Part 7Miscellaneous

Central banks

I1253Registration of charges: Scotland

1

The Bankruptcy and Diligence etc. (Scotland) Act 2007 is amended as follows.

2

In section 38 (creation of floating charges)—

a

in subsection (3), after “to” insert “ subsection (3A) and ”, and

b

after that subsection insert—

3A

If a floating charge is granted in favour of a central institution, it is created only when the document granting the floating charge is executed by the company granting the charge.

3

In section 39 (advance notice of floating charges), after subsection (3) add—

4

This section does not apply where a company proposes to grant a floating charge in favour of a central institution.

4

In section 42 (assignation of floating charges), after subsection (3) add—

4

This section does not apply where a floating charge is assigned (whether in whole or to a specified extent) to or by a central institution.

5

In section 43 (alteration of floating charges)—

a

in subsection (4), for “But paragraph” substitute “ Paragraph ”, and

b

after that subsection insert—

4A

Paragraph (b) of subsection (3) above does not apply in respect of an alteration if—

a

the holder of the floating charge is a central institution, or

b

the holder of the floating charge is not a central institution but the alteration is to be made in connection with a floating charge which is held (or which has been or is to be held) by a central institution.

6

In section 44 (discharge of floating charges), after subsection (3) add—

4

This section does not apply where the floating charge to be discharged (whether in whole or to a specified extent) is or has been held by a central institution.

7

In section 47 (interpretation), after “Part—” insert—

“central institution” means—

  1. a

    the Bank of England,

  2. b

    the central bank of a country or territory outside the United Kingdom, or

  3. c

    the European Central Bank;