SCHEDULE 2BANKING COMPANIES: COMPANIES ACT INDIVIDUAL ACCOUNTS
PART 1GENERAL RULES AND FORMATS
SECTION BTHE REQUIRED FORMATS9
Special rules
Sale and repurchase transactions13
1
The following rules apply where a company is a party to a sale and repurchase transaction.
2
Where the company is the transferor of the assets under the transaction—
a
the assets transferred must, notwithstanding the transfer, be included in its balance sheet,
b
the purchase price received by it must be included in its balance sheet as an amount owed to the transferee, and
c
the value of the assets transferred must be disclosed in a note to its accounts.
3
Where the company is the transferee of the assets under the transaction, it must not include the assets transferred in its balance sheet but the purchase price paid by it to the transferor must be so included as an amount owed by the transferor.