Bill 795 (14 January) 2003 Official Journal No. 45.064 of 15 January 2003 which are set some standards of the Organic Statute of the financial system and enacting other provisions.
Notes Summary of force the Congress of COLOMBIA, DECREED chapter i. provisions amending the Organic Statute of the financial system.
Article 1o. added the paragraph 1 of article 7. of the Organic Statute of the financial system with the following literal: n) residential leasing operations which should be aimed at real estate intended for housing. These operations will be considered operative leasing for accounting and tax purposes.
The development of this operation the banking institutions must give priority to borrowers of housing loans that have been provided in the enactment of the respective property payment. The above when such individuals, meet the minimum legal requirements related to the respective credit risk analysis.
In the regulations issued by the national Government in development of this article, it shall adopt measures that ensure the protection of the users or tenants.
Jurisprudence validity article 2o. added the paragraph 1 of article 7. of the Organic Statute of the financial system with the following literal: n) enter into contracts no Trusteeship of the portfolio and the debts of the financial institutions that have been the subject of takeover for liquidation.
Article 3rd. Add article 24 of the Organic Statute of the financial system with the following literal: k) receive credits from other establishments of credit for micro-credit operations, subject to the terms and conditions set by the national Government.
Article 4th. added the paragraph 1 of article 29 of the Organic Statute of the financial system with the following literal: i) conclude contracts of trusteeship of the portfolio and the debts of the financial institutions that have been the subject of takeover for liquidation.
Article 5th. modify the literal e) of article 48 of the Organic Statute of the financial system, which will thus be: e) determine the technical heritage, appropriate heritage, the investment regime, heritage required for the operation of the different classes of insurance and limits on borrowing from the insurance companies and capitalization companies. Through this ability the national Government may not establish forced investment.
Article 6o. the literal j Adicionanse), k) and l) to article 48 of the Organic Statute of the financial system, which will thus be: j) Regular payment systems and activities related to this service that are not competence of the Bank of the Republic. This ability will be exercised prior concept of the directive Board of the Banco de la República, to this organism may rule on the impact of regulation in policies responsible. Similarly, it corresponds to the national Government set conditions that entities subject to intervention to develop e-commerce activities and using data messages that is the law 527 of 1999;
(k) establish standards to prevent money laundering in the entities subject to intervention, without prejudice to the attributions of instruction of the Superintendence of banks;
(l) determine the various forms of credit whose rates need to be certified by the Superintendence of banks.
Article 7 Add the Organic Statute of the financial system with the following article, which is incorporated under number 52: article 52. Development of the measurement of assets and liabilities excluding intervention.
1. the national Government will intervene to lay down the rules according to which the measures of exclusion of assets and liabilities and the progressive dismantling of operations, in accordance with the General rules provided for in paragraphs 11 and 12 of article 113 of the Organic Statute of the financial system will run. In faculty development of intervention which is regulated in this article the national Government shall adopt the rules applicable in the event that establishes the existence of active overvalued or undervalued liabilities.
Article 8th. modify third and fourth subparagraphs of paragraph 5 of article 53 of the Organic Statute of the financial system and added a paragraph to the same paragraph as well: in any case, will not allow the participation of the following persons: to) who have committed crimes against the economic assets, money laundering, illicit enrichment and those set out in chapters second of the X title and second of the 13th title of the second book of the Penal Code and the rules that modify them, replaced or added;
(b) those which declared the extinction of domain in accordance with the law 333 of 1996, when they participated in the realization of the behaviors referred to the article 2nd. of the law;
(c () sanctioned for violation of the rules governing individual credit quotas, and d) those that are or have been responsible for the mismanagement of the business of the institution in whose direction or administration involved.
The Banking Superintendent, within five (5) years following the date in which it has decreed the takeover of a financial institution for the purpose of liquidation, may refrain from authorizing the participation of administrators and reviewers prosecutors who had found themselves serving in these positions to the date in which it has decreed measure.
When you want that to submit the application or during the processing of the same is established the existence of a process underway by the facts mentioned in paragraphs 3 and 4 of this article, the Banking Superintendent may suspend the proceedings until a decision in the respective process.
Article 9th. The paragraph 3 of article 68 of the Organic Statute of the financial system, will be thus:
3. procedure. Contractors in celebrated legal businesses intuito personae, must express its rejection or acceptance later within the ten (10) days following shipment by certified mail of the notice of assignment, to the address on appearing as domiciled in the records of the entity. Not to receive reply within the set term means accepted the assignment. The rejection of the transfer entitle the entity to terminate the contract without having resulted in compensation, proceeding to the corresponding liquidation and mutual refunds has place. In any case, not be required acceptance of the assigned contracting when the transfer is the result of the exercise of the measure precautionary measures indicated in article 113 of the present Statute.
Holders of claims that are part of the other contracts covered by the transfer, acceptance will not be required. In any case they shall be notified of the notice to cease within ten (10) days following the conclusion of the operation. The transfer in no event will produce effects of novation.
ARTICLE 10. Modify paragraph 5 of article 71 of the Organic Statute of the financial system, which will thus be: 5. conditions for the authorisation. In development of the acquisition, merger, conversion, split, and transfer of assets, liabilities and contracts covered by article 68 of the present Statute, institutions will be empowered only to advance the activities of the kind of financial institution resulting from the operation. As a result, approval, if required, must be conditional upon that within a maximum period of three (3) months, from the date of it, agreed with the Superintendence of banks a program of adequacy of operations of institution in the regime, which will have a maximum duration of two (2) years.
ARTICLE 11. Add the following paragraph to article 71 of the Organic Statute of the financial system: 8. processes of merger, Division, conversion, acquisition and organization of financial institutions and insurance companies in which the State participates in any proportion, apply the rules laid down in this part. Accordingly, such entities understand themselves empowered to advance these processes and will not require additional authorizations to those provided for in the Organic Statute of the financial system to pre-empt them.
ARTICLE 12. Article 72 of the Organic Statute of the financial system will thus be: article 72. Rules of conduct and legal obligations of the supervised entities, their administrators, directors, legal representatives, reviewers prosecutors and officials. Supervised entities, their administrators, directors, legal representatives, reviewers prosecutors and officials, must act not only within the framework of the law, but within the principle of good faith and service to the public in accordance with article 335 of the Constitution, which have the legal obligation to refrain from doing the following conduct: to) concentrate the risk of assets above the legal limits;
(b) hold or carried out, at any time, contrary to legal provisions, operations with shareholders or persons related or linked to them, beyond the legal limits;
(c) using or providing captured the public resources, for operations to acquire control of other societies or associations without legal authorization;
(d) invest in other societies or associations in the amounts or percentages not authorized by law;
(e) facilitate, promote or run any practice which has as its purpose or effect the tax evasion;
(f) does not provide adequate or reasonable information that in the opinion of the Superintendence of banks must surrender to the public, users and clients of the supervised entities so that they can make informed decisions and can fully know the extent of their rights and obligations in contractual relations that link them or may link to those;
(g) carry out activities or take positions without having taken possession before the Superintendence of banks when the law so requires;
(h) not accounting for the entity monitored according to applicable standards, or carry it in such a way to prevent timely meet the patrimonial situation or operations performed, or refer to the Superintendence of banks accounting information false, misleading or inaccurate;
(i) obstruct the actions of inspection, monitoring and control of the Superintendence of banks, or not to collaborate with them.
(j) improperly use or disclose information subject to the reservation;
((k) comply or delaying compliance with instructions, requirements or orders which designate the Superintendence of banks on matters for which, in accordance with the law, are competence, and l) in general, breach the obligations and functions imposed by law, or incurring the prohibitions, impediments or disabilities relating to the exercise of their activities.
ARTICLE 13. Paragraph 8 to article 73 of the Organic Statute of the financial system, which will thus be added: 8. independence of the boards of Directors, managers or management advice. Boards, tip management or administration of institutions subject to the control and surveillance of the Superintendence of banks, as appropriate, may not be composed of a number of main and alternate members work relating to the respective institution that can form the majority needed to adopt any decision by themselves.
Entities supervised by the Superintendence of banks should adjust the composition of their boards, tip management or administration to the provisions of this paragraph within the year following the entry into force of this law.
ARTICLE 14. Added article 74 of the Organic Statute of the financial system with the following paragraph: 4. possession. Those who have the legal representation of supervised institutions, except for the branch managers, once appointed or elected and before that role, must obtain and oath by which force, while they are in performance of their duties, to diligently manage the business of the entity, to comply with the legal obligations which they are entitled in the same development , and to comply with the rules, orders and instructions issued by the Superintendence of banks in the exercise of its powers.
ARTICLE 15. The paragraph 2 of article 75 of the Organic Statute of the financial system, will be thus:
2 exceptions to the banking establishments. Directors and legal representatives of the banking institutions may cause part of the boards of Directors of financial corporations and commercial finance companies of which they are shareholders. Similarly, managers and legal representatives of insurance companies who participate in the capital of financial corporations, within the limits that should be observed in accordance with its investment regime, may cause part of the boards of Directors of such corporations.
ARTICLE 16. Modify the paragraphs 1 and 4 of article 80 of the Organic Statute of the financial system, in the following way: 1. minimum capital of financial institutions. The minimum amounts of capital that must register to apply for the Constitution of the entities subject to the control and supervision of the Superintendence of banks, with the exception of insurance intermediaries, shall forty and five thousand eighty and five million pesos ($45.085.000.000) for the banking institutions; of sixteen thousand three hundred ninety and five million pesos ($16.395.000.000) for financial corporations. of eleven thousand six hundred thirteen million pesos ($11.613.000.000) for the commercial finance companies; of three thousand four hundred seventeen million pesos ($3.417.000.000) for trust companies; six hundred thirty and a billion pesos ($6.831.000.000) for administering pension funds companies; three four hundred seventeen billion pesos ($3.417.000.000) for administering unemployment funds societies, which will accumulate to that required for administering pension fund societies, when the society manage funds of pension and severance pay, and two thousand seven hundred thirty-three million pesos ($2.733.000.000) for other financial institutions. These amounts shall be annually adjusted automatically in the same sense and percentage that vary the price index consumers supplied by the DANE. The resulting value will approach to the next higher multiple in millions of pesos. The first adjustment will take place in January 2003, on the basis of the variation in the price index consumers during 2002.
For the insurance companies, with the exception of those that have as exclusive object the offering in the field of insurance of export credit and those that carry out activities of reinsurance companies, minimum capital will be five billion pesos ($5.500.000.000.00), annually adjusted form is established in the preceding paragraph, most heritage required to operate the different classes of insurance the amount of which shall be determined by the national Government. Reinsurance entities and insurance entities that carry out activities of reinsurance entities must prove as minimum capital 22 billion pesos ($22.000.000.000.00), annually adjusted in the manner provided in the preceding paragraph. This latter amount includes heritage required to operate the different classes of insurance.
The national Government by rules of a general nature, shall set the minimum capital that must prove financial institutions regulated by special rules which are subject to the control and supervision of the Superintendence of banks and the insurance companies that have as exclusive object the offering in the field of export credit insurance.
The minimum amounts of capital from the insurance companies and reinsurers to be amended by this Act, apply starting from 1 January 2003.
4. the minimum amount of capital provided for by the first paragraph of this article must be fulfilled permanently by entities in operation, except for credit establishments. For this purpose, the minimum capital of operation will result from the sum of the following equity accounts: capital subscribed and paid capital guarantee, reserves, surplus premium placement of shares, undistributed profits from previous years and appreciation of heritage, and accumulated losses are deducted. Also will be taken into account the mandatory convertible bonds into shares under the terms of paragraph 1o. paragraph 5 of this article. Likewise, in the case of entities that are subject to the measures referred to in articles 48, literally i) and 113 of this Statute, may be considered redeemable, convertible into shares or subordinated loans with resources obtained by the placement of shares that are granted to the financial institution, under the conditions set by the national Government. These loans can be granted by financial institutions in cases and under the conditions set by the Government.
ARTICLE 17. Modify the paragraphs 2 and 3 of article 82 of the Organic Statute of the financial system, which will thus be: 2. technical heritage, appropriate heritage and the insurance companies guarantee fund.
(a) technical patrimony. Technical heritage of the insurance entities will be formed by the products and weightings determined by the national Government;
(b) appropriate heritage. Proper heritage of the insurance entities shall correspond to the minimum technical patrimony that must maintain and certify to comply the solvency margin, in the way how to set it the national Government.
The solvency margin shall be determined by the amount of premiums, or of the average burden of claims, which is high. The national Government shall establish the periodicity, form, risks and technical elements of the factors that determine the solvency margin;
(c) guarantee fund. Corresponds to the forty percent (40%) of the margin of solvency or suitable, accredited technical patrimony heritage.
3 heritage required to operate the different classes of insurance. The national Government shall establish heritage required to operate the different classes of insurance that authorized them to the insurance companies. For purposes of the calculation of the minimum capital, required assets will be added to the absolute value indicated in paragraph 1 of article 80 of this Statute.
ARTICLE 18. Add a paragraph 4 to article 83 of the Organic Statute of the financial system, thus:
4. by monthly defects incurred by the insurance entities in the solvency margin referred to in paragraph 2 of article 82 of the Organic Statute of the financial system, the Superintendence of banks be assessed a penalty in favor of the National Treasury the equivalent to three point five percent (3.5%) on the value of the patrimonial defect presenting monthly but shall not exceed, for each breach, one point five per cent (1.5%) of assets required to comply with these relationships.
When monthly defects arising as a result of catastrophic events insurance companies will agree a plan of adjustment with the Superintendence of banks whose term shall not exceed ninety (90) days. Failure to comply with the plan of adjustment shall be punished by the fine provided for in the preceding paragraph. The Superintendence of banks will define the catastrophic events.
Nothing in this article shall be without prejudice to any other sanctions or administrative measures that may be imposed by the Superintendence of banks in accordance with its legal powers.
ARTICLE 19. Modified the second subparagraph of paragraph 1 of article 88 of the Organic Statute of the financial system, which will be thus: for purposes of providing your authorization, the Banking Superintendent shall verify that the person interested in acquiring the shares is not in any of the situations referred to in paragraphs 3, 4 and 5 of paragraph 5 of article 53 of the present Statute and Additionally, compliant relations provided for in paragraph 6 of the aforementioned numeral 5, the investment that you want to except, in the latter case, which concerned transactions of actions carried out with loans granted by financial institutions (Fogafin) guarantee fund for the purpose of restoring the asset soundness of supervised entities.
ARTICLE 20. Add the following paragraph to paragraph 3 of article 88 of the Organic Statute of the financial system: the above exception shall not apply when performing a transaction that entity b of investor participation to more than fifty percent (50%) of the shares subscribed by the controlled entity.
ARTICLE 21. Article 94 of the Organic Statute of the financial system, will thus be: article 94. Offices of financial institutions and reinsurance from abroad.
1 authorization opening. Refers to the superintending authority for banks authorize the establishment in the country of offices of financial organizations and reinsurance from abroad, as well as exercise over them the inspection, monitoring and control with the same powers that has to oversee the financial and insurance sector entities.
The national Government shall designate by rules of General restrictions and prohibitions of the offices, exceptions to the regime's opening, as well as the qualities and requirements to be representative of the same.
2 or offices of representation of financial institutions from the outside. Representation of financial institutions in foreign offices may only provide the services indicated by the national Government, through rules of a general nature.
3 offices of reinsurance from abroad. These offices may only operate in the acceptance or transfer of responsibilities in reinsurance; Therefore, they won't act, directly or indirectly, in insurance.
4. registration of reinsurers and reinsurance from the outside brokers. The Superintendence of banks will hold a record of the reinsurers and brokers of reinsurance from abroad which act or attempt to act on the Colombian market. Such registration is intended to allow assessment of their creditworthiness, experience and professionalism, among other factors. For the effect, designated registration conditions and cases in which is unsafe practice contract with reinsurers or mediation by reinsurance brokers not registered or excluded from the register.
The registration may be denied, suspended, or cancelled by the Superintendence of banks, when the reinsurer or foreign Reinsurance broker fails or ceases to satisfy the General requirements laid down by that body.
5 representation. The representation of the offices referred to in this article will be in charge of the natural person designated by the institution from the outside, which must be correctly po sesionada to this effect before the Superintendence of banks.
6. penalties regime. Failure to comply with the provisions governing the activity of the representative offices will be sanctioned by the Superintendence of banks in the manner provided in articles 209 and 211 of the present Statute. In addition, giving application to the paragraph 2 of article 208 of the present Statute, the Superintendence of banks may order the closure of the office of representation and the removal of the representative".
ARTICLE 22. Article 96 of the Organic Statute of the financial system will be thus: "article 96. Conservation of archives and documents. Books and papers of the institutions supervised by the Superintendence of banks shall be kept for one period not less than five (5) years from the date of the respective seat, without prejudice to the terms laid down in special rules. Expiration of this period, they may be destroyed whenever by any appropriate technical means, to guarantee their exact reproduction.
PARAGRAPH. The management and conservation of archives of public financial institutions in liquidation, shall be provisions for financial institutions in liquidation by the Organic Statute of the financial system and other rules that change it or added. Once five years should make the corresponding playback via any suitable technical means and transferred to the General archive of the nation.
"Labor histories of former officials of the public financial entities in liquidation, shall be transferred to the entity to which they were linked or attached once the corresponding validation completes."
Jurisprudence force article 23. Modify paragraph 1 of article 97 of the Organic Statute of the financial system, which will be thus: "1. information to the users." Supervised entities must provide to the users of the services that provide the information necessary to achieve greater transparency in operations which perform, so that allows them, through elements of judgment clear and objective, choose the best option on the market and can make informed decisions.
In this regard, information is not subject to the reservation corresponding to the assets and to the heritage of the supervised entities, without prejudice to the duty of secrecy that these have on the information received from its customers and users."
ARTICLE 24. Modify paragraph 4 of article 98 of the Organic Statute of the financial system, which will be thus: "4. due provision of service and protection to the consumer."
4.1 duty general. Institutions subjected to the control of the Superintendence of banks, insofar as they carry out activities of public interest, should be used due diligence in the delivery of services to its customers to ensure they receive due attention in the development of contractual relations established with those and, in general, in the normal development of its operations.
Also, in celebration of the operations of its institutions shall refrain from agree clauses that exorbitant character can affect the balance of the contract or give rise to abuse of a dominant position.
4.2 customer Ombudsman. The entities supervised by the Superintendence of banks must have a customer Ombudsman, whose function will be the be spokesman for customers or users to the respective institution, as well as meet and resolve these complaints relating to the provision of services.
Jurisprudence force the customer Ombudsman of the institutions supervised by the Superintendence of banks must be independent of the bodies of administration of the same entities and may not play in them different function to the here provided.
Jurisprudence validity within the parameters laid down in this paragraph the national Government through general standards designated rules to which the activity of the customer Ombudsman of the entities supervised by the Superintendence of banks must agree.
The designation of the customer Ombudsman shall be responsible to the general Assembly of partners or associates of the supervised institutions. At the same meeting in which designated shall include information concerning the appropriations foreseen for the provision of human and technical resources for the performance of functions to it assigned.
4.3 the knowledge of the complaints procedure. Prior to submission to the Superintendence of banks of the individual complaints related to the provision of services by the monitored institutions which by virtue of their powers can know, customer or user shall submit its claim to the Defender, who should pronounce on it in a term that in no case shall exceed fifteen (15) business days from the moment they have all the documents needed to resolve the complaint.
Jurisprudence the term established in the preceding paragraph is understood without prejudice to legal actions that they can present both customers and users and the supervised institutions themselves to resolve their disputes, contractual and those complaints that in collective public interest report to the Superintendence of banks.
Jurisprudence 4.4 effective sanctions. Failure to comply with obligations to the customer Ombudsman Office will be sanctioned by the Superintendence of banks in the manner provided in the seventh part of this Statute. Under the terms of these provisions supervised institutions may be punished by not designate the customer Ombudsman, does not perform the necessary appropriations for the provision of human and technical resources that require adequate performance or for not providing the information you need in performance of their duties. The customer Ombudsman can be sanctioned for breach of the obligations that are her own.
Jurisprudence effective paragraph. The customer Ombudsman can their role simultaneously in several supervised institutions. Is excluded from the obligation of having a customer discount banks Ombudsman."
ARTICLE 25. Add the following paragraph to article 98 of the Organic Statute of the financial system: "5. for the purpose of ensuring the rights of consumers, financial institutions must provide sufficient and timely information to all users of its services, allowing adequate comparison of the financial conditions offered in the market." In any case, the financial information presented to the public must be in effective rates. "The national Government, through rules of a general nature, will determine the frequency and shape as this obligation must be fulfilled."
ARTICLE 26. Article 98 of the Organic Statute of the financial system with the following paragraph added: "6. conflicts of interest." Within the business field of the entities monitored by the Superintendence of banks, directors, legal representatives, reviewers and in general staff with access to inside information has the legal duty to refrain from carrying out any operation that give rise to conflicts of interest.
The Superintendence of banks will impose sanctions that have place when performing operations that give rise to conflict of interest, in accordance with the general sanctioning regime within its competence. Likewise, it may establish mechanisms through which will remedy the situation of conflict of interest, if this.
Additionally, the Superintendence of banks may qualify so general and upon the existence of such conflicts regarding any supervised institution."
ARTICLE 27. Article 104 of the financial system Organic Statute, amended by article 25 of the Act 365 of 1997, will thus be: article 104. Periodic information. Every financial institution shall inform the unit of information and financial analysis (UIAF), all cash transactions covered by the preceding article, in accordance with the instructions that the effect given in the Superintendence of banks, in implementation of article 10 of the law 526 of 1999.
ARTICLE 28. Add article 113 of the Organic Statute of the financial system with the following paragraph:
'11 excluded assets and liabilities. For the purpose of protecting the public in the financial system confidence, the Superintendence of banks may provide, as precautionary measure, the exclusion of assets and liabilities of a credit and as a result of the same establishment, the transfer of the ownership of assets and the transfer of liabilities of that establishment determined to issue the corresponding order When the measure appropriate in the opinion of the Banking Superintendent, to prevent an entity incurred in causal taking possession or to remedy, or as a measure complementary to the takeover.
The extent of exclusion of assets and liabilities shall be subject to the norms that the Government dictates in development of the powers of intervention and the following general rules: to) only will be subject to exclusion liabilities originated in attracting deposits from the public at sight or term, the financial institutions guarantees Fund claims the guarantee fund of cooperative entities and the Bank of the Republic, other than the originating in rediscount operations held with the latter, when end external credit lines, and in the operations of liquidity that is the literal b) of article 16 of the law 31 of 1992. The transfer of liabilities resulting from the exclusion will be void, without prejudice to the notice to be given to the holders of the liabilities subject to exclusion;
(b) liabilities to the public will be transferred in its entirety to establishments of credit on the conditions and under the procedures determined by the national Government, which can use the auction mechanism;
(c) with the excluded assets will settle a heritage that will be separated for all legal purposes of the patrimony of the entity which was excluded, as well as heritage that that under the measure precautionary measures provided for in this paragraph to manage it. That heritage will be only affection to the purposes established in this Statute and may be administered by a settlement of credit under a management contract do not trust or a trust company pursuant to a contract of mercantile trust. Liabilities in favour of the guarantee fund of financial institutions, of the guarantee fund of cooperative entities and the Bank of the Republic will be transferred to this heritage;
(d) exclusion shall include assets by the positive difference, if any, resulting from subtracting assets registered in the last available balance of the institution subject of the measure, before the adoption of the same, the external Manager, liabilities taking into account the adjustments that are necessary in the opinion of the Superintendence of banks in relation to the balance. In any case, it will be sought that there is equivalence between the value attributed to the assets transferred to the heritage formed pursuant to the provisions of clause (c)) of the present paragraph and excluded liabilities;
((e) inside of the excluded assets will be included which have been transferred to the guarantee fund of financial institutions, to the guarantee fund of cooperative entities and the Bank of the Republic through operations of discount or discount window, different from those set forth in the literal to) of this article. In such a case, the aforementioned entities must transfer to heritage constituted in accordance with article 11, clause (c)) of article 113 of the present Statute, the assets that have been disposed of them in development of active operation of credit, or the equivalent in money, at the latest within eight (8) business days following the date in which the measure was adopted Once constituted the heritage in question;
f) in order to make viable the extent of exclusion, where there is no equivalence between assets and liabilities object referred to in the literal precedent, the financial institutions guarantees Fund, within the framework of its legal powers and, in particular, of paragraph 6 of article 320 of the Organic Statute of the financial system in You can subscribe to debt payment subordinate in charge of heritage he transferred assets, so existing assets have a value that corresponds when less excluded liabilities. Within the excluded assets may include assets punished;
(g) with charge to the heritage that settle for excluded assets will be issued certificates representing rights to such assets by an amount equivalent to the excluded liabilities, whose classes and conditions will be laid down by the Board of Directors of the guarantee fund of financial institutions, taking into account the standards issued by the national Government;
((h) with the aim of giving liquidity to the financial institutions guarantee fund excluded assets transferred to the heritage in accordance with clause (c)) of the present paragraph, in Exchange for debt securities issued in a development of provisions of the literal g) of this paragraph, up to a sum equal to the deposit insurance that would be recognized in the event of compulsory liquidation for excluded liabilities;
((i) the financial institutions guarantees Fund will swap debt issued in development in the literal g) of this paragraph, for securities issued by the Fund, with the aim of delivering them as payment to the establishments of credit of the liabilities with the public;
(j) transfers of assets and liabilities excluded shall be made by the administrators of the entity, in the form and terms that should be determined by the financial institutions guarantees Fund, entity that will also determine the recipients of transfers, as well as the guidelines under which may advance by the subject entity of the temporary administration of the excluded assets measurement , to which will be the inter-institutional cooperation of the Superintendence of banks, all subject to the rules established by the national Government;
(k) for tax purposes and determination of notarial rights and registration, transfers that occur in development of the extent of exclusion shall be regarded as acts without amount;
l) the transfer of assets and liabilities shall be perfected with the formal recording of the document or private documents containing and treating rights whose tradition or Constitution is subject to registration, simply with the registration of the corresponding write copy of probate, case in which will be application as provided for in paragraph 4 of article 60 of the Organic Statute of the financial system;
(m) the administrators be liable for up to the slight fault within the meaning of article 63 of the Civil Code, the immediate fulfillment of the obligation to transfer resulting from the exclusion;
(n) in the case referred to in this article and in the event that the liquidation of the entity are available, with respect to assets and liabilities excluded do not apply the rules of article 300 of the Organic Statute of the financial system;
((n) where I will arrive there, the remnants remaining in the heritage constituted pursuant to clause (c)) paragraph present after paying the liabilities affecting you will be transferred to the establishment of credit that alienated the excluded assets.
PARAGRAPH. Mentions to the guarantee fund of financial institutions that are made in the present paragraph, shall be also made to the guarantee fund of cooperative entities, in the case of transactions with cooperative entities registered in the Fund."
ARTICLE 29. Added article 113 of the Organic Statute of the financial system with the following paragraph: "12. Program of progressive deforestation. The progressive clearance program is a measure precautionary measures necessary for the protection of savers and investors, and that it seeks to prevent the entities subject to the control and surveillance of the Superintendence of banks to engage in ground for taking possession or to prevent it. This measure will proceed when the monitored institution expected that in the medium term not may continue fulfilling legal requirements to operate in appropriate conditions provided to ensure the proper care of the public savings. For this case, the entity must adopt and submit to the approval of the Superintendence of banks a progressive deforestation of its financial operations or insurance program. The Superintendence of banks may exempt entities in clearing of the legal requirements of an entity running."
ARTICLE 30. Added the paragraph 13 of article 113 of the Organic Statute of the financial system, which uedara as well: "13. Provision for the payment of labor liabilities. Of the total of the assets that possess the financial institution at the time of the application of the preventive measure of exclusion or progressive deforestation will be the corresponding provision for the payment of the labor debts, social benefits and/or existing legal or conventional compensation, in order to guarantee the cancellation of the same."
ARTICLE 31. Added article 113 of the Organic Statute of the financial system with the following paragraph: "paragraph. The measures referred to in paragraphs 11 and 12 of the present article, may be applicable in situations of reorganization or partial or total dismantling of financial institutions whose capital involved mostly the nation, the guarantee fund of financial institutions or other entities of public law.
The national Government may provide by rules of a general nature that transfer that occurs as a result of the application of the measure of exclusion, will include other liabilities carried out by the institution of a public nature in which falls the extent, case in which one or several of such liabilities may be in charge of the heritage constituted pursuant to clause (c)) paragraph 11 of this article. The management contract for the excluded assets held with the entity designated by the financial institutions guarantees Fund, under the terms and conditions determined by this same and is subject to the reg the of private law. The administration of the excluded assets may be entrusted to the Central de Inversiones S.A. CISA, while the financial institutions guarantees Fund hold majority equity in the same."
ARTICLE 32. Paragraph 1 of article 114 of the Organic Statute of the financial system, will be thus: "article 114. Causal. "1. corresponds to the Superintendence of banks to take immediate possession of property, assets and business of a monitored entity when any of the following facts which, in his view, make necessary measure and prior concept of the Advisory Board present."
ARTICLE 33. Added the paragraph 1 of article 114 of the Organic Statute of the financial system with the following literals: "(k)) fails to comply with the order of exclusion of assets and liabilities which is given you by the Superintendence of banks, and l) when it is fails to comply with the progressive deforesting agreed with the banking Superintendency program."
ARTICLE 34. Added to the literal to), paragraph 2 of article 114 of the Organic Statute of the financial system, the following paragraph: "For the insurance companies, this causal means configured default guarantee fund."
ARTICLE 35. The literal c) of paragraph 3 of article 119 of the Organic Statute of the financial system, will be thus: "c) operations involving conflicts of interest may not take place." The Superintendence of banks must be determined and will qualify as provided in paragraphs 2 and 3 of paragraph 6 of article 98 of the present Statute, the existence of such conflicts. You can also establish mechanisms through which will remedy the situation of conflict of interest, if this place."
ARTICLE 36. Paragraph 1 of article 122 of the Organic Statute of the financial system is thus: "1. operations with partners or administrators and their relatives." Authorized operations determined by the national Government and that held the entities supervised by the Superintendence of banks, with their holders shareholders of five percent (5%) or more of the subscribed capital, with their managers, as well as the celebrated with spouses and relatives of its partners and administrators within the second degree of consanguinity or affinity, or only civil they will be required for approval of the unanimous vote of the Board members attending the respective meeting.
In the minutes of the relevant meeting of the Board of Directors shall be recorded, in addition, has been verified the compliance limits the granting of credit or maximum quotas of debt or risk concentration in force on the date of approval of the operation.
"In these operations may not agree are different conditions to those that generally uses the entity to the public, according to the type of operation, except for those held with administrators to meet their needs for health, education, housing and transport in accordance with regulations for this purpose previously determined by the Board of Directors in general."
ARTICLE 37. Paragraph 5 of article 146 of the Organic Statute of the financial system, will be thus: ' 5. General prohibitions. " No trust company can manage more than one ordinary mutual fund.
The Superintendence of banks may establish limits to the resources of the managed business societies trust, that these entities can keep in sight deposits in its parent or subsidiaries or subsidiaries of this. The limits established by the Superintendence of banks shall not apply when the trustor, expressly and in writing, authorize that their resources are deposited in the concerned entities."
ARTICLE 38. Article 146 of the Organic Statute of the financial system with the following paragraph added: "9. conflicts of interest." Directors, legal representatives, reviewers and general staff fiduciary entities with access to inside information must refrain from performing any operations that lead to conflicts of interest between the trustee and the settlor or beneficiary designated. The Superintendence of banks must be determined and will qualify as provided in paragraphs 2 and 3 of paragraph 6 of article 98 of the present Statute, the existence of such conflicts. You can also establish mechanisms through which will remedy the situation of conflict of interest, if this place."
ARTICLE 39. Modify the paragraph 3 of article 152 of the Organic Statute of the financial system, which will be thus: "3. ordinary mutual funds investments." It is the responsibility of trust companies to adopt methodologies and procedures required for the analysis and safe and efficient management of the risk of the investments that make ordinary mutual funds resources.
The Superintendence of banks will outline principles and general criteria that trust companies needed to adequately assess the hazards involved in such operations.
Trust companies who do not observe the aforementioned principles and criteria shall be referred to the investment regime that by General rules point to the Superintendence of banks.
In any case, entities not may invest in titles of which are issuing, acceptors or guarantor parent or subordinate societies of the respective fiduciary institution."
ARTICLE 40. Paragraph 1 of article 158 of the Organic Statute of the financial system, will be thus: "1. conflicts of interest." The managers and their directors, legal representatives or any official with access to inside information must refrain from performing any operations that lead to conflicts of interest between them its shareholders and contributors of capital and funds or assets administered. The Superintendence of banks must be determined and will qualify as provided in paragraphs 2 and 3 of paragraph 6 of article 98 of the present Statute, the existence of such conflicts. Likewise, it may establish mechanisms through which will remedy the situation of conflict of interest, if this.
When its parent is one of the entities referred to in paragraph 1 of article 119 of this Statute, administrators may do the operations referred to in paragraphs 2 and 3 of the same article."
ARTICLE 41. Added paragraph 5 to article 182 of the Organic Statute of the financial system, thus: "5. for defects in the investment of the reserves incurred by entities insurance and capitalization, the Superintendence of banks companies will impose fines in favor of the National Treasury the equivalent of 3.5% of the defect in each calendar month."
ARTICLE 42. Modify paragraph 1 of article 184 of the Organic Statute of the financial system, which will be thus: "1. models of policy and rates." Prior authorization by the Superinten-dencia Bank of models of policies and rates will be necessary in the case of the initial authorization to an insurance company or for the exploitation of a new bouquet.
In accordance with provisions for the article 2nd. of law 389 of 1997, policy models and the annexes thereto shall be submitted to the Superintendence of banks to their corresponding deposit, under conditions to be determined by the Agency."
ARTICLE 43. Article 186 of the Organic Statute of the financial system, will be thus: "article 186. Technical reserves and investment regime. The insurance entities and those that manage the General system of occupational hazards, anyone that is your nature, shall constitute, among others, the following technical reserves, in accordance with the rules in the face of general character that for this purpose the national Government issued: to) current risk reserve;
(b) mathematical reserve);
((c) reserve for outstanding claims, and d) deviation of claims reserve.
The national Government designated the technical reserves additional to those listed required for the exploitation of the fields. Likewise, it will dictate the rules that determine the relevant technical aspects, to ensure that the different types of insurance which are issued within the Social security system comply with the principles that govern them."
Jurisprudence validity article 44. Amend paragraph 5 of article 193 of the Organic Statute of the financial system, thus:
"5 powers of the national Government in relation to the terms of the policy and contribution to the Fosyga. Because it is a compulsory insurance of forced recruitment, the national Government, through the Ministry of finance and public credit, designated on a uniform basis the General conditions of the policy, the maximum rates that may be charged for the same reason, as well as the value of the contribution to the solidarity and guarantee fund. The value of this contribution shall be calculated as the sum and a percentage of the market value of the vehicle and a percentage of the annual insurance premium. In any case, this value may not exceed 100% of the value of the annual premium.
The Superintendence of banks will periodically review the technical and financial conditions of the operation of this insurance, the purpose for which information deemed appropriate ask the insurance companies.
In any case, the determination of the rates observed the principles of fairness, adequacy and moderation and may be differential ranges according to the nature of the risks.
PARAGRAPH 1 shall be free from contribution to cu alquier institution or Fund, the premiums of the SOAT on motorcycles up to 200 cc of displacement. As a result, premium for these vehicles SOAT exclusively assume the cost of risk that is actuarially determined for them, considering them with a criterion of favorability to others with greater displacement and passenger capacity.
2nd paragraph. For purposes of the fixing of premiums, the national Government set policies for allocation of road accidents, taking into account the liability in the accident causation.
Jurisprudence validity article 45. Replaced the part seventh of the Statute organic of the financial system, which will thus be: part seventh regime disciplinary chapter I. General rules.
Article 208. General rules. Set in this part of the Statute the administrative sanctioning regime applicable to the entities supervised by the Superintendence of banks, as well as to directors, administrators, legal representatives, reviewers prosecutors or other officials or employees.
The administrative sanctioning Faculty of the Superintendence of banks is directed and exercised in accordance with the following principles, criteria and procedures: 1. principles. The banking Superintendency in the application of administrative penalties will guide their activity according to the following principles: to) principle of contradiction: the banking Superintendency shall take into account the disclaimers that make the people who formulated statement of objections and the contradiction of evidence close regular and timely to the punitive administrative process;
(b) principle of proportionality, according to which the punishment must be proportional to the infringement;
(c) exemplary principle of sanction, according to which the sanction imposed persuades other directors, administrators, legal representatives, reviewers prosecutors or officers or employees of the same controlled entity in which the infringement occurred and other entities supervised by the Superintendence of banks, refrain from violating the rule that gave rise to the penalty;
(d) directed revelation principle, according to which the Superintendence of banks may determine the time in which the information in cases in which the revelation of the sanction might endanger the solvency or security of the supervised entities considered individually or as a whole will be disseminated.
In addition, the Superintendence of banks apply the guiding principles of administrative actions laid down in the article grades 3 of the administrative code.
2. criteria for graduate administrative sanctions.
The penalties for administrative offences referred to in this article, will graduate according to the following criteria, as applicable: a) the dimension of the damage or danger to the legal interests protected by the Superintendence of banks, in accordance with the powers which designates it this Statute;
(b) the economic benefit that has obtained for the offender or others, by the Commission of the offence, or the damage that such breach has been caused;
(c) the recidivism in the Commission of the offence;
(d) resistance, refusal or obstruction to the investigative action or supervision of the Superintendence of banks;
(e) the use of fraudulent means in the Commission of the offence, or when using intermediary to hide it or cover up their effects;
(f) the degree of prudence and diligence with which duties have served or have been applied the relevant legal standards;
(g) the reluctance or contempt to comply with orders issued by the banking Superintendency;
(h) carrying out activities or performance of charges without that have taken possession before the Superintendence of banks when the law so requires;
(i) the recognition or acceptance express that makes the investigated on the Commission of the offence before the imposition of the sanction to any place.
These graduation criteria do not apply in the imposition of those fines, regulated by special rules, whose amount is calculated using the methodology indicated by such provisions, such as those relating to lace, levels appropriate heritage, margins of solvency, own position, mandatory investments, maximum and minimum investment and other law controls applicable to the entities supervised by the Superintendence of banks.
3. sanctions. The following are the administrative penalties that the Superintendence of banks may impose: at) reprimand or call;
(b) pecuniary penalty in favor of the national treasure. In the case of the sanctions provided for in article 209 of this Statute, fine may be up to one hundred and ten million pesos ($110.000.000,00) of the year 2002. When in the case of the sanctions provided for in article 211 of this Statute and there is no special rule that establishes the respective penalty, the fine may be up to five hundred fifty million pesos ($550.000.000,00) for the year 2002;
(c) suspension or disqualification up to five (5) years for those positions in entities overseen by the Superintendence of banks requiring their possession performance before that body;
(d) removal of managers, directors, legal representatives or reviewers prosecutors of persons monitored by the Superintendence of banks. This penalty applies without prejudice to that laid down special rules;
(e) closure of the offices of representation of financial institutions and of reinsurance from abroad.
The amounts referred to in this paragraph shall be adjusted annually, in the same sense and percentage that varies price index the consumer provided by DANE.
Pecuniary fines provided for in this article may be successive while persists the breach which originated them.
4. administrative penalties procedure.
(a) initiation of action. The administrative action to determine the Commission of infractions may initiate ex officio, by reports received from third parties, through the practice of administrative visits of inspection, monitoring and control, relocation of other authorities, complaints or reports of natural or legal persons and, in general, by any other means which provides credibility;
(b) administrative action. For the determination of administrative offences the competent officials in the stage prior to the formulation of charges, they will practice tests in accordance with the provisions governing them, always respecting fundamental rights. The subsequent procedure is subject to provisions in a special way in this article and in general in the Organic Statute of the financial system and in the unregulated in particular, to the provisions of the administrative code.
To the actions of the Superintendence of banks in this matter is may not object reservation; However, documents obtained will remain covered by the reservation that the Constitution and the law establishes for them and those who have access to the respective file are required to observe the applicable reservation on the documents that stand there;
(c) Severability. The administrative penalties procedure is divisible. They may therefore formulate and notify the institutional and personal charges separately, and impose corresponding sanctions independently. However, in the case of a same facts or facts related efforts are made to give transfer to those investigated at the same time, in order to be able to confront their disclaimers, stating in each case which charges are proposed to personally and what institutional capacity;
(d) address for service. Advanced actions notification must be made in the direction of the monitored institution appearing in the Registry Office of the banking Superintendency or which has indicated the investigated on the resume submitted for their possession in the same Superintendent, taking into account the updates that have been made for the purpose of notifications in the Office or on the resume.
In the case of supervised institutions having checkbox for correspondence in the Superintendence of banks, in accordance with the regulation that is issued to that effect, notifications by means of communication in the literal f) of this section, the personal or institutional administrators listed in article 22 of the law 222 of 1995, that provide their services to an entity that is monitored at the time of the notification they may be made through the mail box.
When according to the records of the Superintendence of banks the investigated personally has failed to serve the supervised institution in which the events took place, the corresponding administrative action may notify the Directorate to establish the Superintendence of banks through direct verification or through the use of telephone directories or directories.
When it has not been possible to establish the direction of the person under investigation by any of the means outlined above, the actions of the Superintendence of banks will be notified through publication of a notice in a newspaper with broad national circulation.
If during the development of the administrative penalties procedure the investigation or his legal representative designates expressly address so that appropriate actions be notified, the Superintendence of banks must do so to that address from that moment and while the investigation or his legal representative, by written communication addressed to official under whose jurisdiction the procedure, forward not appear annotated specific address change;
(e) notification forms. Within the administrative punitive action notifications will be personal, by edict, by notice or communication.
Resolutions that put end to the administrative action and that resolved the appeal against these shall be notified personally, or by edict if not appearance the person concerned within a period of five (5) days of the mailing by certified mail of the respective citation.
Other acts that are issued shall be notified by means of communication. However, in the case of personal actions with respect to those who at the time of notification not have the quality of Manager of an entity regulated under the terms of article 22 of the law 222 of 1995, notification of the statement of objections will be personally.
In cases where lack of known address the respective notification not may be, shall be the notification notice in a newspaper with broad national circulation;
(f) notification by communication. This type of notification will be by sending by registered mail a copy of the Act corresponding to the address determined in accordance with the literal d) of this paragraph, and shall be stocked on the date of its receipt.
In the events in which they have locker of correspondence in accordance with provisions in the d) this paragraph, notification by communication may be made by the deposit of a copy of the Act in the corresponding box and means stocked at the date of retirement of the same;
(g) formulation of charges. If the competent official considers that the facts under investigation constitute a possible violation, it will formulate the charges for the alleged infringers by motivated act, against which no appropriate recourse.
The Act of formulation of charges shall contain a summary of the facts of any infringements, close until that time tests and standards which are estimated to be broken.
Case of charges based on visit reports, synthesis of the test will be issuance of the report, attaching a copy of the same, and putting at the disposal of the person under investigation at the premises of the Superintendence work papers that support it, without prejudice to review different visit report test media and holders that any;
(h) the formulation of charges Act transfer term. The term of transfer of the Act of formulation of charges alleged offenders shall be thirty (30) days from the day following its notification. During such term the respective record will be available of the alleged offenders on the premises of the official who had made the charges.
The shuttle is the only opportunity that the alleged infringers may have disclaimers deemed relevant. During this term may request the examination of evidence, provide them or object to those obtained before the formulation of charges;
(i) probationary period. The chosen testing be enacted when they are relevant, effective and conducive to the clarification of the facts research. The contributed will be accepted if they meet the previous requirements. Be denied which do not comply with them and it shall order ex officio that are considered relevant by motivated act to designated the term for its practice, which may not exceed two (2) months if it is evidence to practice in the national territory, or four (4) months, if they should practice abroad. The practice tests will begin to take place after after five (5) days from the date of communication of the respective event notification;
j) against the Act of testing resources. Against the Act to revoke wholly or partly chosen evidence comes only the appeal, before the official who issued it, within five (5) days following the date of its notification. That Decree all chosen tests shall not be any resource; nor will be any resource in relation to mandated tests of ex officio;
(k) preliminary assessment. The evidence will be assessed as a whole in accordance with the rules of healthy criticism, attending the administrative nature of the offence, the nature objective corresponding responsibility and the purposes pursued by the sanctioning regime;
(l) resources on remedies against the sanctioning decision. Against the resolution that would impose any sanctions will be only the remedy of appeal, to the immediate superior of the official who issued the Act, which must be filed within five (5) days of its notification. Against the sanction provided for in the literal n) of this article, shall only the appeal. Respect of the sanctions imposed by the Banking Superintendent and the decisions referred to in article 335 of the present Statute, shall be only the appeal.
In matters not provided in this article and in general in the Organic Statute of the financial system, the filing and processing of resources is subject to the provisions of title II of book 1 of the administrative litigation code l;
(m) suspension of terms. The term intended to issue and notify the resolution putting an end to the action shall be suspended in the following cases: 1. when occurs any of the grounds of disqualification or disability established in the administrative code and the code of Civil procedure with respect to any of the officers who need to carry out inquiries, practice tests or to pronounce decisions in the administrative procedure.
The term of suspension in this event will be equal to that required for exhausting the procedure for recusal or disability, in accordance with the procedure laid down in the administrative code.
2 for the probationary period that is the literal i) of this paragraph, case in which the suspension shall run from the record of the Act that ruling on evidence in the action, and by the term that points to the same practice;
(n) refusal to provide information. Natural or legal persons who refuse to submit reports or documents required in the course of administrative investigations, hide them, prevent or not authorise access to their files to the competent officials, or submit the information requested with significant errors or incomplete, they will be sanctioned by the competent official in the performance of the respective fine in favour of the National Treasury of up to ten (10) minimum legal monthly wages in force at the time of occurrence of the facts giving rise to the penalty, without prejudice to the penalties to which any violation of the provisions governing the activity of the institutions supervised by the Superintendence of banks;
n) sanctioning procedure for refusal to provide information. The established in the preceding paragraph shall be imposed by a motivated decision, prior transfer of charges the person punished, who will have a term of five (5) days to present their disclaimers.
The Act of formulation of charges must be notified, as provided in the literal d) of this paragraph, within the month following the date in which occurred the facts of sanction.
The resolution putting an end to the action by reluctance must be issued and notified within two (2) months from the expiration of the term in response to the statement of objections. Against this resolution comes the appeal, which must be filed within five (5) days following the date of its notification and resolved within the two (2) months following the date of its filing.
PARAGRAPH. This action does not suspend or disrupt the development of the administrative procedure which were later to establish the Commission of breaches of the provisions governing the activities of entities supervised by the Superintendence of banks;
(o) prescription of the action for recovery. The action of collection by coercive jurisdiction of fines imposed by the Superintendence of banks prescribed in term of five (5) years, from the record of orders imposing them. The prescription shall decree ex officio or at the request of the debtor.
The term of prescription of the action for recovery is interrupted with the notification of the order of payment, case which will begin to run again from the day following the notification of the same commandment;
(p) reimbursement of fines. In the event that the administrative act by which a fine in favour of the National Treasury has imposed by the Superintendence of banks be declared null by the jurisdiction of the contentious administrative, and fine has already been entered in favour of the National Treasury, the Ministry of Finance shall refund the respective amount to the person in whose favour the judgment has been handed down which will be in the form and terms provided for in the judgment and the articles 176 et seq. of the administrative code;
(q) rem ision of obligations. With respect to coercive collection of fines imposed by the Superintendence of banks in favor of the national treasure, as well as the collection of contributions required by the same, shall be remission of duties in events, terms and conditions and with the effects provided for tax obligations in the legislation in force.
The decision will be made by reasoned ruling issued by the officer invested with coercive jurisdiction in the Superintendence of banks, in which to sort the completion and file of the process.
When the monitored entities submit financial and accounting information to the Superintendence of banks, duly certified by the Legal Representative and the Prosecutor reviewer, in connection with reports on lace, adequate levels of heritage, margins of solvency, own position, mandatory investments, maximum and minimum of investment and other law controls, such information is a statement on compliance or non-compliance.
If objections by the Superintendence of banks are not presented within sixty (60) days of the submission of the aforementioned information, the Declaration will be firm. The controlled entity may, only once, within fifteen (15) days following the presentation of the Declaration to add or clarify the information presented.
In the latter case the Superintendence of banks will have a period of thirty (30) days from the date of the presentation of the addition or clarification, to pronounce definitively. Issued the pronouncement by the Superintendent within that period, or expired the term without any pronouncement the Declaration will remain firm.
In the event that the Superintendence of banks formulate objections within sixty (60) days provided for in this paragraph, the controlled entity will have a term, by one-time, fifteen (15) days from the date of the communication that objects to the settlement, for controvertir the same. If the monitored entity, within this period, do not pronounce or paves the objections of the Superintendence of banks the liquidation will be firm. If he contests it, under the well-founded reasons, the pronouncement issued by the monitoring body on the same will have definitive character and leave the respective liquidation firm.
Once remains firm the submitted declaration or liquidation that the Superintendence of banks, as appropriate, the monitored entity must be entered in favor of the National Treasury within ten (10) days of the value of the autoliquidable sanction contemplated in standard which thus determine it.
Once the aforementioned period unless the aforementioned appropriation has been made, interests of mora will be generated under the terms laid down in paragraph 1 of article 212 of this Statute. In this event the Superintendence of banks may charge the obligation for coercive jurisdiction for enforcement the declaration together with the certification have been firm which is issued by the officer as the Banking Superintendent shall be determined through general act.
6 effective jurisprudence. Expiration.
The Faculty having the Superintendence of banks to impose sanctions will expire three (3) years as follows: to) in the conduct of instant execution, from the day of his summation;
((b) in the behaviors of permanent or successive, run from the realization of the final act, and c) behavior remiss, since when it has ceased the duty to act.
When several behaviors are investigated in a same administrative action, the expiry of the punitive power of the Superintendence of banks will be independent for each one of them.
Notification of the corresponding penalties administrative act be interrupted the term of expiry of the punitive faculty.
7 reserve actions that take into sanctioning administrative processes that later the Superintendence of banks will have the character of reserved against third parties. Sanctions shall not be booking once notified, without prejudice to the literal d) of paragraph 1 of article 208 of this Statute with regard to the principle of revelation directed.
Article 209. Personal administrative sanctions. The banking Superintendency may impose the penalties provided for in this Statute to directors, administrators, legal representatives, reviewers prosecutors or other officials or employees of an institution subject to their surveillance when they engage in any of the following events: a) fail to comply with the duties or legal obligations that apply them in the performance of their functions;
(b) to execute acts resulting in violation of the law, of rules issued the national Government in accordance with the Constitution and the law on development of its powers of intervention, the bylaws or any legal rule which in the exercise of their functions or the monitored institution must hold
Jurisprudence force c) fail to comply with the rules, orders, requirements or instructions issued the Superintendence of banks in the exercise of its powers, when such failure constitutes a breach of the law;
(d) to authorize or not to avoid do it, acts that are in violation of the Act, the regulations issued by the national Government in accordance with the Constitution and the law on development of its powers of intervention, the by-laws, or rules or instructions issued by the Superintendence of banks in the exercise of its powers.
Jurisprudence previous Lo effect without prejudice to any other actions or sanctions that have place.
Article 210. Civil liability. Any director, Manager, legal representative, official of an institution regulated by the Superintendence of banks that knowingly violate or permit violation of legal provisions will be personally liable for the loss than any natural person or legal suffer by reason of such offences, without prejudice to any other civil or criminal sanctions which designates the law and measures that might impose the Superintendence of banks in accordance with its powers.
Article 211. Institutional administrative sanctions.
1. general scheme. They are subject to the penalties provided for in this Statute, institutions subject to the supervision of the Superintendence of banks when: a) fail to comply with the duties or obligations imposed upon them by the law;
(b) to execute or authorize acts which are in violation of the Act, the regulations issued by the national Government in accordance with the Constitution and the law on development of its powers of intervention, the by-laws, or rules or instructions issued by the Superintendence of banks in the exercise of their functions;
Jurisprudence force c) fail to comply with the rules, orders, requirements or instructions issued the Superintendence of banks in the exercise of its powers, when such failure constitutes a breach of the law;
The foregoing without prejudice to any other actions or sanctions that have place.
2. provisions relating to administering societies of pension and unemployment funds. Provisions of articles 83 paragraph 2 and 162 article 5 of this Statute shall be without prejudice to penalties which may impose the Superintendence of banks in development of the provisions of article 209 of the same.
3. provisions relating to the prevention of criminal offences. When rape as he referred to the first paragraph of this article falls on the provisions contained in chapter XVI of the part third of the Statute organic of the financial system, the fine that may be imposed will be up to seven hundred forty and two billion pesos ($1.742.000.000.00) in 2002.
In addition, the Banking Superintendent may order the fined establishment that you allocate a sum up to seven hundred forty and two billion pesos ($1.742.000.000.00) of 2002 on the implementation of corrective mechanisms of internal character that must be agreed with the same inspection body.
These sums will reset as provided in paragraph 3 of article 208 of this Statute.
INTEREST ON PENALTIES.
Article 212. Interests.
1. general scheme. From the record of any resolution by means of which the Superintendence of banks impose a penalty and until its cancellation, persons and entities subject to its control and monitoring must be recognized in favour of national treasure a monthly interest equivalent to one and a half times (1.5 times) the current bank interest certified by the Superintendence of banks for the respective period , on the unpaid value of the sanction.
2. provisions relating to administering societies of pension and unemployment funds. From the record of the resolution by means of which impose any of the sanctions to which refer to article 83 paragraph 2 and 162 paragraph 5 of the present Statute and until the day in which the value of the fine imposed is cancelled, administering pension and severance pay funds societies recognize on behalf of the National Treasury a monthly interest equivalent to one and a half times (1.5 times) the current bank interest certificate by the Superintendence of banks to the respective pe period, on the unpaid value of the sanction.
PARAGRAPH. Once the Bank Superintendency certified different rates of current banking interest in accordance with the provisions of this Statute, the interest rate that must be recognized on the net value of the sanction in the events described in the preceding paragraphs shall be equivalent to one and a half times (1.5 times) current bank interest certified by the Superintendence of banks for the respective period consumer loans.
ARTICLE 46. Modify article 213 of the Organic Statute of the financial system, as well: article 213. Rules applicable to credit institutions, companies in financial services, insurance companies, capitalization companies and other financial institutions, insurance brokers and reinsurance brokers. The rules governing the banking institutions, everything that is not contrary to its special provisions shall apply to financial corporations, commercial financing companies, financial cooperatives, financial services companies and capitalization companies.
Besides the special rules governing its activity, you will apply the following rules to the insurance companies, insurance brokers and reinsurance brokers: article 10 literals b), c), g); Article 73 numerals 1, 2, 4, 5 and 6; Article 74; Article 81 paragraphs 1, 2, 3 and 4; Article 84, paragraphs 1 and 2; and article 85 of the Organic Statute of the financial system.
Similarly, in addition to the special rules and those referred to in the previous paragraph, will be applicable to insurance brokers and reinsurance brokers as enshrined in articles 55 to 65; Article 67 article 68 and article 71 of the present Statute.