Back Custom print Link Text Only Rich Text Print

  • CP-2.1 CP-2.1 Application of the Scheme

    • CP-2.1.1

      The Scheme will apply to eligible deposits (as defined in paragraph CP-2.1.5 below) held with the Bahrain offices of full commercial banks which are licensed by the Agency. These full commercial banks (excluding the relevant bank as referred to under section CP-1.2) are herein referred to as the 'contributing banks' which term will, unless otherwise stated herein, include the mandated bank(s) as defined in section CP-2.3 below.

    • CP-2.1.2

      Without prejudice to paragraph CP-2.1.1 above, the Board may, at its discretion, exclude (in whole or in part) from compensation under the Scheme, any depositors of a relevant bank in Bahrain who are 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; and

    • CP-2.1.3

      Without prejudice to paragraph CP-2.1.1 above, the Board may, at its discretion, exclude (in whole or in part) from the requirement to contribute to the Scheme, any full commercial bank in Bahrain whose Bahrain offices' deposit liabilities are (in whole or in part) covered by a similar scheme established in another jurisdiction provided that evidence, in form and substance satisfactory to it, of such coverage is provided to the Board.

    • CP-2.1.4

      Subject to the provision of paragraph CP-2.1.6 below, the Scheme will apply to deposits (each an 'eligible deposit') held with the Bahrain offices of full commercial banks, in Bahraini Dinars and other currencies, by persons (each an 'eligible depositor') who are either residents or non-residents of Bahrain.

    • CP-2.1.5

      For the purposes of this Regulation, 'deposit' shall mean a current, call, saving and/or fixed deposit or investment account in Bahraini Dinars or other currencies, as well as non-bearer Certificates of Deposit denominated in Bahraini Dinars or other currencies issued by the relevant bank.

    • CP-2.1.6

      Without prejudice to the provisions of paragraph CP-2.1.4 above, 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 deposits of:

      (a) the Bahrain Government and Bahrain Government Agencies (which shall, for the purposes of this Regulation, mean entities in which the Bahrain Government holds 50% or more of the share capital);
      (b) other banks including, for the sake of clarity, the Agency;
      (c) the parent, subsidiaries, associates or affiliates of the relevant bank;
      (d) Directors, shareholders with more than 5% shareholding (ordinary and/or preference), or managers of the relevant bank; and/or
      (e) persons whose identity cannot be ascertained.