FEDERALLY ADMINISTERED TRIBAL AREAS (APPLICATION OF FINANCIAL INSTITUTIONS (RECOVERY OF FINANCES)) REGULATION,2010

FEDERALLY ADMINISTERED TRIBAL AREAS (APPLICATION OF FINANCIAL INSTITUTIONS (RECOVERY OF FINANCES)) REGULATION,2010

A Regulation to apply the Financial Institutions (Recovery of Finances) Ordinance, 2001

[Gazette of Pakistan, Extraordinary, Part I, 16th September, 2010]

Whereas it is expedient to apply the Financial Institutions (Recovery of Finances) Ordinance, 2001 (XLVI of 2001) for the purpose hereinafter appearing;

Now, therefore, in exercise of the powers conferred by clause (5) of Article 247 of the Constitution of the Islamic Republic of Pakistan read with clause (3) thereof the President is pleased to make the following Regulation, namely:

1. Short title, extent and commencement.---(1) This Regulation may be called the Federally Administered Tribal Areas (Application of Financial Institutions (Recovery of Finances)) Regulation, 2010.

(2) It extends to the whole of Federally Administered Tribal Areas.

(3) It shall come into force at once.

2. The provisions of the Financial Institutions (Recovery of Finances) Ordinance, 2001(XLVI of 2001) shall apply to the Federally Administered Tribal Areas as far as practicable subject to the following modifications, namely:

In the aforesaid Ordinance,

(1) for the words "High Court" wherever occurring the words "Banking Appellate Tribunal Federally Administered Tribal Areas" shall be substituted;

(2) In Section 5,

(a) in subsection (3), for the full stop at the end a colon shall be substituted and thereafter the following proviso shall be added, namely:

"Provided that the cases pending before any Banking Court of Federally Administered Tribal Areas shall not be transferred to Banking Court outside FATA."; and

(b) in subsection (4), for the full stop at the end, a colon shall be substituted and thereafter the following proviso shall be added, namely:

"Provided that for Federally Administered Tribal Areas a Judge of Banking Court shall be appointed by Federal Government in consultation with Chief Justice of Pakistan.";

(3) after section 5, the following new section shall be inserted, namely: -

"5A. Establishment of Banking Appellate Tribunal.---(1) The Federal Government may, by notification in the official Gazette, establish as many Banking Appellate Tribunals as it considers necessary and, where it establishes more than one Banking Appellate Tribunal, it shall specify territorial limits within which, or the class of cases in respect of which, each one of them shall exercise jurisdiction under this Ordinance.

(2) A Banking Appellate Tribunal, shall consist of a Chairperson who is, or has been, or is qualified for appointment as, a Judge of the High Court to be appointed after consultation with the Chief Justice of Pakistan and two members to be appointed by the Federal Government of which at least one shall be a technical member with suitable professional qualifications and experience in the field of banking.

(3) A decision of Banking Appellate Tribunal, shall be expressed in terms of the opinion of the majority of its members, including the Chairperson, or if the case has been decided by the Chairperson and only one of the members and there is a difference of opinion between them, the decision of the Tribunal shall be expressed in terms of the opinion of the Chairperson Banking Appellate Tribunal.

(4) A Banking Appellate Tribunal shall not, merely by reason of a change in its composition, or the absence of any member from any sitting, be bound to recall and rehear any witness who has given evidence, and may act on the evidence already recorded by, or produced, before it.

(5) A Banking Appellate Tribunal may hold its sittings at such places within its territorial jurisdiction as the Chairperson may decide.

(6) No act or proceeding of Banking Appellate Tribunal shall be invalid by reason only of the existence of a vacancy in, or defect in the constitution of, the Banking Appellate Tribunal.

(7). The terms and conditions of service of the Chairperson and members of the Banking Appellate Tribunal shall be such as the Federal Government may, by notified Order determine.";

(4) In section 6, in subsection (2), for the words "Chief Justice of High Court" the words and comma "Chairperson, Banking Appellate Tribunal" shall be substituted;

(5) In section 15, in subsection (4), in the proviso, for the word "Province", the word "Agency" shall be substituted; and

(a) for the full stop, at the end, a colon shall be substituted and thereafter the following further proviso shall be added, namely:

"Provided further that the financial institution before exercise of powers under this subsection shall, in writing, inform the Political Administration of the Agency concerned for necessary security arrangements and the Political Administration shall thereupon provide security to the financial institution for on spot proceedings in the manner as it deems proper."; and

(7) section 29 shall be omitted.