Asset Covered Securities Act, 2001
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What action is to be taken by a designated public credit institution that is in breach of cover assets pool provisions. |
49.—(1) A designated public credit institution shall, as soon as practicable after becoming aware that it has contravened section 47 (1), (4), (5) or (7) or section 48 (2) or (3), take all possible steps to prevent the contravention from continuing or being repeated. Until those steps have been taken, the institution may not issue any further public credit covered securities. | |
(2) A designated public credit institution shall, as soon as practicable after becoming aware that it has failed to comply with section 47 (8) take all possible steps to comply with the subsection. Until those steps have been taken, the institution may not issue any further public credit covered securities. | ||
(3) Where appropriate, the steps to be taken under this section include acquiring other public credit assets or substitution assets for inclusion in the cover assets pool. |