Bank Act (S.C. 1991, c. 46)

Act current to 2014-04-02 and last amended on 2014-03-29. Previous Versions

Marginal note:Holding of own shares

 Except as provided in sections 715 to 717, or unless permitted by the regulations, a bank holding company shall not

  • (a) hold shares of the bank holding company or of any body corporate that controls the bank holding company;

  • (b) hold any ownership interests of any unincorporated entity that controls the bank holding company;

  • (c) permit any of its subsidiaries to hold any shares of the bank holding company or of any body corporate that controls the bank holding company; or

  • (d) permit any of its subsidiaries to hold any ownership interests of any unincorporated entity that controls the bank holding company.

  • 2001, c. 9, s. 183.
Marginal note:Purchase and redemption of shares
  •  (1) Subject to subsection (2) and to its by-laws, a bank holding company may, with the consent of the Superintendent, purchase, for the purpose of cancellation, any shares issued by it, or redeem any redeemable shares issued by it at prices not exceeding the redemption price thereof calculated according to a formula stated in its by-laws or the conditions attaching to the shares.

  • Marginal note:Restrictions on purchase and redemption

    (2) A bank holding company shall not make any payment to purchase or redeem any shares issued by it if there are reasonable grounds for believing that the bank holding company is, or the payment would cause the bank holding company to be, in contravention of any regulation referred to in subsection 949(1) or (2) or any direction made pursuant to subsection 949(3).

  • Marginal note:Donated shares

    (3) A bank holding company may accept from any shareholder a share of the bank holding company surrendered to it as a gift, but may not extinguish or reduce a liability in respect of an amount unpaid on any such share except in accordance with section 718.

  • 2001, c. 9, s. 183.
Marginal note:Holding as personal representative
  •  (1) A bank holding company may permit its subsidiaries to hold, in the capacity of a personal representative, shares of the bank holding company or of any body corporate that controls the bank holding company or ownership interests in any unincorporated entity that controls the bank holding company, but only if the subsidiary does not have a beneficial interest in the shares or ownership interests.

  • Marginal note:Security interest

    (2) A bank holding company may permit its subsidiaries to hold by way of a security interest shares of the bank holding company or of any body corporate that controls the bank holding company, or any ownership interests of any entity that controls the bank holding company, if the security interest is nominal or immaterial when measured by criteria established by the bank holding company that have been approved in writing by the Superintendent.

  • 2001, c. 9, s. 183;
  • 2005, c. 54, s. 88(F).