The Principal Regulations are amended by substituting for Regulations 8 to 13 the following:
"Retention of deposit if credit institution ceases to carry on business without compensation event.
8. If an authorised or formerly authorised credit institution ceases to carry on business, but no compensation event has occurred in relation to the credit institution, the Bank may retain the full amount, or such lesser amount as the Bank considers appropriate, of the credit institution's deposit in the deposit protection account until it is satisfied that all liability of the credit institution in respect of every person maintaining an eligible deposit with it has been or will be discharged.
(1) For the purposes of these Regulations, a compensation event has occurred in relation to a credit institution if -
(a) the Bank has determined that, for the time being, the credit institution appears to be unable, for reasons directly related to its financial circumstances, t