|
THE BANKS AND TRUST COMPANIES |
REGULATION ACT |
(CHAPTER 316) |
THE BANKS AND TRUST COMPANIES |
(PAYMENT OF DIVIDENDS) |
REGULATIONS, 2005 |
S.I. No. 24 of 2005 |
The Governor of the Central Bank
of The Bahamas in exercise of the powers conferred by section 24 of the Banks
and Trust Companies Regulation Act, makes the following regulations - |
1. These Regulations may be
cited as the Banks and Trust Companies (Payment of Dividends) Regulations,
2005. | Citation. |
| Interpretation. |
“licensee” means any Bank or Trust Company which
is incorporated in The Bahamas and which holds a licence granted under section
4 of the Act; and |
“the Act” means the Banks and Trust Companies
Regulation Act. | Ch. 316. |
3. No licensee shall, without
the prior written approval of the Governor, during any financial year, declare
or pay out dividends on its shares, in the aggregate of all classes of shares,
in excess of its prior financial year's net profit as reported in the annual
audited statement of its accounts prepared pursuant to section 8 of the Act. | Payment of Dividends. |
4. The Inspector may impose
restrictions on the payment of dividends, where the Inspector is satisfied that
on payment of dividends the licensee will be unable to meet its liabilities as
they become due or, that such payment will cause the licensee to fail to comply
with its capital adequacy requirements as established by the Inspector. | Restriction on payment of Dividends. |
5. The Governor may impose a
fine not exceeding five thousand dollars where a licensee fails to comply with
the provisions of these Regulations. | Fine. |
Made this 13th day of April,
2005. |
Signed |
JULIAN FRANCIS |
Governor of the Central Bank of The Bahamas |