The Central Securities Depositories Regulations 2014

[F1 Orders for sale of shares U.K.

5J.— (1) The court may, on the application of the Bank, order the sale of shares or the disposition of voting power in the following circumstances.

(2) The circumstances are that—

(a) a person (“P”) has taken a decision in relation to which P is required to give the Bank an Article 27 notice; and

(b) P has made the acquisition—

(i) without giving the Article 27 notice,

(ii) before the expiry date of the assessment period (unless the Bank has approved the acquisition), or

(iii) in contravention of the Bank’s decision under Article 27(8) of the CSD regulation.

(3) Where the court orders the sale of shares or disposition of voting power it may—

(a) if a restriction notice has been given in relation to the shares or voting power, order that the restrictions cease to apply; and

(b) make any further order.

(4) Where the court makes an order under this regulation, it must take into account the level of holding that P would have been entitled to acquire, or to continue to hold, without contravening the Bank’s decision under Article 27(8) of the CSD regulation.

(5) If shares are sold or voting power disposed of in pursuance of an order under this regulation, any proceeds, less the costs of the sale or disposition, must be paid into court for the benefit of the persons beneficially interested in them; and any such person may apply to the court for payment of the whole or a part of the proceeds.

(6) The jurisdiction conferred by this regulation may be exercised by the High Court or in Scotland, the Court of Session.]

Textual Amendments

F1 Pts. 4-8 and Pt. 9 heading inserted (28.11.2017) by The Central Securities Depositories Regulations 2017 (S.I. 2017/1064), regs. 1, 5(9) (with regs. 7(4), 9(1))