| (1) |
An institution which has been established in a country other than the Republic and which lawfully conducts in such other country a business similar to the business of a bank (hereinafter in this section referred to as a foreign institution), may not establish a representative office in the Republic without having previously obtained the written consent of the Authority. |
| (2) |
The consent referred to in subsection (1) shall be obtained by way of a written application to the Authority in which is specified— |
| (a) |
the name of the foreign institution; |
| (b) |
the country in which it is established; |
| (c) |
the name of its proposed chief representative officer in the Republic; and |
| (d) |
the address of its proposed representative office in the Republic, |
and the application shall be accompanied by the prescribed fee and a certificate of the competent authority in the other country in question to the effect that the foreign institution concerned is by or under the laws of that other country authorized to conduct a business in such country similar to the business of a bank.
[Words following section 34(2)(d) substituted by section 27(a) of Act No. 26 of 1994]
| (2A) |
A foreign institution applying in terms of subsection (2) may be required by the Authority to furnish him or her with such information and documents as he or she may deem necessary, over and above any information and documents which have been furnished by such foreign institution by virtue of that subsection. |
[Section 34(2A) substituted by section 24(a) of Act No. 19 of 2003]
| (2B) |
After having considered all information and documents furnished to the Authority for the purposes of an application in terms of subsection (2), the Authority may grant the application, either unconditionally or subject to such conditions as he or she may determine, if the Authority is satisfied that— |
[Words preceding section 34(2B)(a) substituted by section 24(b) of Act No. 19 of 2003]
| (a) |
the foreign institution making that application lawfully conducts a business similar to the business of a bank in a country other than the Republic; |
| (b) |
the competent authority responsible in that other country for the supervision of that foreign institution— |
| (i) |
has duly authorized the proposed establishment of a representative office in the Republic by that foreign institution; |
| (ii) |
accepts, is committed to and complies with the proposals, guidelines and pronouncements of the Basle Committee on Banking Supervision; |
| (iii) |
is not legally precluded from fulfilling its obligations in terms of subparagraph (ii); and |
| (iv) |
will on a continuous basis furnish the Authority with all material information regarding the financial soundness of that foreign institution; and |
| (c) |
the establishment of a representative office in the Republic by that foreign institution will not be detrimental to the public interest. |
[Section 34(2B) inserted by section 2(b) of Act No. 55 of 1996]
| (2C) |
Upon granting an application for consent to the establishment of a representative office in the Republic, the Authority, against payment of the prescribed fee by the foreign institution, shall issue to the foreign institution, on the prescribed form, a certificate of authorization for the establishment of a representative office in the Republic. |
[Section 34(2C) inserted by section 2(b) of Act No. 55 of 1996]
| (3) |
After the establishment of a representative office in terms of this section the foreign institution concerned shall in writing notify the Authority— |
| (a) |
of any change of the name of the institution; |
| (c) |
of any change of the address of the representative office; or |
| (d) |
of the closing down of the representative office, |
as soon as it occurs.
| (4) |
A representative office contemplated in this section may not conduct the business of a bank in the Republic. |
| (5) |
Representative offices established in accordance with the provisions of this section shall furnish the Authority, at such time or times or at such intervals or in respect of such period or periods and in such form as may be prescribed, with such prescribed information as the Authority may require reasonably for purposes of the performance of his or her functions under this Act. |
[Section 34(5) substituted by section 24(c) of Act No. 19 of 2003]
| (6) |
Representative offices established in accordance with this section shall conduct their business subject to such conditions as may be prescribed. |
[Section 34(6) inserted by section 24(d) of Act No. 19 of 2003]
Medicines and Related Substances Act, 1965
