Financial Sector Regulation Act, 2017 (Act No. 9 of 2017)Chapter 12A : Resolution of Designated InstitutionsPart 2 : Placing designated institutions in resolution166K. When designated institution ceases to be in resolution |
| (1) | If— |
| (a) | a designated institution is in resolution; and |
| (b) | the Reserve Bank is of the opinion that it is no longer necessary that the designated institution remain in resolution— |
| (i) | to maintain financial stability; or |
| (ii) | in the case of a bank or a member of a group of companies of which a bank is a member, to protect depositors of the bank, |
the Reserve Bank must recommend to the Minister that the Minister revoke the determination made in terms of section 166J(2) by which the designated institution was placed in resolution.
| (2) | The Minister may, after considering a recommendation made in terms of subsection (1), revoke the determination. |
| (3) | The Reserve Bank must publish each revocation, but failure to do so does not invalidate the revocation. |
| (4) | A designated institution also ceases to be in resolution when a liquidator, other than a provisional liquidator, is appointed for the designated institution, unless the court orders otherwise. |
[Section 166K inserted by section 51 of the Financial Sector Laws Amendment Act, 2021 (Act No. 23 of 2021), Notice No. 789, GG45825, dated 28 January 2022- effective 1 June 2023 per (b)(ii) of Commencement Notice No. 3202, GG48294, dated 24 March 2023]