Central Bank Act 1942

Winding-up of the note reserve fund and establishment of the currency reserve.

62

62. (1) As soon as may be after the passing of this Act and in any event not later than one month after such passing, the note reserve fund shall be wound up and for that purpose the following provisions shall have effect, that is to say:—

( a) there shall be established in the general fund an account to be called the currency reserve;

( b) out of the assets of the note reserve fund there shall be transferred to the legal tender note fund such assets (not exceeding two hundred thousand pounds in total value at the market prices current at the time of the transfer) as the Commission shall think proper;

( c) the assets transferred to the legal tender note fund in pursuance of the next preceding paragraph of this sub-section shall be applied in writing down in the books of that fund to such extent as the Commission shall think proper the values in such books of such of the assets of the said fund as the Commission shall think proper;

( d) the assets of the note reserve fund (other than those assets transferred to the legal tender note fund under the foregoing provisions of this section) shall be transferred to the general fund and the amount thereof shall be placed to the credit of the currency reserve;

( e) from and after the winding-up of the note reserve fund in pursuance of this section, the transfers required by sub-section (7) of section 61 (as amended by this Act) of the Currency Act to be made from or to the legal tender note fund to or from the note reserve fund shall be made from or to the legal tender note fund to or from the currency reserve in the general fund.

(2) If the winding-up of the note reserve fund in pursuance of the foregoing sub-section of this section takes place on or after the appointed day, every mention in that sub-section of the Commission shall be construed and have effect as a mention of the Board.

(3) Section 50 and sub-section (7) of section 58 of the Currency Act are hereby amended, as from the completion of the winding-up of the note reserve fund, by the substitution of the expression “ currency reserve” for the expression “note reserve fund” wherever the latter expression occurs in the said section 50 and the said sub-section (7) respectively.

(4) F624 [ ].

Annotations:

Amendments:

F624

Repealed (12.07.1989) by Central Bank Act 1989 (16/1989), s. 4 and sch., commenced as per s. 2.

Editorial Notes:

E282

The figure of two hundred thousand pounds referred to in subs. (1)(b) converts to €253,947.61. See Euro Changeover (Amounts) Act 2001 (16/2001), s. 1.