A 166
Ord. No. 27/86
BANKING
BANKING
Ord. No. 27/86
A167
Opportunity of being heard.
Effect of suspension.
Interpretation.
Transfer of licence or registration.
Application for transfer.
37. Before exercising his powers under section 36, the designated authority shall inform the deposit-taking company concerned of the grounds therefor and give it an opportunity, within such period as the designated authority may specify in writing, being a period reasonable in the circumstances, of being heard.
38. (1) Without prejudice to any other provision of this Ordinance, where the registration or deposit-taking licence of a company is suspended under section 35 or 36 the company shall, on and from the date specified in the notification to it by the designated authority of such suspension, cease to carry on a business of taking deposits, until and unless the period of suspension is terminated without revocation of the registration or deposit-taking licence of the company and without a further period of suspension under this part.
(2) Without prejudice to any other provision of this Ordinance, a company referred to in subsection (1) may continue to hold until maturity any deposit taken prior to the date referred to in that subsection.
(3) Notwithstanding the suspension of the registration or deposit-taking licence of a company it shall continue to be a deposit-taking company for the purposes of section 23 or 26, as the case may be, and also of Parts VIII and IX and all the duties imposed on a registered deposit-taking company or a licensed deposit-taking com- pany, as the case may be, under this Ordinance, during the period of its suspension.
PART VII
TRANSFER OF LICENCE OR REGISTRATION OF AUTHORIZED INSTITUTIONS
39. In this Part-
"designated authority" means-----
(a) the Governor in Council in the case of an authorized institution which is a
bank;
(b) the Commissioner in the case of an authorized institution which is a
registered deposit-taking company; and
(c) the Financial Secretary in the case of an authorized institution which is a
licensed deposit-taking company;
"licence" does not include a banking licence granted under section 107.
40. (1) Subject to this Ordinance, the licence or registration of an authorized institution may be transferred from that institution to another person.
(2) A transfer of the licence or registration of an authorized institution shall not take effect until the designated authority grants the transfer or until such later date as the designated authority specifies.
41. (1) The person to whom it is proposed to transfer a licence or registration shall lodge an application for the transfer of the licence or registration with the designated authority, which application shall, in the case of a licence, be made through the Commissioner.
(2) Subject to such modifications as may be necessary, the provisions of-- (a) sections 15 to 19 inclusive shall apply to an application for the transfer of a banking licence as if that application were an application for the grant of a banking licence under section 15(1);
(b) sections 20 to 23 inclusive shall apply to an application for the transfer of registration as if that application were an application for registration under section 20(1); and
(c) sections 24 to 26 inclusive shall apply to an application for the transfer of a deposit-taking licence as if that application were an application for the grant of a deposit-taking licence under section 24(1).
42. Where the designated authority grants the transfer of a licence or of Certificate of registration, the Commissioner shall-
(a) issue a certificate of transfer to the applicant; and
(b) comply with such provisions of section 28 in respect of the transfer of the
licence or registration as he may think appropriate.
43. Upon the issue of a certificate of transfer under section 42--
(a) the applicant shall have and may exercise the same privileges, and be subject to the same liabilities and penalties, under this Ordinance as if the licence or registration transferred had been originally granted to the applicant, and
(b) the person whose licence or registration is transferred shall cease to be licensed or registered, but the transfer shall not affect the liability of that or any other person for any act or omission done, caused, permitted or made prior to the transfer.
PART VIII
LOCAL BRANCHES, LOCAL Representative Offices and FEES
transfer, etc.
Liabilities and privileges of transferer and
transferee.
44. (1) An authorized institution shall not establish or maintain any local Control of branch thereof without the approval of the Commissioner.
(2) Subsection (1) applies to every authorized institution whether the institution was licensed or registered before, on or after the commencement of this Ordinance, and subsections (4) and (5) apply to an approval granted under subsection (1) whether the approval was granted before, on or after such commencement.
(3) Approval under subsection (1) shall be deemed to have been granted in respect of any local branch lawfully established prior to the commencement of this Ordinance.
(4) The Commissioner may at any time, by notice in writing served upon an authorized institution, attach to an approval granted under subsection (1), or deemed to have been granted under subsection (3), in respect of any local branch thereof such conditions, or amend or cancel any conditions so attached, as he may think proper.
(5) The Commissioner may at any time revoke, in such case as he thinks fit, an approval granted under subsection (1), or deemed to have been granted under subsection (3), in respect of any local branch.
(6) Where the Commissioner refuses to grant approval under subsection (1) or revokes an approval under subsection (5), he shall notify the authorized institution concerned in writing of the refusal or revocation.
(7) Any authorized institution aggrieved by the refusal to grant approval under subsection (1) or by the revocation of an approval under subsection (5) by the Commissioner, or by any conditions to which an approval is made subject by the Commissioner under subsection (4), may appeal to the Governor in Council against the refusal, the revocation or the conditions, but that refusal, that revocation or, as the case may be, those conditions shall take effect immediately, notwithstanding that an appeal has been or may be made under this subsection.
(8) Every director and every manager of an authorized institution which contravenes subsection (1) or any condition attached under subsection (4) commits an offence and is liable-
(a) on conviction upon indictment to a fine of $200,000; or
(b) on summary conviction to a fine of $50,000,
and, in the case of a continuing offence, to a further fine of $5,000 for every day during which the offence continues.
establishment, etc. of local branches.