• Marginal note:Premium rate for 2010

  (4) Despite subsections (1) to (3), the premium rate for the year 2010 is 1.73%.

Marginal note:Benefit enhancements under this Act

73.1 There shall be credited to the Employment Insurance Account on August 1, 2010 the amount determined by the Minister of Finance that corresponds to the cost of the benefit enhancement measures under this Act, provided for in the budget tabled in Parliament on January 27, 2009 in which the cost is estimated to be $2,900,000,000.

PART IV.1STABILITY AND EFFICIENCY OF THE FINANCIAL SYSTEM

Marginal note:Definitions

• 60.2 (1) The following definitions apply in this section.

  “debt obligation”

  « titre de créance »

  “debt obligation” means a bond, debenture, note or other evidence of indebtedness of an entity, whether secured or unsecured.

  “entity”

  « entité »

  “entity” means an entity that, in the Minister’s opinion, is operating in Canada.

  “financial markets”

  « marchés financiers »

  “financial markets” includes markets for money, bonds, equities, derivatives, foreign exchange and commodities.

  “financial system”

  « système financier »

  “financial system” includes financial institutions, financial markets and payment systems as defined in section 36 of the Canadian Payments Act.

  “security”

  « titre »

  “security” means

  • (a) in relation to a corporation, a share, a class of shares or a debt obligation of the corporation, and includes any conversion or exchange privilege, option or other right to acquire a share of the corporation; and

  • (b) in relation to any other entity, any ownership interest in or debt obligation of the entity.

• Marginal note:Contracts

  (2) Subject to subsection (3), the Minister may, with the Governor in Council’s authorization, enter into, on behalf of Her Majesty in right of Canada, any contract that in the Minister’s opinion is necessary to promote the stability or maintain the efficiency of the financial system in Canada, including such a contract to

  • (a) purchase, acquire, hold, lend or sell or otherwise dispose of securities of an entity;

  • (b) create a charge on, or right or interest in, securities of an entity held by the Minister;

  • (c) make a loan to an entity;

  • (d) provide a line of credit to an entity;

  • (e) guarantee any debt, obligation or financial asset of an entity; or

  • (f) provide loan insurance or credit insurance for the benefit of an entity in respect of any debt, obligation or financial asset of the entity.

• Marginal note:Non-application to certain entities

  (3) Paragraph (2)(a) does not apply to

  • (a) shares, as defined in subsection 973.2(15) of the Bank Act, of a bank or bank holding company, as defined in section 2 of that Act;

  • (b) shares, as defined in subsection 459.9(14) of the Cooperative Credit Associations Act, of an association as defined in section 2 of that Act;

  • (c) shares, as defined in subsection 1016.7(15) of the Insurance Companies Act, of a company or insurance holding company, as defined in subsection 2(1) of that Act; or

  • (d) shares, as defined in subsection 527.9(15) of the Trust and Loan Companies Act, of a company as defined in section 2 of that Act.

• Marginal note:Section 90 does not apply

  (4) Section 90 does not apply if the Minister purchases, acquires or sells or otherwise disposes, under paragraph (2)(a), of shares within the meaning of that section.

• Marginal note:Section 61 and Surplus Crown Assets Act do not apply

  (5) Section 61 and the Surplus Crown Assets Act do not apply if the Minister holds, loans or sells or otherwise disposes of securities under paragraph (2)(a).

• Marginal note:Payments out of C.R.F.

  (6) Any amount payable under or in connection with a contract entered into under this section may be paid out of the Consolidated Revenue Fund, on the requisition of the Minister, at the times and in the manner that the Minister considers appropriate.

• Marginal note:Retroactive effect

  (7) This section applies to any contract entered into on or after November 30, 2008.

“bridge institution”

« institution-relais »

“bridge institution” means a federal institution that is designated as a bridge institution by an order made under paragraph 39.13(1)(c);

Marginal note:Power of Governor in Council

• 7.1 (1) The Governor in Council may, by order, exempt the Corporation from the requirement that it pursue its objects in a manner that will minimize its exposure to loss when it takes any action to address a situation that is specified in the order.

• Marginal note:Condition precedent

  (2) The Governor in Council may make the order only if the Minister is of the opinion, after consultation with the Board, the Governor of the Bank of Canada and the Superintendent, that the requirement that the Corporation pursue its objects in a manner that will minimize its exposure to loss, in respect of a situation that will be specified in the order, might have an adverse effect on the stability of the financial system in Canada or public confidence in that stability.

• Marginal note:Repeal

  (3) The Governor in Council may repeal the order only if the Minister is of the opinion that the requirement that the Corporation pursue its objects in a manner that will minimize its exposure to loss, in respect of the situation specified in the order, will no longer have an adverse effect on the stability of the financial system in Canada or public confidence in that stability.

Marginal note:Coming into force

• 7.2 (1) An order made under subsection 7.1(1) has effect from the time that it is made.

• Marginal note:Statutory Instruments Act

  (2) The Statutory Instruments Act does not apply to the order.

• Marginal note:Publication

  (3) The Minister shall cause a notice to be published in the Canada Gazette that the order has been made or repealed as soon as the Minister is of the opinion that the publication of the notice will not have an adverse effect on the stability of the financial system in Canada or public confidence in that stability.

Marginal note:Recovery of loss

7.3 After the publication of a notice in the Canada Gazette that an order was made under subsection 7.1(1), the Corporation shall, in accordance with its by-laws, collect a special premium from member institutions or any class of member institutions in order to recover the loss that the Corporation determines it incurred as a result of pursuing its objects without regard to the requirement that it do so in a manner that minimizes its exposure to loss.

Marginal note:Exemption — shares of member institution

• 10.01 (1) To enable the Corporation to acquire, hold or dispose of shares under paragraph 10(1)(f.1), the Minister may, by order, exempt any person or share specified in the order from any of the following provisions:

  • (a) sections 372, 373, 374, 375, 376, 376.1, 376.2, 377, 377.1,  379, 385, 401.2 and 401.3 of the Bank Act;

  • (b) sections 407, 407.01, 407.02, 407.03, 407.1, 407.2, 408, 411, 428 and 430 of the Insurance Companies Act; and

  • (c) sections 375, 375.1, 376, 379, 396 and 399 of the Trust and Loan Companies Act.

• Marginal note:Conditions

  (2) The exemption may be subject to conditions.

• Marginal note:Duration of exemption

  (3) The exemption ceases to have effect five years after the day on which it comes into force.

• Marginal note:Extension

  (4) The Minister may, by order, extend the duration of the exemption if general market conditions so warrant.

• Marginal note:Statutory Instruments Act

  (5) The Statutory Instruments Act does not apply to an order made under this section.