Section 82: Further powers of receiver

82. Further powers of receiver (1) The receiver may— (a) suspend, in whole or in part, the repayment or withdrawal of deposits and other liabilities of the financial institution; (aa) suspend or reduce, as from the date of his appointment or any subsequent date, the right of creditors of the financial institution to claim or receive interest on any money owing to them by that financial institution; (ab) cancel any agreement between the financial institution and any other party to advance moneys becoming due after the date of the receiver’s appointment, or cancel any agreement to extend any existing facility, where— (i) in the opinion of the receiver such advance or any loan under such facility would not be adequately secured or would not be repayable on terms satisfactory to the receiver; (ii) the financial institution lacks the necessary funds to meet its obligations under any such agreement; or (iii) any such act would not otherwise be in the interests of the financial institution; (b) disaffirm or repudiate any contract or lease to which the financial institution is a party other than a financial contract, such as securities contract, forward contract, repurchase agreement, swap agreement or other similar agreement that the Board determines to be a financial contract for the purposes of this section; (c) disaffirm or repudiate a financial contract that in his opinion is fraudulent; or (d) enforce any contract, other than a financial contract entered into by the financial institution, notwithstanding any provision of the contract providing for termination, default or acceleration by reason of insolvency or the appointment of a receiver. (2) The receiver shall, as soon as possible, take the necessary steps to terminate all fiduciary functions performed by the financial institution, return all assets and property held by the financial institution as a fiduciary to the owner thereof, and settle its fiduciary accounts. (S. 82 came into operation on 1 June 2007.) [S. 82 amended by s. 4 (n) of Act 9 of 2015 w.e.f. 14 May 2015.]