Thèses sur le sujet « Banks and banking, Central – Law and legislation »

Thesis (MBA)--Stellenbosch University, 2011.
The Islamic Banking industry has been one of the fastest growing industries worldwide with a compound annual growth rate of 28% between 2006 and 2009(Reuters, 2010). These growth rates were experienced amidst the worst economic meltdown the world has seen in decades. This is a clear indication that there is a high level of confidence in the industry. Although the industry has existed for centuries, the past few decades have brought about a revival in Islamic banking. Many Western countries are recognising the industry’s importance and have taken various steps in supporting the establishment of it. South Africa has also taken such steps and has a vision of becoming a hub for Islamic banking on the African continent. This mini thesis examines the differences in nature of the underlying principles of Islamic and conventional banking which then brings to the fore the various challenges that exist in the unhindered functioning of Islamic banks within Western countries. These challenges revolve around institutional and legal frameworks, regulatory and supervisory bodies, South African Reserve Bank requirements, interest, taxation and conceptual understandings. In order to provide recommendations to address these challenges, case studies of Islamic banking in both, Islamic and Western countries were conducted. These case studies provided insight into how countries have addressed similar challenges and to what degree were they successful. This provided the basis from which recommendations were made for Islamic banking to function efficiently and effectively in South Africa and for the country to achieve its goal of becoming a hub of Islamic banking on the African continent.

This study was on the anticipated impact of GATS on the financial services industry in Africa. The paper examined the possible positive and negative impact of the GATS agreement on the financial services industry in the African countries. The research focused on the banking sector and the insurance sector as the main financial sectors under investigation.

The purpose of this study is to examine the wealth effect of the Risk-Based Capital (RBC) regulation on the U.S. commercial banking industry. The RBC plan was first proposed in January 1986, and its final form was announced on July 11, 1988. This plan resulted from dissatisfaction with the old capital regulation, which did not account for asset risk and off-balance sheet activities. The present study hypothesizes that the new regulation restricted bank optimal behavior and, therefore, adversely affected stock prices. The second and third hypotheses suggest that investors used company specific information, Net Tier 1 and Total risk-based capital ratios respectively, in valuing stocks of the affected bank holding companies. Hypotheses four and five suggest that abnormal returns are proportionally related to the levels of Net Tier 1 or Total RBC ratio. Both the traditional event study and the portfolio time-series regression, with RBC ratios (Net Tier 1 or Total) as the weight factors, are used in this study.

Thesis (LLM (Mercantile Law))--University of Stellenbosch, 2006.
The research defines derivatives as private contracts, with future rights and obligations imposed on all parties, used to hedge or transfer risk, which derives value from an underlying asset price or index, which asset price or index may take on various forms. The nature of derivatives is that the instruments are intended to be risk management tools. The objectives of derivatives are either to hedge a risk, or to speculate. Derivatives may be classified by the manner in which they are traded, either over the counter (OTC) or on exchange. Alternatively, derivatives may be classified on the basis of structure and mechanisms, i.e. forwards, futures, options or swaps. Risk and risk management are defined in the third chapter with the focus on merchant banking. The nature of risk is that it is inherent in all activities. The nature of risk management is that it aims to ensure that the risks faced by the merchant bank are managed on a daily basis. The objective of risk management is to ensure that losses are minimised and the appropriate level of risk is taken in order to maximise profits. Risk may be classified as operational, operations, market, systemic, credit and legal risk. A comprehensive discussion of credit risk is presented, as it pertains to the legal risk in derivatives in a merchant bank. This includes insolvency, set-off, netting, credit derivatives and collateral. Legal risk is defined as the risk of loss primarily caused by legal unenforceability (i.e. a defective transaction, for instance a contract), legal liability (i.e. a claim) or failure to take legal steps to protect assets (e.g. intellectual property). The nature of legal risk is that it is caused by jurisdictional and other cross-border factors, inadequate documentation, the behaviour of financial institutions, a lack of internal controls, financial innovation or the inherent uncertainty of the law. The objectives of legal risk management in derivatives are to avoid the direct and indirect costs associated with legal risk materialising. This includes reputational damage. Derivatives attract specific legal risks due to the complexity of the instruments as well as the constant innovation in the market. There remains some legal uncertainty regarding derivatives in terms of gaming, wagering and gambling, as well as insurance. The relationship between risk and derivatives is that due to the complexity and constant innovation associated with derivatives, there are some inherent risks to trading in derivatives. It is therefore important to ensure that there is a vested risk management culture in the derivatives trading environment. Chapter four gives an overview of derivatives legislation in foreign jurisdictions and in South Africa. The contractual and documentation issues are discussed with reference to ad hoc agreements, master agreements and ISDA agreements. The practical implementation issues of master agreements and ad hoc agreements are also discussed. The recommendations are that legal risk management be approached in a similar manner to credit, market and other risk disciplines. A legal risk management policy needs to be developed and implemented. The second recommendation is that a derivative to manage the legal risk in derivatives be developed.

This dissertation analyses the idea that parliament controls public money in parliamentary constitutional systems of government. That analysis proceeds through an historical and contemporary examination of the way legal practices distribute authority over public money between different institutions of government. The legislative and judicial practices concerning taxation, public expenditure, sovereign borrowing, and the government financing activities of central banks are selected for close attention. The contemporary analysis focuses on the design and operation of those legal practices in the United Kingdom and the Commonwealth of Australia, in the context of the boom-bust-recovery economic conditions experienced between 2005 and 2016. The dissertation's ultimate claims are explanatory: that "parliamentary control" is a poor explanation of the distribution of financial authority in parliamentary systems of government and should be jettisoned in favour of an idea of "parliamentary ratification". An empirically engaged methodology is adopted throughout the dissertation and (historical and contemporary) public sector financial data enrich the legal analysis. The dissertation acknowledges the impact of, but remains agnostic between, different economic and political perspectives on fiscal discipline and public financial administration. The dissertation makes a number of original contributions. It provides a detailed examination of the historical development, legal operation and constitutional significance of annual appropriation legislation, and the legal regimes governing sovereign borrowing and monetary finance. It also analyses the way that law interacts with government behaviour in situations of economic emergencies (focusing on the Bank of England's public financing activities since 2008), and the institutional and doctrinal obstacles facing judicial involvement in disputes concerning public finance (focusing on the Australian judiciary's recent engagements with public expenditure legislation).

Thesis (MBA (Business Management))--Stellenbosch University, 2008.
ENGLISH ABSTRACT: The banking industry is one of the most regulated industries in the world. The majority of these regulations are drafted to provide protection to consumers and investors and to ensure the systemic stability of the economy. South African banks, like many of their international counterparts, face a plethora of financial regulation aimed at ensuring stability and protection. In addition to these regulations, South Africa's prior exclusionary policies have resulted in the post-democratic government prescribing additional regulation, in part to address the economic duality that exists within the South African economy and in part to offer adequate protection to the most vulnerable in the society. The National Credit Act (NCA) is one such piece of legislation that has introduced a new era of consumer credit regulation and practice, bringing about wholesale changes to the consumer credit industry. The NCA and more than 260 other financial regulations in South Africa have a significant impact on banks, with each piece of legislation resulting in banks having to adapt to the changing environment (Nyamakanga, 2007). Using the four big banks' implementation of the NCA as a case study, the present study aims to establish if an integrative change management strategy could assist banks in effectively implementing financial regulation. The following aspects of the banks' implementation of the NCA were researched: • Effectiveness of financial regulation. • Current barriers and challenges to the implementation process. • Effect of these challenges on banks. • Impact on staff and customers. • Methods used to overcome the challenges. • Future challenges of the NCA. • Support structures used during implementation. • Use of change management principles. • Recommended strategies for future regulatory changes. • Recommended changes to the NCA. Detailed interviews were conducted with the overall NCA project leaders of each of the four big banks, namely, Absa, FNB, Nedbank and Standard Bank. The method of content analyses was used to analyse the qualitative data collected through in-depth interviews and the outcomes thereof formed the basis of the conclusions drawn. The study found that there were numerous challenges that the banks faced during the implementation of the NCA, the most common and significant as recognised by the population include, the magnitude of the Act, difficulty in interpreting the Act, the process of debt counselling and the associated costs of implementation. The study further found that using the principles of change management enhanced the banks' ability to implement the NCA. Conclusions drawn on the present study are confined to desktop research and semi-structured interviews conducted with the participating banks. It might be useful for future studies on the subject to include a broader population base which focuses on additional pieces of financial legislation in order to further enhance the findings of the present study.
AFRIKAANSE OPSOMMING: Bankwese is tans een van die mees gereguleerde industriee ter wereld. Die meerderheid van hierdie regulasies is ontwerp vir die beskerming van verbruikers en beleggers asook om die sistemiese stabiliteit van die ekonomie te handhaaf. Suid-Afrikaanse banke, soos talle van hul oorsese teenstukke, verduur talle finansiele wetgewing gemik op beskerming en stabiliteit. Die gewese uitsluitende Suid-Afrikaanse wette het veroorsaak dat die huidige demokratiese regering addisionele wetgewing voorskryf, gedeeltelik om die tweesydige Suid-Afrikaanse ekonomie aan te spreek en gedeeltelik om genoegsame beskerming aan die kwesbaarste van die gemeenskap te bied. Die Nasionale Krediet Wet (NKW) bied 'n nuwe era van verbruikerswetgewing en -praktyk aan wat terselfdertyd grootskaalse veranderinge op die verbruikers krediet bedryf teweegbring. Die NKW tesame met meer as 260 ander Suid-Afrikaanse finansiele wetgewing het 'n groot uitwerking op banke, met elke wet wat veroorsaak dat banke moet aanpas by die veranderlike omgewing (Nyamakanga, 2007). Deur om die vier groot banke se uitvoer van die NKW as 'n gevallestudie te gebruik, is die doel van hierdie studie om vas te stel of 'n geintegreerde veranderingsbestuurstrategie banke kan help met die doeltreffende uitvoering van finansiele wetgewing. Die volgende aspekte van die banke se uitvoering van die NKW is ondersoek: • Doeltreffendheid van finansiele regulasie. • Huidige versperrings en uitdagings tot die uitvoeringsproses. • Uitwerk van uitdagings op banke. • Uitwerking op personeel en verbruikers. • Metodiek gebruik om uitdagings te bowe te kom. • Toekomstige uitdagings van die NKW. • Ondersteunende strukture gebruik tydens uitvoering. • Gebruik van veranderingsbestuurbeginsels. • Aanbeveling van strategiee vir toekomende wetgewende veranderings. • Aanbeveling van veranderings tot die NKW. 'n Volledige onderhoud is gevoer met die projekleiers van elk van die vier groot banke, naamlik, Absa, FNB, Nedbank en Standard Bank. Inhoudsanalise was gebruik om die kwalitatiewe data te analiseer en die uitkoms daarvan vorm die basis van die gevolgtrekkings. Die studie dui aan dat banke baie uitdagings getrotseer het gedurende die uitvoer van NKW, die gewigtigste en algemeenste SODS herken deur die bevolking sluit in, die grootte van die Wet, moeilikheid in vertolking van die Wet, die skuldberadingsproses en die begeleidende koste van wetstoepassing. Die studie dui verder dat die beginsels van veranderingsbestuur banke se vermoe om die NKW uit te voer verbeter. Gevolgtrekkings aangaande die huidige studie is beperk tot "desktop" navorsing en half-gestruktureerde onderhoude met die deelnemende banke. Dit mag van waarde wees vir toekomstige studies om 'n bree bevolkingsbasis in te sluit met addisionele finansiele wetgewing wat die bevindings van die huidige studie kan bevorder.

A Lei nº 12.305/2010, que instituiu a Política Nacional de Resíduos Sólidos e análise da sua (in)efetividade sociojurídica, sob o viés da (in)justiça ambiental, fundamentada na tutela do Direito ao Ambiente e dos Novos Direitos, é o tema desta dissertação. A Política Nacional de Resíduos Sólidos trouxe inovações no que diz respeito ao aproveitamento e reaproveitamento dos resíduos sólidos; contudo, há alguns pontos controvertidos quanto a sua eficácia jurídica e social, como mecanismo garantidor da justiça socioambiental, viabilizando (ou não) o exercício de direitos de caráter socioambiental. Serão analisadas as lacunas, os paradoxos e as incoerências sistêmicas que a Lei apresenta, em face de sua aplicabilidade em uma realidade concreta. Serão exploradas as incongruências que envolvem a Lei n° 12.305/2010, na direção da efetividade real, e não apenas normativa, no sentido de se buscar um meio ambiente mais equilibrado ecologicamente e mais justo socialmente. As questões norteadoras são: Qual a relação entre o Estado e os indivíduos, na pós-modernidade, no que diz respeito a uma Política Nacional de Resíduos Sólidos capaz de efetivar uma real economia de mercado democratizada, garantindo um acesso amplo para suas práticas, recursos e oportunidades? Quais os motivos que levam a uma ineficácia na concretização dos direitos contemplados pela Política Nacional de Resíduos Sólidos e, por sua vez, quais são as formas mais adequadas de institucionalizar a relação entre o Estado e a sociedade, em especial, a iniciativa privada, em face do propósito de efetivar direitos de ordem coletiva, assegurando o consumo sustentável? Como forma de exemplificar as questões formuladas, conferindo concretude a esta proposta de natureza jurídico-sociológica, pergunta-se de que maneira o setor financeiro adota práticas inovadoras, no sentido de cumprir a Política Nacional de Resíduos Sólidos. Esse questionamento pauta-se, principalmente, no recicle de papel, em seu aproveitamento e reaproveitamento, bem como a redução do seu consumo, e as práticas que estariam sintonizadas com as ações do Poder Público e da iniciativa privada em uma interação institucional adequada à concretização de novos direitos. O objetivo principal apresentado consiste na análise da Lei nº 12.305, de 02 de agosto de 2010, que trata da Política Nacional de Resíduos Sólidos no que se explicita ao descarte, aproveitamento e reaproveitamento dos resíduos sólidos, sua (in)efetividade jurídica e justiça socioambiental em face aos novos direitos. No que se refere aos aspectos metodológicos, a pesquisa será realizada a partir da Lei nº 12.3015, de 02 de agosto de 2010, em matéria de (in)efetividade, de que forma os atores sociais e o Estado interagem no processo de descarte, aproveitamento e reaproveitamento dos resíduos sólidos. O raciocínio é o indutivo, pois se pretende chegar a conclusões generalizáveis a partir da observação de problemas concretos da (in)efetividade da norma por intermédio da análise de dados bibliográficos e documentais.
This Thesis studies Act 12,305/2010, which establishes the National Policy on Solid Waste and the analysis of its social and juridical (in)efficacy under the scope of the environmental (in)justice, based on the guardianship of the Right to Environment and the New Rights. The National Policy on Solid Waste introduced innovations in terms of the usage and reusage of solid waste. However, there are some controversial aspects related to its juridical and social efficacy as a guarantor mechanism of social and environmental justice, enabling (or not) the exercise of social and environmental rights. The gaps, contradictions, and systemic inconsistencies of the Act will be analyzed against its applicability in concrete reality. The inconsistencies of Act 12,305/2010 will be studied in terms of its real effectiveness, not only regulatory, which can promote a social fairer and more ecology balanced environment. the guiding questions are: What is the relation between State and individuals, during the post-modernity in terms of a National Policy on Solid Waste which can guarantee a real democratic market economy in such a way it allows a comprehensive access to its practices, resources and opportunities? What are the reasons which lead to inefficiency in the accomplishment of the rights envisaged by the National Policy on Solid Waste, and, by its turn, what are the most adequate ways of institutionalizing the relation between the State and society, especially the private sector, concerning the purpose of carrying out collective rights, thus assuring the sustainable usage? As an example of the questions asked, making this juridical and sociological study more concrete, it is asked in which way the financial sector adopts innovative practices to comply with the National Policy on Solid Waste. This questioning is mainly based on the reusage of paper in terms of usage and recycling, as well as the reduction of its usage, and which practices would be in accordance with the actions of the Public Authorities and private sector in an institutional interaction adequate to the realization of new rights. The main objective consists of the analysis of Act 12,305, of 02 August, 2010, which deals with the National Policy on Solid Waste. It explains the disposal, usage and reusage of solid waste, its juridical (in)efficacy and social and environmental justice related to the new rights. Methodogically, the research will be held based on Act 12,305, of 02 August, 2010 in terms of (in)efficacy, and in which way the social actors and the State interact in the process of disposal, usage and reusage of solid waste. Reasoning is inductive, since we aim to get to generalizable conclusions from the observation of concrete problems related to the (in)efficacy of regulation using the bibliographical and documental data analysis.

Thesis (MDF)--Stellenbosch University, 2011.
Co-operative financial institutions (CFIs) as a concept has been in existence in South Africa for a number of years either as credit unions, “stokvels”, savings and credit co-operatives and/or FSC‟s. As a result, regulators have long realized the need and potential of the CFI concept, with an exemption notice promulgated in 1994 and the Co-operative Bank specific legislation in 2007, allowing institutions modeled around a common bond to take deposits within certain conditions, to ensure the safety and soundness of such institutions and to facilitate financial inclusion. The study provides an overview of the regulatory and supervisory frameworks for CFIs in South Africa, noting the roles of various regulatory stakeholders as well as the perceptions of the regulated institutions. The study finds that despite the small size relative to the overall economy, and the low penetration rates, the CFI sector in South Africa is providing financial services to marginalized communities. However, capacity is a major constraint in the development and growth of the sector. As a result, any supervisory interventions will be pointless in the absence of appropriate capacity interventions. Despite the existence of various regulators, regulatory and supervisory oversight is considered weak. There is lack of clarity on the various roles of the different regulators within the sector, raising scope for regulatory arbitrage. In addition, the role of the representative body has been called into question, with some CFIs querying its relevance. Regulations have been put in place to address some of these anomalies, and these were evaluated in the context of recommending appropriate supervisory frameworks to enhance the safety and soundness of the sector and minimize regulatory arbitrage. The recommendations are also aligned to the nature and size of such institutions within the broader national strategy of promoting access to financial services in a safe and sound manner.

Cette thèse traite de deux nouveaux débats sur le central banking qui ont émergé après la crise financière de 2008: le débat sur les pertes financières aux bilans des banques centrales, et le débat sur le niveau élevé des taux bancaires par rapport aux taux de marché après la crise. Les deux premiers chapitres s’inscrivent dans le premier débat. Le lien entre la solidité financière des banques centrales et l’inflation est étudié empiriquement dans le premier chapitre, en se basant sur un large panel de 82 pays. Théoriquement, ce lien est potentiellement présent lorsque le gouvernement ne soutient pas financièrement la banque centrale et que celle-ci ne peut donc compter que sur elle-même pour améliorer sa situation financière. Les résultats du premier chapitre montrent qu’en pratique tel est effectivement le cas: les détériorations aux bilans des banques centrales s’accompagnent d’une inflation plus forte lorsque la banque centrale n’a pas de soutien fiscal. Les résultats ne montrent pas de lien dans un contexte général, comme la théorie le suggère. Dans le second chapitre, il est analysé et conceptualisé l’argument selon lequel une banque centrale peut mettre fin à un régime de change fixe ou quasi-fixe par peur de futures pertes financières. L’analyse est ensuite appliquée au cas du cours plancher mis en place par la Banque Centrale de Suisse (BNS) entre 2011 et 2015 vis-à-vis de l’euro. Cet argument a été avancé par beaucoup pour expliquer la fin de la politique de cours plancher en Suisse, sans qu’aucune recherche avant celle-ci n’évalue sa pertinence. Les estimations empiriques du Chapitre 2 permettent de montrer que cet argument avait une crédibilité: elles montrent que dans des scénarios crédibles, en cassant le peg avec l’euro 17 mois plus tard, la BNS aurait essuyé une perte considérable, dépassant un seuil perçu comme limite par beaucoup de banquiers centraux. Le dernier chapitre de cette thèse s’intéresse à l’écart entre les taux de dépôts et le taux de marché en zone euro (l’EURIBOR) qui est devenu significativement positif après la crise, conduisant certains à parler de « sur-rémunération » des dépôts. Ce chapitre soutient que la majorité de cet écart ne s’explique non pas par un comportement anormal des dépôts comme certains l’ont avancé, mais au contraire par une perte de pertinence de l’EURIBOR. Construisant une alternative à l’EURIBOR, ce chapitre conclut que le risque bancaire a eu une influence primordiale sur le niveau de rémunération des dépôts dans le monde d’après-crise
This thesis deals with the new debates on central banking which arose after the 2008 global financial crisis. More particularly, two of such debates are addressed: the debates on the financial losses in central banks’ balance sheets, and the debates on the high level of bank rates compared to market interest rates following the financial crisis. The two first chapters are related to the first debate. The link between central bank financial strength and inflation is empirically examined in a large sample of 82 countries. Theoretically, this link is potentially present when the government does not fiscally support the central bank, so that the central bank can only rely on itself to improve its financial situation. The results show that in practice central bank balance sheet deteriorations indeed lead to higher inflation when fiscal support is absent. The results, based on a particularly meticulous and consistent sample selection, do not show the presence of a link between the two variables in a general context, as the theory suggests. In the second chapter, I analyze and conceptualize the argument according to which a central bank can end a peg exchange rate regime by fear of making significant losses in the future, and I apply this analysis to the Swiss franc peg between 2011 and 2015. This argument was brought forward by many commentators to explain the Swiss move, while no research before this one did study the relevance of this argument. The empirical estimates in Chapter 2 show that this argument indeed had some credibility: under some credible scenarios the Swiss central bank would have incurred significant losses by breaking its peg 17 months later, with losses exceeding a threshold judged as relevant by many central bankers. The last chapter of this thesis focuses on the spread between deposit rates and market interest rates in the Eurozone (more specifically, the EURIBOR), which became significantly positive after the financial crisis, leading some commentators to claim that deposits were over-remunerated. This chapter upholds that the major part of this spread is not due to an « abnormal » behavior of deposits but is rather due to the fact that the EURIBOR has become irrelevant after the global financial crisis. Building an alternative to the EURIBOR, the chapter concludes that banking risks have been having a major influence on the level of deposit remuneration

According to the Financial Sector (FS) Charter, in August 2002, at the NEDLAC Financial Sector Summit, "the financial sector committed itself to the development of a Black Economic Empowerment (BEE) charter. It made this commitment, noting that: "Despite significant progress since the establishment of a democratic government in 1994, South African society remains characterised by racially based income and social services inequalities. This is not only unjust, but inhibits the country's ability to achieve its full economic potential. BEE is a mechanism aimed at addressing inequalities and mobilising the energies of all South Africans. It will contribute towards sustained economic growth, development and social transformation in South Africa. Inequalities also manifest themselves in the country's financial sector. A positive and proactive response from the sector through the implementation of BEE will further unlock the sector's potential, promote its global competitiveness, and enhance its world class status". Parties of the Financial Sector Charter agreed on the seven pillars below: 1) Human resource management - provide resources to develop skills of black people with the aim of increasing black participation in all levels of management in the sector. 2) Procurement policies - implement a targeted procurement strategy to enhance BEE. 3) Enterprise development - improve the level of support provided to BEE companies in all sectors of the economy. This would be achieved through skills transfer, administration and technical support. 4) Access to financial services - provide affordable financial services to the previously disadvantaged groups and making sure financial services are accessible to these groups. 5) Empowerment financing - work closely with government and government financial institutions to increase resources for empowerment financing. 6) Ownership in the financial sector - 25% of shares in each party of the FS Charter should be owned by black people by 2010. 7) Corporate social investrnent (CSI) - Each financial institution will have to spend 0.5% of their after-tax profit on corporate social investment projects. The projects should be targeted at black groups with a strong focus on transformation. The research evaluates the applicability of Lewin's Force Field Analysis (a change management model) in the implementation of the Financial Sector Charter at Standard Bank of South Africa. It attempts to achieve this by looking at how the Financial Sector Charter is being implemented at Standard Bank. The research looks at three main areas: 1) The "context" of the research problem, by seeking to understand Standard Bank's understanding of the FS Charter, the importance of implementing the FS Charter by the bank, the progress made thus far in the FS Charter implementation and comparison to the BEE scorecards of the other three main bank. 2) The "process", i.e. how the FS Charter is implemented in the bank, the driving and restraining forces of successful implementation of the FS Charter and the lessons learnt. 3) The "outcome" , i.e. benefits of implementing the FS Charter and what could be done to ensure that change management processes are successfully implemented. Personal interviews were used to discover other valuable information which was not available on the bank's published documents, and other related sources such as the Financial Sector Charter document. The sample size for the study was ten Standard Bank employees from different areas of the bank who are either senior managers or directors, in the bank. Internal publications available on the Standard Bank intranet such as the bank's employment equity plans, and the bank's sustainability reports from 2004 to 2011 (Standard Bank, 2004-2011) were analysed for the purpose of the study. The researcher also analysed public documents such as the bank's annual financial reports, bank's equity reports and internal publications on related topics of the research question. Lewin's Forces Field Analysis (FFA) points out that in any environment where change is required; there are both driving and restraining forces that influence the implementation of a change programme. The FFA is a valuable change management tool at trying to transform the behaviour of an individual, and this will lead to transformation of groups and, ultimately the organisation. It also helps to establish the balance between the driving and restraining forces of the change programme. Lewin's (1951) theory put forward the idea that change occurs in three stages: the first stage of change is unfreezing; the second stage is moving and lastly, the third stage is refreezing. In the unfreezing stage, the bank's change management initiatives would need to be directed at giving the individuals a desire and motivation to be ready and open about a planned change initiative. This could be achieved by clearly communicating why change is important, benefits of change and the compelling reasons for change. In moving, the bank would need to give support and confidence to the people affected by change in order to start accepting and buying-in to new perspectives, which enable them to realise that change will improve the current situation. In the refreezing stage, the bank would need to ensure that new patterns of behaviour are reinforced. This will ensure that the changes are applied in everyday business, and this helps create a sense of stability, where those affected by change feel comfortable and confident with the new approach of doing things. The research concludes that managers should recognise the sensitivity around transformation, and should always try to ensure that change management initiatives directed at transformation are unifying, fair and transparent. This should be done to avoid a situation where an employee (or prospective employees) and other stakeholders feel under-appreciated or overlooked because of their gender or race. This demands a carefully crafted and implemented change management programme, whose results will not only unify the bank's employees, but also create a competitive edge for the bank. Lewin's Force Field Analysis (FFA) model is a change management tool that could be used to produce such results.

Defence date: 22 January 2014
Examining Board: Professor Dennis Patterson, European University Institute Professor Petros Constantinos Mavroidis, European University Institute Professor Georgios Pavlakos, University of Antwerp Professor Mathias Audit, Université Paris Ouest-Nanterre La Défense.
Co-laureate of the Grand Prix Jean Bastin in 2015
This thesis guides the reader through contemporary problems of the law of sovereign debt and default. Adopting a horizontal approach to the field, the state in its double role of being a borrower from the market and a regulator of the market remains at the center of this inquiry. How do problems related to sovereign debt challenge state institutions, constitutional principles and even the very concept of statehood? What kind of tools does the state have at its disposal to address these problems? Can the state improve both, its own role as a borrower and the overall functioning of the sovereign debt market? These are the core questions discussed in this thesis on the basis of numerous examples. A detailed analysis of the practice of sovereign debt is followed by an account of case law primarily from municipal courts dealing with sovereign debt disputes. The IMF's 'bailouts' are reviewed in the light of the constitutions of the recipient states before in a last chapter, a full account of the Euro crisis and its particularities is given. All these examples show strengths and weaknesses of the state's role as borrower and regulator and ultimately indicate where and how the law of sovereign debt can be improved.

Defence date: 25 October 2004
Examining board: Prof. Neil Walker, EUI (co-supervisor) ; Prof. Jean-Victor Louis, ULB, Brussels/EUI (supervisor) ; Dr Christos Hadjiemmanuil, LSE London ; Dr Chiara Zilioli, Deputy General Counsel, Head of Institutional Law Division, DG-Legal Service of the ECB, Frankfurt
First made available online on 24 September 2013.
This dissertation provides a doctrinal and “applied” overview of the main developments in the post-Maastricht transfer of monetary sovereignty from the member states to supranational institutions. In so doing, it concentrates on three areas of particular interest, complexity and tension between different forces. One area is simply the configuration of supranational institutions involved and their relationship, and in particular the tensions among the independent ECB, the national dimension of the broader ESCB and the state-dominated Ecofin Council. A second area concerns the well-known tension between monetary and broader economic union – and in particular the asymmetry between the significantly centralized monetary institutions and the retention of fiscal authority at national level. A third area concerns the internal and external dimension of monetary authority (exchange rates) from broader macro-economic consideration, and, reflecting this, the continuing absence of a definitive legal and institutional resolution of the extent of external monetary sovereignty transferred to central EU institutions. Here there emerges an analysis of the framework of good governance for the new multilayered system of monetary union. The key question addressed by the author of this study is whether the shift in monetary authority does or should involve a reconceptualization of the question of where sovereignty lies in Europe, both over monetary matters specifically or more generally.

by Leung Chui Yuk, Wu Peng.
Thesis (M.B.A.)--Chinese University of Hong Kong, 2002.
Includes bibliographical references (leaves 56-59).
ABSTRACT --- p.ii
TABLE OF CONTENTS --- p.iii
LIST OF FIGURES --- p.v
LIST OF TABLES --- p.vi
Chapter
Chapter I. --- INTRODUCTION --- p.1
Development of Banking System in China --- p.1
Highlighted Banking Reform --- p.5
History of Foreign Banks in China --- p.6
Foreign Banks in Old Days (1845-1955) --- p.6
Foreign Banks New Age (1979-Present) --- p.10
Chapter II. --- CURRENT STATUS OF FOREIGN BANKS IN CHINA --- p.14
Growing Representative Offices and Branches --- p.14
Nationality Distribution of Foreign Banks --- p.16
City Distribution of Foreign Banks --- p.17
Small Asset Scale --- p.19
Low Loan and Deposit Balances --- p.23
High Loan / Deposit Ratios --- p.24
Low Non-performing Loans --- p.26
High Return on Assets --- p.28
Better Educated Employees --- p.29
Chapter III. --- FOREIGN BANK LAWS IN CHINA --- p.31
PRC - Foreign-Funded Financial Institutions Regulations --- p.33
Major Changes --- p.35
Chapter IV. --- STRENGTHS & WEAKNESSES OF FOREIGN BANKS --- p.40
Strengths --- p.40
Weaknesses --- p.42
Chapter V. --- CONCLUSION --- p.47
Roadblocks Still Exists --- p.47
Bigger Becomes Bigger --- p.48
Fight for the High-end Corporate Customers --- p.48
Target the Rich --- p.49
Win Strategic Location --- p.49
Branches Too Expensive --- p.50
Electronic Banking as Alternative --- p.50
M&A as Effective Strategy --- p.51
Expansion to Other Financial Sectors --- p.51
APPENDIX --- p.53
BIBLIOGRAPHY --- p.56

Societies have, since time immemorial, traded real goods and services for expectations of goods and services in some future. These expectations have been associated with tangible and, lately, intangible property - which is generally called money. From the crude quantity theory of money, the purchasing power of a monetary unit is given as 1/ P = T/(Mv). P is the price of the traded goods and services T, M is the total money supply and its turnover rate is v. The total money supply M is dominated by bank credit. In the South African law (and elsewhere) the judicial recognition given to bank credit (1) as money seems to have happened as an unintended side-effect to accepting cheques as delivery vehicles in a cash transfer without any tangible money moving from the transferor to the transferee. In payment of money, the law of property and the law of contract overlap and become inseparable. Both the English and South African laws define payment as performance of a preceding duty. The Supreme Court of Appeal, in the Vereins- und Westbank case seems to have declared an abstract transfer of ownership of money to be payment even though no preceding duty to pay was found. The profit of a financial investment is called interest and is calculated from a simple or compound interest formula. Despite medieval legal, theological and ethical objections, neither is illegal in the South African positive law. The last remnant of the medieval protection of a guilty debtor (often the ruler) at the expense of an innocent creditor is the in duplum rule. This is particularly obnoxious during modern rampant inflation that was unknown and could not be predicted when only metallistic money was in use. The influence of the in duplum rule is being limited by recent restrictive judgments in South Africa and in Zimbabwe. In South Africa, the Government has a constitutional duty to ensure that its subjects are not deprived of property. Specifically, the Constitution prescribes in Section 224(1) that the South African Reserve Bank must 'protect the value of the currency'. It is shown that the recent Reserve Bank policies, unless urgently modified, are in conflict with the publicly promised inflation rate of no greater than 6%. The exchange rates depend fundamentally on the price levels of the traded or tradable goods and services in the respective economies. This leads to the concept of purchasing power parity, which is most accurately reflected in the relationship between interest rates in different states and their relative foreign exchange depreciation rates. It is submitted that the South African Exchange Control Regulations have outlived their usefulness (if ever they had any) and are unconstitutional - at least in so far as they interfere with the South African Reserve Bank's obligation to pursue its primary object 'independently and without fear'. In the main, the South African Courts have applied restrictive interpretation to the Exchange Control Regulations and they have justifiably ignored the public international law obligation of the Republic to recognise the Exchange Control Regulations of fellow IMF members extraterritorially. (1) To money related claims on banks - see the body of the thesis for the two-creditor-two-debtor legal aspects in the 'bank credit'.
Thesis (LL.D)-University of Durban-Westville, 2002.

This thesis focuses on Islamic banking in Indonesia. It considers the related challenges of sharia compliance by Islamic banks and their regulation and supervision in Indonesia’s dual banking system. Crucial to the prudent regulation and supervision of banking is the control and monitoring of risks that could jeopardise a nation’s financial stability. Since compliance with sharia principles is the raison d’etre of Islamic banks, all their instruments and activities must be based on Islamic law. Unfortunately, sharia compliance gives rise to unique risks for Islamic banks not faced by conventional banks in Indonesia’s dual banking system. These include inconsistencies between fatwas, unique reputational risks which can cascade into liquid risks, and inefficiencies in the manifold regulatory framework governing Islamic banks. This thesis analyses the tension between classical Islamic principles required of bank contracts and the modern needs of businesses and the community. It also critically examines the less studied issue of developing an Islamic banking regulatory and supervisory framework that considers the risk pressures faced by Islamic banks operating in a financial sector dominated by conventional banking. This thesis argues that a middle way is possible for contemporary Islamic banks, which encourages prudent risk management whilst adhering to the evolving pluralistic form of Islamic law in Indonesia. The thesis critically assesses the extent to which global financial standards of the Basel Accords have been followed by Islamic banks in Indonesia with respect to their regulation, supervision, and risk management, in order to highlight the unresolved tensions in the multiple regulatory and supervisory institutions, viz. the state’s Financial Service Authority and the private agency of Sharia Supervisory Boards operating under the auspices of the National Sharia Board of the Majelis Ulama Indonesia. In this regard, one of the major challenges for Islamic banks is the potentially difficult institutional and Islamic legal reforms required to fully apply the international standards set down in the Basel Accords. Again, this thesis proposes a middle ground approach that accommodates modification of the existing financial regulatory and supervisory system in line with international best practice to provide more comprehensive guidelines for prudential regulation transparency.

Defence date: 12 December 2011
Supervisor: Hans-W. Micklitz
PDF of thesis uploaded from the Library digital archive of EUI PhD theses
This research is intended to assess the existing level of protection enjoyed by investors using the Lehman Brothers bankruptcy in 2008 as a case study. Different cases and the different attitudes of European courts will be studied through the specific perspective of liability regimes and the possibility of compensation for damage suffered by retail consumers as a consequence of the purchase of Lehman Brothers’ financial products. Three different parties were involved and, to some extent, contributed to the damage: banks and financial operators in general, credit rating agencies and (public) financial supervision authorities. The first chapter will give a general overview of Lehman Brothers’ activity, products and bankruptcy, whereas the following three will focus on the three different subjects, examining both the existing laws that impose duties on them and the principles courts have developed in this respect. In particular, the research will underline whether and to what extent EU law can make a contribution in providing a satisfactory level of protection to retail investors. The final chapter will make some concluding remarks.

The thesis deals with the emergence of bank and non-bank entities that provide a range of unique transaction-based payment services broadly called Mobile Financial Services (MFS) to unbanked, underserved and underbanked persons via mobile phones. Models of MFS from Mobile Network Operators (MNOs), banks, combinations of MNOs and banks, and independent Mobile Financial Services Providers are covered. Provision by non-banks of ‘bank-type’ services via mobile phones has been termed ‘transformational banking’ versus the ‘additive banking’ services from banks. All involve the concept of ‘branchless banking’ whereby ‘cash-in/cash out’ services are provided through ‘agents.’ Funds for MFS payments may available through a Stored Value Product (SVP), particularly through a Stored Value Account SVP variant offered by MNOs where value is stored as a redeemable fiat- or mobile ‘airtime’-based Store of Value. The competitive, legal, technical and regulatory nature of non-bank versus bank MFS models is discussed, in particular the impact of banking, payments, money laundering, telecommunications, e-commerce and consumer protection laws. Whether funding mechanisms for SVPs may amount to deposit-taking such that entities could be engaged in the ‘business of banking’ is discussed. The continued use of ‘deposit’ as the traditional trigger for the ‘business of banking’ is investigated, alongside whether transaction and paymentcentric MFS rises to the ‘business of banking.’ An extensive evaluation of ‘money’ based on the Orthodox and Claim School economic theories is undertaken in relation to SVPs used in MFS, their legal associations and import, and whether they may be deemed ‘money’ in law. Consumer protection for MFS and payments generally through current statute, contract, and payment law and common law condictiones are found to be wanting. Possible regulatory arbitrage in relation to MFS in South African law is discussed. The legal and regulatory regimes in the European Union, Kenya and the United States of America are compared with South Africa. The need for a coordinated payments-specific law that has consumer protections, enables proportional risk-based licensing of new non-bank providers of MFS, and allows for a regulator for retail payments is recommended. The use of trust companies and trust accounts is recommended for protection of user funds. | vi
Public, Constitutional and International Law
LLD

The Internet has had and will continue to have a major impact in the way in which banking business is conducted. This dissertation primarily considers the allocation of risks associated with Internet banking and in doing so considers the role of trade usage in Internet banking. The question of what the Internet is and more specifically what constitutes Internet banking is addressed. In order to have an understanding of the allocation of risks in Internet banking a good understanding of the traditional bank-customer relationship is necessary. The contractual basis for this relationship is discussed. The duties of the bank and the customer are discussed. In this regard the duty of a bank to act in terms of its customers mandate, the banks duty of confidentiality and the customers duty to exercise reasonable care are considered. The concept of a customer is briefly discussed. As trade usage plays a significant role in the contract between the bank and its customer, attention is given to the requirement for the recognition of a trade usage generally and more particularly in South Africa. The effect of Internet banking on the traditional bank-customer relationship is considered. The fact that a bank is still required to act in terms of its customer's mandate but is unable to identify is examined. As most Internet banking contracts impose an obligation on the customer to take security precautions and also limit the liability of banks, consideration is finally given to the possibility that the practices of banks in regard to Internet banking may have acquired the status of trade usage in this particular sphere of banking.
LL.M. (Banking Law)

The research defines derivatives as private contracts, with future rights and obligations imposed on all parties, used to hedge or transfer risk, which derives value from an underlying asset price or index, which asset price or index may take on various forms. The nature of derivatives is that the instruments are intended to be risk management tools. The objectives of derivatives is either to hedge a risk, or to speculate. Derivatives may be classified by the manner in which they are traded, either over the counter (OTC) or on exchange. Alternatively, derivatives may be classified on the basis of structure and mechanisms, i.e. forwards, futures, options or swaps. Risk and risk management are defined in the third chapter with the focus on merchant banking. The nature of risk is that it is inherent in all activities. The nature of risk management is that it aims to ensure that the risks faced by the merchant bank are managed on a daily basis. The objective of risk management is to ensure that losses are minimised and the appropriate level of risk is taken in order to maximise profits. Risk may be classified as operational, operations, market, systemic, credit and legal risk. A comprehensive discussion of credit risk is presented, as it pertains to the legal risk in derivatives in a merchant bank. This includes insolvency, set-off, netting, credit derivatives and collateral. Legal risk is defined as the risk of loss primarily caused by legal unenforceability (i.e. a defective transaction, for instance a contract), legal liability (i.e. a claim) or failure to take legal steps to protect assets (e.g. intellectual property). The nature of legal risk is that it is caused by jurisdictional and other cross-border factors, inadequate documentation, the behaviour of financial institutions, a lack of internal controls, financial innovation or the inherent uncertainty of the law. The objectives of legal risk management in derivatives is to avoid the direct and indirect costs associated with legal risk materialising. This includes reputational damage. Derivatives attract specific legal risks due to the complexity of the instruments as well as the constant innovation in the market. There remains some legal uncertainty regarding derivatives in terms of gaming, wagering and gambling, as well as insurance. The relationship between risk and derivatives is that due to the complexity and constant innovation associated with derivatives, there are some inherent risks to trading in derivatives. It is therefore important to ensure that there is a vested risk management culture in the derivatives trading environment. Chapter four gives an overview of derivatives legislation in foreign jurisdictions and in South Africa. The contractual and documentation issues are discussed with reference to ad hoc agreements, master agreements and ISDA agreements. The practical implementation issues of master agreements and ad hoc agreements are also discussed. The recommendations are that legal risk management be approached in a similar manner to credit, market and other risk disciplines. A legal risk management policy needs to be developed and implemented. The second recommendation is that a derivative to manage the legal risk in derivatives be developed.
Prof. P. Sutherland Dr. C. van der Bijl

Bank failure gives rise to a systemic risk that can affect the whole of the banking system not just an insolvent bank. Because of this systemic risk, it is recognised that special regulatory provisions are required to ensure bank security. The Global Financial Crisis (GFC) in 2008 motivated governments around the world to re-evaluate their financial regulatory systems and to consider new measures to avoid a future banking crisis. This thesis considers the role that bank Board Committees should perform in ensuring bank security. It draws on international literature and experience to examine the importance of Board Committees (Audit Committee, Risk Management Committee, Remuneration Committee and Appointments Committee) and their role in improving the monitoring of the performance of directors and overall performance in Jordanian listed banks. The focus is bank governance in Jordan because in Jordan the financial market is underdeveloped and banks are typically the most important source of finance giving rise to the problems of systemic risk and catastrophic collapse of the financial system. The thesis argues that the Board Committees and their independence are important in monitoring the performance of directors in Jordanian listed banks as well as providing stability and integrity of the banking system in Jordan in facing any financial crisis. It argues that, in relation to banks, Board Committees should provide objective oversight of the banks operations, be independent and mandatory as a response to agency problems and the serious risks to investors, depositors and the economy from risk taking by bank management.

Supervisor: F. Snyder
Defence date: 6 March 1992
First made available online on 10 September 2013.
This research is an interdisciplinary approach to the EEC banking harmonization process. The methodology employed consists in focusing the subject from the legal, economic and political Science perspectives. Therefore, the underlying purpose of the research is to study the legal outcomes within their context. The research is subdivided in several parts. The first part is a legal approach to both the first and second Banking Directives as the cornerstones of the EEC banking harmonization process. The detailed analysis of both Directives from an EEC legal perspective is a condition precedent for the understanding of how is being shaped the Community Financial Policy. The Second Part is a political science approach to the role of interest within the EEC decision making process. More specifically, it is an attempt to show how banks can influence legislators for the achievement of their objectives. An additional study to this second part, is constituted by the analysis of the Community policies in consumer protection. This sector provides us with comparative information for an estimation of the importance of "interest” within the shaping of regulatory policies within the EEC. A socioeconomic approach to credit institutions strategies1 for the controlling of financial markets is the subject of the third part. Through the study of the United States current "deregulatory" trends, we show the interrelationship between the world financial markets. A second stage of this part connects the European context with the other representative world financial markets. Thus, similar behaviours can be remarked, which leads the author to the conclusion that neither national governments, nor the European Institutions are currently capable to regulate financial markets without a previous “consensus" with the financial institutions. The fourth part of the research consists in a critical approach to the institutional behaviour of the Community as regards policy-making for the achievement of an integrated financial market by 1992. This analysis shows that credit institutions, whose profits are greatly affected by public policy, have an extraordinary capacity to innovate and adapt, notably as a way of lawfully avoiding the effects of "public Controls”. Each of the four parts of the research used the same methodology. First, there is an introduction to establish the guidelines of the research approach to the subject. Secondly, there is a detailed analysis of the main issues constituting the field of the study. Thirdly, we draw some conclusions from the research.

by Fung Cheuk-Hing, Wang Suk-Ching Anita.
Thesis (M.B.A.)--Chinese University of Hong Kong, 1998.
Includes bibliographical references (leaves 87-89).
ABSTRACT --- p.ii
TABLE OF CONTENTS --- p.iii
LIST OF TABLES --- p.vi
LIST OF ABBREVIATIONS --- p.vii
ACKNOWLEDGMENT --- p.viii
Chapter
Chapter I. --- INTRODUCTION --- p.1
Chapter II. --- LITERATURE REVIEW --- p.4
Privacy Protection Act --- p.4
A Survey of Privacy in the Workplace --- p.5
Chapter III. --- PERSONAL DATA (PRIVACY) ORDINANCE --- p.8
Events that led to the Enactment of the Ordinance --- p.8
An Overview of the Ordinance --- p.10
Chapter IV. --- METHODOLOGY --- p.14
Chapter V. --- RESULTS --- p.17
Privacy Commissioner's Office (PCO) --- p.17
The Hong Kong Institute of Human Resource Management (IHRM) --- p.23
Bank A --- p.26
Recruitment and Selection --- p.26
References --- p.27
Employee Records --- p.28
Data Relating to Ex-employees --- p.28
Training and Development --- p.29
Compensation and Benefits --- p.30
Data Storage and Security --- p.30
Data Transfer and Transmission --- p.30
Appraisal and Potential Assessment --- p.30
Disciplinary Records --- p.31
Exit Interview --- p.31
Others --- p.32
Bank B --- p.33
Recruitment and Selection --- p.33
References --- p.34
Employee Records --- p.34
Data Relating to Ex-employees --- p.35
Training and Development --- p.35
Compensation and Benefits --- p.35
Data Storage and Security --- p.35
Data Transfer and Transmission --- p.36
Appraisal and Potential Assessment/Disciplinary Records --- p.36
Exit Interview --- p.36
Others --- p.36
Bank C --- p.37
Recruitment and Selection --- p.38
References --- p.38
Employee Records --- p.38
Data Relating to Ex-employees --- p.39
Training and Development --- p.39
Compensation and Benefits --- p.39
Data Storage and Security --- p.39
Data Transfer and Transmission --- p.40
Appraisal and Potential Assessment --- p.40
Disciplinary Records --- p.40
Exit Interview --- p.40
Others --- p.41
Chapter VI. --- ANALYSIS OF RESULTS --- p.43
"Overview of Bank A, B and C's Interview Results" --- p.43
Evaluation on Compliance Level --- p.45
Recruitment and Selection --- p.46
References --- p.47
Employee Records --- p.48
Data Relating to Ex-employees --- p.48
Training and Development --- p.49
Compensation and Benefits --- p.49
Data Storage and Security --- p.50
Data Transfer and Transmission --- p.50
Appraisal and Potential Assessment/Disciplinary Records --- p.50
Exit Interview --- p.50
General --- p.50
Dynamics Between the PCO and Human Resource Practitioners --- p.51
Dynamics Between the PCO and IHRM --- p.53
Dynamics Between IHRM and Human Resource Practitioners --- p.53
Comparison with Linowes' Survey Results --- p.54
Chapter VII. --- RECOMMENDATIONS --- p.56
Privacy Commissioner's Office (PCO) --- p.56
The Hong Kong Institute of Human Resource Management (IHRM) --- p.57
"Bank A, B and C" --- p.57
Chapter VIII. --- LIMITATIONS --- p.59
IX. CONCLUSIONS --- p.60
APPENDIX --- p.62
BIBLIOGRAPHY --- p.87

While the formal modern banking system in Nepal commenced in 1937, actual financial regulations and supervision of the Nepalese banking industry started only from 1956 when the Central bank of Nepal was established. The Nepal Rastra Bank has been gradually embracing various international best practices for supervising and regulating its banking industry that is suitable for its domestic market need. This project examines the extent to which Nepalese commercial banks are embracing the Basel framework of corporate governance principles for risk management. To do this, it integrated the Basel frameworks with the legal, regulatory framework and relevant prudential rules and regulations that regulate commercial banks of Nepal to understand the concept, principles and practices of corporate governance and risk management. This project contributes to the literature in the field of corporate governance and risk management, particularly in the Nepalese context. It provides a clear and sufficient picture of the risk governance practices of the commercial banks of Nepal in terms of their compliance with the Rastra Bank’s risk governance requirements and, simultaneously, with their implementation of the Basel framework of corporate governance principles of risk management.

Thesis (LLM.) -- University of Limpopo, 2017.
The world, more especially countries in Africa are battling with the effects of poverty, unemployment and destitution. South Africa is one African country that succumbed to racial inequality brought about by apartheid wherein black people were denied participation into any form of income generating endeavours that would ensure their sustenance. The South African Government after attaining independence in 1994 put in place policies meant to emancipate and empower the Historically Disadvantaged People (HDP). In line with that approach, the government deemed it fit to empower the South African populace through Co-operatives. This study analyses and critiques the Co-operative Banks Act, 40 of 2007 as the focal instrument regulating financial co-operatives in South Africa and its contribution towards economic growth and poverty reduction. The study further exposes some of the imminent challenges experienced in the field of financial co-operatives as far as registration of such cooperatives is concerned. The Act since its inception has only managed to have only two co-operative banks established and the rest of the Co-operative Financial Institutions (CFI’s) are not registered and are operating under an exemption notice. Therefore, this study brings to light some of the challenges leading to the failure to become co-operative banks, and also delves into the act itself to assess whether its provisions are the reason for this ultimate failure to register financial co-operatives. The challenges experienced by financial co-operatives in South Africa would be addressed by drawing lessons from countries such as Kenya and Canada which have managed to establish a strong and vibrant co-operative industry so as to suggest ways in which they may also improve and graduate to become successful Co-operative Banks.

M.Comm.
Due to uncertainties experienced while working for the South African Revenue Services and the fact that there are no specific sections in the Income Tax Act no. 58 of 1962 dealing with interest, foreign exchange and bad and doubtful debts of commercial banks there were a need to undertake a study. The study therefore undertakes an examination to determine if the existing sections of the Income Tax Act dealing with interest, foreign exchange and bad and doubtful debts are enough legislation to deal with the interest, foreign exchange and bad and doubtful debts of commercial banks. The study also try to clear all existing uncertainties experienced and mentioned in this study. The study can be divided into the following four parts: A literature study of the definition of "bank" and "banking operations", in terms of history and current legislation. A study of the definition of "interest" and "finance charges", in terms of sections of the Income Tax Act, Act no. 58 of 1962 and applicable court cases. The chapter also concentrates on the application of section 24J of the Income Tax Act on the interest-transactions of commercial banks as well as the identification of any short falls of the section. Before interest can be treated in terms of section 24J of the Income Tax Act, the source of the interest will have to be in South Africa. General sourse principles applicable to commercial banks as well as the deductability of interest expenses when expenced to generate exempt income will therefore also be covered in this chapter. A study of the application of section 241 of the Income Tax Act dealing with the foreign exchange of commercial banks. An examination of the way commercial banks should treat their bad and doubtful debts and the factors taken into account in court decisions relating thereto. The most important activities of a bank are identified in this study as the acceptance of deposits, the provision of credit, rendering of financial services and the trade in exchange and the utilisation of money and interest received. In terms of section 24J of the Income Tax Act, interest include finance charges, premiums or disconto's, all interests and the difference between all amounts payable or receivable in terms of a sale and leaseback agreement. It was found that all the interest of a commercial bank are included in the definition of interest and all the transactions of a commercial bank are treated in terms of section 24J of the Income Tax Act for income tax purposes. Section 241 of the Income Tax Act focuses on foreign exchange transactions and are found to be enough legislation for the foreign exchange transactions of commercial banks. Although bad and doubtful debts are not part of the activities of a commercial bank they are part of the uncertainties experienced while working for the South African Revenue Services. During the study it was found that doubtful debts can not be deducted in terms of section 11(a) of the Income Tax Act but only in terms of section 11(j) of the Income Tax Act. It is practice for the South African Revenue Services to only allows 25% of the full amount of doubtful debts, but as this discretion is subject to objection and appeal, the bank is entitled to claim a higher percentage as a deduction if they can provide proveto justify a higher deduction. It was also found that commercial banks can claim their bad debts in term of section 11(a) of the Income Tax Act.

The maturity transformation of deposits is a primary driver of economic growth, as loans enable borrowers to spend funds, thereby growing the economy. However, if borrowers cannot repay their loans, the asset quality of banks deteriorate, resulting in non-performing loans or, worse, an economic crisis. An understanding of how macroeconomic and microeconomic determinants impact bank asset quality in South Africa can contribute to knowledge of the bank asset quality phenomenon in the African context. Due to the 2008/2009 global financial crisis, the introduction of new legislation and the value of gold exports, the South African economy presents an opportunity to make an original contribution to the knowledge of determinants that influence bank asset quality. In addition to studying bank asset quality determinants that are contested in research, this study also aims to determine whether a superior returns determinant of non-performing loans exists when comparing a bank’s profitability determinants, namely return on assets, return on equity and interest income on loans. This study applied panel data regression analysis, making use of a balanced panel approach, to study the determinants of bank asset quality. This approach recontextualises the existing bank asset quality theory for the South African financial sector. The results indicate that South Africa is not resilient against the impact of global financial crises trickling through international trade linkages and that regulatory changes do not instantly improve bank asset quality, and may even reduce the short-term asset quality. Moreover, bank asset quality in South Africa is sensitive to the total value of gold exports. It is evident from the profitability measures that the interest income on loans is the most suitable profitability measure of bank asset quality. This study provides an original contribution to bank asset quality determinants and recommends that regulators should pre-emptively determine the impact of new legislation on bank asset quality. Furthermore, interest income on loans as a profitability measure provides the most accurate results. Lastly, a single-country bank asset quality analysis is important, especially for economies that have commodity exports that significantly weigh in on the bank asset mix.
Die termyntransformasie rakende deposito's is die primêre dryfkrag vir groei in die ekonomie: Lenings maak dit vir leners moontlik om fondse te bestee, wat die ekonomie laat groei. Indien hierdie leners hul lenings egter nie kan terugbetaal nie, gaan die gehalte van bankbates agteruit, wat tot wanpresterende lenings of, nog erger, tot 'n ekonomiese krisis kan lei. As begryp kan word hoe makro-ekonomiese en mikro-ekonomiese bepalende faktore op die gehalte van bankbates in Suid-Afrika inwerk, kan dit bydra tot kennis van die verskynsel van bankbategehalte in die Afrika-konteks. In die lig van die 2008/2009 wêreldwye finansiële krisis, die uitvaardiging van nuwe wetgewing en die waarde van gouduitvoere bied die Suid-Afrikaanse ekonomie ’n geleentheid om ’n oorspronklike bydrae te lewer tot kennis van die bepalende faktore wat bankbategehalte beïnvloed. Benewens die bestudering van die bepalende faktore van die gehalte van bankbates wat in navorsing redelik omstrede is, het hierdie studie ten doel om, wanneer 'n bank se winsgewendheidsbepalers, naamlik opbrengs op bates, opbrengs op ekwiteit (eiekapitaal) en rente-inkomste op lenings, met mekaar vergelyk word, vas te stel of daar ’n superieure opbrengsbepaler van wanpresterende lenings bestaan. Vir hierdie studie is ’n regressieontleding van paneeldata uitgevoer, en daar is van ’n gebalanseerde paneelbenadering gebruik gemaak om die bepalende faktore van bankbategehalte te bestudeer. Hierdie benadering herkontekstualiseer die bestaande bankbategehalteteorie vir die Suid-Afrikaanse finansiële sektor. Die resultate van die studie dui daarop dat Suid-Afrika nie veerkragtig is om die uitwerking van wêreldwye finansiële krisisse teen te werk wat met internasionale handelskakelings deursyfer nie en dat reguleringsveranderinge nie dadelik die bankbategehalte verbeter nie; dit kan inteendeel die korttermynbategehalte verlaag. Bowendien is die bankbategehalte in Suid-Afrika gevoelig vir die totale waarde van gouduitvoere. Dit blyk uit die winsgewendheidsmaatstawwe dat die rente-inkomste op lenings die mees geskikte winsgewendheidsmaatstaf van bankbategehalte is. Hierdie studie lewer ’n oorspronklike bydrae tot die bepalers van bankbategehalte en beveel aan dat reguleerders vooruit reeds die uitwerking van nuwe wetgewing op bankbategehalte moet bepaal. Daarby voorsien rente-inkomste op lenings as winsgewendheidsmaatstaf die akkuraatste resultate. Laastens is ’n ontleding van ’n enkele land se bankbategehalte van belang, in die besonder vir ekonomieë met kommoditeitsuitvoere wat beduidend tot die samestelling van bankbates bydra.
Kadimo ya nako ye kopana ya ditipositi ke mokgwa wo bohlokwa wa kgolo ya ekonomi, ka ge dikadimo di dumelela baadimi go šomiša matlotlo, go realo e le go godiša ekonomi. Efela, ge baadimi ba sa kgone go lefela dikadimo tša bona, boleng bja thoto ya dipanka bo a phuhlama, go feleletša go e ba le dikadimo tše di sa šomego gabotse goba, go feta fao, phuhlamo ya ekonomi. Kwešišo ya ka fao ditaetšo tša makroekonomi le maekroekonomi di huetšago boleng bja thoto ya panka ka Afrika Borwa e ka ba le seabe go tsebo ya taba ya boleng bja thoto ya panka go ya ka seemo sa Afrika. Ka lebaka la mathata a ditšhelete a lefase a 2008/2009, tsebišo ya molao wo moswa le boleng bja dithomelontle tša gauta, ekonomi ya Afrika Borwa e fa sebaka seabe sa mathomo tsebong ya ditaetšo tšeo di huetšago boleng bja thoto ya panka. Go tlaleletša nyakišišong ya ditaetšo tša boleng bja thoto ya panka tšeo di ganetšwago nyakišišong, maikemišetšo a nyakišišo ye gape ke go laetša ge eba taetšo ya letseno le legolo la dikadimo tše di sa šomego gabotse di gona ge go bapetšwa ditaetšo tša poelo ya panka, e lego letseno la dithoto, letseno la dišere le letseno la dikadimo. Nyakišišo ye e šomišitše tshekatsheko ya poelomorago ya datha ya phanele, ya go šomiša mokgwa wa phanele wo o lekaneditšwego, go nyakišiša ditaetšo tša boleng bja thoto ya panka. Mokgwa wa go tšwetšapele gape teori ya boleng bja thoto ya panka ya lekala la Afrika Borwa la ditšhelete. Dipoelo di laetša gore Afrika Borwa ga e fokole kgahlanong le khuetšo ya mathata a ditšhelete a lefase ao a rothelago ka dikamanong tša kgwebišano ya boditšhabatšhaba le gore diphetogo tša taolo ga di kaonafatše boleng bja thoto ya panka ka lebelo, gomme di ka fokotša le boleng bja thoto bja paka ye kopana. Go feta fao, boleng bja thoto ya panka ka Afrika Borwa bo ela hloko boleng bja palomoka bja dithomelontle tša gauta. Go a bonagala go tšwa go dikgato tša tiro ya poelo gore letseno la tswala godimo ga dikadimo ke kgato ya poelo ye maleba gagolo ya boleng bja thoto ya panka. Nyakišišo ye e fa seabe sa mathomo ditaetšo tša boleng bja thoto ya panka gomme e šišinya gore balaodi ba swanela go laetša e sa le ka pela khuetšo ya molao wo moswa ka ga boleng bja thoto ya panka. Go feta fao, letseno la tswala godimo ga dikadimo bjalo ka kelo ya tiro ya poelo le go fa dipoelo tše di lebanego gabotse. Sa mafelelo, tshekatsheko ya boleng bja thoto ya panka ya naga e tee, kudu diekonomi tšeo di nago le dithomelontle tša ditšweletšwa tšeo gagolo di dumelelago motswako wa thoto ya panka.
Business Management
Ph. D. (Management Studies)

The opening of a bank account serves as the genesis of a bank customer relationship. It is imperative that the establishment of a bank customer relationship be regulated by law. Both the common law and statutory law regulate the admission of new clients to the realm of banking. It is a minimum requirement, in terms of both statutory and common law, that the identity of a prospective client who wishes to open a bank account must both be established and verified. This, the need to know one’s customer, is not only good law but common sense and an effective measure to prevent criminals from accessing the banking system. Parties who work together must know each other. The need to establish and verify the identity of a potential customer is commonly referred to as the Know Your Customer standards, alternatively the Customer Due Diligence framework. The Know Your Customer standards are neither unique to South Africa nor have their origins in South Africa. The Know Your Customer standards are international standards which the Financial Action Task Force and the Basel Committee on Banking Supervision have been advocating for quite some time. A confluence of the Recommendations of the Financial Action Task Force and the Basel Committee on Banking Supervision greatly influenced the birth of the Financial Intelligence Centre Act in South Africa. The Financial Intelligence Centre Act 38 of 2001 prescribes the steps that a bank has to take in order to establish and verify the identity of a potential client. It will be shown in this dissertation that the identification and verification regime established by the Financial Intelligence Centre Act 38 0f 2001 and the common law are not fool proof. This dissertation makes recommendations on how the current loopholes that exist in the law can be addressed.
Mercantile Law
LLM

Money laundering involves activities which are aimed at concealing benefits that were acquired through criminal means for the purpose of making them appear legitimately acquired. Money laundering promotes criminal activities in South Africa because it allows criminals to keep the benefits that they acquired through their criminal activities. It takes place through a variety of schemes which include the use of banks. In this sense money laundering control is based on the premise that banks must be protected from providing criminals with the means to launder the benefits of their criminal activities. The Financial Intelligence Centre Act 38 of 2001 (‘FICA’) in aggregate with the Prevention of Organised Crime Act 121 of 1998 (‘POCA’) form the backbone of South Africa’s anti-money laundering regime. Like its international counterparts FICA imposes onerous duties on banks seeing that they are most often used by criminals as conduits to launder the benefits of crime. In turn, POCA criminalises activities in relation to the benefits of crime and delineates civil proceedings aimed at forfeiting the benefits of crime to the state. This study identifies the idiosyncrasies of the South African anti-money laundering regime and forwards recommendations aimed at improving its structure. To this end nine issues in relation to money laundering control and banks are investigated. The investigation fundamentally reveals that money laundering control holds unforeseen consequences for banks. In particular, a bank that receives the benefits of crimes such as fraud or theft faces prosecution if it fails to heed FICA’s money laundering control duties, for example, the filing of a suspicious transaction report. However, if the bank files a suspicious transaction report, it may be sued in civil court by the customer for breach of contract. In addition, if the bank parted with the benefits of fraud or theft whilst suspecting that the account holder may not be entitled to payment thereof, it may be sued by the victim of fraud or theft who seeks to recover loss suffered at the hand of the fraudster or thief from the bank. Ultimately, this study illustrates that amendment of some of the provisions of South Africa’s anti-money laundering legislation should enable banks to manage the aforementioned and other unforeseen consequences of money laundering control whilst at the same time contribute to the South African anti-money laundering effort.
Criminal and Procedural Law
Mercantile Law
LL.D.

The focus of this thesis is on Advance Fee Fraud (419 scams) on how it is executed and more importantly, on how it can be prevented. The research addresses the origins of AFF, the nature and extent of this crime and how the perpetrators are able to defraud their victims. The research described, examined and analysed the crimes, the perpetrators, the victims, adjudication and the prevention strategies of this fraud. Information was gathered through literature and empirical research. A qualitative research method was used to gather information from AFF offenders who were incarcerated in South African prisons in 2005. The results of the empirical research were carefully examined, analyzed and integrated into the various chapters of this thesis. A theoretical framework was also developed in an attempt to explain this complex phenomenon. The findings and recommendations in terms of the crimes, the criminals, the victims, adjudication and prevention were also made and some suggestions for further research thereof were also cited.
Criminology
D. Litt. et Phil. (Criminology)