Banking Act 1987 (repealed)

21 Notification of new or increased control. U.K.

(1) [F1 No person shall become a minority, 10 per cent., 20 per cent., 33 per cent., majority or principle shareholder controller, a parent controller or an indirect controller of an authorised institution unless]—

(a) he has served on the Bank a written notice stating that he intends to become such a controller of the institution; and

(b) either the Bank has, before the end of the period of three months beginning with the date of service of that notice, notified him in writing that there is no objection to his becoming such a controller of the institution or that period has elapsed without the Bank having served on him under section 22 or 23 below a written notice of objection to his becoming such a controller of the institution.

(2) Subsection (1) above applies also in relation to a person becoming a partner in an authorised institution which is a partnership formed under the law of any part of the United Kingdom.

(3) A notice under paragraph (a) of subsection (1) above shall contain such information as the Bank may direct and the Bank may, after receiving such a notice from any person, by notice in writing require him to provide such additional information or documents as the Bank may reasonably require for deciding whether to serve a notice of objection.

(4) Where additional information or documents are required from any person by a notice under subsection (3) above the time between the giving of the notice and the receipt of the information or documents shall be added to the period mentioned in subsection (1) (b) above.

(5) A notice served by a person under paragraph (a) of subsection (1) above shall not be regarded as a compliance with that paragraph except as respects his becoming a controller of the institution in question within the period of one year beginning—

(a) in a case where the Bank has notified him that there is no objection to his becoming such a controller, with the date of that notification;

(b) in a case where the period mentioned in paragraph (b) of that subsection has elapsed without any such notification and without his having been served with a written notice of objection, with the expiration of that period;

(c) in a case in which he has been served with a notice of objection which has been quashed on appeal, with the date on which it is quashed.

Textual Amendments

F1 Words in s. 21(1) substituted (1.1.1993) by S.I. 1992/3218, reg. 31(1) (with savings in reg. 46(a)).