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  • CP-2.1 CP-2.1 Application of the Scheme

    • CP-2.1.1

      The Scheme will apply to Eligible Accounts (as defined in Paragraph CP-2.1.2) held with the Bahrain offices of conventional retail bank licensees which are licensed by the CBB. For the avoidance of doubt, "Eligible Accounts" do not include any Unrestricted Investment Accounts that may be held with conventional retail banks.

      October 2012

    • CP-2.1.2

      For conventional retail bank licensees, Eligible Accounts means any Deposit Account (as defined in Paragraph CP-2.1.3), and any other deposits or accounts similar in nature and which have similar characteristics which are approved by the CBB, regardless of currency, with the exception of bearer certificates of deposit.

      October 2012

    • CP-2.1.3

      For the purpose of Paragraph CP-2.1.2, Deposit Account means the account that is defined being a deposit in accordance with the CBB Resolution No.(23) of 2009 in respect of Definition of Deposit.

      October 2012

    • CP-2.1.4

      Without prejudice to Paragraph CP-2.1.1, the Board may, at its discretion, exclude (in whole or in part) from compensation payments to any Eligible Depositor of the defaulting bank in Bahrain who is entitled to claim in a similar scheme established in another jurisdiction, where such scheme covers the deposit liabilities of the Bahrain offices of such relevant bank.

      Amended: October 2014
      October 2012

    • CP-2.1.5

      For conventional retail bank licensees, Eligible Depositor means any natural person, (resident or non-resident), holding an Eligible Account(s) with a conventional retail bank in the Kingdom. It does not include Deposits and Unrestricted Investments Accounts held with a conventional retail bank's foreign branches operating outside the Kingdom.

      October 2012

    • CP-2.1.6

      Without prejudice to Paragraph CP-2.1.1, the Board may, at its discretion, exclude (in whole or in part) from the requirement to contribute to the conventional Fund, any conventional retail bank licensee in Bahrain whose Eligible Accounts (in whole or in part) covered by a similar scheme established in another jurisdiction provided that evidence of such coverage is provided to the Board to its satisfaction.

      October 2012

    • CP-2.1.7

      Without prejudice to the provisions of Paragraph CP-2.1.2, the Scheme will not apply to Deposits which have, in the opinion of the Board, been illegally gained and/or relate to illicit or illegal matters. The Scheme will also not apply to:

      (a) Accounts of shareholders with 10% or more shareholding (ordinary or preference), board members and senior managers of the defaulting bank; and/ or
      (b) Accounts of persons whose identity cannot be ascertained.
      October 2012