Skip to main content

Bill C-15

If you have any questions or comments regarding the accessibility of this publication, please contact us at accessible@parl.gc.ca.

PDF
Rights before assessor in lieu of other rights

(2) The rights of an offeree or a federal member institution under sections 39.24 to 39.33 are in lieu of any other right of action that the offeree or federal member institution or any person claiming through the offeree or federal member institution might otherwise have against the Corporation.

Payment of compensation

39.35 (1) The Corporation shall make the payment or delivery required by section 39.28 or 39.32 to the person who in the opinion of the Corporation appears to be entitled to it.

Time for payment

(2) The Corporation shall make the payment or delivery required by section 39.28 within sixty days after the date of the notice referred to in subsection 39.24(1).

Time for payment

(3) The Corporation shall make the payment required by section 39.32 within thirty days after the expiration of the period for making an application for judicial review of the determination of the assessor under the Federal Court Act or, if such an application is made, within thirty days after the application is finally disposed of.

Discharge of liability

(4) Payment or delivery under this section by the Corporation in respect of any share or subordinated debt discharges the Corporation from all liability in respect of the share or subordinated debt and in no case is the Corporation under any obligation to see to the proper application in any way of any such payment.

Sittings and hearings

39.36 (1) An assessor may, for the purpose of making determinations under sections 39.31, 39.32 and 39.33, sit at any place or places and shall arrange for the sittings and hearings that may be required.

Powers of assessor

(2) The assessor has all the powers of a person appointed as a commissioner under Part II of the Inquiries Act for the purpose of obtaining evidence under oath.

Persons to assist

(3) An assessor may appoint one or more appraisers to assist the assessor in making a determination under section 39.31.

Payment of appraisers

(4) Fees and disbursements payable to an appraiser may be included by the assessor in an amount awarded in respect of costs under section 39.32 or 39.33.

Review by court may be requested

39.361 (1) Notwithstanding subsection 39.34(2), at any time within 180 days after the date of a notice under subsection 39.24(2), the federal member institution or, subject to subsection (2), any creditor or holder of shares or subordinated debt of the federal member institution may, on notice to the Corporation, apply to a superior court to have the court review the allocation of the consideration for the sale or other disposition of all or part of the assets of the federal member institution or the assumption of all or part of its liabilities.

Restriction

(2) A reference in subsection (1) to

    (a) a ``creditor'' means a creditor who is owed at least $1,000 by the federal member institution, other than by way of subordinated debt; and

    (b) a ``holder of shares or subordinated debt'' means a holder who, whether alone or together with other applicants, holds not less than 10 per cent of the shares or subordinated debt of a given class of the federal member institution.

Court powers

(3) Where, on an application under subsection (1), the court finds that the Corporation has not allocated or caused the allocation of the consideration for the sale or other disposition of all or part of the assets of the federal member institution or the assumption of all or part of its liabilities, or both, among the creditors or, where applicable, the holders of shares or subordinated debt of the federal member institution, in the order in which it would have been allocated by a liquidator of the federal member institution, the court may make such order as the court deems necessary to require the Corporation to rectify the allocation.

Regulations

39.37 The Governor in Council may make regulations

    (a) prescribing information that must accompany a notice under section 39.24; and

    (b) respecting the sending or delivery of notices under sections 39.25, 39.27 and 39.3.

RESTRUCTURING OF PROVINCIAL MEMBER INSTITUTIONS

Federal-
provincial agreements

39.38 (1) The Minister may, with the approval of the Governor in Council, enter into an agreement with an appropriate provincial minister providing for the application of any of sections 39.1 to 39.37 to provincial member institutions incorporated under the laws of that province.

Orders

(2) Where an agreement has been entered into with an appropriate provincial minister, the Governor in Council may make orders, which may not be inconsistent with the agreement, providing for the application of any of sections 39.1 to 39.37 to provincial member institutions incorporated under the laws of that province and adapting any of the provisions of those sections in their application to those provincial member institutions.

1992, c. 26, s. 12

42. Section 42 of the Act is repealed.

R.S., c.18 (3rd Supp.), s. 68

43. Section 45.2 of the Act is replaced by the following:

Confidentia-
lity

45.2 All information regarding the affairs of a federal institution or provincial institution or of any person dealing therewith that is obtained by the Corporation is confidential and shall be treated accordingly.

44. The heading before section 47 of the English version of the Act is replaced by the following:

ENFORCEMENT PROVISIONS

R.S., c. 18 (3rd Supp.), ss. 69 to 71

45. Sections 47 to 53 of the Act are replaced by the following:

False statements

47. Every director, officer, employee or agent of a bank or company and every auditor thereof who prepares, signs, approves or concurs in any

    (a) account, statement, return, report or other document respecting the affairs of the bank or company required to be submitted to the Corporation pursuant to this Act, the by-laws, an application to become a member institution or a policy of deposit insurance of the bank or company and that contains any false or deceptive information, or

    (b) return that does not present fairly information required to be submitted to the Corporation pursuant to this Act, the by-laws or a policy of deposit insurance of the bank or company

is guilty of an offence.

Failure to make report known

48. A person who, being a chief executive officer or chairperson of the board of directors of a member institution, fails or neglects to present, as required by section 30, a report of the Corporation made under that section is guilty of an offence and, if the directors fail or neglect to incorporate that report in the minutes of a meeting of the directors as required by that section, each director present at that meeting who directed, authorized, assented to, acquiesced in or participated in the failure or neglect, is guilty of an offence.

Failure to provide information, etc.

49. Every member institution that fails or neglects

    (a) within the time limited for so doing, to provide the Corporation with any account, statement, return, report or other document respecting the affairs of the member institution that is required to be submitted to the Corporation pursuant to this Act, the by-laws or the policy of deposit insurance of the member institution, or

    (b) to respond, within a reasonable time, to a request for information or explanations respecting the member institution made by or on behalf of the Corporation pursuant to this Act, the by-laws or the policy of deposit insurance of the member institution

is guilty of an offence.

General offence

50. Every member institution that, or other person who, without reasonable cause, contravenes

    (a) a provision of this Act, other than section 47, 48 or 49, or

    (b) the by-laws

is guilty of an offence.

Punishment

50.1 Every member institution or other person who commits an offence under this Act is liable on summary conviction

    (a) in the case of a natural person, to a fine not exceeding $100,000 or to imprisonment for a term not exceeding twelve months, or to both; or

    (b) in any other case, to a fine not exceeding $500,000.

Court may order compliance

51. Where a member institution or other person has been convicted of an offence under this Act, the court may, in addition to any fine or term of imprisonment that may be imposed, order the member institution or person to rectify the contravention of this Act, the by-laws or the policy of deposit insurance in respect of which the member institution or person was convicted.

Additional monetary punishment

52. (1) Where a member institution or other person has been convicted of an offence under this Act, the court may, where it is satisfied that as a result of the commission of the offence the convicted member institution or person acquired a monetary benefit or that a monetary benefit accrued to the benefit of the member institution or person, order the convicted member institution or person to pay, notwithstanding the maximum amount of any fine that may otherwise be imposed under this Act, an additional fine in an amount equal to the court's estimation of the amount of the monetary benefit.

Restraining or compliance order

(2) If a member institution or other person does not comply with any provision of this Act, the by-laws or the policy of deposit insurance that applies in respect of the member institution or person, the Corporation may apply to a superior court for an order directing the member institution or person to comply with or restraining the member institution or person from acting in breach of the provision and, on the application, the court may so order and make any further order it thinks fit.

Appeals

53. Any decision or order of a court that tries an issue under this Act may be appealed to the court having jurisdiction to hear appeals from that trial court.

Recovery and application of fines

54. All fines payable under this Act are recoverable and enforceable, with costs, at the suit of Her Majesty in right of Canada, instituted by the Attorney General of Canada and, when recovered, belong to Her Majesty in right of Canada.

45.1 (1) Section 2 of the schedule to the Act is amended by adding the following after subsection (2):

Where more than one repayment day

(2.1) For the purposes of subsection (2), where an institution is, in respect of deposit moneys received or held by it, obligated to repay the moneys to a person on a fixed day and also is or may become obligated to repay the moneys

    (a) on an earlier date by virtue of a right of withdrawal, reinvestment or other right afforded to the person by the terms under which the moneys were solicited or received or are held, only the fixed day shall be considered, or

    (b) on a later date by virtue of a right afforded to any person to extend the term of the deposit at a rate or rates of interest determined at the time the moneys were solicited or received, the later date is deemed to be the fixed day

in determining whether the institution is or may become obligated to repay the moneys on or before the expiration of five years after the date of the deposit, whether or not the right is exercised.

Right to extend

(2.2) For greater certainty, a right referred to in paragraph (2.1)(b) does not include a right to renew or reinvest a deposit at a rate or rates of interest prevailing on the date of renewal or reinvestment.

(2) Subsection (1) applies only in respect of deposit moneys received by an institution after that subsection comes into force.

46. (1) Section 3 of the schedule to the Act is amended by adding the following after subsection (3):

Trust arrangements

(3.01) A deposit held by a member institution for a depositor who is acting as trustee under a trust is deemed not to be a separate deposit if, in the opinion of the Corporation, the trust exists primarily for the purpose of obtaining or increasing deposit insurance under this Act.

R.S., c. 18 (3rd Supp.), s. 73(3)

(2) Subsection 3(6) of the schedule to the Act is replaced by the following:

Registered retirement income fund

(6) Notwithstanding subsection (2), for the purposes of deposit insurance with the Corporation, where moneys received by a member institution from a depositor pursuant to a registered retirement income fund, within the meaning given that expression under the Income Tax Act, constitute a deposit or part of a deposit by or for the benefit of an individual, the aggregate of those moneys and any other moneys received from the same depositor pursuant to any other registered retirement income fund and that constitutes a deposit or part of a deposit by or for the benefit of the same individual, is deemed to be a single deposit separate from any other deposit of or for the benefit of that individual.

47. The English version of the Act is amended by replacing the word ``Chairman'' with the word ``Chairperson'', with such modifications as the circumstances require, in the following provisions:

    (a) paragraph 5(1)(a);

    (b) subsection 5(4);

    (c) section 6; and

    (d) subsections 45(2) and (3).

1992, c. 26

AN ACT TO AMEND THE CANADA DEPOSIT INSURANCE CORPORATION ACT AND TO AMEND OTHER ACTS IN CONSEQUENCE THEREOF

48. Section 13 of An Act to amend the Canada Deposit Insurance Corporation Act and to amend other Acts in consequence thereof, chapter 26 of the Statutes of Canada, 1992, is repealed.

1991, c. 48

COOPERATIVE CREDIT ASSOCIATIONS ACT

49. Subsection 35(1) of the Cooperative Credit Associations Act is replaced by the following:

Prohibited names

35. (1) An association may not be incorporated under this Act with a name

    (a) that is prohibited by an Act of Parliament;

    (b) that is, in the opinion of the Superintendent, deceptively misdescriptive;

    (c) that is the same as or, in the opinion of the Superintendent, confusingly similar to any existing

      (i) trade-mark or trade name, or

      (ii) corporate name of a body corporate,

    except where the trade-mark or trade name is being changed or the body corporate is being dissolved or is changing its corporate name and consent to the use of the trade-mark, trade name or corporate name is signified to the Superintendent in such manner as the Superintendent may require;

    (d) that is the same as or, in the opinion of the Superintendent, confusingly similar to the known name under or by which any entity carries on business or is identified; or

    (e) that is reserved under section 39 for another association or a proposed association.

50. Section 37 of the Act is replaced by the following:

Affiliated entity

37. Notwithstanding section 35, an association that is affiliated, within the meaning of subsection 6(2), with another entity may, with the consent of that entity and the approval in writing of the Superintendent, be incorporated with, or change its name to, substantially the same name as that of the affiliated entity.

51. Subsection 38(4) of the Act is replaced by the following:

Directions

(4) Where an association is carrying on business under or identifying itself by a name other than its corporate name, the Superintendent may, by order, direct the association not to use that other name if the Superintendent is of the opinion that that other name is a name referred to in any of paragraphs 35(1)(a) to (e).

52. Section 40 of the Act is replaced by the following:

Directing change of name

40. (1) If through inadvertence or otherwise an association

    (a) comes into existence or is continued with a name, or

    (b) on an application to change its name, is granted a name

that is prohibited by section 35, the Superintendent may, by order, direct the association to change its name and the association shall comply with that direction.

Revoking name

(2) Where an association has been directed under subsection (1) to change its name and has not, within sixty days after the service of the direction, changed its name to a name that is not prohibited by this Act, the Superintendent may revoke the name of the association and assign to it a name and, until changed in accordance with subsection 219(1), the name of the association is thereafter the name so assigned.

Previous Page Table of Contents Next Page