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32 1927

CURRENCY ACT, 1927

PART IV.

Shareholding Banks.

Admission of first Shareholding Banks.

39. —As soon as may be after the passing of this Act the Minister shall send to every of the Banks mentioned in the Third Schedule to this Act a form of application for admission to be one of the first Shareholding Banks, and any such Bank may within one month after such form is so sent send to the Minister an application on such form for admission to be one of the first Shareholding Banks and every such Bank which so sends such application and at the same time pays to the Minister in trust for the Commission the sum of one thousand pounds on account of its capital liability shall forthwith be deemed to have been admitted to be and shall be one of the first Shareholding Banks and shall also be a Shareholding Bank for the purposes of this Act.

Admission of Shareholding Banks after the first such Banks.

40. —(1) Any Bank may apply to the Commission at any time after the establishment of the Commission to be admitted to be a Shareholding Bank and the Commission may in its absolute discretion grant or refuse such application but no such application shall be granted within five years after the establishment of the Commission otherwise than by unanimous vote of the Commission.

(2) Whenever the Commission grants an application by a Bank to be admitted to be a Shareholding Bank, such Bank shall as on and from the date on which such application is granted become and be a Shareholding Bank for the purposes of this Act.

(3) The Commission may require a Bank applying under this section to be admitted to be a Shareholding Bank to furnish to the Commission such information in relation to its business and to permit the Chairman or a permanent officer of the Commission specially authorised in that behalf in writing by the Chairman to make such inspection of its books as appears to the Commission to be necessary for the due consideration of such application by the Commission.

Removal of a Shareholding Bank from being such Bank.

41. —(1) The Commission may in its absolute discretion on any of the grounds expressly authorised by this Act or by unanimous vote on any other ground which appears to the Commission to be sufficient remove any Shareholding Bank from being a Shareholding Bank.

(2) Any Shareholding Bank may at any time apply to the Commission to be removed from being a Shareholding Bank and whenever such application is so made by a Shareholding Bank the Commission shall forthwith remove such Bank from being a Shareholding Bank.

(3) Whenever the Commission removes under this section a Shareholding Bank from being a Shareholding Bank, such Bank shall forthwith cease to be a Shareholding Bank for the purposes of this Act, but such removal shall not prevent the subsequent admission under this Act of such Bank to be a Shareholding Bank nor relieve such bank from liability to pay on due presentation the amount of every consolidated bank note outstanding with it at the time of such removal or from liability for payments on consolidated bank notes in respect of consolidated bank notes outstanding with it whether before or after such removal.

(4) Except when a Shareholding Bank is removed on its own application, the Commission shall not remove under this section a Shareholding Bank from being a Shareholding Bank without giving such Bank a reasonable opportunity of being heard.

(5) No ordinary Commissioner shall vote on or otherwise take part in the removal under this section of a Shareholding Bank of which he is a director or by which he is employed.

Registers of shareholders of Shareholding Banks.

42. —(1) In this section the expression “local register” means a register of such of the shareholders of the Bank in respect of which the expression is used as are resident in Saorstát Eireann with such particulars of those shareholders as are mentioned in section 25 of the Companies (Consolidation) Act, 1908.

(2) Every Bank which is incorporated in a place outside Saorstát Eireann and is admitted to be one of the first Shareholding Banks and does not at the time of the establishment of the Commission maintain in Saorstát Eireann a local register shall within three months after such establishment or such longer period as may be sanctioned by the Minister after consultation with the Commission, set up in Saorstát Eireann a local register, and the failure of any such Bank so to set up such a register shall be a ground for removing such Bank from being a Shareholding Bank.

(3) No Bank which is incorporated in a place outside Saorstát Eireann shall be admitted after the establishment of the Commission to be a Shareholding Bank unless at the time of such admission it maintains in Saorstát Eireann a local register.

(4) If a Shareholding Bank which is incorporated in a place outside Saorstát Eireann ceases to maintain in Saorstát Eireann a local register, such cesser shall be a ground for removing such Bank from being a Shareholding Bank.

(5) Whenever a Shareholding Bank establishes in pursuance of this section a local register, such Bank shall forthwith furnish to the Registrar of Companies a copy of such register with a state ment annexed thereto of the several places in Saorstát Eireann at which it then carries on business.

(6) Every Shareholding Bank which maintains in pursuance of this section a local register shall in every month of January while it so maintains such register furnish to the Registrar of Companies a copy of such register as it stood on the first day of such month with a statement annexed thereto of the several places in Saorstát Eireann at which it carried on business on the said first day of such month, and any Shareholding Bank which furnishes in any month of January to the Registrar of Companies in accordance with this sub-section such copy of such register with such statement annexed thereto shall thereupon be relieved from making the return required by section 6 of the Bankers (Ireland) Act, 1825, to be made before the then next 25th day of March and from making the return required by section 22 of the Bankers (Ireland) Act, 1845, in such month of January.

Regulations by the Commission in relation to Shareholding Banks.

43. —(1) The Commission may make such regulations as it thinks proper in regard to—

(a) the exercise by Shareholding Banks of their rights and powers under this Act in respect of legal tender notes and consolidated bank notes, and

(b) the putting into and withdrawal from circulation of legal tender notes and consolidated bank notes by Shareholding Banks, and the retention by Shareholding Banks of such notes in their vaults and tills, and

(c) the performance generally by Shareholding Banks of their functions in relation to the circulation of currency, and

(d) the returns to be made periodically by Shareholding Banks to the Commission in relation to legal tender notes, consolidated bank notes, coins, and other forms of currency.

(2) It shall be the duty of every Shareholding Bank to observe and conform to the regulations made by the Commission under this section and any contravention (whether of commission or omission) by a Shareholding Bank of any such regulation shall be a ground for removing such Bank from being a Shareholding Bank.

Regulations by the Minister in relation to Shareholding Banks.

44. —(1) The Minister may, with the unanimous concurrence of the Commission, make regulations prescribing the times and intervals at which and the form in which Shareholding Banks shall publish their respective balance sheets.

(2) It shall be the duty of every Shareholding Bank to observe and conform to the regulations made under this section, and any contravention (whether of commission or omission) by a Shareholding Bank of any such regulation shall be a ground for removing such Bank from being a Shareholding Bank.