Section 69
Application To Be Made For Merger Of Licensed Institutions With Each Other
(1) If any licensed institution wishes to be merged with or merging another licensed institution, both the merging and merged licensed institutions shall adopt a special resolution to that effect in their respective general meetings and make a joint application, setting out the following matters, to the Rastra Bank for approval:
(a) Audit report of the last fiscal year of the merging licensed institution, along with its audited balance sheet, profit and loss account, cash flow statement and other financial statements;
(b) A copy of the written consent of the creditors of both the merging and merged licensed institutions to merge or to be merged;
(c) Valuation of the movable and immovable properties of, and actual details of the assets and liabilities of, the merging licensed institution;
(d) A copy of the decision as to the employees of the merging licensed institution;
(e) Such other necessary matters as prescribed by the Rastra Bank in relation to the merger of the licensed institutions.
(2) If an application is made for approval pursuant to Sub- section (1), the Rastra Bank shall examine the documents and returns attached with the application and decide whether or not to grant approval for the merger of the licensed institutions with each other and give information thereof to the concerned licensed institutions within forty five days, and within a period of additional fifteen days if the Rastra Bank has demanded any returns or documents in the course of making decision.
(3) Notwithstanding anything contained elsewhere in this Act,= the Rastra Bank shall not grant approval for the merger of any two or more than two licensed institutions if it sees that the merger of such licensed institutions is likely to create an environment of unhealthy competition or to give rise to the monopoly or controlled practices of any licensed institution in the financial sector.
(4) On receipt of an approval from the Rastra Bank for merger pursuant to Sub-section (2), all the assets and liabilities of the merging licensed institution shall be transferred to the merged licensed institution.
(5) The Rastra Bank shall maintain records of the merged licensed institutions.
(6) The Rastra Bank may issue necessary directives in relation to other procedures relating to the merger of licensed institutions.
(7) The Rastra Bank shall publish in a newspaper of national circulation at least once within thirty days after the date of decision a notice containing the particulars of the decision made by it in relation to the merger of any licensed institution for the information of the general public.
(a) Audit report of the last fiscal year of the merging licensed institution, along with its audited balance sheet, profit and loss account, cash flow statement and other financial statements;
(b) A copy of the written consent of the creditors of both the merging and merged licensed institutions to merge or to be merged;
(c) Valuation of the movable and immovable properties of, and actual details of the assets and liabilities of, the merging licensed institution;
(d) A copy of the decision as to the employees of the merging licensed institution;
(e) Such other necessary matters as prescribed by the Rastra Bank in relation to the merger of the licensed institutions.
(2) If an application is made for approval pursuant to Sub- section (1), the Rastra Bank shall examine the documents and returns attached with the application and decide whether or not to grant approval for the merger of the licensed institutions with each other and give information thereof to the concerned licensed institutions within forty five days, and within a period of additional fifteen days if the Rastra Bank has demanded any returns or documents in the course of making decision.
(3) Notwithstanding anything contained elsewhere in this Act,= the Rastra Bank shall not grant approval for the merger of any two or more than two licensed institutions if it sees that the merger of such licensed institutions is likely to create an environment of unhealthy competition or to give rise to the monopoly or controlled practices of any licensed institution in the financial sector.
(4) On receipt of an approval from the Rastra Bank for merger pursuant to Sub-section (2), all the assets and liabilities of the merging licensed institution shall be transferred to the merged licensed institution.
(5) The Rastra Bank shall maintain records of the merged licensed institutions.
(6) The Rastra Bank may issue necessary directives in relation to other procedures relating to the merger of licensed institutions.
(7) The Rastra Bank shall publish in a newspaper of national circulation at least once within thirty days after the date of decision a notice containing the particulars of the decision made by it in relation to the merger of any licensed institution for the information of the general public.