Regulation 4 Amendment of the Banking Act 1987

For subsection (5) of section 58 of the Banking Act 1987^f1 shall be substituted the following–

“(5)

The Board may decline to make any payment under subsection (1) to a person who, in the opinion of the Board—

(a)

has any responsibility for, or may have profited directly or indirectly from, the circumstances giving rise to the institution’s financial difficulties; or

(b)

is entitled to receive a payment in respect of his protected deposit under a scheme established under section 54 of the Financial Services Act 1986 or set up pursuant to the conditions and arrangements referred to in section 43(2) of that Act,

and where any payment as mentioned in paragraph (b) above has been received by a person, the Board shall decline to make a payment under subsection (1) to that person.”