Measure No 33 / 1999 Coll.
Measures of the Czech National Bank laying down the formalities for an application for authorisation to operate as a bank
Valid
Measures
Text versions:
23.02.1999
33
MEASURES
Czech National Banks of 2 February 1999 laying down the formalities for the application for authorisation to act as a bank
The Czech National Bank provides pursuant to Sections 4 and 5 of Act No. 21 / 1992 Coll., on Banks, as amended by Act No. 165 / 1998 Coll., hereinafter referred to as "the Act":
Establishment of a bank
(1) The founder of a bank within the meaning of this measure is a natural person and a legal person who, for the purpose of acting as a bank, has established a public limited liability company or a natural or legal person who has subscribed shares on the basis of a call for shares and has acquired a share in voting rights of 10% or more on the basis of a share in the capital of a public limited liability company.
(2) The request for authorisation to act as a bank (hereinafter referred to as "the request") is submitted by the founder or the founders who are entitled to act in matters relating to the formation of a public limited liability company until the creation of a bank.
(3) The application consists of:
(a) the basic information on the application, which shall contain the completed form, the specimen of which is in Annex 1;
(b) the justification for the request;
(c) paper documents.
(4) The justification of the application shall include:
(a) an analysis of the market on which the bank intends to operate;
(b) the strategic plan for the development of the Bank;
(c) a business plan submitted by the Bank for the next three years at least to the extent of the data reported in the publication of the financial statements (balance sheet and profit and loss account) as defined by the Ministry of Finances1) in the first year broken down into quarters; a comment is included in the business plan,
(d) a commentary on the various items of the business plan referred to in point (c), which contains the basic assumptions and conditions on which the business plan is based, the expected effects on the bank's profitability, the analysis of the appropriateness of carrying out individual activities with regard to the bank's capital equipment, the creation of reserves and any impact on liquidity, profitability, asset quality, etc., the principles of risk protection for each activity, the measurement, monitoring and management of risks and the material technical and personnel security of each activity.
(5) The paper documents consist of:
(a) the founding agreement or instrument of a public limited liability company set up for the purpose of acting as a bank;
(b) draft statutes of the Bank, 2)
(c) an extract from the record of the criminal record of the person referred to in paragraph 6;
(d) an extract from the Commercial Register not more than 1 month old, submitted by the founder of the Bank, if he is a legal person; a legal person who is not registered shall provide proof of its existence; a legal person having its registered office outside the territory of the Czech Republic (hereinafter referred to as "foreign legal person ') shall submit a document of a similar nature,
(e) a CV with an emphasis on the employment and business activities carried out over the last 10 years by the persons referred to in paragraph 6; the person proposed to be the bank manager shall also submit a reference of at least two independent financial sector sources,
(f) proof of the origin of the funds or of the non-cash deposit constituting the bank's capital;
(g) the accounts of the legal person and, where the founder of the bank is part of a consolidated entity, the consolidated accounts of the last 3 years as verified by the auditor; (3) the foreign legal person shall submit the documents to them on an equal footing;
(h) a statement by the bank's founder that it acts on its own account that there is no written or oral obligation of that person to act or exercise shareholder rights for the benefit of a third party and that there is no written or oral obligation of that person to act in accordance with another founder or other person; where the founder of the bank acts in agreement with another bank founder or other person, he shall list such natural and legal persons and the manner in which they act, 4)
(i) if the bank is established by a foreign bank
1. written confirmation to the Czech National Bank issued by the supervisory authority of the bank in its country of residence that it does not object to the establishment of the bank in the Czech Republic,
2. a commitment by the bank supervisor in the country of its registered office to provide information on the financial situation of the foreign bank in the country of its registered office to the banking supervision of the Czech National Bank;
(j) a statement by the bank's founder that all the data and documents submitted by him are up to date, complete and true.
(6) The extract from the register of punishments not earlier than 1 month of age submitted by
(a) the natural person who is the founder of the bank;
(b) a person who is a member of a statutory body, a supervisory board or who is a senior employee of a legal person who is the founder of a bank, 5)
(c) a person proposed to be a bank manager pursuant to Article 4 (3) (b) of the Act;
(d) the person proposed as a member of the Bank's Supervisory Board.
(7) The natural person referred to in paragraph 6 (a) to (d) with a permanent residence outside the territory of the Czech Republic (hereinafter referred to as "foreign natural person") shall also submit a document of a similar nature to that of the record of the Register of Penalties issued by an authorised authority under the State of residence of that person, as well as States in which that person has remained continuously for more than 3 months in the last 5 years. Where the State of residence of a foreign natural person referred to in points (a) to (d) of paragraph 6 is not the same as the State of which that person is a citizen, that person shall also submit documents issued by the State of which he is a citizen. If the documents are not issued by the competent State, the foreign natural person shall replace them by a declaration of honour.
Minimum capital
(1) The minimum amount of capital for the establishment of the bank is CZK 500 000 000.
(2) Before issuing a decision by the Czech National Bank to grant permission to act as a bank, the petitioner of the request will be asked to deposit this amount in Czech currency into an account opened for that purpose with the Czech National Bank, possibly with the approval of the Czech National Bank with another bank or branch of a foreign bank operating in the Czech Republic.
Establishment of a branch of a foreign bank
(1) The request for a branch of a foreign bank ("the branch") is submitted by a foreign bank.
(2) The application consists of:
(a) the basic information on the application, which shall contain the completed form, the specimen of which is in Annex 2;
(b) the justification for the request;
(c) paper documents.
(3) The justification of the application shall include:
(a) an analysis of the market on which the branch will operate;
(b) the strategic plan for the development of the branch;
(c) the business plan of the branch for the next three years submitted to at least the extent of the data reported in the publication of the financial statements (balance sheet and profit and loss account) as defined by the Ministry of Finances1) in the first year broken down into quarters; a comment is part of the branch business plan,
(d) a commentary on the various items of the business plan referred to in point (c), which contains the basic assumptions and conditions on which the business plan is based, the expected effects on the profitability of the branch, the analysis of the appropriateness of carrying out individual activities in respect of the funds provided to the branch by a foreign bank, the creation of reserves and any impact on liquidity, profitability, asset quality, etc., the principles of risk protection for each activity, measurement, monitoring and management of risks and material technical and personnel security of each activity;
(e) information on the organisational structure of the branch, the exposures or other posts of the branch which the branch intends to establish, their number and integration into the organisational structure of the branch and how they are managed; a description of the relationship between the branch and the foreign bank in terms of powers and responsibilities in deciding and implementing banking operations;
(f) the principles of the control system applied by the foreign bank to the branch, including an indication of at what intervals, to which extent and by whom the branch will be controlled, to whom reports of the results of the check will be submitted.
(4) The paper documents consist of:
(a) a decision by the competent authority of a foreign bank to establish a branch;
(b) a copy of the document showing the existence of a foreign bank in the country of its registered office, including the scope of the authorisation of a foreign bank;
(c) the accounts of a foreign bank and, where the foreign bank is part of a consolidated entity, the consolidated accounts of the last three years as verified by the auditor;
(d) a written confirmation addressed to the Czech National Bank issued by the supervisory authority of the foreign bank in the country of its registered office that it does not object to the establishment of a branch in the Czech Republic and that banking supervision of branches of foreign banks, including a branch in the Czech Republic, is exercised;
e) a written commitment addressed to the Czech National Bank issued by the supervisory authority of the foreign bank in the country of its registered office to provide timely information to the banking supervision of the Czech National Bank on the expected control over the activities of the branch in the Czech Republic in order to coordinate a joint procedure with the banking supervision of the Czech National Bank in carrying out a check in the branch,
(f) a written commitment addressed to the Czech National Bank issued by the supervisory authority of a foreign bank in its country of residence to inform the banking supervision of the Czech National Bank of the applicable regulatory rules in the field of capital adequacy and liquidity, the concept and security of the banking secrets in force in the country of residence of the foreign bank, the relationship of bank secrecy to branches of the bank abroad and the deposit guarantee scheme in the country of residence of the foreign bank, including deposit guarantees with branches abroad,
(g) a written commitment from a foreign bank addressed to the Czech National Bank,
1. that whenever required by the Czech National Bank, the funds will be transferred to the Czech Republic in order to supplement the reserve resources, settle the activities and liabilities of the branch at the required amount within the time limit and according to the conditions laid down by the Czech National Bank,
2. that it will send the annual report of the foreign bank to the banking supervision of the Czech National Bank and the Ministry of Finance,
(h) an extract from the record of the criminal record of the person referred to in paragraph 5;
(i) a CV with an emphasis on employed employment and business activities over the last 10 years submitted by persons proposed to manage the branch; the CV includes references of at least 2 independent sources from the financial sector,
(j) a statement by a foreign bank that all the data and documents submitted to it are up to date, complete and true.
(5) The extract from the record of the Register of Penalties not earlier than 1 month shall be presented by the person proposed for the management of the branch. The foreign natural person proposed for the management of the branch shall also submit a document of a similar nature to that of the record of the Register of Penalties issued by an authorised authority under the State of residence of that person, as well as States in which that person has remained continuously for more than 3 months in the last 5 years. If the State of permanent residence of a foreign natural person proposed to manage a branch is not the same as the State of which that person is a citizen, that person shall also submit a document issued by the State of which he is a citizen. Where documents are not issued by the competent State, they shall be replaced by a foreign natural person proposed for the management of the branch by a declaration of honour.
Common provisions
(1) Where an application within the meaning of Sections 1 and 3 contains the activity referred to in Section 1 of the Act, the exercise of which is subject by a special law to the granting of authorisation by the competent authority, such authorisation shall be submitted for the application.
(2) The statement of reasons for the application and the essential information relating to the application, containing the forms, the models of which appear in Annexes 1 and 2, must be signed by the person who is entitled to act as party to the application. The signature of that person shall be officially certified.
(3) If the applicant has entrusted another person with his / her representation on the application within the meaning of § 1 or § 3, that person shall have the power of attorney with the official signature of the principal. This power of attorney is part of the paper documentation accompanying the application.
(4) If there are changes to the data in the application after the request has been submitted, the party submitting the request shall inform the Czech National Bank of such changes without delay.
(5) The documents in a foreign language must be accompanied by an officially certified translation into the Czech language.
(6) The application pursuant to Sections 1 and 3 shall be submitted to the Czech National Bank in duplicate.
Repeal
The measure of the Czech National Bank No. 24 / 1994 Coll., laying down the formalities for the application for authorisation to operate as a bank, as well as the minimum amount of capital which is a condition for the granting of authorisation, and the requirements for the application to operate as a bank to a branch of a foreign bank, is hereby repealed.
Efficacy
This measure shall take effect on the day of its publication.
Governor:
Doc. Ing. Tošovský v. r.
Příloha č. 1
Annex No 1 to measure No 33 / 1999 Coll.
Příloha č. 2
Annex No 2 to measure No 33 / 1999 Coll.
1) Measure No 282 / 64 050 / 1997 of the Ministry of Finance of 9 October 1997 establishing the organisation and content of the financial statements items and the scope of the disclosure data for banks since 1997. Measures by the Ministry of Finance No 282 / 87 740 / 1998 of 9 December 1998 amending and supplementing the layout and content of the financial statements items and the scope of disclosure data for banks since 1998.
2) Sections 173 and 174 (a) of Act No. 513 / 1991 Coll., Commercial Code, as amended. § 9 (1) and § 20 (1) and (2) of Act No. 21 / 1992 Coll., on Banks, as amended by Act No. 165 / 1998 Coll.
3) § 40 of Act No. 513 / 1991 Coll., as amended.
4) § 66b of Act No. 513 / 1991 Coll., as amended.
5) Section 9 of Act No. 65 / 1965 Coll., Labour Code, as amended.
Sign in for notes, favorites and notifications
Regulation Information
| Citation | Measure No 33 / 1999 Coll., laying down the details of the application for authorisation to act as a bank |
|---|---|
| Regulation Type | Measures |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 23.02.1999 |
|---|---|
| Effective from | - |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
Comments 0