BANK ACTExempt Debt Obligation Transactions (Banks and Bank Holding Companies) RegulationsP.C.2001-1753200110
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Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to section 978a of the Bank Actb, hereby makes the annexed Exempt Debt Obligation Transactions (Banks and Bank Holding Companies) Regulations.S.C. 2001, c. 9, s. 183S.C. 1991, c. 46InterpretationDefinition of ActIn these Regulations, Act means the Bank Act.International AgenciesPrescribed international agenciesFor the purpose of subparagraphs 482(2)(b)(ii) and 944(2)(b)(ii) of the Act, the following are prescribed international agencies:the Asian Development Bank;the Inter-American Development Bank;the International Bank for Reconstruction and Development;the International Finance Corporation;the African Development Bank;the European Investment Bank;the Caribbean Development Bank;the Nordic Investment Bank;the European Bank for Reconstruction and Development; andthe Council of Europe Development Bank.Definition of Widely Distributedwidely distributed in respect of a bankFor the purpose of paragraphs 482(2)(d) and 944(2)(d) of the Act, widely distributed meansin respect of debt obligations the distribution of which is exempt from the requirement to file a prospectus under the laws of Canada, a province or a jurisdiction outside Canada, thatat least 90% of the maximum authorized principal, of the debt obligations, is held by one or more persons other than the bank or the bank holding company, as the case may be, and its subsidiaries, andthe debt obligations were issued to at least 25 persons other than the bank or the bank holding company, as the case may be, and its subsidiaries within six months after the day on which the first of the debt obligations was issued, orif the debt obligations are issued on a continuous basis, there are on average at least 25 holders other than the bank or the bank holding company, as the case may be, and its subsidiaries, orat the time of their initial distribution, the debt obligations met at least three of the following criteria, namely,their initial term was less than one year,they were rated by a rating agency,they were distributed through a person authorized to trade in securities, andthey were distributed in accordance with an offering circular or memorandum, or a similar document relating to the distribution of securities; andin respect of any other debt obligations, that a prospectus relating to the issuance of the debt obligations was filed under the laws of Canada, a province or a jurisdiction outside Canada.Definition of maximum authorized principalIn subparagraph (1)(a)(i) maximum authorized principal means, in relation to any debt obligation, the maximum amount of debt that may be issued under the terms of the debt obligation or any agreement relating to it.RepealRepeal[Repeal]Coming into ForceComing into forceThese Regulations come into forcein relation to a Bank, on the date that section 482 of the Bank Act comes into force, as enacted by section 127 of the Financial Consumer Agency of Canada Act, chapter 9 of the Statutes of Canada, 2001; andin relation to a bank holding company, on the date that section 944 of the Bank Act comes into force as enacted by section 183 of the Financial Consumer Agency of Canada Act, chapter 9 of the Statutes of Canada, 2001.[Note: Regulations in force October 24, 2001, see SI/2001-102.]