Banking and Financial Institutions Act 1989 · s 77

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77. (1) Notwithstanding anything in any written law or the constituent documents of a licensed institution, where the Bank, or an appointed person, has, pursuant to an order under section 73(2)(a), assumed control of the licensed institution and the paid-up capital of such institution is lost or unrepresented by available assets, the Bank or the appointed person, as the case may be, may apply to the High Court for an order to reduce the share capital of such licensed institution by cancelling any portion of its paid-up capital which is lost or unrepresented by available assets.
(2) Where the High Court makes an order under subsection (1) to reduce the share capital of a licensed institution, the Court may—
(a) on an application by the Bank, or the appointed person, as the case may be; and
(b) if, on the expiry of thirty days from the date of any call made by the licensed institution on its members to pay on their respective shares, payment on any such shares has not been made, also order that such shares for which payment has not been made be cancelled accordingly.
(3) Where the share capital of a licensed institution is reduced pursuant to subsection (1), or any of its shares is cancelled pursuant to subsection (2), the Bank, or the appointed person, as the case may be, may cause the constituent documents of the institution to be altered accordingly.
(4) The powers conferred on the Bank and the appointed person under the foregoing provisions of this section shall be in addition to any powers exercisable under section 64 (1) of the Companies Act 1965, and where an application is made to the High Court under subsection (1)—
(a) the High Court may exercise any of the powers conferred on it under section 64 of the Companies Act 1965 in relation to an application for confirmation referred to therein; and
(b) subsections (9) and (10) of the said section 64 shall apply in relation thereto.

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s 77

(1)

Notwithstanding anything in any written law or the constituent documents of a licensed institution, where the Bank, or an appointed person, has, pursuant to an order under section 73(2)(a), assumed control of the licensed institution and the paid-up capital of such institution is lost or unrepresented by available assets, the Bank or the appointed person, as the case may be, may apply to the High Court for an order to reduce the share capital of such licensed institution by cancelling any portion of its paid-up capital which is lost or unrepresented by available assets.

(2)

Where the High Court makes an order under subsection (1) to reduce the share capital of a licensed institution, the Court may—

(a)

on an application by the Bank, or the appointed person, as the case may be; and

(b)

if, on the expiry of thirty days from the date of any call made by the licensed institution on its members to pay on their respective shares, payment on any such shares has not been made, also order that such shares for which payment has not been made be cancelled accordingly.

(3)

Where the share capital of a licensed institution is reduced pursuant to subsection (1), or any of its shares is cancelled pursuant to subsection (2), the Bank, or the appointed person, as the case may be, may cause the constituent documents of the institution to be altered accordingly.

(4)

The powers conferred on the Bank and the appointed person under the foregoing provisions of this section shall be in addition to any powers exercisable under section 64 (1) of the Companies Act 1965, and where an application is made to the High Court under subsection (1)—

(a)

the High Court may exercise any of the powers conferred on it under section 64 of the Companies Act 1965 in relation to an application for confirmation referred to therein; and

(b)

subsections (9) and (10) of the said section 64 shall apply in relation thereto.