• 99. (1) Subsection 402(1) of the Act is replaced by the following:

  Marginal note:Disposition of shareholdings

  • 402. (1) If, with respect to any bank, a person contravenes section 372 or subsection 373(1), 374(1) or 375(1) or section 376.1 or 376.2, subsection 377(1) or section 377.1 or fails to comply with an undertaking referred to in subsection 390(2) or with any terms and conditions imposed under section 397, the Minister may, if the Minister deems it in the public interest to do so, by order, direct that person and any person controlled by that person to dispose of any number of shares of the bank beneficially owned by any of those persons that the Minister specifies in the order, within the time specified in the order and in the proportion, if any, as between the person and the persons controlled by that person that is specified in the order.

• Marginal note:1999, c. 28, s. 21

  (2) Subsections 402(3) and (4) of the Act are replaced by the following:

  • Marginal note:Appeal

    (3) Any person with respect to whom a direction has been made under subsection (1) may, within thirty days after the date of the direction, appeal the matter in accordance with section 977.

Marginal note:1997, c. 15, ss. 42(1) and (2)

• 100. (1) The portion of subsection 410(1) of the Act before paragraph (d) is replaced by the following:

  Marginal note:Additional activities

  • 410. (1) In addition, a bank may

    • (a) hold, manage and otherwise deal with real property;

    • (b) provide prescribed bank-related data processing services;

    • (c) outside Canada or, with the prior written approval of the Minister, in Canada, engage in any of the following activities, namely,

      • (i) collecting, manipulating and transmitting

        • (A) information that is primarily financial or economic in nature,

        • (B) information that relates to the business of a permitted entity, as defined in subsection 464(1), or

        • (C) any other information that the Minister may, by order, specify,

      • (ii) providing advisory or other services in the design, development or implementation of information management systems,

      • (iii) designing, developing or marketing computer software, and

      • (iv) designing, developing, manufacturing or selling, as an ancillary activity to any activity referred to in any of subparagraphs (i) to (iii) that the bank is engaging in, computer equipment integral to the provision of information services related to the business of financial institutions or to the provision of financial services;

    • (c.1) with the prior written approval of the Minister, develop, design, hold, manage, manufacture, sell or otherwise deal with data transmission systems, information sites, communication devices or information platforms or portals that are used

      • (i) to provide information that is primarily financial or economic in nature,

      • (ii) to provide information that relates to the business of a permitted entity, as defined in subsection 464(1), or

      • (iii) for a prescribed purpose or in prescribed circumstances;

    • (c.2) engage, under prescribed terms and conditions, if any are prescribed, in specialized business management or advisory services;

• Marginal note:1997, c. 15, s. 42(3)

  (2) Paragraphs 410(3)(a) and (b) of the Act are replaced by the following:

  • (a) respecting what a bank may or may not do with respect to the carrying on of the activities referred to in paragraphs (1)(c) to (c.2);

  • (b) imposing terms and conditions in respect of

    • (i) the provision of financial services referred to in paragraph 409(2)(a) that are financial planning services,

    • (ii) the provision of services referred to in paragraph 409(2)(c), and

    • (iii) the carrying on of the activities referred to in any of paragraphs (1)(c) to (c.2); and

  • (c) respecting the circumstances in which banks may be exempted from the requirement to obtain the approval of the Minister before carrying on a particular activity referred to in paragraph (1)(c) or (c.1).

101. Paragraphs 411(1)(a) and (b) of the Act are replaced by the following:

Marginal note:1997, c. 15, s. 43

102. Subsection 413(2) of the Act is repealed.

Marginal note:1997, c. 15, s. 43

• 103. (1) Subsection 413.1(1) of the Act is replaced by the following:

  Marginal note:Notice before opening account

  • 413.1 (1) Before a bank to which paragraph 413(1)(b) applies opens a deposit account in Canada, the bank shall give the person requesting the opening of the account, in the prescribed manner,

    • (a) a notice in writing that the deposit will not be insured by the Canada Deposit Insurance Corporation; and

    • (b) any other information that may be prescribed.

• Marginal note:1997, c. 15, s. 43

  (2) Subsection 413.1(3) of the Act is replaced by the following:

  • Marginal note:Regulations

    (3) The Governor in Council may make regulations

    • (a) prescribing the manner in which notices referred to in subsection (1) are to be given and the additional information to be contained in the notices; and

    • (b) respecting notices for the purpose of subsection (2).

104. The Act is amended by adding the following after section 413.1:

• 105. (1) The portion of subsection 414(1) of the Act before paragraph (a) is replaced by the following:

  Marginal note:Restriction on guarantees

  • 414. (1) A bank shall not guarantee on behalf of any person the payment or repayment of any sum of money unless

• Marginal note:1997, c. 15, s. 44

  (2) Subsection 414(2) of the French version of the Act is replaced by the following:

  • Marginal note:Exception

    (2) Dans les cas où la personne visée au paragraphe (1) est une filiale de la banque garante, celle-ci peut garantir une somme qui n’est pas fixe.

106. Section 417 of the Act is replaced by the following:

107. Section 419 of the Act is replaced by the following:

108. Subsection 421(1) of the Act is replaced by the following:

109. Subsection 422(1) of the Act is repealed.

Marginal note:1999, c. 28, s. 22

110. Section 422.1 of the Act is replaced by the following:

111. Subsection 437(3) of the Act is replaced by the following:

112. The heading “Interest and Charges” before section 440 of the Act is repealed.

113. The Act is amended by adding the following before section 440 of the Act:

114. Subsection 441(2) of the Act is replaced by the following:

115. Section 444 of the Act is repealed.

Marginal note:1997, c. 15, s. 48

• 116. (1) The portion of subsection 445(1) of the Act before paragraph (a) is replaced by the following:

  Marginal note:Disclosure required on opening a deposit account

  • 445. (1) Subject to subsections (2) to (4), a bank shall not open a deposit account in the name of a customer unless, at or before the time the account is opened, the bank provides in writing to the individual who requests the opening of the account

• Marginal note:1997, c. 15, s. 48

  (2) Subsections 445(2) to (5) of the Act are replaced by the following:

  • Marginal note:Exception

    (2) If a deposit account is not a personal deposit account and the amount of a charge applicable to the account cannot be established at or before the time the account is opened, the bank shall, as soon as is practicable after the amount is established, provide the customer in whose name the account is kept with a notice in writing of the amount of the charge.

  • Marginal note:Exception

    (3) If a bank has a deposit account in the name of a customer and the customer by telephone requests the opening of another deposit account in the name of the customer and the bank has not complied with subsection (1) in respect of the opening of that other account, the bank shall not open the account unless it provides the customer orally with any information prescribed at or before the time the account is opened.

  • Marginal note:Disclosure in writing

    (4) If a bank opens an account under subsection (3), it shall, not later than seven business days after the account is opened, provide to the customer in writing the agreement and information referred to in subsection (1).

  • Marginal note:Right to close account

    (5) A customer may, within 14 business days after a deposit account is opened under subsection (3), close the account without charge and in such case is entitled to a refund of any charges related to the operation of the account, other than interest charges, incurred while the account was open.

  • Marginal note:Regulations

    (6) For the purposes of subsection (4), the Governor in Council may make regulations prescribing circumstances in which, and the time when, the agreement and information will be deemed to have been provided to the customer.