Banking (Prudential Supervision) Act 1989

If you need more information about this Act, please contact the administering agency: Reserve Bank of New Zealand
74 Conditions of registration

(1)

A person may be registered as a registered bank unconditionally or subject to any conditions that the Bank may impose.

(2)

The Bank may, by notice in writing to a registered bank,—

(a)

impose conditions of registration (whether or not the registration of the bank is subject to conditions); or

(b)

vary, remove, add to, or substitute any conditions of registration.

(3)

The Bank must not exercise a power referred to in subsection (2) unless—

(a)

the Bank gives the registered bank not less than 7 days’ notice in writing of the Bank’s intention to do so; and

(b)

the notice contains, or is accompanied by, a statement of the Bank’s reasons; and

(c)

the registered bank has a reasonable opportunity to make submissions to the Bank; and

(d)

the Bank has regard to those submissions.

(4)

The Bank may impose conditions that relate to any of the following matters:

(a)

the matters to which the Bank must have regard under sections 73 to 73B in determining an application for registration, including any matters prescribed by regulations made under section 73(2)(g); and

(b)

the matters referred to in section 78, including any matters prescribed by regulations made under that section; and

(c)

the matters referred to in section 81, including any matters prescribed by an Order in Council made under that section.

(5)

A registered bank commits an offence if the registered bank fails to comply with a condition of registration imposed by the Bank under this section.

(6)

The penalty for an offence against this section is set out in section 156AB.

Section 74: replaced, on 21 August 2003, by section 16 of the Reserve Bank of New Zealand Amendment Act 2003 (2003 No 46).