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Dormant Bank and Building Society Accounts Bill [HL]


Dormant Bank and Building Society Accounts Bill [HL]
Part 3 — Final provisions

15

 

Department determines to be appropriate for defraying expenses incurred or

to be incurred by that Department under this Act.

Interpretation

28      

Interpretation of Part 2

(1)   

In this Part—

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“dormant account money” has the meaning given by section 17(2);

“English expenditure”, “Welsh expenditure”, “Scottish expenditure” and

“Northern Ireland expenditure” have the meaning given by section

18(2);

“financial year” means a period of 12 months ending with 31 March;

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“reclaim fund” has the meaning given by section 5(1).

(2)   

A reference in this Part to the distribution of money is to be read as including

a reference to making or entering into arrangements in accordance with section

17(3), and related expressions are to be read accordingly.

   

See also section 17(5).

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Part 3

Final provisions

29      

Orders

A power of the Treasury or the Secretary of State to make an order under this

Act is exercisable by statutory instrument.

20

30      

Directions

(1)   

A direction under this Act must be given in writing.

(2)   

A direction under this Act may be varied or revoked by a subsequent direction.

31      

Extent

This Act extends to England and Wales, Scotland and Northern Ireland.

25

32      

Commencement

(1)   

Parts 1 and 2 come into force in accordance with provision made by order of

the Treasury.

(2)   

An order under this section—

(a)   

may make different provision for different purposes;

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(b)   

may make transitional or saving provision.

33      

Short title

(1)   

This Act may be cited as the Dormant Bank and Building Society Accounts Act

2008.

 
 

Dormant Bank and Building Society Accounts Bill [HL]
Part 3 — Final provisions

16

 

(2)   

Nothing in this Act shall impose any charge on the people or on public

funds, or vary the amount or incidence of or otherwise alter any such charge

in any manner, or affect the assessment, levying, administration or

application of any money raised by any such charge.

 
 

Dormant Bank and Building Society Accounts Bill [HL]
Schedule 1 — Provision to be made in articles of association of reclaim fund

17

 

Schedules

Schedule 1

Section 5

 

Provision to be made in articles of association of reclaim fund

Expenses

1     (1)  

The articles of association of a reclaim fund must make provision—

5

(a)   

allowing it to defray its expenses out of its income, but

(b)   

preventing the defraying of expenses that are unreasonable, or to the

extent that they are unreasonable.

      (2)  

For the purposes of this paragraph “expenses” includes, in particular, the

costs of—

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(a)   

paying fees or remuneration to any member, officer, employee or

other person for services provided to the reclaim fund in connection

with the carrying out of its functions;

(b)   

reimbursing any person incurring costs in relation to services

provided in connection with the formation of the fund.

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No distribution to members

2          

The articles of association of a reclaim fund must make provision preventing

a distribution, including a distribution on winding up, of any of its income

or assets to its members (except as allowed for by provision made by virtue

of paragraph 1).

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Publication of information

3     (1)  

The articles of association of a reclaim fund must make provision requiring

it to publish, as soon as possible after the end of each financial year of the

fund, the following information in relation to that year—

(a)   

the name of each bank and building society that transferred money

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to the fund and the amount transferred by each one;

(b)   

the name of each bank and building society in respect of whose

accounts payments were made from the fund following repayment

claims and, in relation to each of those banks and building societies,

the total of the payments made;

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(c)   

the total amount transferred to the body or bodies for the time being

specified in section 17(1).

      (2)  

For the purposes of sub-paragraph (1)(b)—

(a)   

“repayment claims” means claims made by virtue of section 1(2)(b)

or 2(2)(b);

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(b)   

where an account was previously operated by a bank or building

society as part of a business currently carried on by another bank or

 

 

Dormant Bank and Building Society Accounts Bill [HL]
Schedule 2 — Amendments to the Financial Services and Markets Act 2000

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building society (“the successor”), the account is treated as that of the

successor.

Schedule 2

Section 16

 

Amendments to the Financial Services and Markets Act 2000

Amendments to Part 2

5

1     (1)  

Schedule 2 (regulated activities) is amended as follows.

      (2)  

For the heading to Part 1 there is substituted “Regulated activities:

general”.

      (3)  

After that Part there is inserted—

“Part 1A

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Regulated activities: reclaim funds

Activities of reclaim funds

9A    (1)  

The matters with respect to which provision may be made under

section 22(1) in respect of activities include, in particular, any of

the activities of a reclaim fund.

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      (2)  

“Reclaim fund” has the meaning given by section 5(1) of the

Dormant Bank and Building Society Accounts Act 2008.”

Amendments to Part 7

2          

After section 106 there is inserted—

“106A   

  Reclaim fund business transfer scheme

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(1)   

A scheme is a reclaim fund business transfer scheme if, under the

scheme, the whole or part of the business carried on by a reclaim

fund is to be transferred to one or more other reclaim funds.

(2)   

“Reclaim fund” has the meaning given by section 5(1) of the Dormant

Bank and Building Society Accounts Act 2008.”

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3          

In section 107 (application for order sanctioning transfer scheme), in

subsection (1), for “or a banking business transfer scheme” there is

substituted “, a banking business transfer scheme or a reclaim fund business

transfer scheme”.

4     (1)  

Section 111 (sanction of the court for business transfer schemes) is amended

30

as follows.

      (2)  

In subsection (1), for “or a banking business transfer scheme” there is

substituted “, a banking business transfer scheme or a reclaim fund business

transfer scheme”.

      (3)  

In subsection (2)—

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Dormant Bank and Building Society Accounts Bill [HL]
Schedule 2 — Amendments to the Financial Services and Markets Act 2000

19

 

(a)   

at the beginning of paragraph (a) there is inserted “in the case of an

insurance business transfer scheme or a banking business transfer

scheme,”;

(b)   

after that paragraph there is inserted—

“(aa)   

in the case of a reclaim fund business transfer scheme,

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the appropriate certificate has been obtained (as to

which see Part 2A of that Schedule);”.

5          

In Schedule 12, after Part 2 there is inserted—

“Part 2A

Reclaim fund business transfer schemes

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Certificate as to financial resources

9A         

For the purposes of section 111(2) the appropriate certificate, in

relation to a reclaim fund business transfer scheme, is a certificate

given by the Authority certifying that, taking the proposed

transfer into account, the transferee possesses, or will possess

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before the scheme takes effect, adequate financial resources.”

Amendments to Part 24

6     (1)  

Section 359 (administration order) is amended as follows.

      (2)  

In subsection (3) (persons treated as unable to pay their debts), the “and” at

the end of paragraph (a) is omitted and at the end of paragraph (b) there is

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inserted “, and—

(c)   

an authorised reclaim fund in default on an obligation to pay

a sum payable as a result of a claim made by virtue of section

1(2)(b) or 2(2)(b) of the Dormant Bank and Building Society

Accounts Act 2008.”

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      (3)  

In subsection (4) (definitions), at the appropriate place there is inserted—

““authorised reclaim fund” means a reclaim fund within the meaning

given by section 5(1) of the Dormant Bank and Building Society

Accounts Act 2008 that is authorised for the purposes of this Act;”.

7          

After section 369 there is inserted—

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“369A   

 Reclaim funds: service of petition etc on Authority

(1)   

If a person other than the Authority presents a petition for the

winding up of an authorised reclaim fund, the petitioner must serve

a copy of the petition on the Authority.

(2)   

If a person other than the Authority applies to have a provisional

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liquidator appointed under section 135 of the 1986 Act (or Article 115

of the 1989 Order) in respect of an authorised reclaim fund, the

applicant must serve a copy of the application on the Authority.

(3)   

In this section “authorised reclaim fund” means a reclaim fund

within the meaning given by section 5(1) of the Dormant Bank and

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Building Society Accounts Act 2008 that is authorised for the

purposes of this Act.”

 

 

 
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