Restriction of borrowing etc. from non-residents
1(1)Except with the permission of the Treasury, no person resident in the United Kingdom shall borrow any money from a person resident outside the scheduled territories.
(2)Except with the permission of the Treasury, no person resident in the United Kingdom shall—
(a)issue, negotiate or transfer to a person resident outside the scheduled territories any instrument to which this sub-paragraph applies ;
(b)renew any such instrument which is held by a person resident outside the scheduled territories ; or
(c)acquire or renew any such instrument on behalf of a person resident outside the scheduled territories ;
but a contravention of this sub-paragraph shall not affect the validity of any instrument or the rights of the parties to any transaction.
(3)Sub-paragraph (2) above does not apply to a banknote or certificate of deposit but, with those exceptions, applies to—
(a)any bill of exchange (including a cheque), promissory note or similar instrument;
(b)any other instrument which confers or evidences a right (whether conditional or unconditional) to be paid or to obtain, or to draw on any person for, a sum of money with or without interest, being a right capable of being transferred by delivery of the instrument with or without endorsement; and
(c)any instrument (not being an instrument within paragraph (a) or (b) above) of a description which is for the time being prescribed for the purposes of that sub-paragraph,
including any such instrument as aforesaid which is governed by the law of a country outside the United Kingdom.