24. Section 97 of the principal enactment is hereby repealed and the following section substituted therefor :-
| 97. (1) Where the reserves maintained by a commercial bank or a prescribed financial institution are below the reserves required to be maintained by such bank or financial institution calculated on the basis prescribed under section 96 the commercial bank or the prescribed financial institution as the case may be, shall pay to the central Bank, interest on the amount of the deficiency at such rate as may be determined by the Monetary Board. |
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| (2) Where a commercial bank or a prescribed financial institution regularly fails to maintain the reserves required to be maintained by such bank or financial institution calculated on the basis prescribed under section 96, the Monetary Board may, in the interests of the national economy make order-
| | (a) prohibiting or restricting the making of loans or investments by that bank or financial institution ; | | |
| | (b) prohibiting the application of the whole or any specified part of the net profits of that bank or financial institution for the purpose of payment of a dividend to its shareholders,". | | |
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Sri Lanka Consolidated Acts