[Section 4 heading substituted by section 12(a) of the Financial Sector Laws Amendment Act 2021 (Act No. 23 of 2021), Notice No. 789, GG45825, dated 28 January 2022: effective 29 April 2022 determined by the Minister of Finance, Notice No. 2050, GG46288, dated 29 April 2022]
| (1) | [Section 4(1) deleted by section 290, item 5 in Schedule 4, of Act No. 9 of 2017 - effective 1 April 2018 (paragraph)(h) of Notice 169 of 2018)] |
| (2) | [Section 4(2) deleted by section 290, item 5 in Schedule 4, of Act No. 9 of 2017 - effective 1 April 2018 (paragraph)(h) of Notice 169 of 2018)] |
| (3) | Neither the provisions of this section nor any other provision of this Act shall be construed as prohibiting the Authority from holding discussions, from time to time, with the chief executive officer of any mutual bank, or with any executive officer or employee, designated by such chief executive officer of— |
| (b) | any associate of that mutual bank. |
with a view to achieving effective supervision by the Authority, on an individual or a consolidated basis, of that mutual bank or of that mutual bank and any of its associates.
| (4) | The Authority may from time to time by means of a circular furnish mutual banks with guidelines regarding the application and interpretation of the provisions of this Act. |
| (5) | The Authority may, by means of a guidance note, furnish mutual banks and auditors of mutual banks with information in respect of market practices or market or industry developments within or outside the Republic. |
| (6) | The Authority may, in writing, after consultation with the relevant mutual bank or auditor of the mutual bank, issue a directive to such a mutual bank or auditor of a mutual bank, either individually or collectively, regarding the application of the Act and may include the issuing of a non-financial sanction or a directive requiring a mutual bank or an auditor of a mutual bank, either individually or collectively, within the period specified in the directive, to— |
| (a) | cease or refrain from engaging in any act, omission or course of conduct or to perform such acts necessary to remedy the situation; |
| (b) | perform such acts necessary to comply with the directive or to effect the changes required to give effect to the directive; or |
| (c) | provide the Authority with such information and documents relating to the matter specified in the directive. |
| (7) | The directive contemplated in subsection (6) may— |
| (a) | be cancelled in writing by the Authority, after consultation with the mutual bank or auditor of a mutual bank that is subject to the directive; and |
| (b) | not be issued by the Authority with retroactive effect. |
| (8) | Any mutual bank or auditor of a mutual bank that neglects, refuses or fails to comply with a directive issued under this section, shall be guilty of an offence. |
[Section 4 substituted by section 12(b) and (c) of the Financial Sector Laws Amendment Act 2021 (Act No. 23 of 2021), Notice No. 789, GG45825, dated 28 January 2022: effective 29 April 2022 determined by the Minister of Finance, Notice No. 2050, GG46288, dated 29 April 2022]
