Budget Implementation Act, 2016, No. 1 (S.C. 2016, c. 7)

Marginal note:2001, c. 9, s. 215

151 The portion of section 47 of the Act before paragraph (a) is replaced by the following:

Marginal note:1996, c. 6, s. 45

• 152 (1) The portion of section 49 of the English version of the Act before paragraph (a) is replaced by the following:

  Marginal note:Failure to provide information, etc.

  49 A member institution is guilty of an offence if it fails or neglects

• Marginal note:1996, c. 6, s. 45

  (2) Paragraphs 49(a) and (b) of the Act are replaced by the following:

  • (a) within the time limited for so doing, to provide the Corporation with any account, statement, return, report or other document respecting the affairs of the member institution that is required to be submitted to the Corporation under the provisions of this Act, the regulations or the by-laws or under the policy of deposit insurance of the member institution; or

  • (b) to respond, within a reasonable time, to a request for information or explanations respecting the member institution made by or on behalf of the Corporation under the provisions of this Act, the regulations or the by-laws or under the policy of deposit insurance of the member institution.

• Marginal note:1996, c. 6, s. 45

  (3) The portion of section 49 of the English version of the Act after paragraph (b) is repealed.

Marginal note:1996, c. 6, s. 45

153 Section 50 of the Act is replaced by the following:

Marginal note:1996, c. 6, s. 45

154 Section 51 of the Act is replaced by the following:

Marginal note:1996, c. 6, s. 45

• 155 (1) Subsection 52(1) of the French version of the Act is replaced by the following:

  Marginal note:Sanction pécuniaire additionnelle

  • 52 (1) Le tribunal peut également, s’il est convaincu que l’institution membre ou la personne condamnée pour l’infraction a tiré des avantages financiers de l’infraction, lui ordonner de payer, malgré toute disposition de la présente loi établissant un plafond à cet égard, une amende supplémentaire jusqu’à concurrence de ces avantages.

• Marginal note:1996, c. 6, s. 45

  (2) Subsection 52(2) of the Act is replaced by the following:

  • Marginal note:Restraining or compliance order

    (2) If a member institution or other person does not comply with any provision of this Act, the regulations or the by-laws or the policy of deposit insurance that applies in respect of the member institution or person, the Corporation may apply to a superior court for an order directing the member institution or person to comply with or restraining the member institution or person from acting in breach of the provision or the policy and, on the application, the court may so order and make any further order that it thinks fit.

1991, c. 46Bank Act

156 Section 2 of the Bank Act is amended by adding the following in alphabetical order:

Marginal note:2014, c. 20, s. 210

• 157 (1) Subsection 415.2(1) of the Act is replaced by the following:

  Marginal note:Derivatives and eligible financial contracts — regulations

  • 415.2 (1) The Governor in Council may make regulations respecting a bank’s activities in relation to derivatives and eligible financial contracts.

• (2) Section 415.2 of the Act is amended by adding the following after subsection (2):

  • Definition of eligible financial contract

    (3) In this section, eligible financial contract has the same meaning as in subsection 39.15(9) of the Canada Deposit Insurance Corporation Act.

158 The heading of Part X of the Act is replaced by the following:

159 The Act is amended by adding the following before section 485:

Marginal note:1996, c. 6, s. 7

• 160 (1) Subsection 485(2) of the Act is replaced by the following:

  • Marginal note:Domestic systemically important banks

    (1.1) If the bank is a domestic systemically important bank, it shall also maintain the minimum capacity to absorb losses that is provided for under subsection (1.2) and shall comply with any regulations in relation to that requirement.

  • Marginal note:Superintendent’s order

    (1.2) For each domestic systemically important bank, the Superintendent shall, by order made after consulting with the other members of the committee established under subsection 18(1) of the Office of the Superintendent of Financial Institutions Act, provide for the amount — consisting of capital and prescribed shares and liabilities — that constitutes the bank’s minimum capacity to absorb losses.

  • Marginal note:Public interest

    (1.3) Despite subsection (1.2), if, before the order is made, the Minister advises the Superintendent that the Minister is of the opinion that the amount provided for by the Superintendent is not in the public interest, the Superintendent shall provide for another amount in accordance with that subsection.

  • Marginal note:Notice and publication

    (1.4) If an order is made under subsection (1.2), the Superintendent shall, in writing and without delay, inform the bank that is subject to the order and shall, as soon as feasible, cause the order to be published in the Canada Gazette and on the website of the Office of the Superintendent of Financial Institutions.

  • Marginal note:Regulations and guidelines

    (2) The Governor in Council may make regulations and the Superintendent may make guidelines respecting the maintenance by banks of adequate capital and adequate and appropriate forms of liquidity and the maintenance by domestic systemically important banks of the minimum capacity to absorb losses.

• (2) Subsection 485(4) of the Act is replaced by the following:

  • Marginal note:Orders to limit or prohibit

    (3.1) If the Superintendent becomes aware that a domestic systemically important bank is not maintaining its minimum capacity to absorb losses, the Superintendent shall notify the other members of the committee established under subsection 18(1) of the Office of the Superintendent of Financial Institutions Act and may, by order, take any measures that he or she considers appropriate, including

    • (a) limiting the growth of the bank’s total assets;

    • (b) limiting or prohibiting acquisitions of assets by the bank;

    • (c) limiting or prohibiting discretionary payments in respect of the bank’s shares or subordinated indebtedness;

    • (d) limiting or prohibiting purchases by the bank, or redemptions, of the bank’s shares, subordinated indebtedness or prescribed liabilities;

    • (e) limiting or prohibiting reductions of the bank’s stated capital; and

    • (f) limiting or prohibiting the opening of new branches by the bank.

  • Marginal note:Consultation

    (3.2) Before making an order under subsection (3.1) or varying or revoking such an order, the Superintendent shall consult with the other members of the committee established under subsection 18(1) of the Office of the Superintendent of Financial Institutions Act.

  • Marginal note:Compliance

    (4) A bank shall comply with an order made under subsection (3) or (3.1) within the time that is specified in the order.

161 The Act is amended by adding the following after section 485:

162 The Act is amended by adding the following after section 485.01:

Consequential Amendments

R.S., c. F-11Financial Administration Act

Marginal note:1992, c. 26, s. 18; 2009, c. 2, s. 257(2)

163 Subsections 85(3) and (4) of the Financial Administration Act are repealed.

R.S., c. W-11; 1996, c. 6, s. 134Winding-up and Restructuring Act

Marginal note:2007, c. 6, s. 444; 2010, c. 12, s. 2127

• 164 (1) The portion of paragraph 3(i) of the Winding-up and Restructuring Act before subparagraph (ii) is replaced by the following:

  • (i) if, in the case of a company that is a federal member institution, as defined in section 2 of the Canada Deposit Insurance Corporation Act, in respect of which an order has been made under paragraph 39.13(1)(a) of that Act but in respect of which no order has been made under subsection 39.13(1.3) of that Act, a notice has not been published under subsection 39.2(3) of that Act in respect of the institution on or before

    • (i) the 60th day after the day on which the order was made under paragraph 39.13(1)(a) of that Act, or

• Marginal note:2007, c. 6, s. 444

  (2) Subparagraph 3(i)(ii) of the English version of the Act is replaced by the following:

  • (ii) the day on which any extension of that period ends;

• Marginal note:2007, c. 6, s. 444

  (3) The portion of paragraph 3(j) of the Act before subparagraph (ii) is replaced by the following:

  • (j) if, in the case of a company that is a federal member institution, as defined in section 2 of the Canada Deposit Insurance Corporation Act, in respect of which an order has been made under paragraph 39.13(1)(b) of that Act but in respect of which no order has been made under subsection 39.13(1.3) of that Act, a notice has not been published under subsection 39.2(3) of that Act in respect of the institution on or before

    • (i) the 60th day after the day on which the order was made under paragraph 39.13(1)(b) of that Act, or

• Marginal note:2007, c. 6, s. 444

  (4) Subparagraph 3(j)(ii) of the English version of the Act is replaced by the following:

  • (ii) the day on which any extension of that period ends;

• (5) Section 3 of the Act is amended by adding the following after paragraph (j):

  • (j.1) if, in the case of a company that is a federal member institution, as defined in section 2 of the Canada Deposit Insurance Corporation Act, in respect of which an order has been made under paragraph 39.13(1)(d) or subsection 39.13(1.3) of that Act, a notice has not been published under subsection 39.2(3) of that Act in respect of the institution on or before

    • (i) the day that is one year after the day on which the order is made under subsection 39.13(1) of that Act or any shorter period that is specified in the order made under paragraph 39.13(1)(d) or subsection 39.13(1.3) of that Act, as the case may be, or

    • (ii) the day on which any extension of the applicable period ends; or

1996, c. 6, sch.Payment Clearing and Settlement Act

Marginal note:2012, c. 31, s. 169(2)

165 Subsection 8(3.1) of the Payment Clearing and Settlement Act is replaced by the following:

Marginal note:2012, c. 31, s. 170(3)

166 Subsection 13(1.2) of the Act is replaced by the following: