importance of ensuring that dual-listed AIM companies comply
with the AIM Rules for Companies at
all times (the AIM Rules).
Pursuant to Rule 10 of the AIM Rules, "information which is
required to be notified by the AIM Rules must be notified by the
AIM company no later than it is published
elsewhere". In practice, this means that an
announcement by a dual-listed AIM company cannot be released to a
foreign market at a time the AIM market is closed. This includes
situations where information is made public in Canada solely
through publication on SEDAR.
Thus, if such information is required to be disclosed pursuant
to the AIM Rules, any filing on SEDAR must be announced in the UK
at the same time. It is important to note that this rule, as
reinforced by the recent warning issued by the AIM team, precludes
the company from making an announcement when one market is open and
the other is closed, regardless of whether the same announcement is
made immediately upon the other market opening the following
Ultimately, this rule is designed to prevent investors in one
jurisdiction from gaining a competitive edge over others by virtue
of that market having access to information at a time when the same
is not available through approved channels to all markets.
Practically speaking, companies should be mindful to keep their
advisors in each of the jurisdictions where it is listed up to date
and abreast of announcements or matters which the board anticipate
being the subject of an announcement, particularly their AIM
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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