Central Bank Act 1997


Number 8 of 1997


CENTRAL BANK ACT 1997

REVISED

Updated to 1 June 2021


This Revised Act is an administrative consolidation of the Central Bank Act 1997. It is prepared by the Law Reform Commission in accordance with its function under the Law Reform Commission Act 1975 (3/1975) to keep the law under review and to undertake revision and consolidation of statute law.

All Acts up to and including the Planning and Development, Heritage and Broadcasting (Amendment) Act 2021 (11/2021), enacted 30 May 2021, and all statutory instruments up to and including the Redundancy Payments Act 1967 (Section 12A(2)) (Covid-19) (No. 2) Order 2021 (S.I. No. 284 of 2021), made 1 June 2021, were considered in the preparation of this Revised Act.

Disclaimer: While every care has been taken in the preparation of this Revised Act, the Law Reform Commission can assume no responsibility for and give no guarantees, undertakings or warranties concerning the accuracy, completeness or up to date nature of the information provided and does not accept any liability whatsoever arising from any errors or omissions. Please notify any errors, omissions and comments by email to

revisedacts@lawreform.ie.


Number 8 of 1997


CENTRAL BANK ACT 1997

REVISED

Updated to 1 June 2021


Introduction

This Revised Act presents the text of the Act as it has been amended since enactment, and preserves the format in which it was passed.

Related legislation

Central Bank Acts 1942 to 2018: this Act is one of a group of Acts included in this collective citation ( Consumer Protection (Regulation of Credit Servicing Firms) Act 2018 (36/2018), s. 3(2)). The Acts in the group are:

Central Bank Act 1942 (22/1942)

Central Bank Act 1961 (8/1961) (Repealed)

Central Bank Act 1964 (3/1964) (Repealed)

Central Bank Act 1971 (24/1971)

Central Bank Act 1989 (16/1989), Part II

Central Bank Act 1997 (8/1997), other than ss. 3, 36 to 49, 60, 64 to 68, 78 to 83 and 85

Central Bank Act 1998 (2/1998)

Euro Changeover (Amounts) Act 2001 (16/2001), s. 5 and s. 9(4)

Central Bank and Financial Services Authority of Ireland Act 2003 (12/2003)

Central Bank and Financial Services Authority of Ireland Act 2004 (21/2004)

National Asset Management Agency Act 2009 (34/2009), s. 1(4), s. 232 and sch. 3 part 2

Central Bank Reform Act 2010 (23/2010)

Central Bank and Credit Institutions (Resolution) Act 2011 (27/2011)

Credit Union and Co-operation with Overseas Regulators Act 2012 (40/2012), ss. 36 , 37 , 48 (2) and 56(3), Part 5 (in so far as it amends the Central Bank Acts 1942 to 2011), and Schedules 2 and 3 (in so far as they amend any of those Acts)

Central Bank (Supervision and Enforcement) Act 2013 (26/2013), other than section 5, in so far as it relates to Schedules 3 and 4, and sections 75 to 78 , 80 to 87 and 89 to 94

Central Bank Act 2014 (9/2014), s. 1

Consumer Protection (Regulation of Credit Servicing Firms) Act 2015 (21/2015), other than s. 8

Consumer Protection (Regulation of Credit Servicing Firms) Act 2018 (36/2018)

Investment Intermediaries Acts 1995 to 2000 : this Act is one of a group of Acts included in this collective citation, to be construed together as one ( Insurance Act 2000 (42/2000), s. 1(3)). The Acts in this group are:

Investment Intermediaries Act 1995 (11/1995)

Central Bank Act 1997 (8/1997), ss. 37-49

Investor Compensation Act 1998 (37/1998), ss. 44 and 52-69

Insurance Act 2000 (42/2000), other than ss. 3-15

Annotations

This Revised Act is annotated and includes textual and non-textual amendments, statutory instruments made pursuant to the Act and previous affecting provisions.

An explanation of how to read annotations is available at

www.lawreform.ie/annotations.

Material not updated in this revision

Where other legislation is amended by this Act, those amendments may have been superseded by other amendments in other legislation, or the amended legislation may have been repealed or revoked. This information is not represented in this revision but will be reflected in a revision of the amended legislation if one is available.

Where legislation or a fragment of legislation is referred to in annotations, changes to this legislation or fragment may not be reflected in this revision but will be reflected in a revision of the legislation referred to if one is available.

A list of legislative changes to any Act, and to statutory instruments from 1972, may be found linked from the page of the Act or statutory instrument at

www.irishstatutebook.ie.

Acts which affect or previously affected this revision

Consumer Protection (Regulation of Credit Servicing Firms) Act 2018 (36/2018)

Data Protection Act 2018 (7/2018)

Consumer Protection (Regulation of Credit Servicing Firms) Act 2015 (21/2015)

Central Bank (Supervision and Enforcement) Act 2013 (26/2013)

Credit Union and Co-operation with Overseas Regulators Act 2012 (40/2012)

Central Bank Reform Act 2010 (23/2010)

Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 (6/2010)

Charities Act 2009 (6/2009)

Markets in Financial Instruments and Miscellaneous Provisions Act 2007 (37/2007)

Central Bank and Financial Services Authority of Ireland Act 2004 (21/2004)

Central Bank and Financial Services Authority of Ireland Act 2003 (12/2003)

ICC Bank Act 2000 (32/2000)

Finance Act 2000 (3/2000)

Economic and Monetary Union Act 1998 (38/1998)

Central Bank Act 1998 (2/1998)

All Acts up to and including Planning and Development, Heritage and Broadcasting (Amendment) Act 2021 (11/2021), enacted 30 May 2021, were considered in the preparation of this revision.

Statutory instruments which affect or previously affected this revision

European Union (Capital Requirements) (Amendment) Regulations 2020 (S.I. No. 710 of 2020)

Central Bank Act 1997 (Auditor Assurance) (Amendment) Regulations 2018 (S.I. No. 373 of 2018)

Central Bank Act 1997 (Auditor Assurance) (Amendment) Regulations 2016 (S.I. No. 445 of 2016)

European Union (Insurance and Reinsurance) Regulations 2015 (S.I. No. 485 of 2015)

Central Bank Act 1997 (Auditor Assurance) Regulations 2014 (S.I. No. 424 of 2014)

European Union (Capital Requirements) Regulations 2014 (S.I. No. 158 of 2014)

European Communities (Payment Services) Regulations 2009 (S.I. No. 383 of 2009)

European Communities (Cross-Border Credit Transfers) Regulations 1999 (S.I. No. 231 of 1999)

Central Bank Act, 1997 (Commencement) Order 1997 (S.I. No. 150 of 1997)

All statutory instruments up to and including Redundancy Payments Act 1967 (Section 12A(2)) (Covid-19) (No. 2) Order 2021 (S.I. No. 284 of 2021), made 1 June 2021, were considered in the preparation of this revision.


Number 8 of 1997


CENTRAL BANK ACT 1997

REVISED

Updated to 1 June 2021


ARRANGEMENT OF SECTIONS

PART I

Preliminary and General

Section

1.

Short title, construction, collective citation and commencement.

2.

Interpretation.

3.

Laying of regulations and orders before Houses of the Oireachtas.

4.

Repeals.

PART II

Regulation of Payment Systems

5.

Definitions ( Part II).

6.

Membership of payment system.

7.

Payment systems.

8.

Existing payment systems.

9.

Approval of rules.

10.

Refusal to approve of rules.

11.

Application of section 17 of Act of 1971.

12.

Failure to comply with conditions or requirements.

13.

Revocation of approval of rules of payment system.

14.

Offences.

15.

Imposition of requirements for membership.

16.

Amendment of section 26 of Act of 1971.

17.

Exemption of payment systems.

18.

Payment of fees.

19.

Prohibition of revocation of certain payments.

20.

Electronic settlement of accounts.

21.

Amendment of section 7 of Act of 1942.

22.

Power to make regulations for cross-border transfers.

PART III

Power of the Bank to Form or Acquire a Company

23.

Power of Bank to form or acquire a company.

PART IV

Functions and Duties of Governor of Bank

CHAPTER 1

Introductory

24.

Interpretation (Part IV).

CHAPTER 2

Compliance and related statements

25.

Obligation of regulated service provider to provide compliance statement when required to do so by the Bank.

26.

Compliance statement to be accompanied by auditor's report if required.

27.

Offences under section 25 or 26.

27A.

Bank may issue guidelines.

CHAPTER 3

Obligations of auditors of regulated financial service providers

27B.

Auditor of regulated financial service provider to lodge annual report with Bank.

27BA.

Auditor assurance.

27C.

Duty of auditor to provide Bank with copies of certain reports.

27D.

Duty of auditor to provide Bank with copies of reports sent to Director of Corporate Enforcement.

27E.

Bank may request auditor of regulated financial service provider to provide Bank with report on certain matters.

27F.

Bank may require auditor of regulated financial service provider to provide certain documents.

27G.

Offences by auditors and affiliates under this Chapter.

27H.

Auditors to have certain immunities from liability.

CHAPTER 4

Supplementary provisions

27I.

Offence to provide false or misleading information for the purposes of this Part.

27J.

Who may prosecute offences against this Part that are to be tried summarily.

27K.

Limitation period for bringing proceedings for summary trial of offence against this Part. (Repealed)

PART V

Supervision of Regulated Businesses

CHAPTER 1

Introductory provisions

28.

Definitions ( Part V).

CHAPTER 2

Carrying on regulated business without authorisation prohibited

29.

Person prohibited from carrying on regulated business without authorisation.

29A.

Power of Bank to exempt certain persons from being required to hold authorisation as a retail credit firm.

CHAPTER 3

Authorisations to carry on regulated businesses

30.

Applications for authorisations.

31.

Grant and refusal of applications for authorisation.

31A.

Provisions supplementary to section 31 applicable to retail credit and home reversion firms.

32.

Effect and term of authorisation.

32A.

Additional provisions applicable to retail credit and home reversion firms.

33.

Bank may impose conditions when granting an application for an authorisation.

33A.

Imposition of conditions or requirements on authorised retail credit firms and home reversion firms.

34.

Bank may amend authorisation.

34C.

Transitional provisions.

34D.

Transitional provision for existing debt management firms.

34E.

Transitional provision for existing retail credit firms.

34F.

Transitional provision for existing credit servicing firms.

34FA.

Transitional provision for existing credit servicing firms: supplementary.

34G.

Obligation on credit servicing firm and holder of legal title to credit.

35.

Offence to fail to comply with certain conditions and requirements.

36.

Revocation of authorisation by Bank on application of holder.

36A.

Revocation of authorisation by Bank otherwise than on application of holder.

36B.

Bank may direct holder of authorisation to suspend business.

36C.

Bank to publish notice of revocation or suspension.

36D.

Bank to keep register of persons authorised to carry on regulated businesses.

36E.

Bank to publish list of persons authorised to carry on regulated businesses.

36F.

Holders of authorisations to keep certain records.

CHAPTER 4

Enforcement of this Part

36G.

Appointment of inspectors. (Repealed)

36H.

Powers of inspectors with respect to holders of authorisations. (Repealed)

36I.

Offence to obstruct inspectors in the exercise of their powers. (Repealed)

36J.

Court may make enforcement orders.

36K.

Offences by persons concerned in management of bodies corporate.

CHAPTER 5

Supplementary provisions

36L.

Decisions of Bank under this Part to be appealable decisions for purposes of Part VIIA of Central Bank Act 1942.

36M.

Bank may make regulations for purposes of this Part.

36N.

Performance and exercise of Bank's functions and powers to be consistent with performance of certain responsibilities of Governor.

PART VI

Amendments to Investment Intermediaries Act, 1995

37.

Amendment of section 4 of Investment Intermediaries Act, 1995.

38.

Amendment of section 8 of Investment Intermediaries Act, 1995.

39.

Amendment of section 10 of Investment Intermediaries Act, 1995.

40.

Amendment of section 20 of Investment Intermediaries Act, 1995.

41.

Amendment of section 22 of Investment Intermediaries Act, 1995.

42.

Amendment of section 25 of Investment Intermediaries Act, 1995.

43.

Amendment of section 26 of Investment Intermediaries Act, 1995.

44.

Amendment of section 27 of Investment Intermediaries Act, 1995.

45.

Amendment of section 28 of Investment Intermediaries Act, 1995.

46.

Amendment of section 29 of Investment Intermediaries Act, 1995.

47.

Amendment of section 31 of Investment Intermediaries Act, 1995.

48.

Amendment of section 64 of Investment Intermediaries Act, 1995. (Repealed)

49.

Amendment of section 78 of Investment Intermediaries Act, 1995.

PART VII

Miscellaneous

50.

Amendment of section 24 of Act of 1942.

51.

Amendment of section 28 of Act of 1942.

52.

Amendment of section 16 of Act of 1989.

53.

Application of section 47 of Act of 1989.

54.

Amendment of section 48 of Act of 1989.

55.

Amendment of section 75 of Act of 1989.

56.

Amendment of section 76 of Act of 1989.

57.

Amendment of section 90 of Act of 1989.

58.

Amendment of section 91 of Act of 1989.

59.

Amendment of section 92 of Act of 1989.

60.

Amendment of section 3(2) of Consumer Credit Act, 1995.

61.

Amendment of Part II, Chapter VII of Act of 1989.

62.

Amendment of section 104 of Act of 1989.

63.

Amendment of section 139 of Act of 1989.

64.

Amendment of section 3 of Bretton Woods Agreements Act, 1957.

65.

Amendment of section 3 of International Finance Corporation Act, 1958.

66.

Amendment of section 3 of International Development Association Act, 1960.

67.

Amendment of section 3 of Multilateral Investment Guarantee Agency Act, 1988.

68.

Amendment of section 3 of European Bank for Reconstruction and Development Act, 1991.

69.

Amendment of Part II, Chapter II of Act of 1989.

70.

Amendment of Act of 1971.

71.

Amendment of section 11 of Act of 1971.

72.

Amendment of section 48 of Act of 1971.

73.

Amendment of section 51 of Act of 1971.

74.

Injunction to prevent an unauthorised person acting as a credit institution.

75.

Powers of inspection. (Repealed)

76.

Search and seizure. (Repealed)

77.

Examination by Comptroller and Auditor General.

78.

Amendment of Building Societies Act, 1989.

79.

Information to be supplied by mortgage lenders.

80.

Amendment of Trustee (Authorised Investments) Act, 1958.

81.

Amendment of European Communities (Deposit Guarantee Schemes) Regulations, 1995.

82.

References to company in ICC Bank Act, 1992 (Repealed)

83.

Amendment of Stock Transfer Act, 1963.

84.

Representative offices.

85.

Amendment of Decimal Currency Act, 1969.

SCHEDULE

PART I

Repeals

PART II

Revocation


Acts Referred to

ACC Bank Act, 1992

1992, No. 6

Bretton Woods Agreements Act, 1957

1957, No. 18

Building Societies Act, 1989

1989, No. 17

Central Bank Acts, 1942 to 1989

Companies Acts, 1963 to 1990

Companies (Amendment) Act, 1977

1977, No. 31

Companies (Amendment) Act, 1986

1986, No. 25

Comptroller and Auditor General (Amendment) Act, 1993

1993, No. 8

Consumer Credit Act, 1995

1995, No. 24

Criminal Justice Act, 1994

1994, No. 15

Data Protection Act, 1988

1988, No. 25

Decimal Currency Act, 1969

1969, No. 23

European Bank for Reconstruction and Development Act, 1991

1991, No. 1

Finance Act, 1980

1980, No. 14

Finance Act, 1981

1981, No. 16

Finance Act, 1986

1986, No. 13

Finance Act, 1987

1987, No. 10

ICC Bank Act, 1992

1992, No. 21

Insurance Act, 1989

1989, No. 3

International Development Association Act, 1960

1960, No. 35

International Finance Corporation Act, 1958

1958, No. 22

Investment Intermediaries Act, 1995

1995, No. 11

Investment Limited Partnerships Act, 1994

1994, No. 24

Multilateral Investment Guarantee Agency Act, 1988

1988, No. 32

Netting of Financial Contracts Act, 1995

1995, No. 25

Pensions Acts, 1990 to 1996

Public Offices Fees Act, 1879

42 & 43 Vict., c. 58

Statistics Act, 1993

1993, No. 21

Stock Exchange Act, 1995

1995, No. 9

Stock Transfer Act, 1963

1963, No. 21

Trustee Act, 1893

56 & 57 Vict., c. 53

Trustee (Authorised Investments) Act, 1958

1958, No. 8

Trustee Savings Banks Act, 1989

1989, No. 21

Unit Trusts Act, 1990

1990, No. 37


Number 8 of 1997


CENTRAL BANK ACT 1997

REVISED

Updated to 1 June 2021


AN ACT TO MAKE PROVISION FOR THE REGULATION BY THE CENTRAL BANK OF IRELAND OF PAYMENT SYSTEMS AND BUREAUX de CHANGE, AND TO AMEND AND EXTEND THE CENTRAL BANK ACTS, 1942 TO 1989 AND OTHER ENACTMENTS, AND TO PROVIDE FOR RELATED MATTERS. [31 st March, 1997]

BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS: