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Deposit Takers Act 2023

Crisis management and resolution - Conduct of resolution - Resolution manager’s general powers

306: Resolution manager may carry on business of licensed deposit taker

You could also call this:

"Someone can take over a troubled bank or lender to help sort it out."

Illustration for Deposit Takers Act 2023

If a licensed deposit taker is in trouble, a resolution manager can take over its business. The resolution manager can run all or part of the business and has the power to make decisions about it. You can find more information about this by looking at the relevant law from 1989.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS533515.

Topics:
Money and consumer rights > Banking and loansBusiness > Industry rules
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305: Resolution manager has powers of deposit taker and of its shareholders, members, and board, or

"A resolution manager can make decisions for a deposit taker, like its owners and bosses."

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307: Resolution manager may pay creditors and compromise claims, or

"The resolution manager can pay debts and make deals to settle claims with people owed money."

Part 7Crisis management and resolution
Conduct of resolution: Resolution manager’s general powers

306Resolution manager may carry on business of licensed deposit taker

  1. The resolution manager may carry on all or any part of the business of the licensed deposit taker in resolution and has, in relation to the deposit taker, all of the powers, rights, and authorities that are necessary or desirable to carry on that business.

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