Regulation 5

not considered independent from business relationships with the regulated institution under regulation 3(3); or

not considered independent from a substantial shareholder of the regulated institution because of any relationship specified in regulation 4(2)(a)(v) or (b)(v),to nonetheless be considered independent from business relationships with the regulated institution, or independent from a substantial shareholder of the regulated institution (as the case may be), if the Nominating Committee is satisfied that the director’s independent business judgment and ability to act in the interest of the regulated institution will not be impeded, despite the relationships specified in that provision.

at any time, the Authority is not satisfied that a director is independent from business relationships with the regulated institution, or from a substantial shareholder of the regulated institution, despite any determination of the Nominating Committee made under paragraph (1); and

the lack of independence of that director would result in a failure to comply with any of the requirements under regulation 6(1) (including that provision as applied by regulation 7), 9(1), 13(1), 14(1) or 15(1),the Authority may direct the regulated institution to rectify the composition of the board of directors or any relevant committee in accordance with the requirements under regulation 6(1) (including that provision as applied by regulation 7), 9(1), 13(1), 14(1) or 15(1) (as the case may be) within the time, and subject to such conditions or restrictions, as the Authority may specify.