Financial structure of telecommunication successor company or postal successor company
33.—(1) If the Minister for Finance so directs at any time before the telecommunication successor company ceases to be wholly owned by the Government, such sum (not exceeding the accumulated realised profits of the Authority in connection with its telecommunication undertaking) as may be specified in the direction shall be carried by the telecommunication successor company to a reserve (referred to in this section as the statutory reserve).
(2) The statutory reserve may only be applied by the telecommunication successor company in paying up unissued shares of the company to be allotted to members of the company as fully-paid bonus shares.
(3) For the purposes of any statutory accounts of the telecommunication successor company —
(a)
the vesting effected by virtue of section 31 shall be taken to have been a vesting of all the property, rights and liabilities comprised in the Authority’s telecommunication undertaking (other than the designated telecommunication property) to which the Authority was entitled or subject on the transfer date; and
(b)
the value of any asset and the amount of any liability of the Authority taken to have been vested in the telecommunication successor company by virtue of paragraph (a) shall be taken to be the value or, as the case may be, the amount assigned to that asset or liability in the statement of accounts of the Authority as at the transfer date.
(4) For the purposes of any statutory accounts of the telecommunication successor company, the amount to be included in respect of any item shall be determined as if anything done by the Authority (whether by way of acquiring, revaluing or disposing of any asset or incurring, revaluing or discharging any liability, or by carrying any amount to any provision or reserve, or otherwise) had been done by the company.
(5) Without prejudice to the generality of subsection (4), the amount to be included in any reserves of the telecommunication successor company as representing its accumulated realised profits shall be determined as if any profits realised and retained by the Authority in connection with its telecommunication undertaking had been realised and retained by the company.
(6) References in this section to the statutory accounts of the telecommunication successor company are references to any accounts prepared by the company for the purposes of any provision of the Companies Act (Cap. 50).
(7) Subsections (3) to (6) shall apply mutatis mutandis to the postal successor company as it applies to the telecommunication successor company and the references in those subsections to —
(a)
telecommunication successor company shall be read as references to postal successor company;
(b)
telecommunication undertaking shall be read as references to postal undertaking;
(c)
section 31 shall be read as references to section 46; and
(d)
designated telecommunication property shall be read as references to designated postal property.