Does 9807875 E, wherein CRA indicated that s. 256(1.4)(b) would not generally apply where the triggering of the event is beyond the control of another shareholder continue to apply, and does it apply to s. 251(5)(b)(ii)? CRA responded:
[Ss.] 251(5)(b)(ii) and … 256(1.4)(b) … [are] broad enough to apply to a situation where a particular person does not have control over the triggering of an event that would entitle that person to require a corporation to redeem, acquire or cancel shares of its capital stock owned by another shareholder. … In addition, the CRA has ruled … that those two provisions generally should not apply to a situation where a corporation is required to redeem or cancel shares of its capital stock held by a shareholder who has been found guilty of fraud in relation to the corporation. … [See] F2002-0172315 and F2006-0167361E5.