Regulations

The Corporation, after consultation with the Central Bank, may make regulations– (a) to provide for any matters required to be provided for by this Act; and (b) generally for the efficient operation of this Act. 33 SCHEDULE I (sections 6(2) and 7(3)) THE BOARD OF THE CORPORATION 1. (1) The Board shall compriseComposition of the Board. (a) the Governor of the Central Bank, as the ex officio Chairperson; (b) two representatives of the Ministry with responsibility for finance, nominated by the Minister; and (c) two other members who have qualifications and experience in accounting, auditing, banking, finance, insurance, law or a related discipline, nominated as follows– (i) one member nominated by the members of the Bankers Association that are domestic banks; and (ii) one member nominated by the Credit Union League. (2) In the event that the Bankers Association or Credit Union League are unable to or do not nominate a member under sub- paragraph (1)(c), the Central Bank shall nominate a person with the required qualifications and experience. (3) Subject to subparagraph (4), a Board member under sub- paragraph (1)(b) and (c) shall be appointed by the Central Bank for a period of three years. 34 Deposit Insurance (4) The period of appointment of the Board members under sub-paragraph (1)(b) and (c) shall not coincide and shall be scheduled to terminate at least one year apart. Qualification for Board membership 2. A person is not qualified to be appointed or remain appointed as a Board member under sub-paragraph (1)(b) and (c) if that person– (a) is a member of Parliament; (b) is a director, officer or auditor of a Fund member; (c) was a director, officer or auditor of a Fund member during the 3 years preceding his proposed appointment or appointment; (d) is a shareholder holding more than 5 per cent of the voting shares of a domestic bank; (e) is a magistrate or a Judge of the Supreme Court; (f) has been convicted of a criminal offence involving fraud, dishonesty, breach of trust or fiduciary duty; (g) is an undischarged bankrupt; (h) has been disqualified or suspended from practicing a profession for professional misconduct ; or (i) has been declared by a medical professional to be mentally incompetent or is unable to perform the duties of a Board member due to ill health. Deposit Insurance 35 3.-(1) The Board shall meet as is necessary to carry on the functions of the Board under this Act but shall meet at least once in every calendar quarter. (2) A meeting shall be held at the place and time convened by the Chairperson. (3) The Chairperson or the Board member designated by the Chairperson shall preside over a meeting of the Board. (4) The Agenda for a meeting shall be decided by the Chairperson and circulated to Board members– (a) at least seven days in advance; or (b) if and to the extent that notice is possible, in cases of emergency. (5) The minutes of a meeting of the Board once adopted by the Board shall be signed by the Chairperson. 4.-(1) The Board shall appoint a Secretary to the Board from among the staff of the Corporation who shall be responsible forSecretary to the Board. (a) making arrangements for meetings of the Board; (b) recording and keeping minutes of meetings and other records related to the functions of the Board; and (c) other matters assigned by the Board. (2) The Secretary to the Board shall attend the meetings of the Board but shall not have a right to vote. 5.-(1) The quorum for a meeting of the Board shall be four members, including the Chairperson. Quorum and voting. 36 Deposit Insurance (2) The decisions of the Board shall be by majority vote of the Board members and the Chairperson shall have a casting vote if the votes are equal. Committees. 6.-(1) The Board may appoint Board Sub-Committees consisting of members of the Board to carry out such functions as assigned by the Board. (2) The Board may appoint Advisory Committees comprising both members of the Board and representatives of the private sector, Government and academia for specific purposes as directed by the Board. (3) A decision of a Board Sub-Committee or an Advisory Committee is not a decision of the Board until the decision has been ratified or adopted by the Board, respectively. Disclosure and conflict of interest. 7.-(1) A Board member has fiduciary obligation to the Corporation and shall– (a) place the interest of the Corporation before any personal or other interest; and (b) avoid any situation that is likely to give rise to a conflict of interest (2) A Board member shall not accept any gift, benefit, reward or remuneration, whether financial or otherwise, from any person or in respect of any matter connected with the discharge of a function of the Board or duty to the Corporation. (3) A Board member shall not provide professional services to the Corporation for financial gain and a former Board member shall not be eligible to provide professional services, for financial gain or otherwise, to the Corporation until the expiration of two years from the last date on which the person was a Board member. Deposit Insurance 37 (4) If a Board member has an interest in a Fund member and a matter concerning that Fund member is under consideration by the Board, that Board member shall disclose the interest at the beginning of the deliberation and shall not participate in the deliberation or voting on the matter. (5) A disclosure under sub-paragraph (3) shall be recorded in the minutes of the meeting. (6) If a Board member, other than an ex-officio member, fails to disclose an interest which the Board considers to be a material conflict of interest, the Central Bank may, by order in writing, suspend the member from office for a maximum period of one year. General procedure. 8. Subject to the provisions of this Act, the Board may regulate its own proceedings. 38 Deposit Insurance SCHEDULE II (sections 18(3) & 20(3)) CALCULATION OF INITIAL CONTRIBUTION AND ANNUAL PREMIUM A. Initial Contribution The initial contribution of each Fund member shall be calculated as follows: Total Insurable Deposits of Fund Member X $1,000,000 Total Insurable Deposits of All Fund Members B. Annual Premium The annual premium of each Fund member shall be calculated as follows: 0.1% X Average Insurable Deposits The average insurable deposits shall be calculated as follows: Insurable Deposit at Start of Year + Insurable Deposit at End of Year Deposit Insurance 39 SCHEDULE III (section 29) CALCULATION OF INSURED LIMIT FOR CREDIT UNIONS The insured limit of a credit union (Credit Union A) if a covered event occurs in respect of a Fund member (Fund member A) shall be calculated as follows: Total Insured Deposits of Credit Union AX Credit Union A’s Deposits in Fund member A Total Insurable Deposits of Credit Union A