The Bank Insolvency (Scotland) (Amendment) Rules 2010

• Citation: S.I. 2010/2586
• Sections: 22

Section 1 Citation and commencement

These Rules may be cited as the Bank Insolvency (Scotland) (Amendment) Rules 2010 and come into force on 15th November 2010.

Section 2 Amendments to the Bank Insolvency (Scotland) Rules 2009

The Bank Insolvency (Scotland) Rules 2009 are amended as follows.

Section 3 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 3—

(a) in paragraph (2)—

(i) in the definition of “the 1986 Rules”, after “1986” where it appears on the second occasion insert “as they have effect as at 1st October 2009” ;

(ii) in the definition of “the FSA Rules” after “Sourcebook” insert “as amended from time to time”; and

(b) in paragraph (8), for “Rule C as applied to Rule B”, substitute “Rule C as applied by Rule B”.

Section 4 Amendments to the Bank Insolvency (Scotland) Rules 2009

After rule 5, in the sub-heading for Part 2, for “APPLICATION FOR ORDER” substitute “BANK INSOLVENCY ORDER”.

Section 5 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 8(4)(e)—

(a) at the end of paragraph (ii) omit “and”; and

(b) after paragraph (iii), insert—

(iv) if there is in force for the bank a voluntary arrangement under Part 1 of the 1986 Act, the supervisor of that arrangement; and

(v) if an administrative receiver has been appointed in relation to the bank, that receiver.

Section 6 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 9(1), (3) and (4), for “will” substitute “shall”.

Section 7 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 12(3)—

(a) at the end of sub-paragraph (c) omit “and”; and

(b) after sub-paragraph (c) insert—

(ca) if there is in force for the bank a voluntary arrangement under Part 1 of the 1986 Act, give notice of his appointment to the supervisor of that arrangement; and

Section 8 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 20, for “Bank of England” substitute “bank liquidator”.

Section 9 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 21—

(a) in paragraph (2) after “website” insert “and the bank liquidator shall send a copy of it to any creditor or contributory on request”; and

(b) in paragraph (3)—

(i) in sub-paragraph (g)(i), for “debts of the creditors” substitute “debts owed to the creditors”; and

(ii) in sub-paragraph (l), for “purpose of the bank liquidation” substitute “objectives of the bank liquidator”.

Section 10 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 30—

(a) in paragraph (3) for “Where paragraph (2)(a) applies” substitute “Where this paragraph applies”;

(b) in paragraph (4)—

(i) for “Where paragraph (2)(b) applies” substitute “Where this paragraph applies”; and

(ii) in sub-paragraph (b) after the first reference to “eligible depositor” insert “in respect of the protected deposits”; and

(c) in paragraph (5) after “this rule” insert “in so far as they relate to protected deposits”.

Section 11 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 41(1), for “109”, substitute “107”.

Section 12 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 42—

(a) in paragraph (2), for “will” substitute “shall”;

(b) for paragraph (3), substitute—

(3) If the meeting resolves not to release the bank liquidator, the bank liquidator shall be given a copy of that resolution and rule 43 applies.

(c) in paragraph (5), for “his” substitute “that”.

Section 13 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 43(2)(c), after “36” insert “or 42”.

Section 14 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 50—

(a) for paragraph (2), substitute—

(2) Where a bank liquidator has been removed by a meeting of creditors, and no resolution has been passed by that meeting to appoint a new bank liquidator, the Bank of England shall appoint a new bank liquidator as soon as practicable.

(b) in paragraphs (3), (4) and (5), for “the appointment document”, substitute “the certificate of appointment”; and

(c) omit paragraph (6).

Section 15 Amendments to the Bank Insolvency (Scotland) Rules 2009

For rule 58(2), substitute—

(2) For rule 4.41(1) substitute—

(1) Subject to rule 24 of the 2009 Rules and rule 4.43 as applied by rule 60 of the 2009 Rules, the liquidation committee shall consist of either 3 or 5 creditors of the bank, elected by the meeting of creditors held under rule 23 of the 2009 Rules.

Section 16 Amendments to the Bank Insolvency (Scotland) Rules 2009

After rule 59(1), insert—

(2) In paragraph (3), omit—

(i) or authorisation”; and

(ii) from “or any representative” to “Act.

Section 17 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 65—

(a) number the existing rule as paragraph (1); and

(b) after paragraph (1) insert—

(2) In paragraph (2), omit from “or authorisation” to “Act”.

Section 18 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 101(2), for “on request of the bank’s creditors” substitute “at the request of the bank’s creditors”.

Section 19 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 102—

(a) number the existing rule as paragraph (1); and

(b) after paragraph (1) insert—

(2) For the purposes of this rule, the reference to the creditor or contributories necessary to constitute a quorum is to those persons present or represented by proxy by any person (including the chair) including, in the case of contributories, persons duly represented under section 323 of the Companies Act 2006 .

Section 20 Amendments to the Bank Insolvency (Scotland) Rules 2009

In rule 111—

(a) number the existing rule as paragraph (1); and

(b) after paragraph (1) insert—

(2) In rule 7.14(4), for “chairman of the meeting”, substitute “chair of the meeting or the bank liquidator.”

Section 21 Amendments to the Bank Insolvency (Scotland) Rules 2009

Omit rule 115(2).

Section 22 Amendments to the Bank Insolvency (Scotland) Rules 2009

For rule 117(2), substitute—

(2) For rule 7.20(1), substitute—

Where a person is authorised under section 323 of the Companies Act 2006 to represent a corporation at a meeting of the company or its contributories, that person shall produce to the chair of the meeting a copy of the resolution from which that authority derives.