Marginal note:Minister’s direction

• 11.1 (1) The Minister may, after consultation with the Board, the Governor of the Bank of Canada and the Superintendent, give a written direction to the Corporation if the Minister is of the opinion that not giving the direction might have an adverse effect on the stability of the financial system in Canada or public confidence in that stability.

• Marginal note:Compliance without regard to minimizing loss

  (2) The Corporation shall comply with the direction without regard to the requirement referred to in paragraph 7(c) that it pursue its objects in a manner that will minimize its exposure to loss.

• Marginal note:Implementation

  (3) The Corporation’s directors shall ensure that the direction is implemented in a prompt and efficient manner and, if in so doing they act in accordance with section 115 of the Financial Administration Act, they are not accountable for any consequences arising from the implementation of the direction.

• Marginal note:Notification of implementation

  (4) After implementing the direction, the Corporation shall notify the Minister without delay that the direction has been implemented.

• Marginal note:Best interests

  (5) The Corporation’s compliance with a direction is deemed to be in its best interests.

Marginal note:Statutory Instruments Act

• 11.2 (1) The Statutory Instruments Act does not apply to a direction given under subsection 11.1(1).

• Marginal note:Publication

  (2) The Minister shall cause a notice to be published in the Canada Gazette that a direction was given under subsection 11.1(1) as soon as the Minister is of the opinion that the publication of the notice will not have an adverse effect on the stability of the financial system in Canada or public confidence in that stability.

Marginal note:Recovery of loss

11.3 After the publication of a notice in the Canada Gazette that a direction was given under subsection 11.1(1), the Corporation shall, in accordance with its by-laws, collect a special premium from member institutions or any class of member institutions in order to recover the loss that the Corporation determines it incurred as a result of complying with the direction.

Marginal note:Duty to insure

12. The Corporation shall insure each deposit with a member institution except

• (a) a deposit that is not payable in Canada or in Canadian currency;

• (b) a deposit in respect of which Her Majesty in right of Canada would be a preferred claimant; and

• (c) so much of any one deposit as exceeds one hundred thousand dollars.