Decree No. 474 / 2013 Coll.
Order on the remuneration of the liquidator, the forced administrator and the insolvency administrator of certain service providers on the capital market and the reimbursement of their final expenses
Valid
Order
Effective from 01.01.2014
474
DECLARATION
of 23 December 2013
on the remuneration of the liquidator, the forced administrator and the insolvency administrator of certain capital market service providers and the reimbursement of their final expenses
The Czech National Bank provides pursuant to § 199 (2) of Act No. 256 / 2004 Coll., on the Capital Market Business, as amended, for the implementation of § 132 (5) and § 139 (11) of the Act, pursuant to § 110 (1) of Act No. 426 / 2011 Coll., on Pension Savings, as amended by Act No. 241 / 2013 Coll., for the implementation of § 99 (5) of the Act, under § 170 (1) of the Act No. 427 / 2011 Coll., on Supplementary Pension Savings, as amended by Act No. 399 / 2012 Coll., and Act No. 241 / 2013 Coll., for the implementation of § 70 (8), § 112 (4) and § 352 (4), § 379 (4) and § 565 (3) of the Act No. 240 / 2013 Coll.
Subject matter and scope of the adjustment
This decree regulates
(a) the method of determining the amount of remuneration and the method of payment of remuneration
1. liquidator of the pension company, investment company and investment fund with legal personality appointed by the Czech National Bank or appointed by the court on a proposal from the Czech National Bank,
2. the forced manager of a pension company, an investment company, a self-governing collective investment fund, a securities dealer who is not a bank (hereinafter referred to as "non-bank securities dealer"), a settlement system operator with irrevocability of settlement with its head office in the Czech Republic (hereinafter referred to as "settlement system operator"), a regulated market operator and a CSD,
3. the insolvency administrator of the pension company, the dealer of securities, the manager of the holding fund, and who, under the law of a foreign State, performs tasks comparable to those of the insolvency administrator in the event of the bankruptcy of the shareholder fund manager (hereinafter referred to as the "foreign insolvency administrator"); and
(b) the method of determining the amount of the reimbursement of the final expenses and the method of paying the reimbursement of the final expenses of the liquidator, the forced administrator, the insolvency administrator and the foreign insolvency administrator referred to in (a).
Definition of terms
For the purposes of this decree:
(a) the liquidation property shall have the balance remaining after all the operations necessary to carry out the liquidation before the settlement of the liquidator's remuneration; and
(b) the assets which have been acquired
1. in the case of a mutual fund and trust fund, the value of its monetized assets after the settlement of all liabilities and before the payment of the shares to the shareholders; or
2. in the case of a participating fund, the value of its monetized assets after the settlement of all liabilities and before the transfer of funds from a participant to a pension company other than that which the participating fund has operated and is in liquidation or bankruptcy, or by the payment of benefits to the beneficiaries who have acquired them.
Determination of the amount of the liquidator's remuneration
(1) The basis for determining the remuneration of the liquidator of a pension company, an investment company or an investment fund with legal personality for carrying out the liquidation (hereinafter referred to as the "basis") is the value of the liquidation assets.
(2) Where a pension company or investment company manages, on the date of entry into liquidation, a participating fund, a mutual fund or trust fund and those funds are transferred to another pension company or investment company, the basis shall be increased by one tenth
(a) the equity capital of all participating funds managed by the liquidator transferred to another pension company; or
(b) the fund capital of all share funds or trust funds managed and transferred by the liquidator to another investment company.
(3) If at the date of entry into liquidation at least one participating fund, mutual fund or trust fund is operated by a pension company or investment company at the date of entry into liquidation and those funds are cancelled with liquidation, the basis for the monetized assets shall be increased in all cancelled participating funds, mutual funds or trust funds.
(4) The liquidator shall receive a remuneration of:
a) 50 000 CZK increased by 1% of the base in case the base is not more than CZK 10 000 000,
b) 150 000 CZK increased by 0.3% of the difference between the base and 10 000 000 CZK if the base is not more than 100 000 000 CZK,
c) CZK 420 000 increased by 0.07% from the difference between the base and CZK 100 000 000 if the base is not more than CZK 1 000 000 000,
(d) CZK 1,050,000 increased by 0.01% of the difference between the base and CZK 1 000 000 000 if the base is not more than CZK 10 000 000; or
e) CZK 1,950 000 increased by 0.001% from the difference between the base and CZK 10 000 000 000 if the base is more than CZK 10 000 000 000.
(5) The total remuneration of the liquidator referred to in paragraph 4 shall not exceed CZK 6 000 000. If the liquidation property is insufficient in whole or in part for the remuneration of the liquidator of the pension company, investment company or investment fund with legal personality, the State shall pay the liquidator this remuneration to the extent that it cannot be paid from the liquidation assets, but not more than CZK 150 000 for the entire liquidation period for which the liquidator has not received remuneration due to the insufficient assets.
(6) For the purposes of determining the basis referred to in paragraph 2, the last known value of the participating fund's fund's fund's own funds, mutual fund's or trust fund's own funds shall be used before the pension company or investment firm enters liquidation.
(7) If the liquidation is completed before the value of the liquidation assets is established, the liquidator will receive a reward of CZK 25,000. Where the liquidator has carried out the operations referred to in paragraph 2 or 3, that remuneration shall be increased by analogy in accordance with the procedure laid down in paragraphs 2 to 6.
Payment of the liquidator's remuneration
(1) The remuneration due to the liquidator shall be payable within 30 days of the date of the deletion of the pension company, investment company or investment fund with a legal personality from the business register.
(2) Where more liquidators are involved in the liquidation of a pension company, an investment company or an investment fund with a legal personality, each of them shall have a share of the remuneration referred to in Article 3 corresponding to the length and complexity of their activities, the number and size of the funds transferred and the extent and extent of the redemption of the assets realised by the liquidator.
(3) For the purpose of determining the amount of the remuneration, the liquidator shall submit to the Czech National Bank no later than 30 days before the General Meeting is convened to decide on a proposal for the distribution of the liquidation balance, or 30 days before the application for the removal from the Commercial Register, if the General Meeting is unable to take place,
(a) information on the amount of the proposed remuneration of the liquidator;
(b) information on the amount of the liquidation assets;
(c) information on the transfer of the participating fund, mutual fund or trust fund to another pension company or investment firm;
(d) information on the value of the monies in participating funds, mutual funds or trust funds;
(e) up-to-date information on the state of the funds of the pension company, investment company or legal personality investment fund; and
(f) up-to-date information on the status of funds cancelled by participating funds, mutual funds or trust funds.
(4) Paragraphs 2 and 3 shall apply mutatis mutandis to the payment of the remuneration referred to in Article 3 (7). The remuneration due to the liquidator shall be payable within 30 days of the decision on the bankruptcy of a pension company, an investment company or an investment fund with a legal personality, if the application for the declaration of bankruptcy for a lack of assets has been rejected, paragraph 1 shall apply mutatis mutandis.
Determination of the level of remuneration of the forced manager of the pension company, investment company or collective investment fund
(1) A monthly remuneration shall be payable to the obliged manager of the pension company, investment company or collective investment fund
(a) CZK 50,000 if the equity value of the pension company, investment company or fund capital of the collective investment fund is below CZK 10,000 000,
b) 75 000 CZK if the equity value of the pension company, investment company or fund capital of the collective investment fund is at least CZK 10 000 000, but does not reach CZK 100 000 000,
(c) 100 000 CZK if the value of the equity capital of the pension company, investment company or fund capital of the collective investment fund is at least 100 000 000 CZK but does not reach CZK 1 000 000 000,
(d) CZK 125,000 if the equity value of the pension company, investment company or fund capital of the collective investment fund is at least CZK 1 000 000 000, but does not reach CZK 10 000 000 000, or
e) CZK 150,000 if the equity value of the pension company, investment company or fund capital of the collective investment fund is at least CZK 10 000 000 000.
(2) For the purposes of determining the remuneration referred to in paragraph 1, where a pension company or an investment company manages a participating fund or an investment fund, the value of the equity capital of the pension company or investment company shall be increased by the value of the fund's own funds or funds of all the participating funds or investment funds it manages.
(3) If the assets of a pension company, investment company or collective investment fund are insufficient in whole or in part for the remuneration of a forced trustee of a pension company, investment company or self-governing collective investment fund, the State shall pay this remuneration to the obliged trustee to the extent that it cannot be paid out of their assets, but not more than CZK 300 000 for the entire term of the forced administration for which the obliged trustee has not received remuneration due to the insufficient assets.
(4) For the purposes of determining the amount of remuneration referred to in paragraphs 1 and 2, the latest known values shall be used:
(a) the equity capital of the pension company or investment company before the Czech National Bank decided to establish its compulsory administration;
(b) the fund capital of the self-governing collective investment fund before the Czech National Bank decided to establish its forced administration; and
(c) the fund's equity capital of the participating fund or fund's capital of the fund's economy before the Czech National Bank decided to establish a forced administration of the pension company or investment company.
Determination of the amount of remuneration of the forced trustee of a non-bank securities dealer
(1) A monthly remuneration shall be payable to the required administrator of the non-bank securities dealer:
(a) 50 000 CZK if the value of the equity capital of a non-bank dealer in securities is below 10 000 000 CZK,
b) 75 000 CZK if the value of the equity of a non-bank securities dealer is at least CZK 10 000 000, but does not reach CZK 100 000 000,
(c) 100 000 CZK, if the value of the equity of a non-bank dealer in securities is at least 100 000 000 CZK but does not reach 1 000 000 000 CZK,
(d) 125 000 CZK if the value of the equity of a non-bank dealer in securities is at least CZK 1 000 000 000, but does not reach CZK 10 000 000 000, or
(f) CZK 150,000 if the value of the equity of a non-bank securities dealer is at least CZK 10 000 000 000.
(2) For the purposes of determining the amount of remuneration referred to in paragraph 1, the value of the equity of a non-banking securities dealer shall be increased by the value of the customer's assets (1) recorded in the accounts of a non-banking securities dealer.
(3) If the assets of a non-bank securities dealer are insufficient in whole or in part for the remuneration of the non-bank securities dealer's forced administrator, the State shall pay the required remuneration to the obliged administrator to the extent that they cannot be paid out of their assets, but not more than CZK 300 000 for the entire term of the forced administration for which the obliged administrator has not received remuneration due to insufficient assets.
(4) For the purposes of determining the amount of remuneration referred to in paragraphs 1 and 2, the latest known values shall be used:
(a) the equity capital of a non-bank securities dealer before the Czech National Bank decided to establish its forced administration; and
(b) the assets of the customer recognised in the accounts of the trader before the Czech National Bank decided to establish its compulsory administration.
Determination of the level of remuneration of the forced administrator of the settlement system operator, the regulated market operator or the CSD
(1) A monthly remuneration shall be payable to the required administrator of the settlement system operator, regulated market operator or CSD
(a) CZK 75,000 if the value of the equity capital of the settlement system operator, regulated market operator or CSD is below CZK 50,000 000,
(b) 100 000 CZK if the value of the equity capital of the operator of the settlement system, the operator of the regulated market or the CSD is at least CZK 50 000 000 but does not reach CZK 100 000; or
(b) CZK 125,000 if the value of the equity capital of the settlement system operator, regulated market operator or CSD is at least CZK 100,000.
(2) If the assets of a settlement system operator, a regulated market operator or a CSD are not sufficient in whole or in part to reward the forced administrator of the settlement system operator, the regulated market operator or a CSD, the State shall pay this remuneration to the forced administrator to the extent that it cannot be paid out of their assets, but not more than CZK 300 000 for the entire period of the forced administration for which the forced administrator has not received remuneration due to insufficient assets.
(3) For the purposes of determining the level of remuneration referred to in paragraph 1, the last known equity value of the settlement system operator, the regulated market operator or the CSD shall be used before the Czech National Bank has decided to establish its forced administration.
Payment of the remuneration of the forced administrator
(1) The remuneration of the forced manager of a pension company, an investment company, a self-governing collective investment fund, a non-bank securities dealer, a settlement system operator, a regulated market operator or a CSD shall be payable retroactively for a calendar month until the end of the following calendar month.
(2) Where the forced manager of a pension company, an investment company, a self-governing collective investment fund, a non-bank securities dealer, a settlement system operator, a regulated market operator or a CSD has ceased its business during a calendar month, the proportion of the remuneration corresponding to the ratio of the number of working days during which it operates and the total number of working days of the calendar month in which it ceased its business shall be due for that month.
(3) In the cases referred to in Articles 5 (3), 6 (3) and 7 (2), the remuneration shall be payable by the end of the calendar month immediately following the month when the forced administrator has ceased its activities.
Determination of the remuneration of the insolvency manager of the pension company or of the manager of the holding fund or of the foreign insolvency administrator of the shareholder fund
(1) Where a pension company or a mutual fund manager, on the date of the declaration of bankruptcy, manages a participating fund or a mutual fund and the funds are transferred to another pension company or manager, the basis for determining the level of remuneration is one tenth
(a) the equity capital of all participating funds managed by the insolvency administrator transferred to another pension company; or
(b) the own funds of all the participating mutual funds transferred by the insolvency administrator or the foreign insolvency administrator to another manager.
(2) Where an insolvency administrator or a foreign insolvency administrator monies assets in a participating fund or mutual fund, the basis for determining the amount of remuneration due to the insolvency administrator or to the foreign insolvency administrator shall be that of that participating fund or mutual fund.
(3) An insurer or a foreign insurer shall be remunerated at the rate of:
a) 50 000 CZK increased by 1% of the base in case the base is not more than CZK 10 000 000,
b) 150 000 CZK increased by 0.3% of the difference between the base and 10 000 000 CZK if the base is not more than 100 000 000 CZK,
c) CZK 420 000 increased by 0.07% from the difference between the base and CZK 100 000 000 if the base is not more than CZK 1 000 000 000,
(d) CZK 1,050,000 increased by 0.01% of the difference between the base and CZK 1 000 000 000 if the base is not more than CZK 10 000 000; or
e) CZK 1,950 000 increased by 0.001% from the difference between the base and CZK 10 000 000 000 if the base is more than CZK 10 000 000 000.
(4) The total remuneration of the insolvency administrator or foreign insolvency administrator referred to in paragraph 3 shall not exceed CZK 6 000 000. If the assets of the pension company or of the manager of the mutual fund are insufficient in whole or in part to pay the remuneration of the insolvency administrator of the pension company or of the manager of the mutual fund or of the foreign insolvency administrator of the mutual fund, this remuneration shall be paid by the State to the insolvency administrator or to the foreign insolvency administrator in so far as it cannot be paid by means of property, but not more than CZK 150 000.
(5) For the purposes of determining the amount of remuneration referred to in paragraph 1, the last known value of the participating fund's or mutual fund's own funds shall be used before the declaration of bankruptcy of the pension company or of the manager of the mutual fund.
(6) If the insolvency proceedings end before the amount of the monetized assets of the participating fund or mutual fund is established, a remuneration of CZK 25 000 is payable to the insolvency administrator or to the foreign insolvency administrator; paragraph 1 shall be without prejudice to this.
Payment of remuneration to the insolvency administrator of the pension company or to the manager of the holding fund or to the foreign insolvency administrator of the shareholder fund
(1) The remuneration due to the insolvency administrator of the pension company or the manager of the mutual fund or to the foreign insolvency administrator of the shareholder fund shall be payable by the end of the calendar month immediately following the month in which the activity of the insolvency administrator or foreign insolvency administrator ended under the supplementary pension savings law or the Investment Companies and Investment Funds Act 2)
(2) If the activities under the Supplementary Pension Savings Act, the Investment Companies Act and the Investment Funds Act (2) are gradually shared by several insolvency administrators or foreign insolvency administrators, each of them shall have a share of the remuneration under Paragraph 9 corresponding to the length and complexity of their activities, the number and size of the funds transferred and the size and extent of the monies made by the relevant insolvency administrator or foreign insolvency administrator.
(3) For the purposes of determining the amount of remuneration, the insolvency administrator or foreign insolvency administrator shall submit to the Czech National Bank no later than 30 days before the start of the payment of the shares to shareholders.
(a) information on the amount of the proposed remuneration of the insolvency administrator or foreign insolvency administrator;
(b) information on the amount of the assets of the pension company or the manager of the mutual fund;
(c) information on the transfer of the participating fund or the managed holding fund to another pension company or the manager of the mutual fund;
(d) information on the value of the monetized assets in the participating fund or mutual fund; and
(e) current information on the status of the funds of the participating fund or mutual fund.
(4) Paragraphs 1 to 3 shall apply mutatis mutandis to the payment of the remuneration referred to in Article 9 (6).
Determination of the amount of the remuneration of the insolvency administrator of the securities dealer
(1) The remuneration of the insolvency administrator of the securities dealer is the sum of the remuneration derived from the value of the assets issued to customers and the remuneration determined by the number of customers.
(2) The remuneration determined from the value of the assets issued to customers is:
a) 50 000 CZK increased by 1% of the value of the property issued to customers in case the value of the property is up to a maximum of 10 000 000 CZK,
b) 150 000 CZK increased by 0,3% from the difference between the value of the property issued to customers and 10 000 000 000 CZK if the value of the property issued to customers is up to a maximum of 100 000 000 CZK,
c) CZK 420 000 increased by 0.07% from the difference between the value of the property issued to customers and CZK 100 000 000 if the value of the property issued to customers is up to a maximum of CZK 1 000 000 000,
(d) CZK 1,050,000 increased by 0.01% of the difference between the value of the assets issued to customers and CZK 1,000,000 000 if the value of the assets issued to customers is not more than CZK 10,000 000, or
e) CZK 1,950 000 increased by 0.001% from the difference between the value of the property issued to customers and CZK 10 000 000 000 if the value of the property issued to customers is more than CZK 10 000 000 000.
(3) The remuneration determined according to the number of customers is CZK 500 for each customer, at least CZK 25,000 and no more than CZK 3,000 000.
(4) The total remuneration of the insolvency administrator of the securities dealer referred to in paragraphs 2 and 3 shall not exceed CZK 6 000 000. If the property of the securities dealer is insufficient in whole or in part to pay the remuneration of the insolvency administrator of the securities dealer, the State shall pay this remuneration to the insolvency administrator in so far as it cannot be paid on property, but not more than CZK 150 000.
(5) If the insolvency proceedings end before the value of the assets issued to customers is established, the insolvency administrator shall receive a remuneration of CZK 25,000.
Payment of the remuneration of the insolvency administrator of the securities dealer
(1) The remuneration due to the insolvency administrator of the dealer shall be payable by the end of the calendar month immediately following the month in which the business of the insolvency administrator ended under the Capital Market Act (3).
(2) If more than one insolvency trustee has been involved in the activities under the Capital Market Act (3), each of them shall have a share of the remuneration under Paragraph 11 corresponding to the length and complexity of their activities and the amount of assets issued to customers by the competent insolvency trustee and the number of customers to whom he has issued the assets.
(3) For the purposes of determining the level of remuneration, the insolvency administrator or foreign insolvency administrator shall submit to the Czech National Bank no later than 5 days after the end of the business under the Capital Market Act (3).
(a) information on the amount of the proposed remuneration of the insolvency practitioner;
(b) information on the volume of assets issued to customers; and
(c) information on the number of customer claims entered into insolvency proceedings.
(4) Paragraphs 1 to 3 shall apply mutatis mutandis to the payment of the remuneration referred to in Article 11 (5).
Total expenditure of liquidator, forced administrator, insolvency administrator or foreign insolvency administrator
(1) The liquidator, the forced administrator, the insolvency administrator or the foreign insolvency administrator are entitled to reimburse the final expenses in particular for judicial and other fees, travel expenses, postal, telecommunications charges, expert opinions and professional observations, translations, copies and photocopies which have been effectively and reasonably incurred in relation to:
(a) the liquidation of a pension company, investment company or legal personality investment fund;
(b) the compulsory management of a pension company, an investment company, a collective investment fund, a non-bank securities trader, a settlement system operator, a regulated market operator or a CSD; and
(c) the activities referred to in Section 112 (4) of the Supplementary Pension Savings Act, Section 379 (1) of the Investment Companies and Investment Funds Act, the transfer of the Managed mutual fund to another manager or activities under Section 132 (1) to (4) of the Capital Market Enterprise Act.
(2) The amount of reimbursement of travel expenses is governed by other legislation4).
Method of payment of the final expenses of the liquidator, forced administrator, insolvency administrator or foreign insolvency administrator
(1) The liquidator, forced administrator, insolvency administrator or foreign insolvency administrator will send the Czech National Bank a bill of final expenses for each month when they were issued. The reimbursement of the final expenses shall be paid on the property, property or property of the pension company, investment company, legal personality investment fund, securities dealer, settlement system operator, regulated market operator or CSD after the Czech National Bank has agreed to the effectiveness and justification of the expenditure.
(2) If the liquidation assets, assets or assets of the pension company, investment company, legal personality investment fund, securities dealer, settlement system operator, regulated market operator or CSD are insufficient to compensate for the final expenses of the liquidator, forced administrator, insolvency administrator or foreign insolvency administrator, they shall pay the costs to the extent that they cannot be paid for the liquidation assets, assets or property, the State, but not more than CZK 300 000 for the activity referred to in Paragraph 13 (1). The refund shall be paid within 30 days after the Czech National Bank has agreed to the effectiveness and justification of the expenditure, paragraph 1 of the first sentence shall apply mutatis mutandis.
Transitional and common provisions
(1) This decree shall apply only to the determination and payment of remuneration and reimbursement of final expenses of liquidators, forced administrators or insolvency administrators appointed or appointed from the date of entry into force of this decree; in determining and paying the remuneration and reimbursement of the final expenses of liquidators, forced AIFMs or insolvency administrators who were appointed or appointed before the date of entry into force of this Order, shall be treated in accordance with existing legislation.
(2) In justified cases, the remuneration of the liquidator, the forced administrator, the insolvency administrator or the foreign insolvency administrator may be increased by up to 50%; This is without prejudice to Sections 3 (5), 5 (3), 6 (3), 7 (2), 9 (4) and 11 (4). The reasons for increasing the remuneration of the liquidator, the forced administrator, the insolvency administrator or the foreign insolvency administrator are the exceptional complexity, complexity, duration of their activities or the exceptionally high number of operations they had to perform in relation to their activities effectively and reasonably.
(3) This decree is without prejudice to the determination of the remuneration of the insolvency trustee of the pension company or of the manager of the mutual fund or of the foreign insolvency trustee of the shareholder fund or of the insolvency trustee of the securities dealer under another legislature5).
Repeal
Decree No 414 / 2004 Coll., on the remuneration of the forced trustee, liquidator and trustee of certain service providers on the capital market and on the reimbursement of their final expenses, is hereby repealed.
Efficacy
This Decree shall take effect on 1 January 2014.
Governor:
Ing. Singer, Ph.D., v. r.
1) Article 128 (12) of Act No. 256 / 2004 Coll., on Capital Market Enterprise, as amended by Act No. 230 / 2008 Coll.
2) § 112 paragraph 4 of Act No. 427 / 2011 Coll., on Supplementary Pension Savings, as amended by Act No. 241 / 2013 Coll. § 379 paragraph 1 of Act No. 240 / 2013 Coll., on Investment Companies and Investment Funds.
3) Paragraph 132 (1) to (4) of Act No. 256 / 2004 Coll., on Capital Market Business, as amended.
4) Act No. 262 / 2006 Coll., Labour Code, as amended.
5) Decree No. 313 / 2007 Coll., on the remuneration of the insolvency administrator, on the reimbursement of his final expenses, on the remuneration of members and alternates of the creditor committee and on the reimbursement of their necessary expenses, as amended by Decree No. 488 / 2012 Coll. and Decree No. 398 / 2013 Coll.
Sign in for notes, favorites and notifications
Regulation Information
| Citation | Decree No. 474 / 2013 Coll., on the remuneration of liquidator, forced administrator and insolvency administrator of certain service providers on the capital market and on the reimbursement of their final expenses |
|---|---|
| Regulation Type | Order |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 31.12.2013 |
|---|---|
| Effective from | 01.01.2014 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
Comments 0