CHAPTER 1
INTRODUCTION
The Internet has created new paradigms for commerce, and so new problems
for a legal system which grew out of older paradigms. [1]
Background
1.1 In securities markets, an electronic future is taking shape with
growing urgency. In September 1990, the Australian Stock Exchange (ASX)
completed the replacement of its state-based trading floors with a national,
computer-based, automated share-trading system known as SEATS. Simultaneously,
it began a program to replace its essentially paper-based share transfer
and settlement system. This program culminated, in September 1994, in
the operation of the Clearing House Electronic Sub-register System (or
CHESS), which enables securities to be transferred electronically, and
automatically updates company share registers.
1.2 In March 1994, Unipalm, a small British software firm, became the
first British company to make its prospectus available electronically
over the Internet. [2] In February 1995,
Spring Street Brewing Co, a small Minnesota brewer, became the first company
to offer its shares to investors solely over the Internet, raising approximately
$1.6m in the process. [3]
1.3 In September 1995, the Securities and Exchange Commission of the
United States (SEC) opened an Internet site. This makes corporate financial
information available in electronic form directly from the SEC database,
as well as brochures, publications, speeches and other information on
the SEC and its operations. [4]
1.4 In late 1995, the Australian Securities Commission (ASC) established
its Electronic Commerce Project and, in March 1996, opened its own Internet
site. In May 1996, as part of the Project, the ASC set out some draft
principles which it would apply when using its discretionary powers in
the area of electronic communications. In particular, the ASC outlined
measures to facilitate the use of electronic prospectuses on a case-by-case
basis. [5]
1.5 In July 1996, the stockbroker Hartley Poynton Ltd became the first
Australian company to take advantage of the new ASC policy and publish
its prospectus on the Internet. The use of electronic communications apparently
reduced the time between the registration of the prospectus by the ASC,
and its printing and distribution to investors, from 2 weeks to 1 hour.
[6]
1.6 In June 1996, the SEC permitted Real Goods Trading Corporation, a
company listed on the Pacific Stock Exchange, to establish a passive "bulletin
board" providing information to prospective buyers and sellers of
its shares. The SEC did not require the registration of such offers or
sales because the "bulletin board" was seen simply as a listing
service, with transactions taking place only by direct contact between
participants, independently of the company. [7]
1.7 In July 1996, the SEC permitted IPONET, a securities dealer, to make
"generic solicitations for accredited or sophisticated investors"
who were interested in private placements of shares. Investors who met
certain minimum qualification requirements were given access to a password-protected
page on the IPONET Internet site. This enabled them to view various offer
documents and make investments as a result. [8]
1.8 In September 1996, the ASC announced that, from 1 October, it would
enable all companies and other issuers to make their prospectuses available
electronically, where:
- a copy of the prospectus in paper form was also lodged with the ASC;
- both versions of the prospectus provided essentially the same information;
and
- the issuer took steps to protect the electronic prospectus from tampering.
[9]
1.9 By January 1997, one fifth of Australia's stockbroking houses - predominantly
smaller or regional brokers - had an electronic 'presence' on the Internet,
as did the ASC, the ASX and the Sydney Futures Exchange. Some brokers
offered their clients access to share-price quotes and share-trading by
electronic mail.
1.10 Approximately 100 listed companies also had sites. [10]
Some companies placed financial reports and Stock Exchange announcements
on the Internet at the moment of their release. Some mining companies
made available regular - sometimes daily - drilling reports. [11]
Some bank sites were capable of receiving loan and credit applications;
others enabled customers to check account balances, pay certain bills,
and transfer money between accounts. [12]
1.11 In February 1997, the ASC hosted Regulating the Marketspace - an
international conference on developments in electronic commerce. In addressing
the conference, the Chief Executive of the ASX, Mr Richard Humphry, saw
the continuing globalisation of securities markets as the culmination
of the first stage of an electronic commerce revolution:
It has already meant that Australian investors can buy US shares
directly using the Internet. Overseas as well as local investors can
see real time Australian share prices and deal with Australian stockbrokers.
Australian high-tech companies are listing on NASDAQ and Australian
miners and explorers are listing in Vancouver. The Chicago Mercantile
Exchange is reported to be about to introduce futures trading on the
Internet. NAB [National Australia Bank] is getting into Internet banking.
It's hard to avoid the conclusion that the horse has already bolted,
and it's too late to try to close the stable door. We have to catch
up with the horse and ride it. [13]
1.12 Also addressing the conference, the ASC Chairman, Mr Alan Cameron,
observed that the challenge faced by his organisation in this area was:
to be encouraging and facilitative, to ensure that regulation
based on the assumptions of the paper world does not unduly inhibit
the exciting opportunities offered by the electronic world, but also
that investors and others can have confidence in taking up these opportunities
and achieving the savings and efficiencies which this world can offer.
[14]
1.13 In March 1997, the Treasurer announced a Corporate Law Economic
Reform Program, specifically referring to the "huge questions"
raised by growth in electronic commerce. [15]
The Chief Executive of the ASX foreshadowed the development of a system,
using the existing ASX Internet site, to match investors with small companies
seeking capital. [16] In America, the
SEC gave in-principle approval to a proposal from the business group Private
Financial Network for the transmission over the Internet of 'roadshows'
for public offerings of securities. [17]
1.14 In April 1997, the Federal Government permitted Austock Brokers
to begin operating an exempt electronic market in certain specified securities
outside ASX regulation. Media reports concluded that such a market might
provide an alternative for other companies not wishing to join the official
list immediately. [18]
Purpose of this Paper
1.15 It is trite, now, to observe that we live in an increasingly global
electronic market. Nonetheless, it is self-evidently true, and the ramifications
of this trend are rapidly becoming more apparent. While these ramifications
remain essentially speculative, they are potentially so extensive and
so pervasive that it has become important to anticipate and begin planning
for them.
1.16 The purpose of this Paper, therefore, is to discuss some of the
implications of the emerging global electronic market, particularly the
implications for the regulation of corporations and securities markets
in Australia. This Paper seeks to lay the foundations for an inquiry the
Committee proposes to undertake in this area. The terms or reference for
this inquiry are set out at page v of this Paper, and the Committee welcomes
views on those terms of reference.
1.17 While aware that innovation has brought about significant change
and convergence in many products traded in financial markets, the Committee
has, at this time, chosen to concentrate on the Corporations Law and on
equity-related securities. Such an approach enables the Committee to focus
on specific issues within its area of expertise, avoiding duplication
of the more general work already undertaken by others such as the Wallis
Financial System Inquiry. Also, equity-related securities ultimately represent
a share in a 'fundamental' or 'real' asset upon which many other financial
products are based. And, perhaps most importantly, unlike many other financial
products, equities continue to be traded in markets in which a significant
number of individual investors - of varying degrees of sophistication
- participate. [19] Arguably, a discussion
of possible regulatory approaches has the greatest relevance in such markets.
1.18 It should be noted that this Paper is an Issues Paper, prepared
from a selection of public, news and other sources. In general terms,
it seeks to raise issues, stimulate debate, and canvass some possible
regulatory approaches for further consideration. It does not claim to
be exhaustive, nor does it represent the concluded views of the Committee.
Matters outside the scope of this Paper
Electronic commerce and taxation
1.19 A number of matters related to electronic commerce are outside the
scope of this Paper. In particular, it does not examine the implications
of electronic commerce for taxation or money-laundering, nor the consequences
of developing secure forms of electronic cash. The implications of electronic
commerce for the taxation system are currently being considered by, among
others, the Australian Tax Office (ATO) [20]
and the Joint Committee of Public Accounts. [21]
The ATO is apparently seeking technical assistance from the CSIRO to help
it prepare a list of possible threats to the tax system, and plans to
seek international agreement on how to tax emerging forms of electronic
commerce. [22] In his most recent Annual
Report, the Commissioner of Taxation observed that:
Electronic commerce is of particular concern because the Internet
and similar computer networks enable trade to be conducted without regard
to national borders. In combination with emerging payment technologies
such as digital cash and smart cards, the Internet represents a new
international market place. We will need to continue our research and
promote international co-operation in this area. Australia has taken
a leading role in getting the OECD to focus on this issue. [23]
Electronic commerce, electronic cash and money-laundering
1.20 The implications of electronic commerce for money-laundering and
for law enforcement generally are being considered by, among others, the
Parliamentary Joint Committee on the National Crime Authority, and the
Electronic Commerce Task Force established by the Commonwealth Law Enforcement
Board and chaired by the Director of the Australian Transaction Reports
and Analysis Centre. Among other things, this Task Force recently reported
in detail on the law enforcement implications of various new payment mechanisms
(including mechanisms designed to facilitate financial payments and money
transfers over the Internet or by the use of smart card technology). [24]
1.21 Similarly, this Paper does not canvass technical or consumer issues
related to the purchase or sale of goods and services generally by electronic
means. Electronic capital raising and share-trading is obviously facilitated
by, but does not depend on, the development of electronic payment methods.
1.22 There are clearly dangers in a multiplicity of groups separately
canvassing the implications of electronic commerce in discrete areas.
In principle, the Committee sees much force in the observation of the
Steering Group of the Electronic Commerce Task Force that:
If ever there was an issue in which government should adopt a whole-of-government
approach to policy making and to be conscious of the inevitable and
clear interactions between perspectives, that issue is electronic commerce.
[25]
1.23 However, such a "whole-of-government approach" should
be adopted with an awareness of particular problems, and consideration
of particular solutions. Of course, particular issues may ultimately prove
to be of more general relevance.
Structure of this Paper
1.24 The remainder of this Chapter outlines some aspects of developing
technology - including the Internet - and their likely effects on corporations
and securities markets. Chapter 2 outlines some of the issues raised by
these developments. Chapter 3 canvasses the feasibility of some possible
regulatory approaches.
Technological developments
The Internet
1.25 It has been suggested that the main technological development urging
change on corporations and in securities markets is the emergence of networks
and associated information technologies. [26]
The emergence of such networks, in turn, depends on the continuing development
of low cost, reliable, high-capacity communications infrastructure:
The Internet and private or restricted networks (called 'intranets')
have the potential to transform both operations within financial institutions
and communications between customers. The transformation is likely to
accelerate appreciably upon the imminent resolution of security problems.
[27]
1.26 As indicated above, the technological development most often mentioned
in the context of electronic commerce is the Internet. Put simply, the
Internet is a world-wide network of computer networks used for the carriage
and communication of information. That information may be stored on any
computer connected to the network and, in theory, is accessible to any
other computer connected to the network. The Internet has no real central
structure, although there are several groups which provide guidance in
formulating operating protocols. [28]
1.27 As a network, the Internet has no single, physical or fixed location.
For this reason, the 'place' in which Internet transactions occur is often
termed 'cyberspace'. Most notably, the fact that transactions may be conducted
across, or outside, national boundaries, and may involve locations different
from those assumed by the participants, may lead to a series of jurisdictional
problems (which principally involve identifying the law which is to apply
to the transaction). The ready accessibility of the network also leads
to problems centring on the verifiability and security of transactions,
though a number of organisations are said to be working to overcome these
problems. [29]
1.28 The term "Internet" is used in popular parlance to refer
to a range of information services accessible over the network. These
include Web sites (or home pages), electronic mail, newsgroups and "chat
rooms".
1.29 An Internet home page is essentially an electronic location or address
at which someone makes information available, often with linkages to other
sources of information. Some sites are passive, simply providing information;
others are interactive (permitting users to communicate with the information
provider, or to undertake transactions such as ordering products, transferring
money or completing forms).
1.30 As indicated by its name, electronic mail is direct correspondence
between users undertaken electronically. An Internet newsgroup is essentially
an electronic "bulletin board" on which any user may "post"
an opinion and/or comment on opinions expressed by others. A "chat
room" enables those electronically "in the room" to "converse"
with each other simultaneously by typing messages. There is nothing rigid
in these classifications, and various forms of electronic communication
often shade into each other.
1.31 Of course, the Internet is simply one means by which electronic
commerce may be conducted. Others - including Electronic Data Interchange,
ATM terminals, EFTPOS retail transactions, and banking by telephone -
are familiar to many, and commonly used. Foreign exchange markets have
for a considerable time been conducted globally and electronically. Information
has, again for a considerable time, been made available electronically
through subscription-based computer networks such as Compuserve or America
OnLine (which also enable their subscribers to access the Internet). However,
it is the breadth and openness of the Internet (and of its most vital
branch - the World Wide Web) that has captured most attention, and which
is discussed by way of example in this Paper.
Significance of transactions on the Internet
1.32 Estimates of the significance (and potential significance) of Internet-based
transactions vary widely. It has been suggested that there may be some
40 million Internet users worldwide, although no census has ever been
taken and this estimate may be inaccurate by tens of millions. [30]
Telstra has estimated that, by mid 1998, Internet traffic across the Pacific
to North America will exceed telephony traffic. [31]
However, in order to connect a home computer to the Internet, a device
called a modem is necessary. It has been pointed out that, while 47% of
Australian households own personal computers, only 15% have a modem. [32]
1.33 With specific reference to electronic banking, a survey by the Roy
Morgan Research Centre indicated that, over a four week survey period,
approximately 9% of Australians aged 14 or more (about 1.34 million people)
conducted banking by telephone, whereas only 0.6% (or fewer than 100,000
people) linked with a financial institution through a personal computer.
[33]
1.34 Another survey of the wider financial services industry, compiled
by IBM, predicted a 300% increase in the use of telephone and computer-based
services over the next five years. [34]
A Business Review Weekly survey of the Chief Executive Officers of major
Australian corporations indicated that 100% of those surveyed in the finance
sector believed the Internet would play a role in their business by the
year 2000. [35]
1.35 In reality, estimates of the potential significance of the Internet
remain little more than conjecture. Some see the trend to electronic commerce
bringing about significant, almost apocalyptic, change in the immediate
future. For example, one commentator observed that:
In a rapidly emerging global on-line economy, Australia's Internet
clock is ticking. Understanding the extent and speed of the shift to
on-line or electronic commerce conducted between businesses and homes
across national borders will be critical to Australia's future.
In short, we are in a race for economic and cultural survival
in the 21st century. Our action, or inaction, in the next few years
will determine whether we are leaders, minor participants or also-rans
in a borderless world in which digital bits of information are the primary
currency. [36]
1.36 Others are somewhat more sceptical, noting, for example, that, just
as the Campbell Inquiry was told in 1981 that telephone banking would
be common as early as 1985, it will inevitably take much longer for the
"brave new world described by so many techno-visionaries" to
arrive. [37]
1.37 The Wallis Committee Report summarised the situation in the following
terms:
- Internet penetration is large and growing - 11% of Australians over
the age of 15 were likely to have used the Internet in the past week,
and usage is doubling every 10 months;
- it is currently used by those in the finance sector primarily as a
tool for brand awareness and promotion; and
- while it is possible to conduct financial services transactions over
the Internet, its use for such purposes is currently minimal, but likely
to become greater as the Internet becomes more accessible and security
is improved. [38]
1.38 On this issue, the Committee sees considerable force in the observations
of Mr Richard Humphry, the Chief Executive of the ASX: irrespective of
whether or not a significant global securities market ever develops on
the Internet, those who dismiss the possibility run a large risk of looking
foolish, and the very possibility itself provides what might be seen as
the ultimate destination of existing trends, and makes us consider what
responses should be planned. [39]
Potential effect of the Internet on corporations and securities markets
1.39 Electronic commerce, including the Internet, may affect corporations
and securities markets in various ways. These are canvassed more specifically
in Chapter 2 of this Paper. In broad terms, the Internet is most likely
to be used to convey information and to undertake transactions. It is
used by corporations, regulatory authorities, investment advisers and
investors to provide and receive information about corporations and securities.
As noted above, it is now also used by corporations and others seeking
to raise capital through the issue of securities, and by investors seeking
to buy, sell or subscribe for securities.
1.40 The potential effects of electronic commerce have been canvassed
in general terms by a number of commentators. For example, in March 1994,
Mr Charles Sandford, as Chairman of Bankers Trust, elaborated a vision
for the year 2020 that included:
- the purchase and manipulation of large amounts of data by investors
themselves rather than by intermediaries;
- trading on electronic markets where the prices of a vast array of
assets were constantly displayed and updated;
- sophisticated computer programs, enhanced with artificial intelligence,
to execute trades automatically as stock prices change - perhaps removing
the need for some stockbrokers - and to advise investors on how to diversify
their assets to maximise returns or minimise risk;
- advertisements on electronic bulletin boards to match buyers with
sellers and borrowers with lenders;
- transactions instantly verified and settled through a global, real-time
payments system; and
- the disappearance of many of the systemic problems (such as currency
and settlement risk) that currently preoccupy financial regulators.
[40]
1.41 Similarly, in releasing its Electronic Commerce Project documents
in May 1996, the ASC predicted that growing technology and globalisation
would "drive structural change in Australia's capital markets",
and that developments in electronic commerce would fundamentally affect
the financial services industry, resulting in:
- changes in the way in which investment products are offered, distributed
and marketed and in the way in which investors access information about
the products and entities involved;
- changes faced by intermediaries, especially advisers, and the need
to find new ways to deal with investors;
- the continued blurring of product and institutional boundaries, and
even the scope of the financial services sector itself as non-traditional
entities take on some of the functions of financial intermediaries;
and
- changes in the methods by which investment products are distributed
and marketed, increasingly drawing on the techniques of other mass-marketed
consumer products. [41]
1.42 The ASC also saw electronic communications between issuers and investors
as promising to reduce costs - thereby increasing the efficiency and competitiveness
of Australian securities markets - and as enhancing the quality of information
available and its timeliness. [42]
1.43 In the United States, the Chairman of the Securities and Exchange
Commission saw the new technology facilitating disclosure that was quicker,
more direct, more accessible and more useful to investors. [43]
1.44 Others envisage it leading to a 'real' world that more closely approximates
the textbook models of neoclassical economics - a world in which:
- customers have access to a greater number of firms;
- those firms are less able to influence prices charged;
- both buyers and sellers have much greater knowledge of the range in
price and quality of goods or services on offer;
- the barriers to participants entering or leaving the market are lower;
and
- there is much greater price-sensitivity, with reduced transaction
and information costs, with non-price factors such as location or packaging
of little influence, with minimal scope for price discrimination (or
charging different prices in different markets), and with prices likely
to change more often in response to changes in demand and supply conditions.
[44]
Electronic commerce and the conclusions of the Wallis Committee
1.45 The Financial System Inquiry established by the Treasurer in June
1996 and chaired by Mr Stan Wallis (the Wallis Committee) was, amongst
other things, specifically asked to analyse the forces (particularly technological
development) driving further change in the Australian Financial System.
In March 1997, that Committee issued its report which contained a number
of findings and recommendations. Among other things, the Committee found
that:
- technology was encouraging innovation to occur in the financial services
industry at an accelerating pace, leading to major changes in financial
relationships and market structures;
- more open information networks were evolving, leading to increasing
demands for standardisation and ease of use, and increasing pressures
on industry cost and pricing structures;
- improvements in determining the authenticity of users and in the secure
transmission of information would accelerate the use of these networks;
and
- organised markets and exchanges were facing competition from new information
and trading systems that threatened the value of their business. [45]
1.46 With regard to globalisation, the Committee found that Australian
financial markets were already closely linked to global markets, and participants
at the wholesale level regularly accessed international products. The
Committee also found that:
- exposure to global competition was a powerful force for improved efficiency
and innovation in the domestic economy;
- parts of the local finance industry might relocate offshore virtually
overnight if Australia did not remain competitive;
- regulation in Australia (for example, capital adequacy standards and
regulations concerning fundraising) should be in harmony with that overseas;
and
- 'regulatory competition' between competing jurisdictions could lead
to an overall lowering of regulatory standards, however a more likely
outcome was the development of a range of regulatory frameworks across
jurisdictions which best met the needs of participants and users in
those markets. [46]
1.47 A key Committee recommendation was that a single agency, the Corporations
and Financial Services Commission (CFSC), should be established to provide
Commonwealth regulation of corporations, financial market integrity and
consumer protection. It should have power to use a combination of regulatory
approaches. [47]
1.48 In the broad area of global electronic commerce, the Committee's
recommendations included:
- the harmonisation of Australian accounting standards with international
standards;
- the monitoring of new technologies and participation in global regulatory
programs by the CFSC;
- regulation in Australia should not differ between different technologies
or delivery mechanisms so as to favour one technology over another;
- the adoption in Australia of international standards for electronic
commerce; and
- to assist in international law enforcement and consumer protection,
Australian regulatory authorities should maintain close relationships
with counterparts in other jurisdictions and, as far as possible, Australian
law should be consistent with laws in major centres of electronic commerce.
[48]
1.49 The Wallis Committee concluded that impending changes in the financial
landscape "are unlikely to be so revolutionary as to demand a complete
overhaul of every element of the regulatory framework," but they
will demand a greater emphasis in regulation on competitiveness, efficiency
and flexibility. [49] The Committee
notes these observations. Many elements of the current regulatory framework
will remain broadly applicable in the new electronic environment, and
many new problems will be variations on familiar old problems. For example,
misleading information may be included in an electronic prospectus as
readily as it may be included in a conventional paper prospectus. However,
not all new problems will be easily susceptible to old solutions, and
it is these potential discontinuities that are canvassed in greater detail
in Chapter 2 of this Paper.
Footnotes
[1] Julian Burnside QC, 'Virtual liability',
Computers and Law, No 29 (June 1996), p 14.
[2] 'Bankers Trust's 2020 vision' The Economist,
26 March 1994, p 85. A prospectus is a document issued by a company seeking
to raise money from the public through the issue of shares or other securities.
The Internet is discussed further in para 1.25.
[3] 'Raising capital in cyberspace', Australian
Financial Review Weekend Review, 7 February 1997, p 4.
[4] Securities and Exchange Commission, Media
Release 95-190, obtainable on the Internet at http://www.sec.gov/news/press/press192.txt
[5] Australian Securities Commission, Media
Release ASC 96/74 (6 May 1996), reproduced in ASC Digest, p
MR 120.
[6] Martin Roth, The Internet for Investors,
Wrightbooks, Victoria (1996) p 15.
[7] R Clarke Hooper, 'US Securities Markets:
Dealing with Regulatory Issues', a paper delivered at Regulating the
Marketspace, ASC Electronic Commerce Conference, Sydney, 4-5 February
1997, pp 2-3. In August, permission was similarly extended to PerfectData
Corporation, a NASDAQ-listed company.
[8] ibid.
[9] Australian Securities Commission, Class
Orders, CO 96/1578.
[10] 'Brokers face up to the virtues of virtual
trading' Sydney Morning Herald, 11 January 1997, p 74.
[11] Martin Roth, The Internet for Investors,
Wrightbooks, Victoria (1996) p viii.
[12] See, generally, 'Brokers face up to the
virtues of virtual trading', Sydney Morning Herald, 11 January
1997 p 74; 'Net loans in', Business Review Weekly, 20 January 1997
p 10; and Martin Roth, The Internet for Investors, Wrightbooks,
Victoria (1996) p 73.
[13] Richard Humphry, 'Impact of Electronic
Commerce: The Market's Perspective', a paper delivered at Regulating
the Marketspace, ASC Electronic Commerce Conference, (Sydney) 4-5
February 1997, p 2
[14] Alan Cameron, 'The ASC's Experience',
a paper delivered at Regulating the Marketspace, ASC Electronic
Commerce Conference, (Sydney) 4-5 February 1997, p 2.
[15] 'The Words' Australian Financial Review,
4 March 1997, p 14.
[16] 'The ASX is talking Net worth' Australian
Financial Review, 21 March 1997, p 77.
[17] Roadshows are wide-ranging (usually confidential)
opportunities to "explain" initial public offerings of securities
to major investors: 'SEC Gives Okay, But Don't Look for Roadshows Any
Time Soon', Barrons, 24 March 1997, p 12.
[18] 'New market outside ASX may provide share
nursery', Australian Financial Review 15 April 1997, p 23.
[19] A 1997 survey undertaken by the ASX showed
that approximately 34% of adult Australians owned shares either directly
or indirectly through various investment funds: see 'Women raise stakes
in booming $620bn sharemarket game', The Australian, 20 June 1997,
p 1.
[20] See, for example, Michael Carmody, International
Business Taxation - An Administrator's Perspective: "A Brave New
World, Opening Address at the APEC-OECD Joint Symposium on International
Business Taxation (30 October 1996).
[21] Joint Committee of Public Accounts, 'Public
Accounts Committee Inquiry into Internet Commerce and the Tax System',
Media Release, 10 June 1997.
[22] 'Tax Office gears up to fight cyberspace
evaders', Australian Financial Review, 21 April 1997, p 27.
[23] Commissioner of Taxation, Annual Report
1995-96 (Canberra) p 34.
[24] Steering Group of the Electronic Commerce
Task Force, Report of the Electronic Commerce Task Force to the Commonwealth
Law Enforcement Board (November 1996).
[25] Steering Group of the Electronic Commerce
Task Force, Report of the Electronic Commerce Task Force to the Commonwealth
Law Enforcement Board (November 1996), p iii.
[26] Financial System Inquiry, Final Report,
AGPS, Canberra (1997), p 96 (hereafter Wallis Committee Report).
[27] Wallis Committee Report, p 96.
[28] Martin Roth, The Internet for Investors,
Wrightbooks, Victoria (1996) p 150.
[29] See, for example, 'Net card to go on trial
here this year', The Australian, 23 April 1997, p 24.
[30] Martin Roth, The Internet for Investors,
Wrightbooks, Victoria (1996) p 149.
[31] 'The Internet: why Australia can't wait',
Business Review Weekly, 24 February 1997, p 38.
[32] Wallis Committee Report, p 102.
[33] 'Betting the bank on an electronic future',
Business Review Weekly, 24 February 1997, p 48.
[34] 'Internet will reshape role of industry',
The Australian, 23 April 1997, p 24.
[35] 'A tangle of views on the Internet, IT
and low-cost competition', Business Review Weekly, 14 April 1997,
p 56.
[36] 'The Internet: why Australia can't wait',
Business Review Weekly, 24 February 1997, p 36.
[37] Ross Gittins, 'Will Electronic Commerce
Drive Structural Change in the Financial Services Industry and Enhance
Competitiveness of the Australian Capital Markets?, a Paper delivered
at Regulating the Marketspace, ASC Electronic Commerce Conference,
Sydney, 4-5 February 1997, p 1
[38] Wallis Committee Report, p 103.
[39] Richard Humphry, 'Impact of Electronic
Commerce: The Market's Perspective', a Paper delivered at Regulating
the Marketspace, ASC Electronic Commerce Conference, Sydney, 4-5 February
1997, p 1.
[40] 'Bankers Trust's 2020 vision', The
Economist, 26 March 1994, p 85.
[41] Australian Securities Commission, Media
Release 96/74, ASC Digest, p MR 119.
[42] Australian Securities Commission, Concept
Paper; Draft Statement of Principles: Electronic Communications Between
Issuers and Investors Under the Corporations Law, 6 May 1996, p 1.
[43] Arthur Levitt, 'Investor Education: Disclosure
for 1990s', Remarks at the University of Virginia, Charlottesville, 1
November 1995.
[44] Ross Gittins, 'Will Electronic Commerce
Drive Structural Change in the Financial Services Industry and Enhance
Competitiveness of the Australian Capital Markets?, a paper delivered
at Regulating the Marketspace, ASC Electronic Commerce Conference,
Sydney, 4-5 February 1997, pp 10-11.
[45] Wallis Committee Report, pp 93-94.
[46] Wallis Committee Report, pp 152-53.
[47] Wallis Committee Report, p 260.
[48] Wallis Committee Report, recommendations
12, 28, 29, 91, 92 and 93.
[49] Wallis Committee Report, p 169.
Top
|