Central Bank and Financial Services Authority of Ireland Act 2003
Substitution of the First and Second Schedules to the Principal Act.
31.—The Principal Act is amended by substituting the following Schedules for the First and Second Schedules:
“SCHEDULE 1 Section 32.
Provisions Applicable to the Board
General procedure.
1.—The procedure for the calling of meetings of the Board and for the conduct of business at those meetings is, subject to this Schedule, to be as determined by the Board. The Board may determine that procedure by means of rules or standing orders or by any other means.
Quorum.
2.—(1) Subject to subparagraph (2), a quorum for all meetings of the Board is 7.
(2) Where the Board is considering budgetary, funding or staffing issues relating to the Regulatory Authority, there is no quorum unless, in addition to complying with subparagraph (1), there is present so many members of the Board as ensures that—
(a) if there is an even number of members present, at least half of them are not members of the Regulatory Authority,
(b) if there is an uneven number of members present, the majority of them are not members of the Regulatory Authority.
Who is to preside at meetings of the Board.
3.—(1) Subject to subparagraph (3), a meeting of the Board is to be presided over by—
(a) the Chairperson, or
(b) in the absence of the Chairperson or if there is no Chairperson—
(i) the Director appointed under section 22 to act as Governor, or
(ii) if no Director has been appointed under that section — a Director elected by the Directors present at the meeting.
(2) If the votes are equal on a motion put at a meeting of the Board, the person who is presiding at the meeting has a casting as well as a deliberative vote.
(3) Where the Board is dealing with—
(a) budgetary or funding issues relating to the Regulatory Authority, or
(b) staffing issues relating to the Bank,
the meeting of the Board must be presided over by the Governor or, where section 22A applies, the Director General of the Bank.
Voting at Board meetings.
4.—A decision supported by a majority of the votes cast at a meeting of the Board at which a quorum is present is the decision of the Board.
Transaction of business otherwise than at ordinary meetings.
5.—(1) The Board may, if it thinks fit, transact any of its business by the circulation of papers among all its members for the time being. A resolution approved in writing by a majority of those members is taken to be a decision of the Board.
(2) The Board may, if it thinks fit, transact any of its business at a meeting at which its members (or some of its members) participate by telephone, closed circuit television or other means, but only if any member who speaks on a matter being considered by the meeting can be heard by the other members. For the purposes of—
(a) the approval of a resolution under subparagraph (1), or
(b) a meeting held in accordance with subparagraph (2),
the members of the Board have the same voting rights as they have at an ordinary meeting of the Board.
(3) Papers may be circulated among Board members for the purposes of subparagraph (1) by the electronic transmission of the information in the papers concerned.
Disclosure of Directors' pecuniary interests.
6.—(1) If—
(a) a Director has a direct or indirect pecuniary interest in a matter being considered or about to be considered at a meeting of the Board, and
(b) the interest appears to raise a conflict with the proper performance of the Director's duties in relation to the consideration of the matter,
the Director shall, as soon as possible after the relevant facts have come to the Director's knowledge, disclose the nature of the interest at a meeting of the Board or to the Secretary to the Board who shall advise the next meeting of the Board of the disclosure.
(2) A disclosure by a Director that the Director—
(a) is a director, or is in the employment, of a specified company or other body, or
(b) is a partner, or is in the employment, of a specified person, or
(c) has some other specified interest relating to a specified company or other body or to a specified person,
is a sufficient disclosure of the nature of the interest in any matter relating to that company or other body, or to that person, that may arise after the date of the disclosure and that is required to be disclosed under subparagraph (1).
(3) The Secretary to the Board is required to make and keep a record of particulars of any disclosure made under this paragraph and, subject to section 33AK, to make that record available for inspection at all reasonable hours by any person who asks to see the record.
(4) After a Director has disclosed the nature of any interest in any matter, the Director may not, unless the Board otherwise determines—
(a) be present during any deliberation of the Board with respect to the matter, or
(b) take part in any decision of the Board with respect to the matter.
(5) For the purposes of the making of a determination by the Board under subparagraph (4), a Director who has a direct or indirect pecuniary interest in a matter to which the disclosure relates may not—
(a) be present during any deliberation of the Board for the purpose of making the determination, or
(b) take part in the making by the Board of the determination.
(6) A contravention of this paragraph does not invalidate any decision of the Board.
(7) This paragraph does not apply to or in respect of an interest of a Director in a matter or thing that arises merely because the Director is a contributor to a retirement benefits scheme.
SCHEDULE 2 Section 33C(1) and (2).
Enactments and Regulations under which Regulatory Authority is to Perform Functions of the Bank
PART 1
Enactments
Number and Year
Short Title
Provisions affected
1909 c. 49
Assurance Companies Act 1909
The whole Act
Insurance Act 1936
The whole Act
Insurance Act 1953
Section 4
Companies Act 1963
Section 213
Insurance Act 1964
The whole Act
Central Bank Act 1971
The whole Act, other than sections 7(1) and (4), 18, 23, 44- 46, 48-50 and 55
Insurance (Amendment) Act 1978
The whole Act
Postal and Telecommunications Services Act 1983
Section 104
Insurance (No. 2) Act 1983
The whole Act
Insurance Act 1989
The whole Act
Central Bank Act 1989
The whole Act, other than sections 22-25 and 118-126
Building Societies Act 1989
The whole Act
Trustee Savings Banks Act 1989
The whole Act
Companies (Amendment) Act 1990
Sections 3, 3C, 18, 23, 24 and 27
Companies Act 1990
Part XIII
Unit Trusts Act 1990
The whole Act
Housing (Miscellaneous Provisions) Act 1992
Section 13
Criminal Justice Act 1994
Section 32(10)(e)
Investment Limited Partnership Act 1994
The whole Act
Solicitors (Amendment) Act 1994
Section 78
Stock Exchange Act 1995
The whole Act
Investment Intermediaries Act 1995
The whole Act
Consumer Credit Act 1995
The whole Act
Netting of Financial Contracts Act 1995
Sections 2 and 3
Central Bank Act 1997
The whole Act other than Parts II and III
Credit Union Act 1997
The whole Act
Investor Compensation Act 1998
The whole Act
Dormant Accounts Act 2001
Part 3 and section 17
Asset Covered Securities Act 2001
The whole Act
PART 2
Statutory instruments
Number and Year
Short Title
Provisions affected
S.R. & O. No. 75 of 1940
Actuary (Qualification) Regulations 1940
The whole instrument
S.R. & O. No. 76 of 1940
Industrial Assurance (Contents of Policies) Order 1940
The whole instrument
S.R. & O. No. 78 of 1940
Insurance (Deposits) Rules 1940
The whole instrument
S.R. & O. No. 80 of 1940
Insurance Regulations 1940
The whole instrument
S.R. & O. No. 81 of 1940
Industrial Assurance (Fees for Determination of Disputes) Regulations 1940
The whole instrument
Decimal Currency (Friendly Society and Industrial Assurance Contracts) Regulations 1971
The whole instrument
European Communities (Non- Life Insurance) Regulations 1976
The whole instrument
European Communities (Insurance Agents and Brokers) Regulations 1978
The whole instrument
European Communities (Insurance) (Non-life) Regulations 1978
The whole instrument
European Communities (Co- Insurance) Regulations 1983
The whole instrument
European Communities (Life Assurance) Regulations 1984
The whole instrument
Building Societies Regulations 1987
First Schedule to Article 8
European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 1989
The whole instrument
Insurance (Bonding of Intermediaries) Regulations 1990
The whole instrument
European Communities (Non- Life Insurance) (Amendment) (No. 2) Regulations 1991
The whole instrument
European Communities (Non- Life Insurance) (Legal Expenses) Regulations 1991
The whole instrument
European Communities (Non- Life Insurance) (Amendment) Regulations 1992
The whole instrument
European Communities (Credit Institutions: Accounts) Regulations 1992
Regulations 8, 14 and 15
European Communities (Licensing and Supervision of Credit Institutions) Regulations 1992
The whole instrument
European Communities (Consolidated Supervision of Credit Institutions) Regulations 1992
The whole instrument
European Communities (Non- Life Insurance) Framework Regulations 1994
The whole instrument
European Communities (Life Assurance) Framework Regulations 1994
The whole instrument
Insurance (Fees) Order 1995
The whole instrument
European Communities (Deposit Guarantee Schemes) Regulations 1995
The whole instrument
European Communities (Non- Life Insurance Accounts) Regulations 1995
The whole instrument
European Communities (Insurance Undertakings: Accounts) Regulations 1996
The whole instrument
European Communities (Swiss Confederation Agreement) Regulations 1996
The whole instrument
Supervision of Credit Institutions, Stock Exchange Member Firms and Investment Business Firms Regulations 1996
The whole instrument
Rules entitled Stock Exchange Act 1995 (Determination Committees Rules of Procedure) Regulations 1997
The whole instrument
Rules entitled Investment Intermediaries Act 1995 (Determination Committee) Rules of Procedure 1997
The whole instrument
European Communities (Supplementary Supervision of Insurance Undertakings in an Insurance Group) Regulations 1999
The whole instrument
Insurance Act 1989 (Reinsurance) (Form of Notice) Regulations 2000
The whole instrument
Life Assurance (Provision of Information) Regulations 2001
The whole instrument
European Communities (Electronic Money) Regulations 2002
The whole instrument
European Communities (Cross Border Payments in Euro) Regulations 2002
The whole instrument
SCHEDULE 3 Section 33E(4).
Provisions Applicable to Regulatory Authority
PART 1
Definitions
Definitions.
1.—In this Schedule—
‘appointed member’ means a member appointed by the Minister, other than an official member;
‘official member’ means a person is a member by virtue of being the holder of an office specified by the Minister.
PART 2
Members
Terms of office of members.
2.—(1) Appointed members hold office for an indefinite period, but on the fifth anniversary after the commencement of section 33E, and on every subsequent anniversary, 2 of the appointed members are required to retire. Which of those members is or are to retire is to be determined as provided by the Regulatory Authority's rules of procedure.
(2) Appointed members who are required to retire under this paragraph are eligible for re-appointment. However, a person who retires after having served as an appointed member for 15 years is not eligible for reappointment.
Remuneration of members.
3.—An appointed member is entitled to be paid such remuneration (including travelling and subsistence allowances) and be subject to such conditions of service as the Minister determines in respect of the member from time to time.
Deputies of members.
4.—(1) The Minister may, from time to time, appoint a person to be the deputy of an appointed member. The Minister may also revoke such an appointment.
(2) In the absence of an appointed member, the member's deputy—
(a) may, if available, act in the place of the member, and
(b) while so acting, has all the functions of the member.
(3) The deputy of an appointed member who is the Chairperson does not (because of this subparagraph) have the member's functions as Chairperson.
(4) A person while acting in the place of an appointed member is entitled to be paid such allowances as the Minister determines in respect of the person from time to time.
Vacancy in office of member.
5.—(1) A person ceases to be an official member if the person dies or otherwise ceases to hold the office by virtue of which the person is a member.
(2) A person ceases to be an appointed member if the member—
(a) dies, or
(b) completes a term of office and is not re-appointed, or
(c) resigns the office by notice in writing addressed to the Minister, or
(d) has, without the permission of the other members, been absent from meetings of the Regulatory Authority for a consecutive period of 6 months, or
(e) is, with the person's consent, nominated as a candidate for election as a member of either House of the Oireachtas or is nominated as a member of Seanad Éireann, or
(f) is, with the person's consent, nominated as a candidate for election as a member of the European Parliament or to fill a vacancy in the membership of that Parliament, or
(g) is, with the person's consent, nominated as a candidate for election as a member of a local authority, or
(h) is adjudged bankrupt (either in the State or elsewhere) or enters into a composition with the person's creditors, or
(i) becomes physically or mentally incapable of performing the duties of a member, or
(j) is convicted of an offence (either in the State or elsewhere) and sentenced to serve a term of imprisonment for the offence, or
(k) is removed from office under subsection (3).
(3) The Minister may remove an appointed member from office—
(a) for proven misconduct or incompetence, or
(b) in order to enable the Regulatory Authority to function effectively.
Filling vacancy in office of member.
6.—(1) If the office of an appointed member becomes vacant, the Minister is required to arrange for a suitably qualified person to be appointed to fill the vacancy in accordance with this Act within 60 days after the date on which the vacancy occurred.
(2) Subparagraph (1) does not apply if the term of office of the member concerned was due to expire within 60 days after the vacancy occurred.
Disclosure of members' pecuniary interests.
7.—(1) If—
(a) a member has a direct or indirect pecuniary interest in a matter being considered or about to be considered at a meeting of the Regulatory Authority, and
(b) the interest appears to raise a conflict with the proper performance of the member's duties in relation to the consideration of the matter,
the member shall, as soon as possible after the relevant facts have come to the member's knowledge, disclose the nature of the interest at a meeting of the Regulatory Authority or to the Secretary to the Authority who shall advise the next meeting of the Regulatory Authority of the disclosure.
(2) A disclosure by a member that the member—
(a) is a member, or is in the employment, of a specified company or other body, or
(b) is a partner, or is in the employment, of a specified person, or
(c) has some other specified interest relating to a specified company or other body or to a specified person,
is a sufficient disclosure of the nature of the interest in any matter relating to that company or other body, or to that person, that may arise after the date of the disclosure and that is required to be disclosed under subparagraph (1).
(3) The Secretary to the Regulatory Authority is required to make and keep a record of disclosure made under this paragraph and, subject to section 33AK, to make that record available for inspection at all reasonable hours by any person who asks to see the record.
(4) After a member has disclosed the nature of any interest in any matter, the member may not, unless the Regulatory Authority otherwise determines—
(a) be present during any deliberation of that Authority with respect to the matter, or
(b) take part in any decision of that Authority with respect to the matter.
(5) For the purposes of the making of a determination by the Regulatory Authority under subparagraph (4), a member who has a direct or indirect pecuniary interest in a matter to which the disclosure relates may not—
(a) be present during any deliberation of that Authority for the purpose of making the determination, or
(b) take part in the making by that Authority of the determination.
(6) A contravention of this paragraph does not invalidate any decision of the Regulatory Authority.
(7) This paragraph does not apply to or in respect of an interest of a member in a matter or thing that arises merely because the member is a contributor to a retirement benefits scheme.
PART 3
Procedure of Regulatory Authority
Procedure for meetings.
8.—(1) The procedure for the calling of meetings of the Regulatory Authority and for the conduct of business at those meetings is, subject to this Schedule, to be as determined by that Authority.
(2) The Regulatory Authority may make rules of procedure, not inconsistent with this Schedule, for the purposes of paragraph 2 and of subparagraph (1) of this paragraph.
Quorum for meetings of Regulatory Authority.
9.—The quorum for a meeting of the Regulatory Authority is a majority of the members.
Who is to preside at meetings of the Regulatory Authority.
10.—(1) A meeting of the Regulatory Authority is to be presided over by—
(a) the Chairperson, or
(b) in the absence of the Chairperson, a member elected by the members present at the meeting.
(2) If the votes are equal on a motion put at a meeting of the Regulatory Authority, the person who is presiding at the meeting has a casting as well as a deliberative vote.
Voting at meetings of the Regulatory Authority.
11.—A decision supported by a majority of the votes cast at a meeting of the Regulatory Authority at which a quorum is present is the decision of that Authority.
Transaction of business of Regulatory Authority otherwise than at ordinary meetings.
12.—(1) The Regulatory Authority may, if it thinks fit, transact any of its business by the circulation of papers among all the members for the time being. A resolution approved in writing by a majority of those members is taken to be a decision of that Authority.
(2) The Regulatory Authority may, if it thinks fit, transact any of its business at a meeting at which members (or some members) participate by telephone, closed circuit television or other means, but only if any member who speaks on a matter being considered by the meeting can be heard by the other members.
(3) For the purposes of—
(a) the approval of a resolution under subparagraph (1), or
(b) a meeting held in accordance with subparagraph (2),
the members have the same voting rights as they have at an ordinary meeting of the Regulatory Authority.
(4) Papers may be circulated among members for the purposes of subparagraph (1) by the electronic transmission of the information in the papers concerned.
First meeting of the Regulatory Authority.
13.—The Chairperson is responsible for calling the first meeting of the Regulatory Authority.”.
Annotations
Editorial Notes:
E4
Power pursuant to sch. 3 exercised (28.11.2003) by Central Bank and Financial Services Authority of Ireland Act 2003 (Transitional) (No. 2) Regulations 2003 (S.I. No. 650 of 2003). Note: it appears as though this SI should have been made under the Central Bank Act 1942 as amended above.
E5
Power pursuant to sch. 3 exercised (1.05.2003) by Central Bank and Financial Services Authority of Ireland (Adaptation of References in S.I. No 168 of 2003) Regulations 2003 (S.I. No. 360 of 2003), in effect as per reg. 3. Note: it appears as though this SI should have been made under the Central Bank Act 1942 as amended above.
E6
Power pursuant to sch. 3 exercised (3.04.2003) by Central Bank and Financial Services Authority of Ireland Act 2003 (Transitional) Regulations 2003 (S.I. No. 161 of 2003). Note: it appears as though this SI should have been made under the Central Bank Act 1942 as amended above.