COPY.
41
INTERIM REPORT ON THE OPERATION OF THE BANKING (AMENDMENT AND FURTHER PROVISIONS) ORDINANCE, 1937, AND OTHER MATTERS ARISING OUT OF MR. F.G. HORWILL'S REPORT ON THE
BANKING SITUATION IN PALESTINE.
PART 1.
THE OPERATION OF THE BANKING (AMENDMENT AND
FURTHER PROVISIONS) ORDINANCE, 1937.
The Banking (Amendment and Further Frovisions)
Ordinance was enacted on the 7th October, 1927. On that
date the number of companies carrying on banking
business was 74 of which 6 were foreign companies.
Sections 2 and 4: Minimum Capital Requirements.
2. Sections 2 and 4 of the Ordinance should be read in
conjunction and, for facility of reference, these two
sections are quoted hereunder :-
"2. Section 3 of the principal Ordinance, as amended in section 2 of the Banking (Amendment Ordinance, 1935, shall be repealed and the following section substituted therefor :
"3. (1) No banking business shall be transacted in Palestine except by a company registered under the provisions of -
(a) The Registration of Companies and Partner- ships Ordinance, 1919, published in the Gazette dated the first day of August, 1919, or
(b) the Companies Ordinance, 1921, or any Ordinance substituted therefor.
(2) The incorporation of a company which has as its object or one of its objects the carrying on of banking business shall not be authorised unless its authorised capital is not less than fifty thousand pounds.
(3) The Registrar of Companies shall not certify that any company which has as its object or one of its objects the carrying on of banking business is entitled to carry on business in accordance with the provisions of section 92 of the Companies Ordinance, unless
(a)