S.I. No. 78/1989 - European Communities (Undertakings For Collective Investment in Transferable Securities) Regulations, 1989

• (e) details of the arrangements made for the marketing of its units in the State.

87 Entitlement to market in the State.

87.

87. The UCITS may commence marketing its units in the State at the expiry of two months after the requirements of Regulation 86 have been complied with unless the Bank establishes, in a reasoned decision taken before the expiry of that period of two months, that the arrangements made for the marketing of units do not comply with the provisions of Regulations 88 and 90.

88 Compliance with law, regulations and administrative provisions.

88.

88. A UCITS which markets its units in the State must comply with the law, regulations and administrative provisions in force which do not fall within the field governed by the Directive.

89 Advertising.

89.

89. A UCITS which advertises its units in the State as part of its marketing activities within the State shall comply with any statutory provisions governing such advertising.

90 Provision of facilities in relation to unit-holders.

90.

90. A UCITS which markets its units in the State must satisfy the Bank that adequate measures have been taken to ensure that facilities are available in the State for making payments to unit holders, repurchasing or redeeming units and making available the information which UCITS are obliged to provide.

91 Distribution of documents and other information.

91.

91. A UCITS which markets its units in the State must distribute within the State, in at least one of the State's official languages, the documents and information required to be published under these Regulations and in accordance with the same procedure as provided for under these Regulations.

92 Power of Bank to prohibit marketing.

92.

92. The Bank may prohibit the marketing of the units of such a UCITS in the State if it fails to comply with the provisions of this Part. Any decision taken by the Bank in this regard shall be notified to the UCITS concerned and to the competent authorities of the Member State in which the UCITS is situated.

93 Generic names.

93.

93. For the purpose of carrying on its activities, a UCITS may use the same generic name (such as investment company or unit trust) in the Community as it uses in the Member State in which it is situated. In the event of any danger of confusion, the host Member State may, for the purpose of clarification, require that the name by accompanied by certain explanatory particulars.

PART XISPECIAL PROVISIONS IN RELATION TO THE CENTRAL BANK OF IRELAND

94 Collaboration with competent authorities in other Member States.

94.

94. The Bank shall collaborate closely with the competent authorities in other Member States in order to carry out its authorization and supervision duties under these Regulations and shall for those purposes alone communicate to the competent authorities in other Member States all information required by them.

95 Professional secrecy.

95.

95. All persons employed or formerly employed by the Bank shall be bound by professional secrecy.

96 Application of professional secrecy to information exchanged with other competent authorities

96.

96. Regulation 95 shall not preclude communications between the authorities of the various Member States as provided for in the Directive but information exchanged with the competent authorities in other Member States shall be covered by the obligation of professional secrecy on employees or former employees of the Bank.

97 Restriction on use of information received from other Member States.

97.

97. Without prejudice to cases covered by criminal law, the Bank may use information obtained from another Member States only for the performance of its duties or in connection with legal proceedings relating to such performance.

PART XIIINSPECTION AND ENFORCEMENT POWERS OF CENTRAL BANK

98 Compliance with additional requirements imposed by Bank.

98.

98. Every management company, investment company or trustee to which these Regulations apply shall comply with such additional supervisory and reporting requirements or conditions relating to its business as the Bank considers prudent to impose on it from time to time for the purposes and in the interest of the proper and orderly regulation of UCITS in accordance with these Regulations.

99 Keeping of books and records.

99.

99. (1) Every management company, investment company or trustee of a UCITS shall keep at an office or offices within the State such books and records (including accounts) as may be specified from time to time by the Bank in the due discharge by the Bank of its statutory functions and shall notify the Bank of the address of every office at which any such book or record is kept for the purposes of this Regulation.

• (2) Different books and records may be specified by the Bank for the purposes of this Regulation in relation to different UCITS.

• (3) ( a ) An appropriate person duly authorized in writing in that behalf by the Governor of the Bank (in this paragraph referred to as "an authorized person") may, for the purpose of the performance by the Bank of its statutory functions and upon production of his authorization, at all reasonable times, inspect and take copies of or extracts from, and make such enquiries as he may consider necessary in relation to—

• (i) the books and records kept pursuant to this Regulation by the management company, investment company or trustee of an authorized UCITS, and

• (ii) any books of account relating to the said management company, investment company or trustee and kept under the Companies Acts and

• (iii) any other documents relating to the business of the UCITS

and for those purposes enter any office to which paragraph (1) relates and any other place where he reasonably believes any books, records or other documents as aforesaid are kept.

( b ) A person who has in his power, possession or procurement any books, records or other documents aforesaid shall—

• (i) produce them at the request of an authorized person and permit him to inspect and take copies of or extracts from them,

• (ii) at the request of an authorized person, give any information which may be reasonably required with regard to them, and

• (iii) give such other assistance and information to an authorized person as is reasonable in the circumstances.

( c ) the provisions of paragraphs (a) and (b) shall apply to every management company, investment company and trustee of a UCITS and the provisions of those paragraphs, other than subparagraph (i) of paragraph (a), shall apply to—

• (i) every associated enterprise of the management company, investment company and trustee, and

• (ii) any other person,

where an inspection of the accounts or other records is, in the opinion of the Bank, materially relevant to the proper appraisal of the business of a UCITS during any period in respect of which an inspection or proposed inspection of the management company, investment company or trustee relates.

• (4) Books and records kept pursuant to this Regulation shall—

( a ) be in addition to any books or other records to be kept by or under any other enactment, and

( b ) be retained for at least such period as the Bank may specify in respect of any such book or record.

• (5) ( a ) In this Regulation—

"appropriate person" means

• (i) an officer of the Bank, or

• (ii) in relation to any particular inspection (including a proposed inspection), any other person who in the opinion of the Governor of the Bank possesses appropriate qualifications or experience to carry out the inspection, or any part thereof, to which this Regulation relates;

"associated enterprise" means, as appropriate—

• (i) a holding company of the mangement company or investment company or trustee,

• (ii) a subsidiary company of the management company or investment company or trustee,

• (iii) a company which is a subsidiary of a body corporate, where the management company or investment company or trustee concerned is also a subsidiary of the body corporate, but neither company is a subsidiary of the other,

• (iv) in the case of a management company or investment company or a trustee of a UCITS, any other body corporate that is not a subsidiary of the management company or investment company or trustee but in respect of which the company is beneficially entitled to more than 20 per cent in nominal value of either the allotted share capital or of the shares carrying voting rights (other than voting rights which arise only in specified circumstances) in that other body corporate,

• (v) a partnership in which the management company or investment company or trustee has an interest, and whose business is or, at the relevant time, was, in the opinion of the Bank, materially relevant to any inspection of the management company or investment company or trustee being carried out or proposed to be carried out under this section;

"holding company" has the meaning given to it by section 155 of the Companies Act, 1963 ;

"statutory functions", means functions under these Regulations;

"subsidiary company" has the meaning given to it by section 155 of the Companies Act, 1963 .

( b ) References in this Regulation to books, records or other documents, or to any of them, shall be construed as including any document or information kept in a non-legible form (by the use of electronics or otherwise) which is capable of being reproduced in a legible form and all the electronic or other automatic means, if any, by which such document or information is so capable of being reproduced to which the person, whose books, records or other such documents are inspected for the purposes of this Regulation, has access.

100 Furnishing of information to Bank

100.

100. (1) A management company, an investment company and a trustee shall each furnish the Bank—

( a ) at such times as the Bank may specify from time to time, such information and returns concerning the business to which the authorization relates or the carrying on of a business as aforesaid by such person, as the case may be, as the Bank may specify from time to time, being information and returns which the Bank considers it necessary to have for the due performance of its statutory functions;

( b ) within such period as the Bank may specify, any information and returns (not being information or returns specified under paragraph (a) of this Regulation) concerning the business to which the authorization relates or the carrying on of a business as aforesaid by such person, as the case my be, that the Bank may request in writing, being information and returns which the Bank considers it necessary to have for the due performance of its statutory functions.

• (2) A person shall not furnish information or returns under this Regulation which he knows to be false.

• (3) Paragraphs (1) and (2) shall apply to the business of an associated enterprise to the extent only that the information and returns sought by the Bank are, in the opinion of the Bank, materially relevant to the proper appraisal of the business of the holder of the authorization to which the associated enterprise relates.

101 Application by Bank to High Court

101.

101. (1) Where, on an application made in a summary manner by the Bank, the Court is of the opinion that there has occurred or is occurring a failure by an authorized UCITS to comply with a requirement or condition imposed by virtue of these Regulations the Court may, by order, prohibit the continuance of the failure by the UCITS concerned.

• (2) The Court when considering the matter may make such interim or interlocutory order as it considers appropriate.

• (3) Where the Court is satisfied, because of the nature or the circumstances of the case or otherwise in the interests of justice, that it is desirable, the whole or any part of the proceedings under this Regulation may be heard otherwise than in public.

• (4) In this Regulation "the Court" means the High Court.

102 Revocation of authorization.

102.

102. (1) The Bank may revoke the authorization of a UCITS if it appears to the Bank—

( a ) that any of the requirements for the authorization of the UCITS are no longer satisfied;

( b ) that it is undesirable in the interests of the unit-holders or potential unit-holders that the UCITS should continue to be authorized; or

( c ) without prejudice to subparagraph (b), that the management company or investment company or trustee of the UCITS has contravened any provision of these Regulations or, in purported compliance with any such provision, has furnished the Bank with false, inaccurate or misleading information or has contravened any prohibition or requirement imposed under these Regulations.

• (2) For the purposes of paragraph (1) (b) the Bank may take into account any matter relating to the UCITS, the management company, investment company or trustee, a director or controller of the management company, investment company or trustee or any person employed by or associated with the management company, investment company or trustee in connection with the UCITS.

• (3) The Bank may revoke the authorization of a UCITS at the request of the management company or investment company or trustee of the UCITS; but it may refuse to do so if it considers that any matter concerning the UCITS should be investigated as a preliminary to a decision on the question of whether the authorization should be revoked or that revocation would not be in the interests of the unit-holders.

• (4) The Bank shall, within twenty one days of the revocation of an authorization, publish notice of the revocation in Iris Oifigiúil and in at least one national daily newspaper.

103 Notice of intention to revoke.

103.

103. (1) Where the Bank proposes to revoke the authorization of a UCITS otherwise than at the request of the management company, investment company or trustee of the UCITS, it shall give the applicants or, as the case may be, the management company, investment company or trustee of the UCITS written notice of its intention to do so, stating the reasons for which it proposes to act and giving particulars of the rights conferred by paragraph (2).

• (2) A management company, investment company or trustee on whom a notice is served under paragraph (1) may, within thirty days of the date of service, make written representations to the Bank.

• (3) The Bank shall have regard to any representations made in accordance with paragraph (2) in determining whether to refuse the application or revoke the authorization, as the case may be.

104 Bank's powers of intervention.

104.

104. (1) If it appears to the Bank

( a ) that any of the requirements for authorizing a UCITS are no longer satisfied;

( b ) that the exercise of the power conferred by this Regulation is desirable in the interests of unit-holders or potential unit-holders in a UCITS or

( c ) without prejudice to subparagraph (b), that the management company or investment company or trustee of such a UCITS has contravened any provision of these Regulations or, in purported compliance with any such provision, has furnished the Bank with false, inaccurate or misleading information or has contravened any prohibition or requirement imposed under these Regulations,

it may give a direction under paragraph (2).

• (2) A direction under this paragraph may—

( a ) require the management company or the investment company to cease the issue or redemption, or both the issue and redemption, of units under the UCITS on a date specified in the direction until such further date as is specified in that or another direction;

( b ) require the management company or the investment company and the trustee of the UCITS to wind it up by such date as is specified in the direction or, if no date is specified, as soon as practicable.

• (3) The revocation of the authorization of a UCITS shall not affect the operation of any direction under paragraph (2) which is then in force; and a direction may be given under that paragraph in relation to a UCITS whose authorization has been revoked if a direction under that paragraph was already in force at the time of revocation.

• (4) For the purposes of paragraph (1) (b) the Bank may take into account any matter relating to the UCITS, the management company, investment company or trustee, a director or controller of the management company, investment company or trustee or any person employed by or associated with the management company, investment company or trustee in connection with the UCITS.

• (5) The Bank may, either of its own motion or on the application of the management company, investment company or trustee of the UCITS concerned, withdraw or vary a direction given under this Regulation if it appears to the Bank that is no longer necessary for the direction to take effect or continue in force or, as the case may be, that it should take effect or continue in force in a different form.

105 Review of Bank's decision, etc., by the High Court.

105.

105. (1) Where the Bank refuses an application for authorization, fails to take a decision on an application within the time prescribed by Regulation 14 (2), or revokes or refuses to revoke an authorization under these Regulations the applicant or the management company, the investment company or the trustee, as the case may be, may apply to the High Court in a summary manner to have the matter reviewed.

• (2) Whenever an application to review a decision of the Bank is brought to the High Court pursuant to paragraph (1) the High Court shall confirm the decision of the Bank unless it is satisfied that the procedures laid down by, or the requirements of these Regulations or the directive have not been complied with in any material respect.

• (3) In any case where the High Court is satisfied that the procedures laid down by, or the requirements of, these Regulations or the Directive have not been complied with in any material respect, the High Court may set aside the decision of the Bank or, if the Bank has failed to take a decision within the time prescribed in Regulation 14 (2), direct it to take a decision within such time as the Court directs, and in any such case, remit the matter to the Bank which shall thereupon reconsider the matter and make a decision in accordance with such procedures and requirements.

PART XIIIOFFENCES

106 Penalties.

106.

106. (1) An investment company, management company or trustee which contravenes any provision of these Regulations shall be guilty of an offence.

• (2) An auditor who contravenes any provision of these Regulations shall be guilty of an offence.

• (3) ( a ) A person guilty of an offence under paragraph (1) or (2) shall be liable on summary conviction to a fine not exceeding £1,000 or, at the discretion of the court in the case of an individual, to imprisonment for a term not exceeding 12 months or to both.

( b ) If the contravention in respect of which a person was convicted under such paragraph (a) is continued after the conviction that person shall be guilty of a further offence on every day on which the contravention continues and for each such offence the person shall be liable on summary conviction to a fine not exceeding £250 instead of the penalty specified for the original contravention.

• (4) Summary proceedings in relation to an offence under these Regulations may be brought and prosecuted by the Director of Public Prosecutions or the Bank.

• (5) Notwithstanding section 10(4) of the Petty Sessions (Ireland) Act, 1851, summary proceedings for an offence under these Regulations may be instituted within 3 years from the date of the offence.

• (6) Where an offence under these Regulations committed by a body corporate or by a person purporting to act on behalf of a body corporate is proved to have been so committed with the consent, or connivance of, or to be attributable to, or to have been facilitated by, any neglect on the part of any officer or employee of that body, that person shall also be guilty of an offence.

• (7) In this Regulation, a reference to a contravention includes a reference to a failure to comply.

PART XIVTRANSITIONAL PROVISION

107 Existing UCITS.

107.

107. UCITS existing on the date of commencement of these Regulations shall have a period of 12 months from that date in which to comply with the Regulations.

Annex A

1. Information concerning the unit trust	1. Information concerning the management company	1. Information concerning the investment company
1.1 Name	1.1 Name or style, form in law, registered office and head office if different from the registered office.	1.1 Name or style, form in law, registered office and head office if different from the registered office.
1.2. Date of establishment of the unit trust. Indication of duration, if limited.	1.2. Date of incorporation of the company. Indication of duration if limited.	1.2 Date of incorporation of the company. Indication of duration, if limited.
	1.3 If the company manages other unit trusts, indication of those other trusts.
1.4. Statement of the place where the trust deed, if it is not annexed, and periodic reports may be obtained.		1.4. Statement of the place where the articles of association, if they are not annexed, and periodic reports may be obtained.
1.5. Brief indications relevant to unit-holders of the tax system applicable to the unit trust. Details of whether deductions are made at source from the income and capital gains paid by the trust to unit-holders.		1.5. Brief indications relevant to unit-holders of the tax system applicable to company. Details of whether deductions are made at source from the income and capital gains paid by the company to unit holders.
1.6. Accounting and distribution dates.		1.6. Accounting and distribution dates.
1.7. Names of the persons responsible for auditing the accounting information referred to in Regulation 83 (1).		1.7. Names of the persons responsible for auditing the accounting information referred to in Regulation 83 (1).
	1.8. Names and positions in the company of the members of the administrative, management and supervisory bodies. Details of their main activities outside the company where these are of significance with respect to that company.	1.8. Names and positions in the company of the members of the administrative, management and supervisory bodies. Details of their main activities outside the company where these are of significance with respect to that company.
	1.9. Amount of the subscribed capital with an indication of the capital paid-up.	1.9. Capital.
1.10. Details of the types and main characteristics of the units and in particular:		1.10. Details of the types and main characteristics of the units and in particular:
— the nature of the right (real, personal or other) represented by the unit, — original securities or certificates providing evidence of title; entry in a register or in an account, — characteristics of the units: registered or bearer. Indication of any denominations which may be provided for, — indication of unit-holders' voting rights if these exist, — circumstances in which winding-up of the unit trust can be decided on and winding-up procedure, in particular as regards the rights of unit-holders.		— original securities or certificates providing evidence of the; entry in a register or in an account, — characteristics of the units; registered or bearer. Indication of any denominations which may be provided for, — indication of unit-holders' voting rights, — circumstances in which winding-up of the investment company can be decided on and winding-up procedure, in particular as regards the rights of unit-holders.
1.11. Where applicable, indication of stock exchanges or markets where the units are listed or dealt in.		1.11. Where applicable, indication of stock exchanges or markets where the units are listed or dealt in.
1.12. Procedures and conditions of issue and sale of units.		1.12. Procedures and conditions of issue and sale of units.
1.13. Procedures and conditions for repurchase or redemption of units, and circumstances in which repurchase or redemption may be suspended.		1.13. Procedures and conditions for purchase of units, and circumstances in which purchase may be suspended.
1.14. Description of rules for determining and applying income.		1.14. Description of rules for determining and applying income.
1.15. Description of the unit trust's investment objectives, including its financial objectives (e.g. capital growth or income), investment policy (e.g. specialization in geographical or industrial sectors), any limitations on that investment policy and an indication of any techniques and instruments or borrowing powers which may be used in the managment of the unit trust.		1.15. Description of the company's investment objectives, including its financial objectives (e.g. capital growth or income), investment policy (e.g. specialization in geographical or industrial sectors), any limitations on that investment policy and an indication of any techniques and instruments or borrowing powers which may be used in the management of the company.
1.16. Rules for the valuation of assets.		1.16. Rules for the valuation of asets.
1.17. Determination of the sale or issue price and the repurchase or redemption price of units, in particular:		1.17. Determination of the sale or issue price and the purchase price of units, in particular:
— the method and frequency of the calculation of those prices, — information concerning the charges relating to the sale or issue and the repurchase or redemption of units, — the means, places and frequency of the publication of those prices.		— the method and frequency of the calculation of those prices, — information concerning the charges relating to the sale or issue and the purchase of units, — the means, places and frequency of the publication of the prices^(1).
1.18. Information concerning the manner, amount and calculation of remuneration payable by the unit trust to the management company, the trustee or third parties, and reimbursement of costs by the unit trust to the management company, to the trustee or to third parties.		1.18. Information concerning the manner, amount and calculation of remuneration paid by the company to its directors, and members of the administrative, management and supervisory bodies, to the trustee, or to third parties, and reimbursement of costs by the company to its directors, to the trustee or to third parties.

^(1)Investment companies within the meaning of Regulation 41 (1) of these Regulations shall also indicate:

— the method and frequency of calculation of the net asset value of units,

— the means, place and frequency of the publication of the value,

— the stock exchange in the country of marketing the price on which determines the price of transactions effected outside stock exchanges in that country.

2.1. Name or style, form in law, registered office and head office if different from the registered office;

2.2 Main activity.

3.1. Name or style of the firm or name of the adviser;

3.2. Material provisions of the contract with the management company or the investment company which may be relevant to the unit-holders, excluding those relating to remuneration;

3.3. Other significant activities.

---

ANNEX B

Information to be included in the periodic reports

I. Statement of assets and liabilities

—transferable securities,

—debt instruments of the type referred to in Regulation 46 (2) (a),

—bank balances,

—other assets,

—total assets,

—liabilities,

—net asset value.

II. Number of units in circulation

III. Net asset value per unit

IV. Portfolio, distinguishing between:

• (a) transferable securities admitted to official stock exchange listing;

• (b) transferable securities dealt in on another regulated market;

• (c) recently issued transferable securities of the type referred to in Regulation 45 (d);

• (d) other transferable securities of the type referred to in Regulation 46 (1);

• (e) debt instruments treated as equivalent in accordance with Regulation 46 (2) (a);

and analysed in accordance with the most appropriate criteria in the light of the investment policy of the UCITS (e.g. in accordance with economic, geographical or currency criteria) as a percentage of net assets; for each of the above investments the proportion it represents of the total assets of the UCITS should be stated.

Statement of changes in the composition of the portfolio during the reference period.

V. Statement of the developments concerning the assets of the UCITS during the reference period including the following:

—income from investments,

—other income,

—management charges,

—trustee's charges,

—other charges and taxes,

—net income,

—distributions and income reinvested,

—changes in capital account,

—appreciation or depreciation of investments,

—any other changes affecting the assets and liabilities of the UCITS.

VI. a comparative table covering the last three financial years and including, for each financial year, at the end of the financial year:

—the total net asset value,

—the net asset value per unit.

VII. Details, by category of transaction within the meaning of Regulation 48 (ii) and (iii) carried out by the UCITS during the reference period, of the resulting amount of commitments.

ANNEX C

Categories of Undertakings for Collective Investment in Transferable Securities excluded by virtue of their investment and borrowing policies.

• (a) Undertakings the investment policy of which provides for the placement of 25 per cent (twenty-five per cent) or more of their net assets in high risk capital (venture capital funds).

• (b) Undertakings the investment policy of which provides the investment of 20 per cent (twenty per cent) or more of the net assets (other than liquidities) in assets other than securities as described in Regulations 45 of these Regulations.

• (c) Undertakings the investment policy of which provides for borrowing on a permanent basis and for investment at least 25 per cent (twenty-five per cent) of the net assets (leveraged funds).

• (d) Undertakings the investment policy of which provides for investment in other collective investment undertakings of the open ended type of at least 25 per cent (twenty-five per cent) of the net assets (fund of funds).

• (e) Undertakings the investment policy of which provides for the placement of 50 per cent (fifty per cent) or more of their assets in monetary market instruments and in liquidities other than securities as described in Regulation 45 of these Regulations (money market funds).

• (f) Umbrella type undertakings of which one sub-fund does not fall within these Regulations by reason of its investment or borrowing policy.

GIVEN under my Official Seal, this 18th day of April, 1989

RAY BURKE

Minister for Industry and

Commerce

EXPLANATORY NOTE

The purpose of these Regulations is to give legal effect to a Council Directive (No. 85/611/EEC) on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS). The Regulations apply to UCITS whose sole object is the collective investment in transferable securities of capital raised from the public, which operate on the principle of risk spreading and whose units are redeemable at the request of the unitholder (open-ended UCITS). Under the Regulations, UCITS may be constituted either as unit trusts, investment companies with fixed capital or investment companies with variable capital.

UCITS subject to the Regulations are prohibited from carrying on activities within the State unless they have been authorised by a competent authority in a Member State. The Central Bank is appointed as a competent authority in respect of UCITS situated in the State. The Regulations are divided into 14 Parts.

Part I provides that the Regulations come into operation on 1 June, 1989.

Part II defines the UCITS subject to the Regulations and provides that the provisions of the Unit Trusts Act, 1972 shall not apply to these UCITS.

Part III provides for the appointment of the Central Bank of Ireland as a competent authority and also provides for the publication of the names of UCITS authorised under the Regulations.

Part IV sets out the general requirements relating to authorization by the Central Bank of UCITS situated in the State and provides for a right of appeal to the High Court when authorization is refused.

Part V requires that the assets of a Unit Trust shall be entrusted to a trustee for safe-keeping and sets out the general requirements for, and obligations and liability of, the trustee as well as the requirements in relation to the management company.

Part VI provides for the operation of UCITS in the form of investment companies. Chapter 1 of that part provides for investment companies with fixed capital. Chapter 2 of that part provides for investment companies with variable captial. Chapter 3 provides for amendments in the Companies Acts in relation to UCITS authorised under the Regulations.

Chapter 4 requires that the assets of an investment company shall be entrusted to a trustee for safe-keeping and sets out the requirements for, and obligations and liability of, the trustee. The Central Bank has discretion to exempt investment companies which market 80 per cent or more of their shares through one or more Stock Exchanges from the requirement to have a trustee.

Part VII prescribes the categories of investment in which UCITS subject to the Regulations may invest.

Part VIII obliges UCITS to redeem or repurchase units at the request of the unit holder and makes provision for the valuation of assets and the calculation of the issue and repurchase prices of units. It provides for the suspension of redemption or repurchase of units in certain circumstances. UCITS are required to issue registered certificates or bearer securities or alternatively written confirmation of entry in a register. Provision is made in relation to the remuneration of the manager and for the replacement of manager and trustee in exceptional circumstances. UCITS are prohibited from borrowing with certain exceptions and are prohibited from granting loans.

Part IX requires that prospectuses must be published and prescribes minimum information requirements. It also prescribes the material to be contained in the annual and half-yearly reports which must be published within time limits and supplied to unit holders free of charge. The auditing requirements and duties of auditors are prescribed. This part also provides for the regular publications of issue and redemption prices for units and requires that all publicity comprising an invitation to purchase must indicate where the propsectuses can be obtained.

Part X sets out the requirements that a UCITS authorised in another Member State must comply with in order to market its units within the State. Such UCITS must ensure that facilities are provided within the State for making payments to unit holders, repurchasing units and distribution of required information in at least one of the official languages of the State.

Part XI provides for collaboration between the Central Bank of Ireland and competent authorities in other Member States in relation to its authorization and supervisory duties.

Part XII provides for the inspection and enforcement powers of the Central Bank and the keeping of such books and records as the bank may specify. The bank is provided with powers to revoke authorization, to issue directions and to apply to the High Court for a prohibition on the continuance of the failure by UCITS to comply with requirements. Provision is made for a review by the High Court of the Bank's decision to refuse or revoke authorization or failure to take a decision within the prescribed time limits.

Part XIII provides for penalties for breaches of Regulations.

Part XIV provides for transitional provisions for UCITS existing at the date the Regulations come into operation.

The Regulations come into operation on 1 June, 1989.