ADVOKS GLOBAL · KENYA
The Banking (Penalties) Regulations, 2025
41. Advances for land
Edition: 2025-07-09 · In force
41. Advances for land
(1)An institution which makes loans or advances for the purchase, improvement or alteration of land, whose aggregate amount exceeds forty percent of the total deposit liabilities of the institution, commits a violation and is liable, upon assessment, to a penalty not exceeding five million shillings or three times the gross amount of the monetary gain made or loss avoided by the institution.(2)An officer of an institution found liable for the violation in paragraph (1), commits a violation and is liable, upon assessment, to a penalty not exceeding two hundred and fifty thousand shillings.(3)An institution which makes loans or advances for the purchase, improvement or alteration of land, whose aggregate amount exceeds the total deposit liabilities of the institution commits a violation and is liable, upon assessment, to a penalty not exceeding five million shillings or three times the gross amount of the monetary gain made or loss avoided by the institution.(4)An officer of an institution found liable for the violation in paragraph (3), commits a violation and is liable, upon assessment, to a penalty not exceeding two hundred and fifty thousand shillings.(5)This regulation shall not apply to a mortgage finance company.