Central Bank Act, 1989.

Establishment of self-regulatory bodies.

94.—(1) The Bank may, in writing and after consulting the Minister, direct any group of financial institutions to which this Chapter applies and which are specified in the direction to establish a body (in this Chapter referred to as “a self-regulatory body”) of such legal character as the Bank may specify to regulate the business conduct, or any aspect of the business conduct as may be specified, of the financial institutions to which the direction relates.

(2) The rules (including management and future membership) of a self-regulatory body shall be submitted jointly by the financial institutions concerned to the Bank for its approval.

(3) The approval of the rules of a self-regulatory body under this section is without prejudice to the power of the Bank to impose requirements or conditions by virtue of section 92 , or further direction under subsection (1), on any of the financial institutions concerned.

(4) Where a self-regulatory body has been established for the purposes of this section, the provisions of sections 92 , 93 , 95 , and 96 shall apply to the body as if it were, and in the same manner as they apply to, a financial institution to which this Chapter applies.

(5) Nothing in this section shall be construed as preventing any financial institution from being a member of any organisation which supervises or controls business conduct otherwise than by virtue of this section.