feb 2010 financial services industry monthly bulletin
DESCRIPTION
The Financial Services Industry Monthly Bulletin is a banking and finance law publication by Reff & Associates (correspondent law firm of Deloitte Romania) and Deloitte Tax. Each month, our specialist team of finance lawyers and tax advisors will keep you updated with the latest legal, regulatory and tax developments in the financial services industry in Romania as well as with the recent changes and trends in the international financial regulations. The areas covered by our bulletin include: Banking and non-banking financial institutions Capital markets Insurance companies Private pension fundsTRANSCRIPT
February 2010
Financial Services Industry Monthly Bulletin 3
NBR amends the sanctioning interest rates for
the non observance of the obligations to
establish the mandatory minimum reserves in lei
In accordance with NBR’s Circular no.
6/9.02.2010 the sanctioning interest rates for
the non observance of the obligations to
establish the mandatory minimum reserves in lei
applicable for 24.02.2010 – 23.03.2010 is set at
16.5 % per year. The said Circular was published
in the Official Gazette no. 103/15.02.2010 and
may be accessed here.
NBR amends the interest rates payable for the
mandatory minimum reserves
In accordance with NBR’s Circular no.
7/9.02.2010, starting with 24.01.2010 and until
23.02.2010, the interest rate payable to the
mandatory minimum reserves established in lei
shall be of 2.89 % per year, while for those
established in US dollars shall be of 1.19 % per
year. The above mentioned Circular was
published in the Official Gazette no.
103/15.02.2010 and may be accessed here.
4
ISC amends the current regulatory framework
regarding the financial records of the insurance
companies
ISC enacted Order no. 1/2010 for the approval
of Norms regarding the closing of 2009 financial
year applicable to insurance companies. The
Order was published in the Official Gazette no.
89/10.02.2010 and may be accessed here.
ISC amends the regulatory framework applicable
to the mandatory liability insurance policy for
damages caused through vehicles accidents
ISC enacted Order no. 2/2010 for the
amendment of the Norms regarding the
mandatory liability insurance policy for damages
caused through vehicles accidents enacted
through ISC’s Order no. 21/2009. The above
mentioned Order was published in the Official
Gazette no. 124/24.02.2010 and may be
accessed here.
Financial Services Industry Monthly Bulletin 5
PPSSC has amended the current legal framework
on drafting and submission of the individual
annual financial statements by authorized
entities
PPSSC enacted Decision no. 1/2010 for the
approval of Norm no. 1/2010 regarding the
drafting and submission of the individual annual
financial statements by authorized entities,
regulated and supervised by PPSSC for 2009
financial year.
The aforementioned Norm has been published in
the Official Gazette no. 76/3.02.2010 and may
be accessed here.
PPSSC amended the regulatory framework
regarding the adhering and evidence of the
participants to the privately managed pension
funds
PPSSC enacted Decision no. 2/2010 regarding
the approval of Norm no. 2/2010 for the
amendment of PPSSC’s Norm no. 22/2009
regarding the adhering and evidence of the
participants to the privately managed pension
funds. The said Norm was published in the
Official Gazette no. 81/5.02.2010 and may be
accessed here.
6
NSC amends the regulatory framework
applicable to NSC’s income
NSC enacted Order no. 4/2010 for the approval
of Regulation no. 2/2010 for the amendment of
Regulation no. 7/2006 regarding the NSC’s
income. The above mentioned Order was
published in the Official Gazette no.
122/23.02.2010 and may be accessed here.
NSC amends the regulatory framework
applicable to the authorization, organization and
functioning of the Investors’ compensation fund
NSC adopted Order no. 5/2010 for the approval
of Regulation no. 3/2010 for the amendment of
Regulation no. 3/2006 regarding the
authorization, organization and functioning of
the Investors’ compensation fund. The above
mentioned Order was published in the Official
Gazette no. 128/25.02.2010 and may be
accessed here.
Financial Services Industry Monthly Bulletin 5
8
Proposal for a Regulation for the amendment of
the joint NBR/NSC Regulation no. 18/23/2006
regarding own funds of credit institutions and
investment undertakings
The proposal mentioned above is currently under
public debate with any comments being able to
be delivered until 15.03.2010. The full text of
the proposal can be accessed here.
Proposal of Government Emergency Ordinance
setting forth the information to be provided to
consumers in the pre-contractual stage,
information to be included in credit contracts as
well as in the related advertising.
Also, it regulates certain aspects with respect to
applicable interest, fees and the formula for
computing the annual percentage rate.
You can access here the above mentioned
Proposal along with its Grounding Reasons.
Financial Services Industry Monthly Bulletin 9
Proposal for a Norm for the amendment of
PPSSC’s Norm no. 11/2009 on the procedure to
monitor the implementation of international
sanctions within the private pension system.
The proposal mentioned above can be accessed
here.
10
Proposal of Regulation for the amendment of
NSC’s Regulation no. 13/2005 on the
authorization and functioning of the Central
Depository
The aforementioned proposal may be accessed
here.
Proposal for a Regulation regarding the special
administration of the entities authorized by NSC
The above mentioned proposal may be accessed
here.
Proposal for instructions for the amendment of
NSC’s Instruction no. 3/2007 regarding public
offers performed through the trading system of
a market operator/system.
The said proposal may be accessed here.
8
12
Committee of European Banking Supervisors
(“CEBS”) published on 16 February 2010 its high
level principles for risk management
CEBS expects its members to implement the high
level principles into their procedures by 31
December 2010 at the latest. The high-level
principles for risk management are aimed mainly
at large and complex institutions. However,
according to the principle of proportionality,
they can be adapted to any institution under
review, taking into account its size, nature, and
complexity.
For more details please access here.
CEBS published on 17 February 2010 a new
classification system aimed at reducing the
reporting time of the entities that are required to
deliver data to the Euro system and to the
supervisory authorities.
For more details please access here.
The Federal Reserve Board announced on
February 18 2010 that in light of continued
improvement in financial market conditions it
had approved several amendments to the terms
of its discount window lending programs. For
more details please access here.
Committee of European Securities Regulators
(“CESR”) published on 22 February 2010 an
overview of actions taken by CESR members in
relation to short-selling. For more details please
access here.
The European Commission has updated its
centralized list of rescue measures for banks,
including guarantees and recapitalization
measures which have been put in place by
Member States at a national level to cope with
the global financial and economic crisis. For
more details please access here.
Financial Services Industry Monthly Bulletin 13
Date
17 February 2010
Time
9.00 – 13.30
Venue
Howard Johnson Hotel
Platinum Grand Ballroom
The workshop organised by Deloitte Romania
and Reff & Associates, the correspondent law
firm of Deloitte Romania, will give you an
integrated perspective over the dynamics of
dealing with both financial and legal facets of
the loan restructuring process.
In the current climate, distressed borrowers are
not uncommon, to say the least. From breach of
financial covenants to non-payment defaults and
insolvency threats, borrowers pose new types of
challenges and require new types of actions.
Restructuring existing loan agreements, requiring
additional collateral, tightening contractual
terms, stricter monitoring of the covenants,
grace periods, all useful actions that, however, in
many cases, might fail unless supported by
thorough business reviews and restructuring
implementation.
Date
23 March 2010
Time
12.00 – 17.30
Venue
Hilton Hotel
Le Diplomate Ballroom
Deloitte Romania tax specialists together with
Reff & Associates, the correspondent law firm of
Deloitte, invite you to the first edition of Deloitte
Annual Tax & Legal Conference. This event is
dedicated to our clients and will focus on the
issues you are facing during this period while
exploring future opportunities for your business.
There is no denying these are turbulent
economic times and a new business model
emerges. After a difficult 2009, successful
enterprises will focus on value, exploit
opportunities and act in a timely manner.
The discussion will focus on the most significant
business trends, the new challenges and
opportunities for 2010 from a tax and legal
perspective.
Speakers and Topics
George Mucibabici – Chairman – Introduction
Pieter Wessel –Tax Partner
Meaning of EU legislation for the national VAT
practice
Introduction to the EU framework and
institutions
Main VAT principles used by the EU
jurisprudence
References to cases of the European Court
of justice and practical applicability for
Romanian companies
Ways for Romanian tax payers to challenge
the authorities based on EU jurisprudence
Alexandru Reff – Tax & Legal Partner in Charge
The era of restructuring: business trends , legal
and fiscal challenges
Change of the economic paradigm has
determined restructuring processes with
multiple legal and fiscal implications In the
areas of group structuring, labor force,
bank loans, fiscal debts, commercial
relations or ongoing transactions
Identifying reasons and objectives as well as
legal and fiscal aspects which require
special attention
Andrei Burz-Pinzaru – Legal Partner
Risk management in insolvency: mitigate your
exposures and protect your rights
Knowing the risks triggered by abusive
insolvency claims – business interruption,
problems with the lenders and suppliers,
market reputation risks
Preparing a solid and timely defense against
abusive insolvency claims: what to do and
when
Protect your rights in case of debtors’
insolvency
Insolvency as a tool of last resort: key
aspects you should know
Managing directors/owners liability in case
of insolvency
Avoiding insolvency: debt restructuring
recommendations
Translation is provided. Participation to this event
is by invitation only and is exclusively dedicated
to Deloitte clients and special guests. The
conference is free of charge for recipients of the
invitation.
You can register via e-mail at:
12
Reff & Associates is the correspondent law firm of Deloitte Romania, fully
integrated with the Deloitte multi-disciplinary advisory practice and affiliated to a
network of law firms and legal departments working with Deloitte all over the
world. Deloitte’s correspondent legal practice provides assistance to clients in
Romania on various matters pertaining to mergers and acquisitions, corporate
and commercial law, finance, banking and capital markets, real estate, project
finance, employment, competition, fiscal and commercial litigation, and
intellectual property.
In the financial services sector, Reff & Associates provides the full range of services
to banks and financial institutions, including:
- Finance deals: transaction support in bilateral and syndicated loans, loan
workouts, securitisation, loan transfers and assists in drafting and
negotiating the transaction documentation (loan agreements, security and
other ancillary documentation).
- M&A transactions in the financial services sector: advice on the structure
of the transaction, the pre-contractual documentation, due diligence,
drafting/negotiating the purchase agreements and assisting the
implementation of the transaction.
- Regulatory assistance: ongoing assistance with respect to the specific
legal and regulatory requirements applicable to banks / non banking
financial institutions operating in Romania, development of new
financial products, representation in front of the regulators (National
Bank of Romania, Insurance Supervisory Commission, Securities
Commission etc.).
Andrei Burz Pinzaru
Partner
+ 40 21 207 52 05
Simina Mut
Manager
+ 40 21 207 52 69
Leontin Trifa
Manager
+ 40 21 207 53 13
George Mucibabici Chairman
tel: + 40 21 207 52 55
e-mail: [email protected]
Audit Santiago Pardo
Partner
tel: + 40 21 207 54 92
e-mail: [email protected]
Enterprise Risk Services Gary Bauer
Director
tel: + 40 21 207 52 19
e-mail: [email protected]
Financial Advisory Antonis Ioannides Partner
tel: + 40 21 207 56 26
e-mail: [email protected]
Tax Rodica Segarceanu
Partner
tel: + 40 21 207 52 31
e-mail: [email protected]
Legal Andrei Burz-Pinzaru
Partner, Reff&Associates
correspondent law firm of Deloitte Romania
tel: + 40 21 207 52 05
e-mail: [email protected]
Consulting Razvan Horobeanu Manager
tel: + 40 21 207 53 57
e-mail: [email protected]
Actuarial & Insurance Solutions Slawomir Latusek
Consultant
tel: + 48 (22) 511 04 54
e-mail: [email protected]
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