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Rules On The Action Programme "entrepreneurship And Innovation" 2.2.1.1. Appendix Activity "investment Fund Investment Guarantees, Subprime Loans, Venture Capital Funds And Other Financial Instruments"

Original Language Title: Noteikumi par darbības programmas "Uzņēmējdarbība un inovācijas" papildinājuma 2.2.1.1.aktivitāti "Ieguldījumu fonds investīcijām garantijās, paaugstināta riska aizdevumos, riska kapitāla fondos un cita veida finanšu instrumentos"

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Cabinet of Ministers Regulations No 818 in 2011 (19 October. No 60 42. §) rules on the action programme "entrepreneurship and innovation" 2.2.1.1. Appendix activity "investment fund investment guarantees, subprime loans, venture capital funds and other financial instruments" Issued under the Cabinet of Ministers Act article 31 equipment, first paragraph, point 3 i. General questions 1. determines: 1.1. procedures for implementing the action programme "entrepreneurship and innovation" in Appendix 2.2. priorities "financial access contributes" UR2.2.1.pas "financial resources" 2.2.1.1. activity "investment fund investment guarantees , subprime loans, venture capital funds and other financial instruments "(hereinafter referred to as the activity) and the introduction of the investment fund;
1.2. the Trust Fund's enforcers.
2. The purpose of the activity is to provide small and medium-sized business operators access to finance for the start-up and development of business, receiving loans or risk capital, if the security is not enough savings and attraction to the extent necessary, as well as to promote the competitiveness of Latvian operators in external markets, to promote the acquisition of new markets and strengthening existing markets, developing and ensuring the Latvian traders of financial instruments as export guarantees to promote exports.
3. activities within achievable outcome indicator –-2013 risk capital received 65 small and medium sized merchants.
4. activities within the table of results to be achieved by 2013 – small and medium-sized komersanto invested in venture capital funding will amount to EUR 65 000 000, as well as seed stage investment 45 financed further development stages.
5. activities within the responsible authority provides the Ministry of economics.
6. Ministry of the economy according to competency: 6.1. ensure the supervision and control of the activity, including the n + 2 principle apply to the activity level, the implementation of the Council of 11 July 2006, Regulation (EC) No 1083/2006 laying down general provisions on the European regional development fund, the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No 1260/1999 (hereinafter Regulation No 1083/2006), 1 and article 93, paragraph 2;
6.2. the contract with the company with limited liability "the Latvian guarantee agency (hereinafter the Agency) for the implementation of the activity of the Commission of 8 December 2006, Regulation (EC) no 1828/2006 laying down provisions for the implementation of Council Regulation (EC) No 1083/2006 laying down general provisions on the European regional development fund, the European Social Fund and the Cohesion Fund, and the European Parliament and Council Regulation (EC) No 1080/2006 on the European Regional Development Fund (hereinafter Regulation No 1828/2006) 43. Article 44, and requirements (hereinafter referred to as the agreement on the implementation of the activity);
6.3. check and approve investment fund reporting.
6.4. provide information to the public and provide publicity on matters related to investment funds;
6.5. the accumulation of data the European Union structural funds and the cohesion fund management information system;
6.6. the activities under the agreement for the implementation of the investment principles and their changes with the Treasury and the Ministry of finance.
7. the implementation of the activities to be co-financed by the European regional development fund, the State budget and private financing. The total amount of investment funds is 107 880 414 lats, including private funds – 43 573 848 dollars, and public funding – 64 306 566 Lati, comprising the European Regional Development Fund funded 58 529 801 dollar and financing the State budget 5 776 765 lats.
II. Trust Fund for adopters, the requirements and procedures of conclusion of the contract 8. Investment Fund introduction Agency.
9. the Agency's European Investment Fund financial means accepting that are created as a Trust Fund for the purpose of the activity in accordance with the Government of the Republic of Latvia and the European investment fund the European Union's structural funds implementation (approved by Cabinet of Ministers of 10 July 2008. Regulations No 534 "for the Government of the Republic of Latvia and the European investment fund the European Union's structural funds implementation"). The Agency takes over the European Investment Fund financial resources, together with all the Investment Fund's assets and liabilities (all European Investment Fund Investment Fund held the rights, claims and liabilities relating to any agreements concluded, to ensure the implementation of the activity).
10. the Agency's Investment Fund organized as a separate block of finance, in accordance with Regulation No 1828/2006 article 43, paragraph 2, provides a clear separation of financial flows from the other activities of the agency financial flows. A separate block of Finance shall lay down the procedure for the establishment of the agreement on the implementation of the activity.
III. Investment Fund 11. Agency for implementing open Trust Fund account for the Treasury, which is credited to the Trust Fund's financial means according to paragraph 9 of these regulations.
12. Revenue accruing from investment of the Fund and the management of the Agency, including this provision in paragraph 11 the specified account and are used to achieve the objective of the activity.
IV. Investment Fund business plan 13. Ministry of the economy, the Agency shall submit the investment fund business plan of Regulation No 1828/2006, 43, 44 and 45. the requirements of article month after the entry into force of these regulations.
14. the decision of the Ministry of economy investment fund business plan adopted two weeks after receiving it.
V. Trust Fund introduction 15. Introducing the investment fund, the Agency must: 15.1 Introduction investment funds under the agreement for the implementation of the activity;
15.2. regular, but not less frequently than once a year to review the investment fund business plan, taking into account the progress of the implementation of investment funds, and, if necessary, propose amendments to it;
15.3. to prepare Trust Fund financing for the implementation of management tools (financial intermediaries) selection;
15.4. to organize the Fund's financial intermediary selection according to the requirements of the legislation in the area of public procurement. Choosing an investment fund for financial intermediaries, making their compliance monitoring Committee approved selection criteria;
15.5. to conclude with financial intermediaries for the introduction of financial engineering instruments;
15.6. This provision in the agreement referred to in paragraph 15.5. do not include the arbitration clause without the consent of the Ministry of the economy;
15.7. to monitor and control financial engineering instruments;
15.8. to ensure that the economic operators who receive support within the framework of financial engineering instruments, to comply with the conditions of State aid;
15.9. to provide funds in the financial management of the funds;
15.10. in its activities to comply with the principle of sound financial management, good governance and compliance with market principles;
15.11. to carry out marketing activities Trust Fund for the promotion of financial engineering instruments;
15.12. to insert the current information on their website about the implementation of the activity not less frequently than once every quarter;
15.13. reporting to the Ministry of Economic Affairs on the implementation of the investment funds under the agreement for the implementation of the activity;
15.14. to take the necessary steps to avoid financial losses if financial intermediaries violating this rule 15.5. referred to the conditions of the contract;
15.15. to submit a report of the Ministry of Economy investment fund put the cost of the previous calendar year in accordance with the agreement on the implementation of the activity;
No 15.16. to prepare and submit to the Ministry of Economy activity implementation budget for the current year under the agreement for the implementation of the activity.
Vi. Investment Fund and eligible activities eligible under 16 are the following items: 16.1. loans, venture capital, guarantee economic operators in accordance with the financial management tools and support, Regulation No 1083/2006, article 44 of the "a" section and Regulation No 1828/2006 43. and article 45;
16.2. costs for management of the Agency in accordance with Regulation No 1828/2006, article 43 (4): 16.2.1. compensation of employees and the administrative costs of the Trust Fund;
16.2.2. expenditure related to experts, audit, legal services, marketing, information measures and other external services attract investment funds to ensure implementation.
17. This provision is specified in paragraph 16.2. cost of one year of implementation of the project must not exceed 1% of the investment fund. The economic Ministry has the right to increase the Agency's cost, up to a threshold of Regulation No 1828/2006 article 43 under certain cost limits.
18. the Agency this rule 16.2. the costs referred to in the investment fund is used for funding.

19. investment fund management costs paid by the Agency shall apply the procedure for the application, in accordance with the investment funds is subject to the annual cost of the actual part that the Agency encountered in introducing the investment fund. The cost of the extension of the Agency's procedures shall be determined in the agreement for the implementation of the activity.
20. in the framework of the activity costs are eligible if they are directly linked to the implementation of the activity, is proportionate and justified, as well as meet average market prices.
VII. Financial Engineering instruments 21. Agency for the implementation of Regulation No 1083/2006 and article 44 of Regulation No 1828/2006 and article 44 to 43. organizes the implementation of investment funds through financial engineering instruments.
22. Financial intermediaries with the offer presented in the Agency's financial engineering instruments business plan. The business plan shall specify the information in accordance with Regulation No 1828/2006, article 43 (3), as well as at least the following information: 22.1. target market and its funding criteria and conditions;
22.2. the financing of the operational budget management tool;
22.3. financial engineering instruments for co-financing partners;
22.4. financial engineering instruments operation;
22.5. financial engineering instruments management professionalism, competence and independence;
22.6. Investment Fund usage justification and conditions of use.
23. the Agency's financial engineering instruments contracts in addition to Regulation No 1828/2006 article 44 paragraph 3 provides for at least the following conditions: 23.1. procedures for the financial intermediary reports to the Agency;
23.2. the financial intermediary's obligation to ensure that any national or European Union institutions, which in accordance with the applicable laws and regulations are duly authorized to carry out the audit or examination, to access documents relating to the financial engineering instrument;
14.5. financial intermediary's obligation to retain documents related to financial engineering instruments shall support at least until 2021 December 31, except in accordance with the funding agreement for the relevant documents stored in the merchant;
23.4. the financial intermediary's obligation to perform marketing and publicity measures to inform merchants about the financial engineering instrument options;
14.6. the Agency's obligation to recover losses resulting from financial intermediaries infringements;
14.7. the financial intermediary costs, determined according to the principle of sound financial management and comply with Regulation No 1828/2006, point 4 of article 43;
23.7. the right of the Agency to transfer contractual obligations to another legal person, does not terminate a contract with financial intermediaries;
14.8. the contracts concluded by the financial intermediary with the merchants on the allocation of funds from the contribution fund, to determine: the merchant duties 23.8.1. store documents related to financial engineering instruments shall support at least until 2021 December 31, except in accordance with the financial engineering instrument contracts relevant documents stored in the financial intermediary;
23.8.2. financial intermediary's obligation to recoup losses incurred when the operator is in breach of the obligations laid down in the Treaty;
23.8.3. financial intermediaries, agencies as well as other management of the structural funds and the European Union institutions the right of access to documents to verify from the financial intermediary investment fund law and compliance with legislative requirements;
23.8.4. publicity and visual identity requirements in accordance with the laws of European Union funds publicity and visual identity assurance requirements.
VIII. Closing questions 24. Agency Investment Fund introduced by January 1, 2012.
25. in accordance with paragraph 9 of these regulations, the Agency funds the assets and liabilities taken over as management transferred assets and liabilities, to ensure the implementation of activities under the contract for the implementation of the activity and the regulations of the structural funds of the European Union.
26. These provisions under certain conditions of financing Management Agency does not apply to the European investment fund agreements, except where the Agency closed a new financing instrument for steering contracts.
Prime Minister v. Economic Minister Dombrovskis a. camphor