Paragraph 16 I1
United Kingdom
The following rules apply where a society (or the society and its subsidiary undertakings in respect of Part II) is a party to a sale and repurchase transaction.
Where the society is the transferor of the assets under the transaction—
the assets transferred shall, notwithstanding the transfer, be included in its balance sheet;
the purchase price received by it shall be included in its balance sheet as an amount owed to the transferee; and
the value of the assets transferred shall be disclosed in a note to its accounts.
Where the society is the transferee of the assets under the transaction it shall not include the assets transferred in its balance sheet but the purchase price paid by it to the transferor shall be so included as an amount owed by the transferor.
Annotations
Commencement
- I1
Sch. 2 Pt. III para. 16 in force at 27.3.1998, see reg. 1