Power to direct application to renew authorisationU.K.
12(1)Section 41 of the 1986 Act (power to direct application to renew authorisation) shall become permanent; and accordingly subsections (14) to (16) of that section shall cease to have effect.
(2)In subsection (6) of that section, for paragraph (b) there shall be substituted the following paragraph—
“(b)the society has adequate reserves and other capital resources;”.
(3)In subsection (7) of that section, for paragraphs (a) and (b) there shall be substituted the following paragraphs—
“(a)if those matters include the matter specified in paragraph (a) of that subsection, refuse to grant authorisation; or
(b)in any other case—
(i)if it is satisfied that the imposition of conditions would secure the protection of the investments of shareholders and depositors, grant authorisation subject to such conditions to be complied with by the society (whether or not they correspond to any conditions in force as respects the current authorisation) as the Commission thinks fit to impose to secure that purpose; or
(ii)if not so satisfied, refuse to grant the authorisation;”.
(4)For subsection (13) of that section there shall be substituted the following subsection—
“(13)Any expression used in this section to which a meaning is given by subsection (13) of section 9 has that meaning in this section; and for the purposes of this section subsection (13A) of that section shall apply as if the reference to subsection (4)(b) of that section were a reference to subsection (6)(c) of this section.”
(5)For subsection (17) of that section there shall be substituted the following subsection—
“(17)In this section “adequate” means adequate having regard to the range and scale of the society’s business; and in this subsection—
(a)“business” includes business the society proposes to carry on; and
(b)the reference to the society’s business includes, where it has connected undertakings, a reference to the business of those undertakings.”
Commencement Information
I1Sch. 7 para. 12 partly in force; Sch. 7 para. 12 not in force at Royal Assent see s. 47(3); Sch. 7 para. 12(1)(3) in force at 9.6.1997 by S.I. 1997/1427, art. 2;Sch. 7 para. 12(2)(4)(5) in force at 1.12.1997 by S.I. 1997/2668, art. 2, Sch. Pt. II (subject as mentioned in art. 2(2)-(5) of that S.I.)