Trustee Savings Banks Act, 1989

Trustee Savings Banks Act, 1989 Skip to content Disclaimer Feedback Helpdesk Gaeilge Léim go dtí an t-ábhar Séanadh Aiseolas Deasc chabhrach English Gaeilge English Produced by the Office of the Attorney General Táirgthe ag Oifig an Ard-Aighne Home Legislation Acts of the Oireachtas Statutory Instruments Pre-1922 Legislation Constitution External Resources Bills (Houses of the Oireachtas) Iris Oifigiúil / Official Gazette Revised Acts (LRC) Classified List of Legislation (LRC) Translations (acts.ie) Translations (Houses of the Oireachtas) Government Publications for Sale EU Law (EUR-Lex) FAQ Disclaimer Feedback Helpdesk Search Baile Reachtaíocht Achtanna an Oireachtais Ionstraimí Reachtúla Reachtaíocht Réamh-1922 Bunreacht Acmhainní Seachtracha Billí (Tithe an Oireachtais) Iris Oifigiúil Achtanna Athbhreithnithe (CAD) (An Coimisiún um Athchóiriú an Dlí) Liosta Rangaithe Reachtaíochta Aistriúcháin (achtanna.ie) Aistriúcháin (Tithe an Oireachtais) Foilseacháin Rialtais ar Díol Dlí AE (EUR-Lex) CCanna (Ceisteanna Coitianta) Séanadh Aiseolas Deasc chabhrach Cuardach TitleTeideal Year(s) or rangeBliain nó blianta nó raon TypeCineál All Legislation Acts Statutory Instruments Advanced SearchCuardach Casta HomeBaile ActsAchtanna 1989 Trustee Savings Banks Act, 1989 Trustee Savings Banks Act, 1989 Permanent Page URL View by SectionAmharc de réir Ailt View Full ActAmharc ar an Acht Iomlán Bill History Stair Bille Commencement, Amendments, SIs made under the Act Tosach Feidhme, Leasuithe, IRí arna ndéanamh faoin Acht Print Full ActPriontáil an tAcht Iomlán Number 21 of 1989 TRUSTEE SAVINGS BANKS ACT, 1989 ARRANGEMENT OF SECTIONS PART I Preliminary and General Section 1. Short title. 2. Commencement. 3. Interpretation. 4. Regulations and directions. 5. Regulations to remove difficulties. 6. Modification of Act to conform with changes in company, banking and building society law. 7. Repeals and savings. 8. Expenses. PART II Establishment and Licensing of Trustee Savings Banks 9. “Trustee savings bank”. 10. Licences. 11. Prohibition on carrying on of business of a trustee savings bank without a licence. 12. Conditions of licences. 13. Revocation of licences. 14. Name of trustee savings bank. 15. Lending and borrowing by trustee savings bank. 16. Rules of trustee savings bank. PART III Trustees of Trustee Savings Banks 17. Number of trustees of trustee savings bank. 18. Age limit for trustees of trustee savings bank. 19. Disqualification for being a trustee of a trustee savings bank. 20. Payment of honoraria to trustees of trustee savings bank. 21. Disclosure of interest by trustees of trustee savings bank. 22. Liability of trustees of trustee savings bank. 23. Provisions in relation to property of trustee savings banks and legal proceedings. PART IV Supervision of Trustee Savings Banks 24. Keeping of books, accounts and other records by trustee savings bank and inspection thereof by Central Bank. 25. Furnishing of information to Central Bank. 26. Directions by Central Bank in relation to suspension of certain activities of trustee savings bank. 27. Directions by Central Bank in relation to advertisements. 28. Statement of management expenses. 29. Publication of business statements by trustee savings bank. 30. Display of financial statements by trustee savings bank. 31. Regulation of ratios between assets and liabilities of trustee savings bank. 32. Investment of funds of trustee savings bank. 33. Annual statement of liabilities of Minister to trustee savings banks. 34. Power of Court to prohibit certain contraventions of Act, etc. PART V Management and Administration of Trustee Savings Banks 35. Annual accounts of trustee savings bank. 36. Appointment, qualification and removal of auditor of trustee savings bank. 37. Report of auditor of trustee savings bank and right of access to its books. 38. Duties of auditor of trustee savings bank. 39. Performance of functions and provision of services of trustee savings bank by subsidiaries and other companies. 40. Retention by trustee savings bank of records, receipts and similar documents. 41. Payments by trustee savings bank to persons not of full age. 42. Closing and dissolution of trustee savings bank. 43. Restriction of certain exemptions from liability for officers of trustee savings bank. 44. Power of court to relieve liability of officers of trustee savings bank in certain cases. 45. Superannuation of staff of trustee savings bank. PART VI Amalgamation of Trustee Savings Banks 46. Interpretation. 47. Power of trustee savings banks to amalgamate. 48. Approval of Minister and Central Bank of amalgamation of trustee savings banks. 49. Transfer of accounts. 50. Transfer of securities. 51. Rights and obligations in relation to transferred securities. 52. Transfer in the case of property held on bailment. 53. Transfer of officers and other employees. 54. Application of certain instruments. 55. Application of Bankers' Books Evidence Acts, 1879 and 1959. 56. Continuance of pending legal proceedings. PART VII Miscellaneous 57. Authorisation by Minister of reorganisation of trustee savings banks into companies. 58. Restriction on certain statements. 59. Amendment of Bankers' Books Evidence Act, 1879. 60. Payment by trustee savings bank of small deposits on death. 61. Recognition of trustee savings bank accounts. 62. Penalties. 63. Offences by trustee savings banks and bodies corporate. 64. Exemption from stamp duty. 65. Bonds and sureties. 66. Provisions in relation to offences. FIRST SCHEDULE Enactments Repealed SECOND SCHEDULE Matters to be provided for by the Rules of a Trustee Savings Bank Acts Referred to Appropriation Act, 1966 1966, No. 29 Bankers' Books Evidence Act, 1879 1879, c. 11 Bankers' Books Evidence Acts, 1879 and 1959 Bills of Sale (Ireland) Acts, 1879 and 1883 Capital Gains Tax Acts Central Bank Act, 1971 1971, No. 24 Companies Act, 1963 1963, No. 33 Companies Acts, 1963 to 1986 Customs, Inland Revenue, and Savings Banks Act, 1880 1880, c. 40 European Communities Act, 1972 1972, No. 27 Finance Act, 1895 1895, c. 16 Finance Act, 1940 1940, No. 14 Finance Act, 1942 1942, No. 14 Finance Act, 1946 1946, No. 15 Finance Act, 1959 1959, No. 18 Finance Act, 1968 1968, No. 33 Finance (No. 2) Act, 1968 1968, No. 37 Finance Act, 1973 1973, No. 19 Holidays (Employees) Act, 1973 1973, No. 25 Insurance Acts, 1909 to 1989 Judgment Mortgage (Ireland) Act, 1850 1850, c. 29 Minimum Notice and Terms of Employment Acts, 1973 to 1984 National Debt (Supplemental) Act, 1888 1888, c. 15 Petty Sessions (Ireland) Act, 1851 1851, c. 93 Post Office Savings Banks Act, 1863 1863, c. 14 Pre-Union Irish statute 33 Geo. II c. 14 (Ir.) 1759, c. 14 Redundancy Payments Acts, 1967 to 1984 Registration of Deeds Act, 1707 1707, c. 10 Registration of Title Act, 1964 1964, No. 16 Revenue Act, 1903 1903, c. 46 Savings Banks Act, 1880 1880, c. 36 Savings Banks Act, 1887 1887, c. 30 Savings Banks Act, 1891 1891, c. 21 Savings Banks Act, 1904 1904, c. 8 Savings Banks Act, 1920 1920, c. 12 Savings Banks Act, 1958 1958, No. 23 Savings Banks (Barrister) Act, 1876 1876, c. 52 Savings Bank Investment Act, 1863 1863, c. 25 Savings Bank Investment Act, 1866 1866, c. 5 Savings Bank Investment Act, 1869 1869, c. 59 Succession Act, 1965 1965, No. 27 Trustee Savings Banks Act, 1863 1863, c. 25 Trustee Savings Banks Act, 1887 1887, c. 47 Trustee Savings Banks Act, 1918 1918, c. 4 Trustee Savings Banks Act, 1965 1965, No. 11 Trustee Savings Banks Act, 1979 1979, No. 17 Trustee Savings Banks Acts, 1863 to 1979 Unfair Dismissals Act, 1977 1977, No. 10 War Loan (Supplemental Provisions) Act, 1915 1915, c. 93 Number 21 of 1989 TRUSTEE SAVINGS BANKS ACT, 1989 AN ACT TO REVISE GENERALLY THE LAW RELATING TO TRUSTEE SAVINGS BANKS AND, FOR THAT PURPOSE. TO PROVIDE FOR THE LICENSING AND SUPERVISION OF SUCH BANKS BY THE CENTRAL BANK, TO ENABLE THE MINISTER FOR FINANCE TO AUTHORISE THEIR REORGANISATION INTO COMPANIES OWNED AND CONTROLLED BY THE MINISTER FOR FINANCE OR COMPANIES CARRYING ON, INTER ALIA, ORDINARY BANKING BUSINESS AND OWNED AND CONTROLLED BY OTHER PERSONS WHETHER WITH OR WITHOUT THE PARTICIPATION OF THE MINISTER FOR FINANCE AND TO REPEAL THE TRUSTEE SAVINGS BANKS ACTS, 1863 TO 1979, AND TO PROVIDE FOR CONNECTED MATTERS. [23rd December, 1989] BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS: PART I Preliminary and General Short title. 1.—This Act may be cited as the Trustee Savings Banks Act, 1989. Commencement. 2.—This Act shall come into operation on such day or days as, by order or orders made by the Minister under this section, may be fixed therefor either generally or with reference to any particular purpose or provision and different days may be so fixed for different purposes and different provisions. Interpretation. 3.—(1) In this Act, save where the context otherwise requires— “the Act of 1963” means the Companies Act, 1963 ; “the Acts” means the Trustee Savings Banks Acts, 1863 to 1979; “the Central Bank” means the Central Bank of Ireland; “company”, “equity share capital”, “holding company” and “subsidiary” have the meanings assigned to them by the Act of 1963; “the Companies Acts” means the Act of 1963 and every Act which is to be construed with it as one Act; “the Court” means the High Court; “deposit” includes a deposit in a current account; “depositor” means a person who maintains a deposit with a trustee savings bank and cognate words shall be construed accordingly; “former bank” means a trustee savings bank that immediately before the commencement of Part II stood certified under the Acts; “licence” has the meaning assigned to it by section 10 ; “the Minister” means the Minister for Finance; “the special account” has the meaning assigned to it by section 32 ; “trustee savings bank” has the meaning assigned to it by section 9 . (2) In this Act— (a) a reference to any enactment shall, unless the context otherwise requires, be construed as a reference to that enactment as amended, adapted or extended by or under any subsequent enactment including this Act or regulations made under this Act, (b) a reference to a Part, section or schedule is a reference to a Part, section of, or schedule to, this Act unless it is indicated that reference to some other enactment is intended, (c) a reference to a subsection, paragraph or subparagraph is a reference to the subsection, paragraph or subparagraph of the provision in which the reference occurs unless it is indicated that reference to some other provision is intended, (d) a reference to any provision of this Act shall, where appropriate, be construed as a reference to that provision as modified by regulations. Regulations and directions. 4.—(1) Without prejudice to any specific provision of this Act, any regulations thereunder may contain such incidental, consequential, transitional or supplementary provisions (including provisions for the purpose of effecting the transition from the enactments repealed by section 7 of this Act) as may appear to the Minister to be necessary or proper for any purpose of this Act or in consequence of, or to give full effect to, any provision of this Act. (2) Every regulation made under this Act shall be laid before each House of the Oireachtas as soon as may be after it is made and, if a resolution annulling the regulation is passed by either such House within the next 21 days on which that House has sat after the regulation is laid before it, the regulation shall be annulled accordingly, but without prejudice to the validity of anything previously done thereunder. (3) (a) The Central Bank may give a direction to a trustee savings bank in relation to any matter (other than a matter in relation to which a direction may be given by the Central Bank to a trustee savings bank under any other provision of this Act) connected with the business carried on by the bank or where it considers it necessary to do so in the interest of the orderly and proper regulation of trustee savings banks. (b) A person who fails or refuses to comply with a direction under this subsection shall be guilty of an offence. (4) (a) A direction by the Central Bank under this Act shall be given in writing by an officer of the Central Bank duly authorised for that purpose. (b) The provisions of subsection (1) shall, subject to any necessary modifications, apply to such a direction as they apply to regulations. (c) Such a direction may be given to a trustee savings bank by sending it by ordinary prepaid post to the secretary or other like officer of the bank addressed to him at the chief office of the bank. (d) The Central Bank may by a direction under this paragraph amend or revoke a direction given by it under this Act including this paragraph. Regulations to remove difficulties. 5.—If, in any respect, any difficulty arises in bringing any provision of this Act into operation or in relation to the operation of any such provision, the Minister may by regulations do anything which appears to him to be necessary or expedient for removing that difficulty, for bringing that provision into operation, or for securing or facilitating its operation, and any such regulations may modify any provision of this Act so far as may be necessary or expedient for carrying such provision into effect for the purposes aforesaid but no regulations shall be made under this section in relation to any provision of this Act after the expiration of 3 years commencing on the day on which the relevant provision of this Act came into operation. Modification of Act to conform with changes in company, banking and building society law. 6.—(1) If, on any modification of the enactments in force relating to companies, banks or building societies, it appears to the Minister to be expedient to modify the provisions of this Act for the purpose of assimilating the law relating to trustee savings banks to the modifications of the law relating to companies, banks or building societies, the Minister may by regulations make such modification of any provisions of this Act as he thinks appropriate for that purpose. (2) The power conferred by subsection (1) includes power to modify the relevant provisions of this Act so as to— (a) confer power to make orders, regulations or other instruments, (b) provide for the charging of fees but not for the making of any charge in the nature of taxation. (3) Regulations under this section may— (a) make consequential amendments to or repeals of other provisions of this Act, (b) make such transitional or saving provisions as appear to the Minister to be necessary or expedient. (4) In this section “modification” includes any addition and, as regards modifications of the enactments relating to companies, banks or building societies, any modification whether effected by any future Act or by an instrument made after the passing of this Act under an Act whenever passed. Repeals and savings. 7.—(1) The enactments specified in column (2) of the First Schedule are hereby repealed to the extent specified in column (3) of that Schedule. (2) In so far as any instrument made or other thing whatsoever done under any provision repealed by this Act could have been made or done under a corresponding provision of this Act, it shall not be invalidated by the repeal of that provision but, if in force immediately before that provision was repealed, shall have effect as if made or done under the corresponding provision of this Act. (3) A reference in any statute or instrument made under statute or in any book, record or other document to a former bank shall be construed as a reference to a trustee savings bank. Expenses. 8.—(1) The expenses incurred by the Minister in the administration of this Act shall be paid out of moneys provided by the Oireachtas. (2) The expenses incurred by the Central Bank in the administration of this Act shall be paid out of the general fund of the Central Bank. PART II Establishment and Licensing of Trustee Savings Banks “Trustee savings bank”. 9.—(1) In this Act “trustee savings bank” means a society formed for the purpose of establishing and maintaining an institution in the nature of a bank conforming to the provisions of this Act— (a) whose business is managed and administered under the supervision of trustees in accordance with those provisions, and (b) that carries on, in pursuance of a licence and in accordance with those provisions and rules made by its trustees and subject to the general supervision of the Central Bank, any one or more of the following: (i) the business of accepting deposits payable on demand or on notice or at a fixed or determinable future date, (ii) the business normally carried on by a former bank, (iii) the business of providing, with the consent of the Central Bank, any other financial service. (2) A trustee savings bank may, with the consent of the Central Bank, carry on business outside the State. (3) In the exercise of any of its functions under this Act the Central Bank shall not be required to treat assets or liabilities of trustee savings banks outside the State as if they were held in the State. Licences. 10.—(1) Subject to the provisions of this Act, the Central Bank may, on application to it in that behalf by the trustees of the society concerned, grant or refuse to grant to them a licence authorising them to establish, maintain, and carry on the business of, a trustee savings bank (in this Act referred to as “a licence”). (2) The Central Bank shall not refuse to grant a licence without the consent of the Minister and unless it is satisfied that the grant of the licence would not be in the interest of the orderly and proper regulation of trustee savings banks or that there is not compliance with this Act as respects the institution, or the trustees, concerned and the Minister shall not grant his consent to the refusal unless he is satisfied that the grant of the licence would not be in the interest of the orderly and proper regulation of trustee savings banks or that there is not compliance with this Act as respects the institution, or the trustees, concerned. (3) Whenever the Central Bank proposes to refuse to grant a licence to the trustees of a society— (a) it shall notify them in writing of its intention to seek the consent of the Minister to the refusal and of its reasons for the refusal and that they may, within 21 days of the giving of the notification, make representations in writing to the Minister in relation to the proposed refusal, (b) the trustees may make such representations to the Minister within the time aforesaid, and (c) the Minister shall, before deciding whether to give or withhold his consent to the proposed refusal, consider any representations duly made to him under this subsection. (4) (a) Subject to paragraph (b) of this subsection, the Central Bank shall, not later than 6 months after the receipt of an application therefor, either grant the licence or give a notification under subsection (3) (a) to the persons who made the application. (b) Paragraph (a) shall have effect in relation to a case where, pursuant to subsection (6), the Central Bank requests the persons concerned to furnish information in relation to an application for a licence as if the reference to the receipt of an application were a reference to the furnishing of the information. (5) An application for a licence shall be in such form and contain information in relation to such matters as the Central Bank may specify. (6) The Central Bank may, following the receipt by it of an application for a licence, request the persons concerned in writing to furnish information to it in relation to specified matters and the persons shall comply with the request. (7) Where, immediately before the commencement of this section, a former bank was carrying on business, the Central Bank shall, upon application therefor by its trustees, grant to them, as soon as may be thereafter, a licence in respect of its business and the licence shall have, and be deemed to have had, effect as on and from such commencement. (8) The grant of a licence shall not constitute a warranty as to the solvency of the institution concerned and the Central Bank shall not be liable in respect of any losses incurred through the insolvency or default of a person to whom a licence is granted or the trustee savings bank in respect of which it is granted. (9) The Central Bank may amend a licence by inserting therein or deleting therefrom, as appropriate, the names of trustees of the trustee savings bank concerned. Prohibition on carrying on of business of a trustee savings bank without a licence. 11.—(1) A person, other than a person authorised so to do by a licence, shall not, on his own behalf or on behalf of any other person in or outside the State, carry on the business of a trustee savings bank or hold himself out or represent himself as carrying on such a business. (2) For the purposes of this section, a person shall be deemed to hold himself out as carrying on the business of a trustee savings bank if he does an act specified in section 14 (2). (3) A person who contravenes this section shall be guilty of an offence. Conditions of licences. 12.—(1) Subject to subsection (2), a licence shall be subject to such conditions, if any, as the Central Bank may impose and specify at the time of the grant thereof, being conditions that in the opinion of the Bank are calculated to promote the proper and orderly regulation of trustee savings banks. (2) The conditions of a licence may be amended, revoked or added to, and conditions may be imposed in relation to a licence, from time to time by the Central Bank if, in the opinion of the Central Bank, the amendment, revocation, addition or imposition is calculated to promote the orderly and proper regulation of trustee savings banks. (3) Whenever the Central Bank proposes to impose a condition in relation to a licence or to amend or add to the conditions of a licence— (a) it shall notify in writing the persons who hold the licence or to whom the licence is intended to be granted of its intention to impose the condition or to amend or add to the conditions of the licence, as the case may be, and of its reasons for so doing and that they may, within 21 days of the giving of the notification, make representations in writing to the Central Bank in relation to the imposition, amendment or addition, as the case may be, (b) the persons may make such representations to the Central Bank within the times aforesaid, (c) the Central Bank shall, before deciding to impose the condition or amend or add to the conditions of the licence, consider any representations duly made to it under this subsection, and (d) if any representations are duly made to the Central Bank under this subsection, it may, upon the expiration of the period of 21 days aforesaid, withdraw the proposal aforesaid or impose such a condition or effect such amendments of or additions to the conditions of the licence as, having regard to the representations, the Central Bank considers appropriate subject only to the proviso that the action taken by the Central Bank shall not be such as to render compliance with the conditions of the licence more onerous than it would have been if the conditions of the licence had been those contained in the licence at the time of the giving of the notification under paragraph (a) as amended or added to or otherwise affected in accordance with the notification. (4) A person who fails or refuses to comply with a condition of a licence shall be guilty of an offence. Revocation of licences. 13.—(1) The Central Bank may, with the consent of the Minister, revoke a licence— (a) if the holders of the licence so request, (b) if the institution concerned has not commenced to carry on the business authorised by the licence within 12 months of the date on which the licence was granted, (c) if the trustee savings bank concerned is being wound up, (d) if the trustee savings bank becomes unable to meet its obligations to its creditors or suspends payments lawfully due by it or, in the opinion of the Central Bank— (i) no longer possesses funds that are sufficient for the purposes of the business aforesaid, or (ii) can no longer be relied upon to fulfil its obligations to its creditors, including the repayment of deposits held by it and the payment of interest thereon, (e) if the trustee savings bank is convicted on indictment of an offence under this Act or is convicted of an offence involving fraud or dishonesty, (f) if, since the grant of the licence, the circumstances relevant to the grant have changed and are such that, if an application for the grant of a licence were made in the changed circumstances, the grant thereof would be refused, (g) if the Central Bank is not satisfied that the circumstances of the trustee savings bank are such that the bank is capable of repaying deposits accepted by it and paying any interest due to the depositors thereon in accordance with the terms of the deposits, (h) if the trustees or the trustee savings bank fail to comply with a direction of the Central Bank under this Act, (i) if there is not compliance with this Act as respects the trustees or the trustee savings bank, or (j) if the trustee savings bank has ceased to carry on the business authorised by the licence and has not carried it on during a period of more than 6 months immediately following the cesser. (2) Whenever the Central Bank proposes to revoke a licence (other than in pursuance of a request by the holders thereof to do so)— (a) it shall notify the holders in writing that it intends to seek the consent of the Minister to the revocation and of the reasons therefor and that the holders may, within 21 days after the date of the giving of the notification, make representations in writing to the Minister in relation to the proposed revocation, (b) the holder may make such representations as aforesaid to the Minister within the time aforesaid, and (c) the Minister shall, before deciding to grant or withhold his consent to the revocation, consider any representations duly made to him under this subsection. (3) Where a licence is revoked and the trustee savings bank concerned is not wound up— (a) the bank shall continue to be liable in respect of deposits accepted by it until any liabilities in respect of them have been discharged to the satisfaction of the Central Bank, (b) upon the discharge of the liabilities aforesaid, the bank shall be closed in accordance with section 42 , and (c) the trustees of the bank shall discharge all their liabilities to their depositors in full and without undue delay and shall notify the Central Bank and the depositors with the bank, in such manner and within such time as may be determined by the Central Bank, of the action they are taking to do so. (4) Where a licence is revoked and the trustee savings bank concerned is being wound up, the liquidator of the bank may carry on the business of the bank to such extent as the Central Bank or, if the winding up is pursuant to an order of the Court, the Court may consider necessary to enable the liquidator to discharge his functions. (5) A person who contravenes subsection (3) (c) shall be guilty of an offence. Name of trustee savings bank. 14.—(1) The phrase “trustee savings bank” or the phrase “savings bank” shall, unless the Central Bank consents to its omission, be included in the name of a trustee savings bank. (2) A person other than a trustee savings bank— (a) if he is a body corporate, shall not include in the name of the body either of the phrases aforesaid or any phrase that is a variant, derivative or translation of or is analogous to either of those phrases, (b) if he is an individual carrying on a business under a name or title (other than his own name without any addition thereto), shall not include in the name or title either of the phrases aforesaid or any phrase that is a variant, derivative or translation of or is analogous to either of those phrases, (c) if he is an unincorporated body of persons carrying on a business, shall not include in the name under which the body carries on business (not being, in the case of a partnership, the name or names of one or more of the partners without any addition thereto) either of the phrases aforesaid or any phrase that is a variant, derivative or translation of or is analogous to either of those phrases, (d) shall not use, in an advertisement, circular, business card or other document either of the phrases aforesaid or any phrase that is a variant, derivative or translation of either of those phrases if by doing so he would hold himself out or represent himself as being a trustee savings bank. (3) A person who contravenes subsection (2) shall be guilty of an offence. Lending and borrowing by trustee savings bank. 15.—(1) The rates of interest charged by a trustee savings bank on loans provided by it and paid by it on deposits accepted by it shall be fixed in such manner and by reference to such matters as the Central Bank may determine. (2) (a) A trustee savings bank may borrow money including, with the consent of the Central Bank, money in a currency other than the currency of the State. (b) The Central Bank may if it so thinks fit specify in a direction given to a trustee savings bank— (i) the maximum liability which may be incurred by the bank in respect of borrowings by it and interest on such borrowings, and (ii) the maximum liability which may be incurred by the bank in relation to any one person in respect of borrowings by it and interest on such borrowings, and (iii) the terms and conditions upon which the bank may borrow money (including terms or conditions specifying or providing for the determination of the rate of interest payable on moneys borrowed by it and the security to be provided by it in respect of its borrowings). (3) A trustee savings bank shall not carry on any business other than the taking of deposits and any other business carried on by a former bank without the consent of the Central Bank. (4) A person who contravenes subsection (3) or fails or refuses to comply with a direction under subsection (2) shall be guilty of an offence. Rules of trustee savings bank. 16.—(1) (a) (i) The trustees of a trustee savings bank shall before the bank commences to carry on business or, in the case of a trustee savings bank that immediately before the commencement of this section was a former bank, not later than 6 months after such commencement make rules (which shall be subject to the approval of the Central Bank) for the management and administration of the bank and for such other matters relating to the bank as it considers appropriate. (ii) The trustees of a trustee savings bank may, subject to the approval of the Central Bank, by rules under subparagraph (i), amend or revoke rules under that subparagraph. (b) The Central Bank shall— (i) as respects proposed rules under paragraph (a) (i), approve of the rules if it is satisfied that they are in accordance with sound banking practice, make provision for all of the matters for which, in the opinion of the Central Bank, provision ought to be made by the rules and are in conformity with the law (including this Act), (ii) as respects proposed rules under paragraph (a) (ii), approve of the rules if it is satisfied that they, together with the rules that would be in force following the proposed amendment or revocation, satisfy the conditions specified in subparagraph (i). (c) Without prejudice to the generality of paragraph (a), rules under that paragraph shall make provision in relation to the matters for the time being standing specified in the Second Schedule . (2) The Minister may by regulations, made after consultation with the Central Bank and the trustee savings banks for the time being carrying on business, amend the Second Schedule and that Schedule shall have effect subject to any regulations under this subsection for the time being in force. (3) The following provisions shall have effect in relation to rules under this section of a trustee savings bank: (a) the trustees, managers and other officers of the bank shall comply with the rules and the business of the bank shall be carried on in accordance with the rules, (b) a copy of the rules shall be given to a depositor of the bank on request at any office of the bank, (c) a copy of the rules shall be made available for inspection by depositors of the bank at each office of the bank during the times at which the bank is open to the public for business, (d) in proceedings in any court or tribunal, production of a document purporting to be a copy of the rules and to be certified by an officer of the bank to be a true copy of the rules shall be evidence of the rules unless the contrary is shown. (4) A person who contravenes subsection (3) (a) shall be guilty of an offence. (5) Rules of a former bank in force immediately before the commencement of this section shall continue in force for the period of 6 months immediately after such commencement and may be amended or revoked during that period by the trustees of the trustee savings bank concerned as if made pursuant to this section and shall, during the said period, be deemed to comply with the provisions of this Act. PART III Trustees of Trustee Savings Banks Number of trustees of trustee savings bank. 17.—(1) There shall be not less than 5 and not more than 10 trustees of a trustee savings bank. (2) Where 2 or more trustee savings banks amalgamate and immediately before the amalgamation the total number of trustees of the banks exceeded 10, those trustees may be appointed to be trustees of the amalgamated bank as if their number did not exceed 10, but no other trustees shall be appointed in relation to the amalgamated bank until the number of trustees of the amalgamated bank falls below 10. (3) Where at any time the number of trustees of a trustee savings bank falls below 5, such number of persons shall be appointed not later than 3 months after that time to be trustees of the bank as will bring the number of trustees to a number not less than 5, but acts of the trustees of the bank performed during the said period of 3 months or the period from the time aforesaid until the appointment of persons to be trustees of the bank pursuant to this section, whichever is the shorter, shall be as valid as if the number of trustees of the bank had been a number not less than 5 throughout the relevant period. (4) A person shall not be appointed to be a trustee of a trustee savings bank without the consent of the Central Bank. Age limit for trustees of trustee savings bank. 18.—A person shall cease to hold office as a trustee of a trustee savings bank not later than the time when he reaches the age of 70 years. Disqualification for being a trustee of a trustee savings bank. 19.—(1) A person who— (a) is adjudicated bankrupt, (b) makes a composition or arrangement with creditors, (c) was at any time personally liable pursuant to section 22 in respect of his conduct in the carrying out of his duties as a trustee of a trustee savings bank, (d) is sentenced to imprisonment for a term of not less than 6 months, or (e) is convicted of an offence involving fraud or dishonesty, shall be disqualified for being a trustee of a trustee savings bank. (2) A trustee of a trustee savings bank who— (a) is adjudicated bankrupt, (b) makes a composition or arrangement with creditors, (c) is personally liable pursuant to section 22 in respect of his conduct in the carrying out of his duties as such a trustee, (d) is sentenced to imprisonment for a term of not less than 6 months, or (e) is convicted of an offence involving fraud or dishonesty, shall forthwith become and be disqualified for being such a trustee. Payment of honoraria to trustees of trustee savings bank. 20.—(1) (a) A trustee savings bank may pay to its trustees honoraria of such amounts as may be approved of by the Central Bank. (b) The aggregate amount of any honoraria paid by a trustee savings bank to its trustees in any financial year of the bank shall be stated in the accounts of the bank for that year. (2) (a) A trustee savings bank may lend money to a trustee of the bank if, but only if— (i) the loan is made on and subject to such terms and conditions as may be specified by the Central Bank, (ii) the loan does not exceed such amount, if any, as may be specified by the Central Bank, and (iii) the aggregate amount of the loan and any amount not repaid or paid to the bank in respect of other loans made by the bank to the trustee and interest thereon does not exceed such amount, if any, as may be specified by the Central Bank. (b) The aggregate amount of any loans under this subsection not repaid to a trustee savings bank at the end of any financial year of the bank and of any interest on the loans due and payable, but not paid, to the bank at the end of that year shall be stated in the accounts of the bank for that year; any such statement shall be accompanied in the accounts of the bank by a statement to the effect that the loans concerned were made on and subject to the same terms and conditions as loans by the bank to members of the public. (3) Where, in the opinion of the auditor of a trustee savings bank, the bank has contravened subsection (1) (b) or (2) (b) for a financial year of the bank, the auditor shall include a statement to that effect in his report on the accounts of the bank for that year and a statement of the amounts, or any part thereof, referred to in subsection (1) (b) or (2) (b), as the case may be, of which he is aware. (4) A person who contravenes this section shall be guilty of an offence. Disclosure of interest by trustees of trustee savings bank. 21.—(1) A trustee of a trustee savings bank who has— (a) an interest in a company or concern with which the bank proposes to make or has made a contract, or (b) an interest in a contract which the bank proposes to make or has made, or is a person with whom a person who has such an interest is connected shall disclose to the bank and to the other trustees at a meeting of the trustees the fact of the interest and the nature thereof and shall take no part in any deliberation or decision of any such meeting relating to the contract. (2) A disclosure under this section shall be made at the earliest opportunity. (3) A general notice given by a trustee of a trustee savings bank to the bank and to the trustees of the bank, at a meeting of the trustees, to the effect that he is a member of a specified company or firm and is to be regarded as interested in any contract that may, after the date of the notice, be made with the company or firm shall be deemed, for the purposes of subsection (1) to be a sufficient disclosure of the interest concerned. (4) A disclosure made under subsection (1), and a notice given under subsection (3), to trustees of a trustee savings bank shall be recorded in the minutes of meetings of the trustees. (5) (a) For the purposes of this section, a person is connected with a trustee of a trustee savings bank if, but only if— (i) he is the trustee's spouse or lives together with him as a spouse, (ii) he is the trustee's parent or child, or (iii) he is a person acting in his capacity as the trustee (other than as trustee under an employee's share scheme or a pension scheme) of any trust the beneficiaries of which include the trustee of the trustee savings bank, his spouse or any of his children or a body corporate with which he is associated or the terms of which confer a power on the trustees that may be exercised for the benefit of the trustee of the trustee savings bank, his spouse or any of his children or any such body corporate, (iv) he is a person acting in his capacity as partner of the trustee or of any person who, by virtue of subparagraph (i), (ii) or (iii) is connected with the trustee, or (v) he is a body corporate (other than a subsidiary or the holding company of the trustee savings bank or a subsidiary of the holding company of the bank) of which the trustee is a director, manager, secretary or other officer or as respects which he is a member of a committee of management or other controlling authority or as respects which— (I) he and any persons with whom he is connected by virtue of subparagraph (i), (ii), (iii) or (iv), or (II) a person acting in his capacity as trustee of any trust the beneficiaries of which include the trustee of the trustee savings bank, his spouse or any of his children, between them hold one-fifth or more in nominal value of its issued equity share capital or are entitled to exercise or control the exercise of one-fifth or more of the voting power at any of its general meetings. (b) A person is associated with a body corporate if he or any person with whom he is connected by virtue of paragraph (a) or a person acting in his capacity as trustee of any trust the beneficiaries of which include the person, his spouse or any of his children between them either— (i) holds at least one-fifth or more in nominal value of its issued equity share capital, or (ii) are entitled to exercise or control the exercise of one-fifth or more of the voting power at any of its general meetings. (c) References in this subsection to a child of a person include references to a step-child, brother, sister, half-brother, half-sister, parent and step-parent of the person. (6) A person who contravenes this section shall be guilty of an offence. Liability of trustees of trustee savings bank. 22.—(1) A person who is a trustee of a trustee savings bank shall not be personally liable in respect of his conduct (not being fraudulent conduct) in the carrying out of his duties as such a trustee except— (a) for moneys actually received by him on account of or for the use of the bank that is not paid over and disposed of in accordance with the rules of the bank, (b) for any deficiency in the funds of the bank caused by neglect or omission in complying with the rules of the bank relating to the matters for the time being standing specified in the Second Schedule or any neglect or omission in complying with the rules of the bank or the requirements of the Central Bank in relation to the checking of transactions carried out by the bank, the audit and examination of accounts of the bank, the holding of meetings of trustees of the bank or the keeping of minutes of such meetings: Provided that the total amount for which the trustee may be liable in respect of any such deficiencies during his term of office as such a trustee shall not exceed £10,000. (2) The amount specified in subsection (1) (b) may be altered by the Minister by regulations so as to reflect changes in monetary values and subsection (1) (b) shall have effect subject to any regulations under this subsection for the time being in force. Provisions in relation to property of trustee savings banks and legal proceedings. 23.—(1) The property of a trustee savings bank shall stand vested in the trustees for the time being of the bank. (2) The trustees of a trustee savings bank may sue and be sued by the name “the trustees of the — Trustee Savings Bank” or “the trustees of the — Savings Bank”, as may be appropriate, and, in legal proceedings concerning any property of the bank, the property may be stated to be the property of the trustees of the bank. (3) Property of a trustee savings bank may be and stand vested in the trustees of the bank under the description “the trustees of the — Trustee Savings Bank” or “the trustees of the — Savings Bank” and it shall not be necessary, for the purpose of such vesting, to state in the document concerned or in any document relating to the property of the bank the names or descriptions of the individual trustees. (4) A document which, but for this subsection, would fall to be executed by one or more of the trustees of a trustee savings bank in their capacity as such trustees may be executed by an officer of the bank, duly authorised in that behalf by the trustees of the bank, by his affixing thereto the seal of the bank and authenticating the seal by his signature. (5) The affidavit referred to in section 6, as amended, of the Judgment Mortgage (Ireland) Act, 1850, may, in a case in which a trustee savings bank is a creditor under a judgment, decree, order or rule referred to in that section, be made and filed in accordance with that section by the secretary or other officer or the law agent of the bank duly authorised in that behalf by the bank. (6) The trustees of a trustee savings bank shall not purchase, lease, sell or exchange buildings or other land or erect buildings or incur other expenditure of a capital nature on the doing of work to buildings or other land of the bank without the consent of the Central Bank (which may be either general or limited to a particular transaction) and, for the purposes of the title of a person to property bought or leased from or the subject of an exchange with the trustees of a trustee savings bank, the Central Bank shall be deemed to have given its consent to the purchase, lease, sale or exchange by the trustees. PART IV Supervision of Trustee Savings Banks Keeping of books, accounts and other records by trustee savings bank and inspection thereof by Central Bank. 24.—(1) A trustee savings bank shall keep at an office or offices in the State such books, accounts and other records as the Central Bank may specify and shall, as soon as may be, notify the Central Bank of the address of every office at which they are kept for the time being; different books, accounts and records may be specified by the Central Bank under this subsection in relation to different trustee savings banks. (2) (a) An officer of the Central Bank, or a person possessing qualifications or experience that the Governor of the Central Bank considers appropriate, duly authorised in writing in that behalf by the Governor of the Central Bank (referred to subsequently in this section as “an authorised officer”) may, for the purpose of the performance by the Central Bank of its functions under this Act— (i) investigate the affairs or any particular part of the affairs of a trustee savings bank and its conduct of its business or of any particular part of its business and report to the Central Bank thereon, (ii) for the purposes of the investigation, upon production, if required, of his authorisation, at all reasonable times enter any office of the bank and examine and take copies of, or of extracts from, any books, accounts or other records found there and kept pursuant to this section and any other records relating to the business of the bank found there, (iii) require any person in that office— (I) to give him any information within his knowledge or procurement that he reasonably considers to be necessary for the purposes of the investigation, (II) to produce to him any books, accounts or records aforesaid that are in his power, possession or procurement, (III) to permit him to examine and take copies of, or of extracts from, any such books, accounts or records, and (IV) to give to him any information within his knowledge or procurement in relation to entries in the books, accounts or records that he may reasonably consider to be necessary for the purposes of the investigation. (b) (i) References in paragraph (a) to a trustee savings bank include references to— (I) a subsidiary of the bank, (II) if the bank is a subsidiary— (A) its holding company, and (B) any other subsidiary of its holding company, and (III) an associated company of the bank. (ii) In subparagraph (i) “associated company”, in relation to a trustee savings bank, means a company (within the meaning of section 155 of the Act of 1963)— (I) not less than 20 per cent. in nominal value of whose— (A) equity share capital, or (B) shares carrying voting rights (other than voting rights which arise only in specified circumstances), are held by the bank, and (II) an investigation of the affairs, or a specified part of the affairs, of which or of the conduct of the business of which, or a specified part of the business of which, is, in the opinion of the Central Bank, necessary for the purposes of a like investigation in relation to the bank. (3) Books, accounts and other records kept in pursuance of this section shall be in addition to any books, accounts or other records required to be kept under any other enactment. (4) Books, accounts and other records may be kept for the purposes of this Act either in a legible form or (whether by electronic or other automatic means) in a non-legible form that is capable of being reproduced in a legible form. (5) A person who contravenes subsection (1) or obstructs or impedes an authorised officer in the performance of his functions under this section or, without reasonable excuse, fails or refuses to comply with a requirement under this section or who, in purported compliance with such a requirement, gives information to an authorised officer that he knows to be false or misleading shall be guilty of an offence. Furnishing of information to Central Bank. 25.—(1) The trustees of a trustee savings bank shall furnish to the Central Bank— (a) at such times as the Central Bank may specify from time to time, such information and returns concerning the business of the bank as the Central Bank may specify from time to time, being information and returns that the Central Bank considers it necessary to have for the due performance of its functions under this Act, and (b) within such period as the Central Bank may specify, any information and returns (not being information or returns specified under paragraph (a)) concerning the business of the bank that the Central Bank may request in writing, being information and returns that the Central Bank considers it necessary to have for the due performance of its functions under this Act. (2) A person shall not furnish information to the Central Bank pursuant to subsection (1) that he knows to be false or misleading. (3) (a) Without prejudice to the generality of subsection (1), in subsection (1) “information and returns” includes audited accounts of the trustee savings banks concerned and reports of the auditor concerned on those accounts. (b) In this section references to a trustee savings bank include references to— (i) a subsidiary of the bank, (ii) if the bank is a subsidiary— (I) its holding company, and (II) any other subsidiary of its holding company, and (iii) an associated company (within the meaning of section 24 (2) (b) (ii)) of the bank. (4) A person who contravenes this section shall be guilty of an offence. Directions by Central Bank in relation to suspension of certain activities of trustee savings bank. 26.—(1) Where the Central Bank is of opinion that it is in the public interest to do so or that a trustee savings bank— (a) has become or is likely to become unable to meet its obligations to its creditors, or (b) is not maintaining or is unlikely to be in a position to maintain adequate capital resources having regard to the volume and nature of its business, or (c) has failed to comply with a condition of its licence and the circumstances are such that the Central Bank is of opinion that the stability and soundness of the bank are affected by such failure, or (d) is conducting business in such a manner as to jeopardise and prejudice the security of deposits with the bank or the rights and interest of depositors with the bank, or (e) is under common control with one or more than one other enterprise (whether or not any such other enterprise is a trustee savings bank) and the Central Bank is of opinion that the common control is not in the interest of depositors with the first-mentioned trustee savings bank, the Central Bank may give a direction in writing to that bank to suspend, for such period not exceeding 6 months as shall be specified in the direction, all or any of the following, that is to say: (i) the carrying on of the business of a trustee savings bank, (ii) the making of payments (other than those to which subparagraph (i) relates), (iii) the acquisition or disposal of assets or the incurring or discharging of liabilities, which have not been authorised by the Central Bank. (2) The Central Bank may revoke a direction under subsection (1) unless an order under subsection (4) has been made in respect of the direction. (3) The Court may, on application to it in that behalf by the trustee savings bank concerned, make an order terminating a direction under subsection (1). (4) The Court may, on application to it in that behalf by the Central Bank make an order confirming a direction under subsection (1) or confirming the direction and, subject to subsection (5), extending the period of its operation for such time or times (but so that the period does not exceed 12 months) as the Court may, having regard to all the circumstances, consider appropriate. (5) A direction to which subsection (4) relates shall cease to have effect— (a) if the direction was confirmed, upon the expiration of the period to which the direction relates, (b) if the direction was confirmed and the period of its operation was extended, upon the expiration of that period as so extended, (c) upon the making of a winding up order in respect of the trustee savings bank concerned, or (d) where, on the application of the Central Bank or the trustee savings bank concerned, the Court is of opinion that the circumstances justifying the giving of a direction have ceased to exist and that it would be unjust and inequitable not to make an order terminating the direction, upon such date as the Court by order determines, whichever first occurs. (6) The Court may, in addition to or in lieu of making an order under subsection (3) or (4), make such other order in relation to the matter as may appear to it to be necessary including an order directing any person who holds money or other assets for or on behalf of the trustee savings bank to which the direction concerned relates not to dispose of any of those assets except on such conditions and in such circumstances as are specified in the order. (7) Where a direction under this section is in force, then— (a) winding up proceedings shall not be initiated in relation to the trustee savings bank concerned, (b) a receiver over the property of the bank shall not be appointed, and (c) the property of the bank shall not be attached, sequestered or otherwise distrained, or taken in execution, unless the prior approval of the Court has been obtained. (8) (a) Where the Central Bank becomes of opinion that, notwithstanding the fact that a trustee savings bank to which a direction has been given under this section appears to it to be able to meet its obligations to its creditors, the circumstances justifying the giving of the direction are likely to continue, it shall forthwith apply to the Court for, and the Court may grant, an order directing the bank to prepare, in consultation with the Central Bank, a scheme for the orderly termination of its business as a trustee savings bank and the discharge of its liabilities to its depositors under the supervision of the Central Bank and to submit the scheme to the Court within 2 months for the approval of the Court. (b) The Court shall not approve of a scheme under paragraph (a) without hearing the Central Bank and, if there is a dispute concerning the terms of the scheme, the Court may, on application to it in that behalf by the Central Bank or the trustee savings bank concerned, determine the matter. (c) If a trustee savings bank fails to comply with an order of the Court under this subsection or to carry out a scheme approved of by the Court under this subsection, the Court may, on application to it in that behalf by the Central Bank, make such further order in relation to the matter as it considers appropriate, including an order for the committal of the trustees of the bank or, if it considers it just and equitable to make it, an order for the winding up of the bank. (9) Where an order for the winding up of a trustee savings bank is made under this section, the law relating to companies (including this Act) shall apply as if the order had been made on a winding up petition under that law and as if for any reference in that law to the presentation of the winding up petition there were substituted a reference to the making of the order under this section. (10) Where the Court is satisfied that, because of the nature or circumstances of the case or otherwise in the interest of justice, it is desirable to do so, it may hear the whole or part of any proceedings under this section otherwise than in public. (11) The Court may by order revoke or amend an order made by it under this section. (12) For the purpose of subsection (1) (e) of this section a trustee savings bank and one or more than one other enterprise shall be deemed to be under common control if the decision as to how or by whom each shall be managed can be made by the same person or by the same group of persons acting in concert. (13) A trustee savings bank that fails or refuses to comply with a direction under this section shall be guilty of an offence. Directions by Central Bank in relation to advertisements. 27.—(1) The Central Bank may give a direction to the trustees of a trustee savings bank in relation to the information which shall be included in any advertisement published by or on behalf of them or the bank or in any public statement made by or on behalf of them or the bank. (2) The Central Bank may give a direction to the trustees of a trustee savings bank to refrain, or cause the bank to refrain, during such period as shall be specified in the direction— (a) from publishing or continuing to publish an advertisement inviting deposits from the public payable on demand or on notice or at a fixed or determinable future date, or (b) from inviting or continuing to invite such deposits as aforesaid. (3) The Central Bank shall not give a direction under this section unless it is satisfied that it is desirable to do so in the interest of the orderly and proper regulation of banking. (4) A person who fails or refuses to comply with a direction under this section shall be guilty of an offence. Statement of management expenses. 28.—(1) Whenever the Minister, by notice in writing given to the Central Bank, so requires, the Central Bank shall give a direction to the trustees of a trustee savings bank requiring them to furnish it with a statement in writing within such period as may be specified in the direction of the expenses incurred by the bank in its management and administration and generally in the carrying on of the business thereof during such period as may be specified in the request. (2) Statements received by the Central Bank pursuant to subsection (1) shall be transmitted to the Minister forthwith. (3) A person who fails or refuses to comply with a direction under this section shall be guilty of an offence. Publication of business statements by trustee savings bank. 29.—(1) The trustees of a trustee savings bank shall in each year publish a statement in such form and manner, at such times and containing information in relation to such matters concerning the business of the bank as may be specified in relation to the bank or in relation to trustee savings banks generally in a direction given by the Central Bank to the bank or, as the case may be, the banks aforesaid. (2) Without prejudice to the generality of subsection (1), a statement in relation to a trustee savings bank under that subsection shall show the state of the affairs of the bank on such date as may be specified in the relevant direction under that subsection and the results of its trading during such period as may be so specified. (3) Different specifications may be made by the Central Ba …