Crowdfund laws delayed, again
Legislation extending equity crowdfunding to private companies has been delayed again despite enjoying bipartisan support, meaning the new regime won’t come into effect until at least September, a year after the bill was first introduced to Parliament.
The amendments to the Corporations Act allowing private Australian companies to undertake an equity crowdfunding round were passed by the lower house in late February after first being introduced in September last year.
The bill was set to be debated – with the expectation that it would pass – in the Senate on Monday night, but was put off as a result of the ongoing debate surrounding the government’s planned company tax cut.
The bill was again on the list for Wednesday, but was scratched from the schedule in the afternoon.
The Senate was adjourned on Wednesday night and won’t sit again until May 8, in the budget sitting week.
The equity crowdfunding legislation now enjoys bipartisan support, and would have sailed through had it been debated. The Opposition had successfully negotiated with the government to move an amendment reducing the wait time after the bill is passed to four months, rather than the usual six.
With Parliament not returning until May, this means the new equity crowdfunding scheme cannot come into effect until at least September, some 16 months since it was first announced.
To read more about the crowdfund laws, please click on the link below…
