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  • 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 retail bank licensees which are licensed by the CBB. These retail 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.

      Amended: January 2011
      October 07

    • 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

      October 07

    • 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 retail bank licensee 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.

      October 07

    • 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 retail bank licensees, in Bahrain Dinars and other currencies, by persons (each an 'eligible depositor') who are either residents or non-residents of Bahrain.

      October 07

    • CP-2.1.5

      In accordance with the Prime Ministerial Resolution No. (3) of 1993 with respect to the Deposit Protection Scheme, 'deposit' shall mean a current, call, saving and/or fixed deposit in Bahrain Dinars or other currencies, as well as non-bearer Certificates of Deposit denominated in Bahrain Dinars or other currencies issued by the relevant bank.

      Amended: April 2010
      October 2007

    • 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 CBB;
      (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.
      Amended: January 2011
      October 07