Deposit Protection Act · 2023 Revised Edition · Part 4
42. Additional premium where funds insufficient to meet payment
Official textFrom Attorney General's Chambers, unchanged
Where the funds are insufficient to make any payment due to the depositors under this Act, the Authority may, with the concurrence of the
Authority
“Authority” means the Authority as stated in the Banking Order, 2006, the Islamic Banking Order, 2008 and in the case of the Finance Companies Act, the Minister;
Corporation, determine —
Corporation
“Corporation” means the Brunei Darussalam Deposit Protection Corporation established by section 3;
that member institution shall be required to pay additional premium for any assessment year or part thereof; and
the premium rate or rates for the purposes of computing the additional premium.
Where a determination is made under subsection (1) —
the Authority shall, as soon as practicable —
publish a notice in the Gazette of the requirement to pay additional premium and the premium rate or rates for the purposes of computing the additional premium referred to in subsection (1); and
compute the additional premium payable by the member institutions for that assessment year or part thereof and notify the Corporation accordingly; and
the Corporation shall, upon receipt of the notification referred to in paragraph (a)(ii) give notice in writing to every member institution of the additional premium that the member institution is required to pay for that assessment year or part thereof and the date by which the additional premium shall be paid.
Deposit Protection 32
Any member institution shall not, without the prior approval of the Minister, be required to pay additional premium for any assessment year exceeding 0.5 per cent of the total protected deposit of that member institution.
member institution
“member institution” means any financial institution deemed to be a member institution under section 27 whose membership has not been cancelled under section 31 or terminated under section 32;
For the purposes of subsection (3), the total protected deposit of a member institution shall be determined on the date prescribed by the
deposit
“deposit” means a deposit as defined in section 2(3) of the Banking Order, 2006, a deposit as defined in section 2(3) of the Islamic Banking Order, 2008 and a deposit as defined in section 2 of the Finance Companies Act, as the case may be;
Authority for computing the amounts of premium payable by member institutions.
Terms defined in s 2
assessment year
Defined · s 2“assessment year”, in relation to the calculation and payment of premiums under this Act, means the period beginning on the first day of January and ending on the 31st day of December of each year or such other period as may be approved by the Minister;
Authority
Defined · s 2“Authority” means the Authority as stated in the Banking Order, 2006, the Islamic Banking Order, 2008 and in the case of the Finance Companies Act, the Minister;
Corporation
Defined · s 2“Corporation” means the Brunei Darussalam Deposit Protection Corporation established by section 3;
deposit
Defined · s 2“deposit” means a deposit as defined in section 2(3) of the Banking Order, 2006, a deposit as defined in section 2(3) of the Islamic Banking Order, 2008 and a deposit as defined in section 2 of the Finance Companies Act, as the case may be;
deposit protection
Defined · s 2“deposit protection” means the protection provided to the depositors of a member institution in case of its failure to pay its deposits;
member institution
Defined · s 2“member institution” means any financial institution deemed to be a member institution under section 27 whose membership has not been cancelled under section 31 or terminated under section 32;
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