OpenLegislation

Regulation 11 Exemption from consolidated report

Original text. Later amendments are not shown.

(1)

Payments made by a subsidiary undertaking may be excluded from the consolidated report where—

(a)

severe long-term restrictions substantially hinder the exercise of the rights of the parent undertaking over the assets or management of that subsidiary undertaking;

(b)

the information necessary for the preparation of the consolidated report cannot be obtained without disproportionate expense or undue delay; or

(c)

the shares of that undertaking are held exclusively with a view to subsequent resale.

(2)

The parent undertaking may only exclude payments by a subsidiary undertaking under paragraph (1)(a) to (c) where the subsidiary undertaking is excluded from the consolidated group accounts on the same basis.