(1)Where the powers of the Bank under this section have become exercisable with respect to an institution, the Bank may—
(a)revoke the recognition or licence of the institution and take such action as it considers appropriate under section 8 below ; or
(b)revoke the recognition or licence of the institution and grant it a conditional licence or, if the institution is already the holder of such a licence, grant it another conditional licence subject to different conditions.
(2)Where the powers of the Bank under this section have become exercisable with respect to a recognised bank but it appears to the Bank that the circumstances are not such as to justify proceedings under subsection (1) above, the Bank may revoke the institution's recognition and grant it a full licence.
(3)Subject to subsection (4) below, where the Bank proposes to act under subsection (1) or subsection (2) above.—
(a)the Bank shall give the institution concerned notice in writing of its intention specifying the reasons why it proposes to act; and
(b)the provisions of Part I of Schedule 4 to this Act shall apply.
(4)In any case where—
(a)the powers of the Back under this section have become exercisable with respect to an institution, and
(b)the Bank considers that urgent action is necessary,
the Bank may, without prior notice under subsection (3) above, by notice in writing given to the institution concerned exercise its powers under paragraph (b) of subsection (1) above; and Where the Bank exercises those powers by virtue of this subsection, the provisions of Part II of Schedule 4 to this Act shall apply instead of the provisions of Part I of that Schedule.
(5)In Schedule 4 to this Act " the principal section " means this section and—
(a)in Part I of that Schedule a "notice of intention to act" means a notice given under subsection (3)(a) above; and
(b)in Part II of that Schedule an " immediate revocation notice" means a notice given under subsection (4) above.
(6)The power of the Bank to revoke a licence by virtue of subsection (4) or subsection (5) of section 6 above shall be exercisable by notice in writing given to the institution concerned.