Law No. 11322, July 13 2006

Original Language Title: Lei nº 11.322, de 13 de Julho de 2006

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LEI No. 11,322, DE July 13, 2006.

Disposes on the renegotiation of debts arising from contracted rural credit operations in the acting area of the North-East Development Agency-ADENE and gives other arrangements.

THE PRESIDENT OF THE REPUBLIC I do know that the National Congress decrees and I sanction the following Law:

Art. -First This Act deals with the renegotiation of debts arising from rural credit operations concerning ventures located in the area of acting of the North-East Development Agency-ADENE and gives other arrangements.

Art. 2nd It is authorized to repackage debts of operations originating in rural credit on ventures located in the area of acting of the North-East Development Agency-ADENE, contracted by family farmers, mini, small and medium-sized rural producers, their cooperatives or associations, until January 15 of 2001, of value originally contracted up to R$ 35,000.00 (thirty-five thousand reais), in one or more operations of the same borrower, under the following conditions:

I-in the financing and investment funding granted until December 31, 1997, with resources of the Constitutional Fund for Financing of North-FNE, from the Amparo Fund to Worker-FAT, in the case of operations classified as Rural Proger or equalized by the National Treasury, in the total value originally contracted from up to R$ 15,000.00 (fifteen thousand reais), which have not been renegotiated on the basis of Law No 9,138 of November 29, 1995, or in the Resolution No 2,765 of August 10, 2000 of the National Monetary Council, with their respective amendments:

a) rebate in the debtor balance equivalent to 8.8% (eight integers and eight tenths per cent), on the date of the repactuation ;

b) 25% (twenty-five per cent) adhesion bonuses on each share of the debt paid up to date of the respective maturity, with, in the regions of the semi-arid, in the North of the Holy Spirit and in the Municipalities of Northern Minas Gerais, the Jequitinhonha Valley and the Valley of the Mucuri, understood in the area of acting of the Development Agency of the Northeast-ADENE, the bonus will be 65% (sixty-five per cent) ;

c) effective rate application of 3% (three per cent) per year, as of the date of the repactuation ;

d) the debtor balance ascertained on the date of re-pactuation will be extended by the deadline of 10 (ten) years, included 2 (two) years of deficiency, to be settled in annual, equal and successive instalments ;

II-in the financing and investment financing granted in the period from January 2, 1998 to 15 from January 2001 under the National Family Agriculture Strengthening Program-PRONAF ; with resources from the North East-FNE Financing Constitutional Fund ; from the Amparo Fund to Worker-FAT, in the case of classified operations as either Rural Proger or equalized by the National Treasury, in the total value originally contracted of up to R$ 15,000.00 (fifteen thousand reais):

(a) borrowers who are adiment on the date of publication of this Act or to regularise their débitos at up to 180 (one hundred and eighty) days counted from the date of publication of this Act will have the following conditions:

1. rebate of 8.8% (eight integers and eight tenths per cent) in the debtor balance, in the position of 1st January 2002, provided that it is contracted operation with post-fixed; s charges ;

2. the debtor balance ascertained on the date of repacement will be extended by the deadline of 10 (ten) years, included 2 (two) years of deficiency, to be settled in annual, equal and successive instalments ;

3. effective rate application of 3% a.a. (three per cent a year) as of 1st January 2002 ;

4. in the semi-arid regions, in the North of the Holy Spirit and in the Municipalities of Northern Minas Gerais, the Jequitinhonha Valley and the Valley of the Mucuri, understood in the acting area of the North-East Development Agency-ADENE, will be granted a bonus of adimation of 65% (sixty-five per cent) on each share of the debt paid up to the date of the respective maturity ;

b) borrowers who find themselves in default and do not regularise their debit within the time frame set out in point (a) of the inciso II of this article will have the following conditions:

1. the balance of all due and unpaid benefits should be corrected to the date of repacing based on the charges originally contracted, no bonus and no additional charges of inadimpletion ;

2. on the balance of the woven plots, will be granted, on the date of repacement, a rebate of 8.2% (eight integers and two tenths per cent), provided that it is contracted operation with post-fixed charges, being applied effective rate of interest of 3% a.a. (three per cent a year) from the date of renegotiation ;

3. in the instalment of the vincendo balance, will be granted, in the position of 1st January 2002, a rebate of 8.8% (eight integers and eight tenths per cent) in the debtor balance, provided that it is engaged in contracted operation with post-fixed charges, passing on an effective rate of interest of 3% a.a. (three per cent a year) from that date ;

4. the debtor balance of the operations, ascertained in the form of items 2 and 3 of paragraph b of the inciso II of this article, shall be consolidated on the date of repacement and extended by the time limit of 10 (ten) years, included 2 (two) years of deficiency, to be settled in instalments yearly, equal and successive ;

5. in the regions of the semi-arid, in the North of the Holy Spirit and in the Municipalities of Northern Minas Gerais, the Jequitinhonha Valley and the Valley of the Mucuri, understood in the acting area of the North-East Development Agency-ADENE, the borrowers who come to adhere to these conditions will make jus to a 35% (thirty-five per cent) adhesion bonus on each share of the debt paid up to the date of the respective maturity ;

c) (VETADO)

III-in the funding granted in the periods referred to in the incisors I and II of the caput of this article, to FNE's resource amparic, with total value originally contracted above R$ 15,000.00 (fifteen thousand reais) and up to R$ 35,000.00 (thirty-five thousand reais), observed the following conditions:

a) applies the provisions in the inciso I or II of the caput of this article, as per the date of formalization of the original operation, for the share of the debtor balance or the provision that corresponds to the limit of R$ 15,000.00 (fifteen thousand reais) on the date of the original contract ;

b) the share of the debtor balance or of the provision that concerns the original credit surplus to the limit of R$ 15,000.00 (fifteen thousand reais) will be elongated at up to 10 (ten) years, with 2 (two) years of grace, being applied effective rate of interest of 3% a.a. (three per cent a year) from the date of renegotiation.

§ 1st In the case of operations referenced in the caput of this article formalized with cooperative or association of producers, will consider:

I-each ballot-daughter or individual credit instrument originally firmed by beneficiary final credit ;

II-as a limit, in the case of operation that did not involve resend of resources to cooperates or associates, the result of the division of the value originally financed by the total number of cooperative or active associates of the entity, respected the same individual ceiling of R$ 35,000.00 (thirty-five thousand reais) for framing.

§ 2nd In the early settlement assumption and total debtor balance of the operations to which the caput from this article by December 31, 2008, additional bonus of 10% (ten per cent) will apply on the amount due.

§ 3rd For the purpose of the provisions of the incisos II and III of the caput of this article, stay the Fund manager Constitutional North East Financing authorized to reclassify operations carried out simultaneously with resources of the FAT or other sources and the FNE for the Fund's portfolio, as well as, in such a case, to take the onus arising from the provisions of this article.

§ 4th Apply the conditions laid down in the inciso I of the caput of this article to borrowers who have renegotiated its debts on the basis of legislations after the Resolution No 2,765 of August 10, 2000 of the National Monetary Council, not being cumulatively the benefits provided for in this Act with those previously repaced.

§ 5th For the financing of which deals with the incisos I and II of the caput of this article, carried out in the Northeastern region, in the North of the Holy Spirit and in the Municipalities of Northern Minas Gerais, the Jequitinhonha Valley and the Valley of the Mucuri, understood in the acting area of the North-East Development Agency-ADENE and lastrefied with FAT resources or from other sources, in operations with mixed resources from these sources and from the North-FNE Financing Constitutional Fund or carried out only with resources from these sources without equalization, in that region, whose total value originally contracted non- exceeds R$ 35,000.00 (thirty-five thousand reais), the following provisions prevail:

I-apply the benefits of treating the incisos I or II of the caput of this article as per the date of the formalization of the original operation, for the share of the debtor balance or the provision that corresponds to the limit of R$ 15,000.00 (fifteen thousand reais) ;

II-the share of the debtor balance, ascertained on the repacing date, which concerns the original credit surplus to the limit of R$ 15,000.00 (fifteen thousand reais), in the region of the semi-arid, included the North of the Holy Spirit, and in the Municipalities of Northern Minas Gerais, the Jequitinhonha Valley and the Valley of the Mucuri, understood in the area of agency acting on Development of North-East-ADENE, may be extended by the deadline of 10 (ten) years, with the maturity of the first instalment on October 31, 2007, observed as follows:

(a) borrowers who are adiment on the date of publication of this Act or to regularise their débitos at up to 180 (one hundred and eighty) days counted from the date of publication of this Act will have the following conditions:

1. will make jus the 45% (forty-five per cent) adhesion bonus on the delivery or instalment settled on the due date ;

2. effective rate application of 3% a.a. (three per cent a year) as of 1st January 2002 ;

b) borrowers who find themselves in default and do not regularise their debit within the time frame set out in point (a) of the inciso II of this paragraph shall have the following conditions:

1. the balance of all due and unpaid benefits should be corrected to the date of repacing on the basis of the charges originally contracted, no bonus and no additional burden of default, when they pass an effective interest rate of 3% a.a. (three per cent a year) ;

2. in the share of the debtor balance vincendo, an effective rate of interest of 3% a.a. will be applied. (three per cent a year) as of 1st January 2002 ;

3. the borrowers who come to adhere to these conditions will make jus of the 15% (fifteen per cent) adhesion bonus on each instalment or repayment of the debt paid up to the date of the respective maturity.

§ 6th The debtor balance of operations for which this article is concerned will be ascertained on the basis of the charges normality contractual, without the common penalty, lives, any other charges for inadimpletion or honorary advocatesure.

§ 7th To adhere to the repacement of which it treats this article, it will be required, as a counterpart on the part of of the borrower, the payment of 1% (one per cent) of the value of the updated debtor balance.

§ 8th The provisions of this article do not apply to borrowers of elongated operations or renegotiated to the ampairing of Law No. 9,138 of November 29, 1995, or of the Resolution No 2,471 of February 26, 1998, of the National Monetary Council, with its amendments.

Art. 3rd shall be authorized to repackage debts originating in rural credit, relating to ventures located in the acting area of the North-East Development Agency-ADENE, contracted by family farmers, mini, small, medium and large rural producers, their cooperatives or associations, until January 15 of 2001, with resources from the North-East Financing Constitutional Fund-FNE, or the Amparo Fund to Worker-FAT, or the FNE combined with other sources, or from other sources whose operations have been contracted before the official banks federal, of value originally contracted up to R$ 100,000.00 (one hundred thousand reais), in one or more operations of the same borrower, not covered by art. 2nd of this Act and not lengthening or renegotiated to the ampairing of Law No. 9,138 of November 29, 1995, or of Resolution No 2,765 of August 10, 2000, of the National Monetary Council, with its respective amendments, under the following conditions:

I-the debtor balance of the operation will be ascertained on the basis of the contractual charges of normality, without the comb of fine, lives, any other charges for inadimpletion or honorary advocatings ;

II-financial charges in force from the date of renegotiation:

a) effective rate of interest of 6% a.a. (six per cent per year) for family farmers, mini and small rural producers ;

b) effective rate of interest of 8.75% a.a. (eight whole and seventy-five hundredths per cent a year) for the other rural producers ;

III-bonus of adimpletion incident on financial charges: 20% (twenty percent) for the borrowers who develop their activities in the semi-arid region or 10% (ten per cent) for borrowers who develop their activities in the other regions covered by ADENE ;

IV-term of up to 10 (ten) years for the payment of the debtor balance, establishing new scheme of amortization, in accordance with the payment capacity of the borrower ;

V-to adhere to the repacement of which it treats this article, will be required, as a counterpart by party of the borrower, the payment of 1% (one per cent) of the value of the updated debtor balance.

§ 1st In the case of operations referenced in the caput of this article formalized with cooperative or association of producers, will consider:

I-each ballot-daughter or individual credit instrument originally firmed by beneficiary final credit ;

II-as a limit, in the case of operation that did not involve resend of resources to cooperates or associates, the result of the division of the value originally financed by the total number of cooperative or active associates of the entity, respected the individual ceiling of R$ 25,000.00 (twenty-five thousand reais) for framing.

§ 2nd The operations with resources of the FAT and other sources contracted before the official banks federal and renegotiated pursuant to the caput of this article will not be equalized by the National Treasury, being authorized to its acquisition by the FNE, which will arrap with the costs arising from renegotiation.

Art. 4th the débites of family farmers, mini, small, medium and large producers rural, its cooperatives or associations, concerning operations originating in rural credit, elongated in the form of Law No. 9,138 of November 29, 1995, and of the Resolution No 2,238 of January 31, 1996, of the National Monetary Council, and not renegotiated in the form of the Act No. 10,437 of April 25, 2002, concerning ventures located in the area of acting of the North-East Development Agency-ADENE, of originally contracted value up to R$ 100,000.00 (hundred thousand reais), in a or more operations of the same borrower, can be repaced under the following conditions:

I-the financial debtor balance of the normality operations will be ascertained by the multiplication of the debtor balance of the units of products linked by the respective minimum prices in force, discounting the share of interest of 3% a.a. (three per cent a year) incorporated into the remaining parcels ;

II-the financial debtor balance of operations whose borrowers are defaulted will be ascertained as follows:

a) value of the woven and unpaid parcels: incorporation of the interest rate of 3% a.a. (three per cent a year) incident on the result of multiplication of the number of units of products linked to each plot by the respective minimum price in force on the date of the repactuation ;

b) value of the vincendas plots: multiplication of the debtor balance of the linked product units by their respective minimum prices in force, discounting the share of interest of 3% a.a. (three per cent a year) incorporated into the remaining parcels ;

c) total to be repaced: it corresponds to the sum of the values ascertained in the forms of the letters to and b of this inciso ;

III-on the financial debtor balance ascertained in the forms provided for in the incisos I and II of the caput of this article will focus on interest of 3% a.a. (three per cent a year), plus the change in the minimum price unit of the linked product unit ;

IV-the new installments will be calculated always in equal and successive installments, in months freely paced between borrowers and creditors, on the last day of each month, with maturity at least once a year, with the date of the first instalment expected to be until October 31, 2007 and that of the latter until October 31, 2025 ;

V-repactuation may provide for dispensation of the addition of the variation in the stipulated minimum price contractually whenever payments occur on the due dates, save if the debtor chooses to pay upon delivery of the product ;

VI-the inadimpletion of obligation whose repacement has predicted the dispensation referred to as the inciso V of the caput of this article will occasion, on the remaining balance, the addition of the variation in the minimum price to be stipulated contractually, in the form of the regulation of this Act ;

VII-in the early settlement assumption and total debt until December 31, 2008, apply in addition to the bonus described in § 5º of the art. 5º of Law No. 9,138 of November 29, 1995, discount on the existing debtor balance on the date of settlement, according to the value of the operation on November 30, 1995, namely:

a) 10 (ten) percentage points for valuation value up to R$ 10,000.00 (ten thousand reais) ; or

b) 5 (five) percentage points for operations of higher than R$ 10,000.00 (ten thousand reais).

§ In order to join the repacement that it treats this article, borrowers should make the payment minimum of 32.5% (thirty-two whole and five tenths per cent) of the value of the provision vincenda on October 31, 2006 or the last instalment won, updated with interest of 3% a.a. (three per cent a year) pro rata die.

§ 2nd Case the payment referred to in § 1st of this article shall occur on a date later than October 31 of 2006, will focus interest of 3% (three per cent) on the year pro rata die up to the date of compliance with the obligation.

§ 3rd In the case of operations referenced in the caput of this article formalized with cooperative or association of producers, will consider:

I-each ballot-daughter or individual credit instrument originally firmed by beneficiary final credit ;

II-as a limit, in the case of operation that did not involve resend of resources to cooperates or associates, the result of the division of the value originally financed by the total number of cooperative or active associates of the entity, respected the individual ceiling of R$ 25,000.00 (twenty-five thousand reais) for framing.

Art. 5th borrowers interested in the extension or repacement of debts of which it treats this Lei should formally express their interest to the creditor financial institution.

§ You shall be authorized to suspend the collection or judicial execution of debts originating in rural credit covered under this Act, as of the date on which borrowers express their interest in the extension or repacement of these debts, in the form of the caput of this article.

§ 2nd Ficam financial institutions creditor of debts renegotiated in the form of this Act obliged to suspend execution of these debts and to give up, if applicable, any actions assisted against the respective borrowers relating to the transactions covered in that instrument of credit.

§ 3rd The National Monetary Council will fix:

I-term, not less than 180 (one hundred and eighty) days after the date of publication of the regulation of this Law, in order to comply with the formality to which the caput of this article refers ;

II-term, not less than 60 (sixty) days after the termination of the deadline to which the inciso I refers of this paragraph, to be observed by financial institutions for the formalisation of the extensions and repactutions of debts of which this Act is concerned.

Art. 6th will not benefit from the repacement of debts that it treats this Act the rural producers who have practiced diversion of resources or have been characterized as infidel depositaries.

Art. 7th borrowers of operations undertaken under the grupal or collective contract modality will be able to benefit individually from the renegotiation that it treats this Act if the value of the fraction of the original financing, of its responsibility, is up to R$ 100,000.00 (one hundred thousand reais).

Art. 8th Ficam the manager of the North-East Financing Constitutional Fund-FNE and the Treasury National authorized to take on the burden arising from the provisions of this Act, according to the source of resources to which the elongated operations relate.

Art. 9th the FNE administrator bank should adopt, within the time limit set out in the Regulation of this Act, all procedures necessary to enable the reprogramming of payments of the operations by providing the Finance and National Integration Ministries all information on the final situation of the contracts of which it treats this Act.

Art. 10. The individualization of individual, grupsal or collective rural credit operations, made with aval, framed in the Special Credit Program for Agrarian Reform-PROCERA, in Groups A, A/C and B of the National Program of Strengthening Family Agriculture-PRONAF, including those carried out with resources from the Amparo Fund to Worker-FAT, or of the Financing Constitutional Funds, contracted until December 30, 2005, at risk of the Union, observed the willing in the arts. 282 a to 284 of the Law No 10,406 of January 10, 2002.

§ You are authorized to replace or release guarantees, in accordance with the terms set by the National Monetary Council.

§ 2nd The National Monetary Council will define:

I-the cases where operations will be able to be guaranteed only by personal obligation ;

II-the deadlines for payment ;

III-the other conditions to enable the implementation of these measures.

Art. 11. Repactution, stretching, and individualization of rural credit operations of the Special Credit Program for Agrarian Reform-PROCERA and the National Family Strengthening Program of Familiar Agriculture-PRONAF, which have been filed or formally submitted to financial agents by May 31, 2004, guaranteed the financial conditions provided for in the inciso II of the art. 7th of Law No 10,696 of July 2, 2003.

Art. 12. It is authorized, exclusively for the 2004/2005 crop, the coverage of losses by the Agrolivestock-Livestock Activity Guarantee Program-Proagro and the Family Agricultural Insurance-Proagro More to rural producers who have not filed, in timely time, the term of which treats the single paragraph of art. 11 of the Law No 11,092 of January 12, 2005, or that have planted cultivars not contemplated in the agricultural zoning established by the Ministry of Agriculture, Livestock and Supply, kept on the other requirements of the prevailing standards applicable to those programs.

Art. 13. It is the Union authorized to grant economic grants in the form of rebates, adimplance bonuses, price guarantee of agri-livestock products or other benefits, under the National Family Strengthening Program-PRONAF, to family farmers who hire rural financing operations in the financial institutions in the National Rural Financing System, respected their budgetary and financial availabilities.

Art. 14. It is the Union authorized to grant adhesion bonuses, retroactively, by the nominal value of the settlement season, under the terms set by the National Monetary Council, to the farmers who have been given cost operations in the Groups A/C, C, D and E of the National Agricultural Strengthening Program-PRONAF for financing of rice, corn, cotton, soybeans, cassava, beans and milk, with maturity between January 2, 2006 and July 30, 2006, respected their budget and financial availabilities.

Art. 15. It is authorised to use controlled resources of rural credit, until December 29, 2006, in credit operations in the value necessary for settlement of plots won in 2005 and won or vincendas in 2006, inclusive of the respective inadimpletion charges:

I-from stretching operations or renegotiated to the ampairing of Law No. 9,138 of November 29 1995, including those formalized in accordance with the Resolution No 2,471 of February 26, 1998, of the National Monetary Council, and later amendments ;

II-of funding granted under the aegis of the Revitalization Programme of Cooperatives of Agricultural production-RECOOP, of which it treats the Provisional Measure no 2.168-40, August 24, 2001.

§ 1st The formalization of the operations of which it treats the caput of this article is expected to occur by day 29 of December 2006.

§ 2nd The measure that it treats the caput of this article applies also to elongated operations or renegotiated on the basis of Law No. 9,138 of November 29, 1995, acquired or disonerated of risk by the Union under the provisions of the art. 2nd of Provisional Measure no 2.196-3, August 24, 2001.

Art. 16. Financial institutions will be able to grant rural credit in marketing modality to premium snatches launched by National Supply Company-CONAB for purchase of soybean from crop 2005/2006, upon private contract directed at the disposal of the product or sale option in auctions carried out on the exchange of goods and cereals.

Art. 17. The Executive Power should consider the costs arising from the advantages granted under this Act, promoting limitation of commitment and financial move in equal amount, when financial programming of the monthly disbursement schedule predicted in the arts. 8th and 9º of the Supplementary Law on 101, May 4, 2000.

Art. 18. The National Monetary Council shall establish the conditions necessary for the implementation of the provisions contained in this Act.

Art. 19. This Act shall enter into force on the date of its publication.

Brasilia, July 13, 2006 ; 185th of the Independence and 118th of the Republic

LUIZ INACIO LULA DA SILVA

Guido Mantega

This text does not replace the published in the D.O.U. of 7/14/2006