Mahsi, Mr. Chair. Mr. Chair, I am pleased to be here to talk about Bill 12, Securities Transfer Act.

The purpose of this bill is to establish a set of rules for the transfer and holding of securities, in particular the transfer of securities by electronic means across provincial, territorial and international borders consistent with the rules across North America.

Several years ago, it was recognized that Canadian law relating to the transfer and creation of interest in shares and other securities had become outdated. The law did not reflect changes in securities market practices that had occurred over the previous 25 years, particularly the holding and trading of securities electronically through multiple parties. The law was still based on a paper-based system in which a share certificate was provided to the shareholder. This was no longer the reality in the case of publicly traded securities and the result was a degree of uncertainty as to the validity of many transactions.

Securities market participants and Canadian financial services industries agreed, without exception, to the need for modern uniform legislation to improve the efficiency and legal basis of the Canadian Securities Settlement System. The Canadian Securities Settlement System handles an enormous quantity and value of transactions on a daily basis. Issuers, investors and financial institutions rely heavily on the system. It is crucial to the continual growth and competitiveness of the Canadian capital market that a system be supported by a modern legal foundation that produces predictable results, especially in a situation involving cross-border transactions.

As a result, the model on which the bill is based was developed by the Canadian Securities Administrators and the Uniform Law Conference of Canada after a period of extensive consultation with industry stakeholders. The Council of Ministers responsible for security regulations support this bill

in its effort to harmonize laws relating to securities. In the past few years, eight provinces have enacted this legislation.

This bill provides a solid legal foundation for existing practices and supports the further development of market practices in the future. While detailed rules are not directed to the general public to understand and comply with, as clients of the industry participants, the public will nevertheless be the ultimate beneficiary of this bill.

Mr. Chair, I would like to thank the Members of the Standing Committee on Social Programs for their review and comment on the bill and will be pleased to respond to any questions that committee members may have regarding Bill 12. Mahsi, Mr. Chair.

Thank you, Mr. Lafferty. At this time I would like to ask the chair of the standing committee who reviewed the bill if they have any comments on the bill. Mr. Beaulieu.

Thank you, Mr. Chairman. The Standing Committee on Social Programs conducted its public review of Bill 12, Securities Transfer Act, on May 25, 2009. Bill 12 concerned commercial transfer law. The proposed Securities Transfer Act deals with modern security market practices, in particular the holding and trading of securities electronically through multiple tiers of intermediaries.

The bill follows the uniform Securities Transfer Act created by the Uniform Law Conference of Canada in 2004. It is anticipated that all Canadians, territories and provinces will adapt this modern law resulting in greater certainty as to the validity of many transactions that are already common practice for publicly traded securities.

Following the committee’s review, a motion was carried to report Bill 12, Securities Transfer Act, to the Assembly as ready for Committee of the Whole.

This concludes the committee’s opening comments on Bill 12. Individual Members may have additional questions or comments as we proceed. Thank you, Mr. Chairman.

Thank you, Mr. Beaulieu. At this time I would like to ask the Minister of Justice if he would be bringing in any witnesses. Mr. Lafferty.

Yes, Mr. Chair.

Committee agree that the Minister brings in his witness?

Sergeant-at-Arms, escort the witnesses in.

Mr. Lafferty, for the record, please introduce your witnesses.

Mahsi, Mr. Chair. Mr. Chair, I have Mark Aitken, director of legislation, and Gary MacDougall, director of legal registries. Mahsi, Mr. Chair.

Thank you, Mr. Minister. Welcome, witnesses. We are dealing with Bill 12, Securities Transfer Act. This time we are on general comments with regard to Bill 12 by Members. General comments? Clause by clause?

So we can turn to page 10 of the bill. Bill 12, Securities Transfer Act, clause 1.

---Clauses 1 through 109 inclusive approved.

The bill as a whole.

Does committee agree that Bill 12 is now ready for third reading?

With that, I’d like to thank the Minister and thank the witnesses. Sergeant-at-Arms, please escort the witnesses out.

As we agreed, the next item to deal with is Bill 15, Miscellaneous Statute Law Amendment Act, 2009. At this time I’d like to ask the Minister responsible for sponsoring the bill, Minister of Justice, Mr. Lafferty.

Mahsi, Mr. Chair. Mr. Chair, the purpose of Bill 15, the Miscellaneous Statute Law Amendment Act, 2009, is to amend various statutes of the Northwest Territories for which minor changes are proposed or errors or inconsistencies have been identified.

Each amendment included in the bill had to meet the following criteria:

a)

it must not be controversial;

b)

it must not involve the spending of public funds;

c)

it must not prejudicially affect rights;

d)

it must create a new offence or subject a new class of persons to an existing offence.

Departments responsible for the various statutes being amended have reviewed and approved the changes. Most amendments proposed in Bill 15 are minor in nature and many consist of technical corrections to a statute. Other changes have the effect of repealing certain statutory provisions that have expired or have otherwise ceased to have effect. The amendments are of such a nature that the preparation and legislative consideration of individual bills to correct each statute would be time consuming for the government and the Legislative Assembly.

Mr. Chair, I would like to thank members of the Standing Committee on Social Programs for their review and comments on the bill and would be pleased to respond to any question the committee members may have on Bill 15. Mahsi, Mr. Chair.

Thank you, Minister Lafferty. At this time I’d like to ask the chair of the standing committee responsible for reviewing the bill if he has any general comments. Mr. Beaulieu.

Thank you, Mr. Chairman. The Standing Committee on Social Programs conducted its public review of Bill 15, Miscellaneous Statute Law Amendment Act, 2009, on May 25, 2009. This bill makes minor changes to 18 statutes in the Northwest Territories. A non-substantive amendment was made to the bill by committee motion and with the concurrence of the Minister. Following the committee’s review, a motion was carried to report Bill 15, Miscellaneous Statute Law Amendment Act, 2009, to the Assembly as ready for Committee of the Whole as amended and reprinted. This concludes committee’s opening comments on Bill 15. Individual members may have additional questions or comments as we proceed. Thank you, Mr. Chair.

Thank you, Mr. Beaulieu. At this time I’d like to ask the Minister responsible for the bill if he will be bringing in witnesses. Mr. Lafferty.

Yes, Mr. Chair.

Does committee agree that the Minister brings in his witnesses?