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The Czech parliament is expected to pass a package of reforms aimed at lessening investment funds' influence over domestic companies. While the measures have yet to be adopted, the threat of action has been enough to spark the beginning of strategic sell-offs of Czech companies by fund-holders. The proposed legislation will reduce the maximum stake in a company that an investment fund can hold from 20% to 11%. It will also force closed-end funds to open if they are trading at a discount of more than 40%, to be reduced to a 20% limit by the year 2000.

The exodus of project finance lawyers from Chadbourne & Parke continues. Ian Johnson, a UK project finance lawyer in the firm's Singapore office, will join US firm Orrick, Herrington & Sutcliffe at the beginning of May. He is the third project finance lawyer to leave Chadbourne in the last six months. Johnson will initially work from Orrick's Singapore office but will relocate to London by early 1999. He will head the UK office with Orrick's present New York managing partner Michael Voldstad. In September, US partner Peter Cleary left Chadbourne's Hong Kong office for UK firm Freshfields. And at the end of last year Martin Stewart-Smith joined UK firm Cameron McKenna. Johnson's departure leaves the US firm with no UK partners. A spokesman for Chadbourne denies the project finance department is in turmoil, but head of department, Rigdon Boykin, has been replaced by Chaim Wachsberger.

The Australian Stock Exchange (ASX) is allowing for listing, trading and settlement of Eurobonds for the first time. In a further move to promote itself as a leading Asian regional exchange, it is in discussions with Nasdaq, the US exchange, to facilitate dual listings. The decision to trade debt on Australia's exchange through Chess, ASX's settlement system, was taken because of the popularity of Eurobonds in London and Luxembourg. Eurobonds can be traded by creating Cufs (Chess Units of Foreign Securities) – financial instruments similar to American Depository Receipts. The first company to take advantage of the rule change is Bell Atlantic, which launched a US$2.5 billion Euronote issue on February 27 1998. The Euronotes are quoted as notes and are traded and settled as Cufs.

Philadelphia-based firm Morgan, Lewis & Bockius LLP's problems in Indonesia continue. The investigation of the firm launched in February for allegedly offering Indonesian law advice in contravention of its licence (see International Financial Law Review, March 1998, page 3) has now been complemented by a full study of the activities of foreign firms in the jurisdiction and a move to revise and clarify the rules. Bertie Mehigan, head of Morgan Lewis's Singapore office, says he understands that the Indonesian police stopped their investigation of the firm in mid-April. However, on April 22 (one week after the supposed end of the investigation) Adnan Buyung Nasution, name partner at Indonesia's Nasution, Soedibjo, Maqdir & Partners, said: "The Indonesian authorities are still interrogating them, the lawyers and employees. We are still waiting for the result of the investigation." He hopes the investigation will be finished by mid-May.

Creditors have several options under the Malaysian Companies Act 1965: the company can be wound up, put into receivership or have its assets possessed. By Philip Teoh Oon Teong of David Chong & Co, Kuala Lumpur

Privatization and deregulation are creating a more modern business environment in Austria and law firms are under increasing pressure to provide a similarly modern service. Nick Ferguson writes

Formerly restrictive of international offerings of securities, the British Columbia Securities Commission has introduced measures more favourable to foreign purchasers. By David Glennie, Peter O’Callaghan and Geoffrey Belsher of Blake, Cassels & Graydon, London and Vancouver

On March 1 1998, the amendments to the 1989 EU Merger Regulation entered into force. For the details of the new regime see International Financial Law Review, June 1997, page 53.

The Czech government is beginning the slow process of rebuilding investor confidence. Further banking and funds reforms are planned. By Madle Waldvogel of Beiten Burkhardt Mittl & Wegener, Prague

Spain recently approved rules to reduce the risks derived from the insolvency of any of the parties involved in financial operations in relation to derivative instruments. In the event of the accelerated maturity of the balances resulting from these operations, the netting of the balances is now allowed.