The Amendments To The Law On Credit Institutions

Original Language Title: Grozījumi Kredītiestāžu likumā

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The Saeima has adopted and the President promulgated the following laws: the law of credit institutions to make the law of credit institutions (the Parliament of the Republic of Latvia and the Cabinet of Ministers rapporteur, 1995, nr. 23; 1996, 9, 14, 23 no; 1997, no. 23; 1998; 2000, no. 13, no. 13; 2002, nr. 10) the following amendments: 1. Replace the entire text of the Act, the words "parent company" (the fold) with the words "parent company" (the fold) and the words "subsidiary undertaking" (the fold) with the words "subsidiary company" (the fold).
2. in article 1: Express 10, 11 and 12 of the following paragraph: "10) — the parent company of the company, which controls another company;
11) subsidiary company: a company that is controlled by another company;
12) control — a condition in which a person has control of the company, if: (a) that person is a commercial company) decisive influence on participation;
(b) that person is a commercial company) decisive effect on a group contract basis;
c) between that person and the company exists any other point "a" or "b" referred to in subparagraph relationships analogous relationships; "
turn off paragraph 15, the words "that also".
3. Turn off the article 15 paragraph 3, the words "credit unions".
4. Make the article 29 the first, second and third subparagraph by the following: "(1) any person, if it wants to get a qualifying holding in the bank, on the previously notified in writing to the financial and capital market Commission. The notification shall specify the extent of the participation percentage of the bank's share capital or voting shares.
(2) If a person wishes to increase his qualifying holding, reaching or exceeding 20, 33 or 50 per cent of the bank's share capital or voting shares, or the number of the bank becomes that person's subsidiary company, such decision shall be notified in writing to the above financial and capital market Commission. The notification shall specify the extent of the participation percentage of the bank's share capital or voting shares.
(3) financial and capital market Commission within three months from the date of receipt of the first and second part of the Declaration, assesses a person's reputation, financial standing and if the financial and capital market Commission believes that such a significant acquisition or the increase does not provide a financially sound, prudent and regulations appropriate for the management of the bank, because the person does not meet the banks ' shareholders, it does not agree with the significant acquisition or building and immediately on the following its decision notified to the party concerned and to the bank. "
5. To supplement the law with article 30.1 of the following: ' article 30.1. Considering article 29 of this law in the first and second paragraphs of these notifications, financial and capital market Commission consults with Member States of the European Union or European economic area State authorities supervision of credit institutions, if the proposed acquirer is essential in a Member State of the European Union or European economic area country registered a credit institution or a Member State of the European Union or European economic area country of the credit institution, the parent or the person who controls in a Member State of the European Union or European economic area country credit institution and if, the person acquiring or increasing the qualifying holding, the bank becomes that person's subsidiary or come under its control. "
6. Express, 32 and 33 31. article as follows: "article 31. If a person wishes to terminate his/her qualifying holding in the bank, so in advance of any such decision shall be notified in writing to the financial and capital market Commission. The notification shall specify the person remaining bank's share capital, or the number of voting shares. If a person wants to reduce his qualifying holding below 20, 33 or 50 per cent of the bank's share capital or voting shares or bank that person ceases to be a subsidiary company, so such decision shall be notified in writing to the above financial and capital market Commission.
32. article. (1) the Bank shall immediately, as soon as it became aware of it, notify the financial and capital market Commission for substantial participation of any person, increases or decreases. The notification shall specify the extent of the participation of the person concerned as a percentage of the bank's share capital or voting shares or information about significant participation.
(2) the Bank shall, in accordance with the procedure prescribed by law shall be submitted to the Finance and capital market Commission annual report shall also be submitted at the same time, the list of all shareholders who own qualifying holdings in the bank. At that point, in accordance with the law to the general meeting of shareholders to be produced in the list, and the amount of the qualifying holding of shareholders as a percentage of the bank's share capital or voting shares.
33. article. (1) if the qualifying holding acquired the bank of persons at risk or impact can threaten its financial stability, prudent and regulations according to the management, financial and capital market Commission requesting to immediately stop such effects, as well as, if necessary, request the bank Governing Board or any Board members to the withdrawal or prohibit the use of all the voting rights of shares belonging to the significant participation of the graduates concerned persons.
(2) if the person has not complied with article 29 of this law the first or the second part, the financial and capital market Commission apply this law referred to in article 33 restrictions and penalties.
(3) if the person is not subject to the financial and capital market Commission ban, obtain or increase the qualifying holding, it does not have the right to use all the voting rights of the shares belonging to it, as well as the decision of the general meeting are adopted through this stock voting rights, have effect from the date of their adoption and the records may be made in the commercial register and other public records. "
7. To supplement the law with article 33.1 of the following: ' article 20.6. Establishing a person indirectly about the participation of the bank shall take account of such persons for voting rights in the bank: 1) the voting rights arising from the shares for which the person's task got a third party on your behalf;
2) voting rights arising from the shares, which gained the company located in the person's control;
3) voting rights held by a specific person in a written contract concluded with third parties about the sustained or systematic common action with regard to the management of the bank;
4) belonging to third persons the right to vote, which the person or company that is in the person's control, in accordance with the written contract is the right to use a specific period or without a time limit for payment or not;
5) voting rights arising from the person holding the transferred shares, of which the person is entitled to use at their discretion without a separate task from the person who owns the shares;
6) voting rights arising from the shares for which the person transferred to third parties as security without losing voting rights deriving from them;
7) voting rights arising from the shares for which a person is entitled to obtain under a written agreement, depend solely on the same person;
8) voting rights arising from the shares for which the person is obtained their borrowing, reverse repurchase or similar transactions;
9) voting rights arising from any other persons indirectly acquired the shares. "
8. Turn off the article 46.
9. Article 63: Add to the article with a new second subparagraph by the following: "(2) the bailiff enforcement proceedings for recovery of the amount of money provided by the terms of the natural and legal persons of the accounts to the extent necessary to carry out the functions laid down in the national law.";
consider the second part of the third part;
adding to the third paragraph after the words "public authorities" with the words "or officials".
10. Express article 65 first and second subparagraph by the following: "(1) a legal person Seized the money and other values that are in the credit institution, or impose them arrest can only be issued on the basis of the Court's documents, execution of court orders prosecutors bailiff or sanctions, but that person's account of the operation of part or all of the suspension to be carried out at the request of the State revenue service.
(2) on the drive for funds of legal persons and other values may be directed on the basis of the Court issued execution document, a bailiff's order or at the request of the tax administration, tax laws, but in the cases provided for by the request of the State revenue service – also in other cases provided for by law. "
11. Express article 66 the following: ' article 66. (1) a natural person Seized deposits and other values that are a credit institution or to put them in the arrest can only be issued on the basis of the Court's documents, execution of court orders prosecutors bailiff or sanctions.
(2) recovery on the physical person deposits and other values may be directed on the basis of the Court issued execution document, a bailiff's order or decision of the tax administration on the overdue tax payment, in accordance with the law on taxes and fees "."
12. transitional provisions be supplemented with paragraph 13 as follows:

"Amendment 13 Article 63 of the law shall enter into force simultaneously with the bailiffs ' entry into force of the law."
The Parliament adopted the law of 24 October.
State v. President Vaira Vīķe-Freiberga in Riga on June 6, 2002 November Editorial Note: the law shall enter into force on the 20 November, 2002.

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