ACC Bank Act, 2001

Amendment of section 2 of Insurance (Amendment) Act, 1978.

10.—The Insurance (Amendment) Act, 1978 , is amended by the substitution for section 2 (inserted by section 12 of the ACC Bank Act, 1992 , and as amended by section 7 (1) of the ICC Bank Act, 2000 ) of the following section:

“2.—(1) This Act applies to any bond or any contract of suretyship or guarantee which is given, or is entered into, as surety or guarantor by a licensee in the course of his banking business, or which is in the course of his banking business given or entered into, as surety or guarantor, by a person resident outside the State to satisfy, and only for the purposes of, a requirement which is both a requirement of a licensee, and made solely for the purposes of securing financial facilities to be made available by that licensee.

(2) In this section—

‘banking business’ has the meaning assigned to it by section 2 (as amended by section 70 of the Central Bank Act, 1997 ) of the Central Bank Act, 1971 ;

‘licensee’ means the holder of a licence granted under section 9 of the Central Bank Act, 1971 .”.