Morocco
Answer ... Where it appears that the deliberative, supervisory or management bodies of a credit institution can no longer operate normally, the governor of Bank Al-Maghrib (BAM) will appoint a provisional administrator. This provisional administrator may propose:
- the liquidation of the credit institution if its situation is considered irremediably compromised;
- the total or partial transfer of the credit institution to another credit institution;
- the transfer of the assets of the credit institution which are considered to be compromised to an ad hoc structure licensed as a credit institution; or
- the demerger of the credit institution.
Morocco
Answer ... If BAM considers that a credit institution does not offer sufficient guarantees in terms of solvency, it may issue an injunction to remedy the situation within a specified period.
In addition, BAM may call upon shareholders or members with a stake equal to or greater than 5% of the capital to provide the credit institution with the financial support it needs.
Any credit institution whose licence has been withdrawn must enter into liquidation. The licence withdrawal may occur either:
- at the request of the credit institution itself; or
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where the credit institution:
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- has not made use of its licence within a period of 12 months from the date of notification of the decision granting authorisation;
- has not been in business for at least six months; or
- no longer meets the conditions under which it was licenced.
In these cases, the liquidator or liquidators will be appointed by the governor of BAM.
During the liquidation period, the institution remains subject to the control of BAM and may carry out only those operations that are strictly necessary for its liquidation; and may refer to itself as a credit institution only together with a statement that it is in liquidation.
Any legal action against a credit institution that is likely to lead to the pronouncement of a judgment opening a judicial liquidation must be brought to the attention of BAM by the president of the court seized.