Provisions...

Original Language Title: DISPOSICIONES...

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Read the untranslated law here: http://www.asamblea.gob.sv/eparlamento/indice-legislativo/buscador-de-documentos-legislativos/disposiciones-especiales-y-transitorias-para-reactivar-el-sector-de-pequenos-productores-agricolas/archivo_documento_legislativo

1 Decree No. 670 the Assembly Legislative of the Republic of EL SALVADOR, whereas: I.-that the Bank of promotion agricultural through the program grain, granted, to 50,000 thousand small farmers, microcredit by an amount of $100.00 dollars of them United States of America, funds that is would use for get inputs agricultural for the sowing of cereals, as corn, bean and others.
II.-that in 1998, agricultural crops were damaged and destroyed by the natural phenomenon called storm Mitch; crop damage was severe, with flooding nearly 1000 km2 of grassland or cultivated land. The flood destroyed the 37% of the production of beans, 19% of corn and 20% of cane of sugar. At the same time there were large losses in the livestock, including the death of approximately 10,000 animals; In addition the floods destroyed bridges and damaged 2,000 km of roads without paving; It is worth mentioning that, in the year 2005, agricultural crops were damaged and destroyed by the natural phenomenon called Hurricane Stan; both natural phenomena caused losses for producers of basic grains and precluded them to be able to cancel credits that had been received for the planting of their crops.
III.-that concerned microcredit granted to these small farmers, paying would do it with the sale of the product of the harvest in reference, but that due to the natural phenomena that occurred were lost the crops, which has caused to the date that the beneficiaries have not had the financial capacity to pay off outstanding debt.
IV.-that in 2009 through the Legislative Decree No. 53, dated 24 June of that year, published in the official newspaper Nº 133, volume no. 384, dated July 17, 2009; and Legislative Decree No. 805 of date 11 August 2011, published in the Official Journal No. 168, volume no. 392, dated 9 September of that same year, were issued special provisions and SPD which had as their object contribute to the development and strengthening of small farmers, establishing them measures that facilitate the payment of debts , and thus resolve your credit status, which would allow them to once again acquire inputs to work on crops of subsistence, one of them being the cancellation of credit owed within the program through the mechanism of prompt payment of $1.25 dollar for each one hundred dollars of the United States of America ($100.00), with which the debt would be fully paid.
V-which when described in the previous recital, legislative decrees have been issued there was an initial portfolio of debtors of 30,739 cases, of which only 6,412 debtors could qualify for this benefit, i.e. a 20.86%, leaving a nonperforming loans of 23,446 credits to date. These small 2 farmers have fallen in arrears, which does not allow them be eligible for credit before the financial institutions, making it look with the difficulty of obtaining new loans to work their land and also for the payment of acquired debt.
VI. that on the basis of the above is necessary to issue special and transitory, provisions allowing small farmers to get out of this situation of non-performing loans, so that they can work their lands and be subjects of credits again.
Therefore, in use of its powers constitutional and to initiative of them members José Francisco Merino, Orestes Mr. Fredesmán Ortez Andrade, Mario Marroquín Mejía, Abel heads, Audelia Guadalupe Lopez of Kleutgens, David Rodriguez Rivera, Lorenzo Rivas Echeverria, blonde Ronald Rivas, Omar Arturo Escobar Oviedo, Jose Alvaro Cornejo, Jose Santos Melara, Samuel López; and with the support of the Deputy Mártir Arnoldo Marín Villanueva.
Thus DECREES the following special and transitory, provisions: article 1.-all farmers who were benefited with the granting of up to two credits of one hundred dollars of the United States of America ($100.00) each one, or one only of two hundred dollars of the United States of America ($200.00), conceded to them by the Banco de Fomento Agropecuario grain program this year with its own resources 2005 , and transferred mostly to the trust special Kredinstanstalt für Wierderaufbau (KFW), and to date found with outstanding balances, including these, administrative costs for the handling of referral credits and capital and interests of all kinds, to such institutions, they will have to cancelled these debts by the mechanism of prompt payment in the amount of $1.25 dollar of the United States of America , for each one hundred dollars of the United States of America ($100.00) credit awarded, and this paid off in its entirety the referral credit.
Once payment of the $1.25 dollars from the United States of America, for every hundred dollars of the United States of America ($100.00) of credit referred to in the preceding paragraph, the Bank, as the trustee of the special trust of the Agricultural Sector (FIDEAGRO) or as administrator of the agreement of the trust Kredinstanstalt für Wierderaufbau (KFW) It will extend the respective proof of total cancellation to the debtor or the third party who paid for the account of this, and develop accounting items that need to be made in the accounts of the Bank and each of these trusts for this purpose.
Article 2.-are also incorporated into this Decree, all beneficiaries who received credits for planting, which in consequence of natural phenomena storm Mitch and Stan, were affected in its cultivation of basic grains; provided that the amount of credits granted does not exceed two hundred dollars of the United States of America ($200.00); regardless how he was hired.

3 article 3.-the beneficiaries of this Decree have a period of two years from the entry into force of the same to qualify for this.
Article 4.-be suspended for a period of two years, the mercantile Executive lawsuits at any stage that are initiated against natural or legal person referred to in article 1 of this Decree.
Article 5.-El Banco de Fomento Agropecuario, shall be published through the media deems necessary, the content of this Decree, and notify the beneficiaries of it, to be aware of its contents. Likewise, inform institutions related, on the appropriations cancelled in order to not affect the credit record.
Article 6.-this Decree shall enter into force as from the day of its publication in the official journal.
GIVEN in the blue room of the Legislative Palace: San Salvador, to the two days of the month of may of the year two thousand fourteen.
OTHON SIGFRIDO REYES MORALES, PRESIDENT.
ENRIQUE ALBERTO LUIS VALDES SOTO, GUILLERMO ANTONIO GALLEGOS NAVARRETE, SENIOR VICE PRESIDENT. SECOND VICE PRESIDENT.
DURAN JOSE FRANCISCO MERINO LÓPEZ, FRANCISCO ROBERTO LORENZANA, THIRD VICE PRESIDENT. FOURTH VICE PRESIDENT.
CARLOS ARMANDO REYES RAMOS, FIFTH VICE PRESIDENT.
LORRAINE GUADALUPE PENA MENDOZA, MANUEL VICENTE MENJIVAR ESQUIVEL, FIRST SECRETARY. SECOND SECRETARY.
SANDRA MARLENE SALGADO GARCÍA, JOSÉ RAFAEL MACHUCA ZELAYA, THIRD SECRETARY. FOURTH SECRETARY.
IRMA LOURDES PALACES VASQUEZ, ERNESTO ANTONIO ANGLE MILE, FIFTH SECRETARY. SIXTH SECRETARY.
FRANCISCO JOSE ZABLAH SAFIE, JOSE SERAFIN ORANTES RODRÍGUEZ, SEVENTH SECRETARY. EIGHTH SECRETARY.

4. presidential House: San Salvador, on sixteenth day of the month of may of the year two thousand fourteen.
PUBLISHED, Carlos Mauricio Funes Cartagena, President of the Republic.
Pablo Alcides Ochoa Quinteros, Minister of agriculture and livestock.
D. OR. No. 90 volume no. 403 date: May 20, 2014 SV/adar 30-06-2014 legislative index