Sales or Trades (Authorized Foreign Banks) Regulations

Sales or Trades (Authorized Foreign Banks) Regulations Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to paragraphs 540(4)(b)a and (5)(b)a and subsection 540(6)a of the Bank Actb, hereby makes the annexed Sales or Trades (Authorized Foreign Banks) Regulations. S.C. 1999, c. 28, s. 35(1) S.C. 1991, c. 46 In these Regulations, Act means the Bank Act. For the purposes of paragraphs 540(4)(b) and (5)(b) of the Act and these Regulations, the prescribed classes of entities are all the classes of entities made up of any of the entities referred to in subparagraphs 540(4)(a)(i) and (ii) of the Act. The financial instruments referred to in paragraph 540(4)(b) of the Act and the securities and bills of exchange referred to in paragraph 540(5)(b) of the Act may be sold to an entity within a class of entities prescribed by section 2 or traded with such an entity on condition that they are sold or traded in denominations of $150,000 or more; and the seller or trader, as the case may be, in writing notifies the entity to which it sells or with which it trades the financial instruments, securities or bills of exchange that the authorized foreign bank that issued the financial instruments, guaranteed the securities or accepted the bills of exchange, as the case may be, is not a member institution within the meaning of section 2 of the Canada Deposit Insurance Corporation Act, and the financial instruments, securities or bills of exchange, as the case may be, may only be sold to or traded with an entity that is within a class of entities prescribed by section 2. These Regulations come into force on the day on which they are registered.