Banking Act, Chapter 24:20 [.pdf | 484KB]. REGULATION & SUPERVISION. Bank Supervision [Circulars, Guidelines] [Public Notices] [Licensing Requirements ]
SearchHistoryVision & MissionFunctionsLegislationActsStatutory InstrumentsSubsidiariesRBZ Sports ClubDivisionsCorporate Governance.
This Act may be cited as the Banking Act [Chapter 24:20]. 2 Interpretation. (1) In this Act—. “accepting house” means a banking institution that conducts
Can a bank exercise its functions under this act?
to exercise any functions conferred or imposed upon it by or in terms of any other enactment
Except as otherwise provided in this Act or any other enactment, in the exercise of its functions under this Act, the Bank shall not be subject to the direction or control of any other person or authority
Part III
REGISTRATION OF BANKING INSTITUTIONS 1. Banking business and banking activities not to be conducted except by registered banking institutions.
2) Classes of banking business. 3. Banking activities.
4) Registration of banking institutions.
5) Terms and conditions of registration.
6) Registration certificates.
7) Register of banking institutions. 8. .
Part IV
CONDUCT OFBUSINESS BY BANKING INSTITUTIONS.
1) Commencement of banking business.
2) Conduct of banking and other business.
3) Board of banking institution.
4) Disqualification for appointment to board of banking institution.
5) Principal administrative office and principal officers of banking institution. 6. Banking institution to display its name a.
Part IX
SUPERVISION AND INVESTIGATION OFBANKING INSTITUTIONS.
1) Responsibilities of Reserve Bank.
2) Appointment of supervisors and inspectors.
3) Powers of supervisors.
4) Action that may be taken by Reserve Bank where banking institution found to have contravened condition of registration, etc.
5) Investigation into banking institution.
6) Procedure on c.
Part V
FINANCIAL REQUIREMENTS.
1) Minimum equity capital of banking institutions.
2) Minimum reserves to be maintained with Reserve Bank.
3) Prescription of further financial requirements.
Part Vi
RESTRICTIONS ON CERTAIN TRANSACTIONS BY BANKING INSTITUTIONS.
1) Banking institution not to buy or make loans against own shares.
2) Restriction on payment of dividends, etc., by banking institutions.
3) Banking institution not to engage in non-banking business without permission.
4) Restriction on extending credit to officers, employees and certain.
Part VII
ACCOUNTS, STATEMENTS ANDOTHER RECORDS.
1) Accounts and annual financial statement.
2) Records of transactions.
3) Statements and other documents to be submitted to Reserve Bank and Registrar.
4) Display of certain information where banking business is conducted.
Part VIII
AUDIT COMMITTEES, AUDITORS AND AUDIT.
1) Audit committees.
2) Appointment of auditor.
3) Disqualifications from appointment as auditor.
4) Responsibilities of auditor.
5) Powers of auditor.
Part X
CURATORSHIP AND WINDING UP OFBANKING INSTITUTIONS.
1) Placing of banking institution under curatorship.
2) Effect of placing banking institution under curatorship.
3) Duties and powers of curator.
4) Freezing of deposits and investments of banking institution under curatorship.
5) Special provisions relating to winding up or judicial management of b.
Part Xi
ADDITIONALPOWERS OF RESERVE BANK AND REGISTRAR.
1) Deposit of approved securities by banking institution against cancellation of registration.
2) Loans by Reserve Bank to banking institutions.
3) Extension of time-limits.
4) Translations of documents, etc., may be demanded.
5) Powers of Reserve Bank and Registrar where unregistered person is suspect.
What action can be taken by Reserve Bank?
48
Action that may be taken by Reserve Bank where banking institution found to have contravened Act or condition of registration, etc
(b)require the institution or company to appoint a person who, in the Reserve Bank’s opinion, is qualified to advise the institution or company on the proper conduct of its business;
What are the provisions of a banking institution?
Freezing of deposits and investments of banking institution under curatorship
Special provisions relating to winding up or judicial management of banking institution
Deposit of approved securities by banking institution against cancellation of registration
Loans by Reserve Bank to banking institutions
What happens if a Bank violates subsection 1?
its name and a statement of the fact that it is registered as a commercial bank, an accepting house, a discount house or a finance house, as the case may be
(2)Any banking institution that contravenes subsection (1) shall be guilty of an offence and liable to a fine not exceeding level five
[subsection (2) amended by Act 22 of 2001] 22
Banking act that placed restrictions on investment firms
The Glass–Steagall Act was a part of the 1933 Banking Act.
It placed restrictions on activities that commercial banks and investment banks could do.
It effectively separated those activities, so the two types of business could not mix, in order to protect consumer's money from speculative use.
The Banking Act of 1935 clarified and otherwise amended Glass–Steagall.
Banking act that placed restrictions on investment firms
The Glass–Steagall Act was a part of the 1933 Banking Act.
It placed restrictions on activities that commercial banks and investment banks could do.
It effectively separated those activities, so the two types of business could not mix, in order to protect consumer's money from speculative use.
The Banking Act of 1935 clarified and otherwise amended Glass–Steagall.