§ 316 After Clause 161, under the heading 'Miscellaneous and General Provisions' insert—
§ Summary proceedings in Scotland for offences in connection with disqualification of directors
§ '. In section 21 of the Company Directors Disqualification Act 1986 (application of provisions of the Insolvency Act 1986), after subsection (3) add —
§ "(4) For the purposes of summary proceedings in Scotland, section 431 of that Act applies to summary proceedings for an offence under section 11 or 13 of this Act as it applies to summary proceedings for an offence under Parts I to VII of that Act.".
§ Prosecutions in connection with insider dealing
§ . In section 8 of the Company Securities (Insider Dealing) Act 1985 (punishment of contraventions), in subsection (2) (institution of proceedings in England and Wales), for "by the Secretary of State or by, or with the consent of, the Director of Public Prosecutions".substitute "by, or with the consent of, the Secretary of State or the Director of Public Prosecutions".'.
§ Lord TrefgarneMy Lords, I beg to move that the House do agree with the Commons in their Amendment No. 316, and with permission I should 1125 like to speak to Amendments Nos. 530 and 531 at the same time. The first part of Amendment No.316 harmonises the position in Scotland with that already existing in England and Wales, so that offences under Section 11 or Section 13 of the Company Directors Disqualification Act 1986 can be prosecuted in a summary manner up to three years from the commission of the offence and not six months, as the law in Scotland currently permits. The second part of Amendment No. 316 amends Section 8(2) of the Company Securities (Insider Dealing) Act 1985. At present a prosecution may be instituted under Section 8(2) by the Secretary of State, the Director of Public Prosecutions, or a person acting with the consent of the DPP.
The effect of this new clause is that the Secretary of State will be empowered to consent to insider dealing proceedings being brought by third parties, as can the Director of Public Prosecutions as the section now stands. The reason for the amendment is to permit the International Stock Exchange, which has built up its expertise in insider-dealing cases, to carry a case through to prosecution. Amendments Nos. 530 and 531 are consequential on Amendment No. 316, simply amending the Title of the Bill to include a reference to the Insider Dealing Act and the Company Directors Disqualification Act.
§ Moved, That the House do agree with the Commons in the said amendment. —(Lord Trefgarne.)
§ On Question, Motion agreed to.