PART Ⅰ COUNTRY REPORTS 3
Questionnaire for National Reports 3
Australia&Terence Grady 5
A.Introduction 5
B.Management of International Bank Insolvencies 5
C.The Liquidation of a Bank in an International Context 8
D.Aftermath of an International Bank Insolvency 10
E.Practical Experience 13
Appendix 14
Austria&Thomas Wagner and Birgit Sauerzopf 15
A.Introduction 15
B.Management of International Bank Insolvencies 15
C.Supervisory Authorities 16
D.The Liquidation of a Bank in an International Context 22
E.Aftermath of an International Bank Insolvency 24
F.Future Legislative Developments 24
G.Any Outstanding Issues 24
Brazil&Carlos Alberto Hagstrom 27
A.Introduction 27
B.Management of International Bank Insolvencies 27
C.The Liquidation of a Bank in an International Context 31
D.Aftermath of an International Bank Insolvency 34
Canada&Deborah M.Duffy 35
A.Introduction 35
B.Management of International Bank Insolvencies 36
C.The Liquidation of a Bank in an International Context 45
D.Aftermath of an International Bank Insolvency 48
E.Future Legislative Developments 49
F.Efforts to Reduce the Risk of Insolvency in the Clearing and Settlement of Transactions 51
Appendix: Further Reading 53
France&Sophie Grenouilloux and Edouard Fernandez-Bollo 55
A.Management of International Bank Insolvencies 55
B.The Liquidation of a Bank in an International Context 62
C.Aftermath of an International Bank Insolvency 64
D.Future Legislative Developments 65
E.Other Issues 66
Hong Kong&Stefan Gannon and Karen Kemp 67
A.Management of International Bank Insolvencies 67
B.The Liquidation of a Bank in an International Context 80
C.Aftermath of an International Bank Insolvency 88
D.Future Legislative Developments 91
E.Outstanding Issues 92
India&S.C.Gupta and M.A.Batki 95
A.Introduction 95
B.Management of International Bank Insolvencies 96
C.The Liquidation of a Bank in an International Context 97
D.Aftermath of an International Bank Insolvency 99
E.Future Legislative Developments: Electronic Funds Transfer 100
F.Outstanding Issues 100
Appendix 1: Selected Legislation 101
Appendix 2: Issues for Consideration in International Insolvencies 103
Italy&L.Cerenza and E.Galanti 105
A.Management of International Bank Insolvencies 105
B.The Liquidation of a Bank in an International Context 112
C.Aftermath of an International Bank Insolvency 116
Japan&Takashi Hamano 117
A.Management of International Bank Insolvencies 117
B.The Liquidation of a Bank in an International Context 124
C.Aftermath of an International Bank Insolvency 127
D.Future Legislative Developments 128
E.Outstanding Issues 129
Appendix 1: Overview of Existing Insolvency Procedures 130
Appendix 2: Outline of the Prompt Corrective Action Program 132
Appendix 3: Bibliography 134
Appendix 4: Selected Legislation 135
Korea&Legal Office, the Bank of Korea 141
A.Management of International Bank Insolvencies 141
B.The Liquidation of a Bank in an International Context 147
C.Aftermath of an International Bank Insolvency 147
D.Future Legislative Developments 148
E.Outstanding Issues: Risk Reduction Policies in Payment Systems 148
Appendix: Further Reading 149
Mexico&Hector Tinoco Jaramillo 151
A.Management of International Bank Insolvencies 151
B.The Liquidation of a Bank in a International Context 156
C.Aftermath of an International Bank Insolvency 158
D.Future Legislative Developments 160
E.Outstanding Issues 162
Norway&Andreas Sand 163
A.Introduction 163
B.Management of International Bank Insolvencies 163
C.The Liquidation of a Bank in an International Context 167
D.Aftermath of an International Bank Insolvency 170
E.Future Legislative Developments 171
F.Outstanding Issues 171
Appendix 1: Bibliography 173
Appendix 2: Act on Guarantee Schemes for Banks and Public Administration, etc.of Financial Institutions, 6 December 1996, No.75 174
Russia&K.Loubenchenko and S.Golubev 189
A.Management of International Bank Insolvencies 189
B.Future Legislative Developments 194
Saudi Arabia&Mohammed Al-Sheaibi 197
Spain&Francisco Javier Priego 199
A.Management of International Bank Insolvencies 199
B.The Liquidation of a Bank in an International Context 201
C.Aftermath of an International Bank Insolvency 203
D.Future Legislative Developments 204
E.Outstanding Issues 204
Appendix: Further Reading 206
Sweden&Robert Sparve 207
A.Introduction 207
B.Management of International Bank Insolvencies 207
C.The Liquidation of a Bank in an International Context 210
D.Aftermath of an International Bank Insolvency 212
E.Future Legislative Developments 212
F.Outstanding Issues 212
Switzerland&>Peter Merz and Marc Raggenbass 213
A.Insolvency of Internationally Active Banks 213
B.The Liquidation of a Bank in an International Context 223
C.Aftermath of an International Bank Insolvency 232
D.Future Legislative Developments 234
United Kingdom&Antony W Beaves 237
A.Introduction 237
B.Management of International Bank Insolvencies 237
C.The Liquidation of a Bank in an International Context 243
D.Aftermath of an International Bank Insolvency 252
E.Future Legislative Developments 255
F.Outstanding Issues 255
United States&J.Virgil Mattingly, Ann Misback, Melinda Milenkovich,Joyce M.Hansen and Joseph H.Sommer 259
A.Management of International Bank Insolvencies 259
B.The Liquidation of a Bank in an International Context 270
C.Aftermath of an International Bank Insolvency 274
PART Ⅱ CONFERENCE PAPERS 281
Welcome Address&Andre Icard 281
A.Globalization: will it create crises or offer a chance to prevent crises? 281
B.Contribution of lawyers 281
Role and Functions of Authorities: Supervision, Insolvency Prevention and Liquidation&Ernest T.Patrikis 283
A.The Challenge: Systemic Risk 283
B.Institutional Constraints: The Players 284
C.Domestic Bank Insolvency: Goals 285
D.Domestic Insolvency: Special Rules 286
E.International Bank Insolvency: Some Questions 287
F.Conclusion: The Need for International Supervisory Cooperation 291
Central Banks with Supervisory Functions: The Example of Spain&Francisco Javier Priego 293
Management Intervention as a Tool for Crisis Prevention: The Norwegian Act of 6 December 1996 on Guarantee Schemes for Banks and Public Administration&Bernt Nyhagen 295
A.Introduction 295
B.Clarifying the Issue 295
C.Background and Reasons for the New Legislation 296
D.The Relevant Authorities 296
E.Notice of Payment Difficulties etc., ‘Crisis’ Criteria 297
F.Management Intervention: Operational Restructuring 298
G.International Scope of the Act 299
H.Conclusion 299
The Use of Securitization to Mobilize Liquidity and in Particular the Use of Specialized Mortgage Corporations&Stefan Gannon 301
A.Introduction 301
B.Liquidity Management 301
C.Securitization as a Liquidity Management Tool 303
D.The Hong Kong Experience 304
E.Other Jurisdictions 307
F.Securitization with Lender of Last Resort 309
G.Conclusion 310
Specific Cross-Border Problems Regarding Bank Insolvencies and European Harmonization Efforts&Diego Devos 311
A.Introduction: Scope of the Presentation 311
B.Cross-Border Insolvency Issues in Connection with Financial Transactions 312
C.Cross-Border Insolvency Issues in Connection with Payment and Securities Settlement Systems: The New EU Directive on Settlement Finality 314
D.Other European Harmonization Efforts in the Field of Cross-Border Bank Insolvencies 321
Recent Polish Legislative Steps to Achieve Certainty with Regard to International Financial Contracts&Anna Jaszczynska 327
Cooperation of Supervisory Authorities and Possible Harmonization of Applicable Rules&Daniele Nouy 331
The UNCITRAL Model Law on Cross-Border Insolvency&Jernej Sekolec 337
A.General Remarks 337
B.Model Legislation （Not an International Treaty） 339
C.Main Features of the Model Law 340
D.Conclusion 345
The Aftermath of an International Bank Insolvency:Introductory Remarks&Hector Tinoco Jaramillo 347
Cushioning the Effects of Bank Insolvencies:Lessons from the Japanese Experience&Hideki Kanda 349
A.Introduction 349
B.The Japanese Experience 350
C.Legal Aspects of Bank Failures 352
D.International Issues: Cross-Border Insolvencies 353
E.Conclusion 354
Collateral in European System of Central Banks Credit Operations&Erwin Nierop 355
A.Introduction 355
B.Tier One and Tier Two Collateral 357
C.Settlement Finality Directive 357
D.Standards for the Use of EU Securities Settlement Systems in ESCB Credit Operations 359
E.Correspondent Central Bank Model 362
F.Conclusion 362
Supervisory Liability: An Introduction to Several Legal Systems and a Case Study&Rene Smits and Ron Luberti 363
A.Introduction 363
B.Legislation in Several Other EU States 365
C.Netherlands Law 367
D.Influence of Community Law 368
E.A Case Study 370
Appendix: Selected Legislation 381
PART Ⅲ ANNEXES 387
Annex 1:UNCITRAL Model Law on Cross-Border Insolvency 387
Annex 2:Directive 98/26/EC of the European Parliament and of the Council on Settlement Finality in Payment and Securities Settlement Systems 397
Annex 3:List of Contributors 405
Annex 4:Participants in the Workshop 411
Index 413