Section 36: Credit assessments and asset appraisals

36. Credit assessments and asset appraisals (1) The central bank may, by notice to any bank, require that bank— (a) to undergo an independent assessment of creditworthiness or financial stability by a person or organisation nominated or approved by the central bank; (b) to undergo an independent appraisal to assess the value of its assets, in particular real estate and other related assets, by a person or organisation nominated or approved by the central bank; (ba) to undergo an independent valuation of the assets which it holds as collateral, by a person or organisation nominated or approved by the central bank; and (c) to transmit to the central bank the results of an assessment under paragraph (a) or appraisal under paragraph (b) in such manner as the central bank may direct. (2) Where the value determined in subsection (1) (b) varies materially from the value in the books of accounts of the bank, the central bank may send to the bank, its auditors and the audit committee a notice of the appropriate value of the assets as determined by the independent appraisal for appropriate action. (3) Every person appointed pursuant to subsection (1) shall have a right of access at all times to the books, accounts, records and vouchers of the bank in relation to which the person has been appointed and those of its subsidiaries in Mauritius and of its branches and subsidiaries abroad, if any, and may require from the directors or senior officers, employees and agents of the bank or its subsidiaries in Mauritius or its branches and subsidiaries abroad, if any, such information and explanations as may appear to be necessary for the performance of the person’s duties under this section. [Issue 9] B3 – 30 Revised Laws of Mauritius (4) Every bank shall comply at its own expense with an assessment or appraisal under subsection (1). [S. 36 amended by s. 3 (l) of Act 18 of 2016 w.e.f. 7 September 2016.]