S.L. 330.9 Art. 86Restrictions on other proceedings.

(1) Without prejudice to regulation 82(2)(b), with respect to an institution under resolution or an institution or an entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1) in relation to which the conditions for resolution have been determined to be met, normal insolvency proceedings shall not be commenced except at the initiative of the Resolution Committee and a decision placing an institution or an entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1) into normal insolvency proceedings shall be taken only with the consent of the Resolution Committee.

(2) For the purposes of sub-regulation (1):

(a) the Authority and the Resolution Committee shall be notified without delay of any application for the opening of normal insolvency proceedings in relation to an institution or an entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1), irrespective of whether the institution or the entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1) is under resolution or a decision has been made public in accordance with regulation 83(4) and (5);

(b) the application shall not be determined unless the notifications referred to in paragraph (a) have been made and either of the following occurs:

(i) the Resolution Committee has notified the authorities responsible for normal insolvency proceedings that it does not intend to take any resolution action in relation to the institution or the entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1);

(ii) a period of seven days beginning with the date on which the notifications referred to in paragraph (a) were made has expired.

(3) Without prejudice to any restriction on the enforcement of security interests imposed pursuant to regulation 70, if necessary for the effective application of the resolution tools and powers, the Resolution Committee may request the First Hall of the Civil Court or the Civil Court (Commercial Section) to apply a stay for an appropriate period of time in accordance with the objective pursued, on any judicial action or proceeding in which an institution under resolution is or becomes a party: Provided that a decision granting the stay of proceedings shall be final and shall not be subject to an appeal.