The WAMU Banking Commission may decide to place a covered institution under temporary administration in the following cases :
- at the request of the executive body, when it considers that it is no longer in a position to properly discharge its duties ;
- when the Banking Commission determines that the institution can no longer be managed under normal conditions ; or
- when it has ordered the suspension or mandatory resignation of executive officers responsible for a breach of banking regulations.
The Banking Commission shall notify its decision to the Minister of Finance of the State concerned, who shall appoint a temporary administrator vested with all the powers necessary for the administration, management, and operations of the covered institution.
The temporary administrator shall be appointed within seven calendar days from the date of receipt of the decision by the Minister of Finance, selected from a roster drawn up for that purpose by the Banking Commission.
The decision of the WAMU Banking Commission to place an institution under temporary administration shall define the scope of the temporary administrator’s mandate, including its duration and specific duties.
The modalities for implementing temporary administration are set forth in Circular No. 006-2011/CB/C dated January 4, 2011, concerning the temporary administration of credit institutions and decentralized financial systems within the WAMU.
