Financial Business Act.pdf
Financial Business Act.pdf
Financial Business Act.pdf
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While this translation was carried out by a professional translation agency, the text<br />
is to be regarded as an unofficial translation based on the latest official Consolidated<br />
<strong>Act</strong> no. 286 of 4 April 2006. Only the Danish document has legal validity.<br />
October 2006, GlobalDenmark Translations<br />
deemed as a corporate fund, cf. section 207. As the fund authority, the Danish Commerce and<br />
Companies Agency shall permit the changes in the articles of association of the fund that are<br />
necessary under the ”lov om erhvervsdrivende fonde” (corporate funds act).<br />
210.-(1) The articles of association of the savings bank limited company and the cooperative<br />
savings bank limited company shall contain provisions on limitations of voting rights for<br />
shareholders that ensure that the previous guarantor, depositor and cooperative democracy is<br />
retained.<br />
(2) The requirement under subsection (1) shall lapse 5 years after conversion into a limited<br />
company.<br />
211.-(1) For savings banks that have carried out operations since 1 January 1989, the<br />
shareholder committee may resolve to dissolve the savings bank without a liquidation by<br />
transferring the total assets and liabilities of the savings bank to a limited company that is<br />
owned or established by the savings bank and that has a license to operate bank activities,<br />
and the committee may resolve that an undistributable savings bank reserve be established<br />
corresponding to the value of the transferred assets after deduction of the debt of the savings<br />
bank.<br />
(2) Section 7(7) and sections 207, 208 and 210 shall apply correspondingly.<br />
212.-(1) The undistributable savings bank reserve, cf. section 211, may be used to cover a<br />
loss that is not covered by amounts available for dividends in the limited company.<br />
(2) In the event of a cessation of the bank, a distribution to shareholders may only take place<br />
after the obligations under subsection (4) have been fulfilled.<br />
(3) In a merger with another bank, the continuing company shall take over the savings bank<br />
reserve on the same terms as applied up to the date of the merger.<br />
(4) In the event of a cessation of the bank, the savings bank reserve may be used for the<br />
public good or for charitable purposes in accordance with more detailed regulations laid down<br />
in the resolution under section 211.<br />
213. In addition to the provisions prescribed in section 201, 10 per cent of the profit for the<br />
year that is not used to cover losses from previous years shall be transferred to the<br />
undistributable savings bank reserve, cf. section 211. If the provision exceeds interest on the<br />
savings bank reserve corresponding to the minimum interest laid down by the Minister for<br />
Taxation after deduction of a proportionate share of the corporation tax for the year, only an<br />
amount corresponding to this interest shall, however, be provided.<br />
Mortgage-credit funds and mortgage-credit associations, that have been mortgage-credit<br />
institutions<br />
214.-(1) Funds, that have been mortgage-credit institutions, and funds created in connection<br />
with conversion of mortgage-credit institutions into limited companies shall be covered by the<br />
”lov om erhvervsdrivende fonde” (corporate funds act).<br />
EXCLUDING MINOR AMENDMENTS<br />
(2) Irrespective of whether a mortgage-credit limited company is being wound up under<br />
sections 226 and 227 and is not deemed to continue, the funds shall, cf. subsection (1),
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