What is Act No. 92 / 1946 Coll.?

Act No. 92 / 1946 Coll., on Bound Foreign Exchange Economy (Foreign Exchange Act) — Act on Bound Foreign Exchange Economy (Foreign Exchange Act).

When it became Act No. 92 / 1946 Coll. effectiveness?

Act No. 92 / 1946 Coll. became effective 15.05.1946.

Is Act No. 92 / 1946 Coll. still valid?

Yes, Act No. 92 / 1946 Coll. is still valid and effective.

Act No. 92 / 1946 Coll. - Act on Bound Foreign Exchange Economy (F...

92.

Law

of 11 April 1946

a fixed foreign exchange economy (foreign exchange law).

The Provisional National Assembly of the Czechoslovak Republic decided on the following Act:

ODDÍL I.

Basic and conceptual provisions.

§ 1.

Basic provisions.

In order to protect the Czechoslovak currency and to ensure uninterrupted payment with foreign currency, property relations between domestic and foreign currencies are subject to the adjustments and restrictions provided for in this Act.

§ 2.

Devis landlords and foreign exchange strangers.

(1) Foreign domestic persons are physical persons resident or resident in the country for at least one year, as well as legal persons, associations of persons, undertakings (firms) having their head office or place of administration in the country. National branches (representations, establishments and others) of foreign exchange foreigners shall also be considered as foreign exchange domestic, regardless of whether they are legally independent or not, even if their place of administration is, in the case of central administration abroad.

(2) Foreign exchange foreigners are different from those referred to in paragraph 1 of this Article, associations of persons and enterprises (firms), as well as foreign companies and branches (representations, establishments and others) of foreign exchange residents, whether legally independent or not.

(3) In dubious cases, the Czechoslovak National Bank (hereinafter referred to as "the National Bank") may decide, in accordance with the Ministry of Finance, whether a person or another unit is a foreign exchange domestic or foreign exchange stranger.

§ 3.

The tender.

(1) The requirements under this Act are:

(a) money, i.e. banknotes, statuses, paper and coins,

(b) other means of payment, i.e. cheques, bills, vouchers, credentials and other payment orders (payments).

(2) Foreign currency is:

(a) money denominated in foreign currency (value);

(b) other means of payment (paragraph 1 (b), payable abroad, irrespective of the currency to which they are denominated (foreign exchange).

§ 4.

Precious metals.

(1) The precious metals under this law are: gold, silver, platinum, palladium, ruthenium, rhodium, iridium and osmium in the unprocessed state, as well as gold and silver coins taken out of circulation, or circulation incapacitated, commercial coins, coins festive and gold medals.

(2) Unwrought precious metal means alloys, sheets, rods, grenades, wire, fractions, old gold, silver and platinum, waste and similar goods, in a state of pure or in a mixture, or in an alloy with other metals.

§ 5.

Securities.

(1) Securities under this Act are, in addition to government and other public and private sub-bonds, mortgage certificates, treasury bills, shares, coupons and other securities, life insurance policies, deposit (savings) books, deposit certificates, interest and dividend coupons and talons.

(2) Foreign securities are securities which are payable abroad or which are denominated in foreign values.

§ 6.

Devis banks.

(1) The Devis banks under this Act are the monetary institutions and money undertakings which, as far as finance is concerned, are designated by the Ministry of Finance, in agreement with the National Bank and after hearing interest corporations by a decree in the Official Journal. The scope of the powers and obligations of foreign exchange banks under this Act shall be determined by the National Bank.

(2) In agreement with the National Bank, the Ministry of Finance may, in addition, entrust other monetary institutions and businesses, travel agencies and others to carry out certain tasks of foreign exchange banks under specified conditions.

ODDÍL II.

Foreign exchange obligations and foreign exchange restrictions.

§ 7.

Reimbursement from foreign to domestic.

(1) Devis' landlords are obliged to settle their claims against abroad, whatever the way they have acquired them, immediately upon payment of the domestic salary. This salary is due by free payment in foreign currency or in the manner laid down by the National Bank pursuant to § 11 (2). The Devis landlords are obliged to prove at the request that they have taken due care to fulfil their obligations without delay and in the manner prescribed by this law.

(2) The acceptance of foreign contributions other than those provided for in paragraph 1 shall be prohibited, unless the National Bank grants permission to do so.

(3) Beneficiaries of foreign payments shall be required to provide proof to the National Bank of the reason for the reimbursement. The National Bank will not allow a remuneration contrary to the interests of the foreign exchange economy.

(4) A foreign-exchange seal may accept a salary in any currency in the domestic territory from a foreign-exchange stranger or in favour of a foreign-exchange stranger only with the permission of the National Bank.

§ 8.

Indemnity.

(1) Devis landlords are obliged to take the National Bank directly or through the foreign exchange bank no later than 10 days after the acquisition:

(a) foreign currency;

(b) precious metals.

(2) The national bank shall purchase these values under the conditions laid down by it, or take them into custody, or exempt the person liable for payment of this obligation upon request.

(3) Any person who becomes a foreign exchange domestic shall be obliged to take the values referred to in paragraph 1 to the National Bank within 10 days of becoming a foreign exchange domestic.

(4) Persons liable to levy who stay abroad while they acquire the values referred to in paragraph 1 shall comply with the levy obligation no later than 10 days after their return to the country.

(5) If it is established that the values referred to in paragraph 1 which the foreign exchange seal holds with the permission of the National Bank for a specific purpose, it may or may not be used for the authorised purpose, it shall be taken to the National Bank no later than 10 days after the expiry of the authorisation. The National Bank shall be entitled to take these values at the original rate (price) or at the daily rate (daily price) if the daily rate (price) is lower than the original rate (price).

(6) The national bank may provide for exemptions from the levy in cases where the levy is not necessary or appropriate in terms of interest in the protection of the currency, taking into account in particular their nature, destination or quantity.

§ 9.

Announcement and suspension obligation.

(1) The National Bank shall be notified:

(a) claims by foreign exchange residents on foreign exchange foreigners;

(b) foreign exchange securities belonging to foreign exchange residents;

(c) domestic tender and domestic securities deposited abroad for foreign exchange residents;

(d) other assets and property rights abroad belonging to foreign exchange residents;

(e) liabilities of foreign exchange residents towards foreign exchange foreigners;

(f) domestic assets and property rights belonging to foreign exchange foreigners; and

(g) changes in values and commitments reported under (a) to (f).

(2) The report referred to in paragraph 1 shall be made by the owner (creditor) in the case of the debtor. However, on their behalf, the person who manages the value or liabilities in the domestic territory shall be required to report the values which are in custody of the domestic money institution (money undertaking), the domestic money institution (money undertaking) and the values referred to in point (f) of the person who holds them in custody or otherwise takes care of them.

(3) The arrangements and deadlines for reporting as well as exemptions from the provisions of paragraphs 1 and 2 are laid down by the National Bank.

(4) The obligation to report the claim shall lapse if the person carries out the reporting to the National Bank within the time limit set for the reporting of the amount obtained by the collection of the claim.

(5) The national bank may order that the values referred to in paragraph 1 (a) and (b) be paid to it or that foreign securities are sold abroad and that the proceeds are removed from it or used in the manner specified by it; may also order that claims subject to notice be cancelled. In the same way, the National Bank may order the holders of claims against foreign exchange foreigners to transfer those claims either to it or to the foreign exchange bank which it designates. The Devis Bank is obliged to inform the debtor of the procedure of the claim with reference to this regulation, to manage the debt referred to properly and conscientiously in an agreement with the original creditor and to satisfy it upon receipt of the payment. Paragraph 8 (2) shall apply mutatis mutandis.

(6) The instrument of procedure of the claim under the provisions of the preceding paragraph shall be exempt from the fees.

(7) Foreign domestic persons wishing to emigrate or transfer their registered office to a foreign country are required to request the release from the National Bank of the values referred to in Section 8 (1), unless they have been removed from the National Bank, as well as the values referred to in § 9 (1) (a) and (b) of which they are owners, and to comply with the orders given by the National Bank to them by the National Bank of these values.

(8) The Government may, by regulation, provide that the provisions of paragraphs 5 and 7 shall also apply to other assets and rights of foreign exchange residents abroad.

§ 10.

Foreign salaries and salaries for foreign exchange foreigners.

(1) Only with the permission of the National Bank is it allowed to pay in any currency or in any way

(a) abroad;

(b) domestic foreign exchange foreign exchange exchange or foreign exchange foreign exchange exchange exchange.

(2) Salaries for foreign accounts (Paragraph 19 (2)) with a money institution or a money undertaking, as well as payments from such accounts, shall be treated as salaries in accordance with paragraph 1 (b).

(3) The Government may provide by regulation that certain types of foreign liabilities must be paid at maturity, even before maturity.

§ 11.

Special arrangements for payment.

(1) The National Bank may provide that domestic debtors' salaries are to be paid abroad by the deposit of value in domestic currency, either at its place or at any other place.

(2) The National Bank, implementing the inter-state payment arrangements, determines how it is to settle claims and obligations in payment transactions between the Republic of Czechoslovakia and the Contracting State under those arrangements. Devis' domestic residents are obliged to negotiate this form of compensation in all legal proceedings involving claims or arising from foreign liabilities.

(3) The Government may, by regulation, provide for a certain period within which the remuneration is to be made.

(4) The obligation of the domestic debtor to the foreign creditor is terminated under the provisions of the inter-state payment agreements. If they do not contain any provisions, the Agreement of the Parties shall apply; If there are no agreements between the Parties, the obligation shall cease to exist by the deposit of the amount due under paragraph 1, after paragraph 2.

(5) The national bank will pay the value of the foreign voucher only in accordance with the wording of the order of the relevant place of payment abroad.

(6) Salaries transferred from abroad to domestic and domestic to abroad cannot be executed by the National Bank.

§ 12.

Export, import and transit of tender, securities and precious metals.

(1) Only with permission of the National Bank is allowed in any way (e.g. in travel, border, postal, railway, ship, air or other transport)

(a) to export domestic and foreign currency, securities and precious metals to abroad,

(b) imports from abroad of domestic tender, securities, precious metals and foreign tender determined by the National Bank.

(2) The national bank shall determine how to deal with the values referred to in paragraph 1 imported from abroad without authorisation.

(3) The transit of the values referred to in paragraph 1 shall be permitted only in the manner laid down by the National Bank.

§ 13.

Import and export of goods.

(1) If the import and export of goods are subject to an authorisation under the Foreign Trade Management Code, the National Bank will conduct a foreign exchange procedure in connection with the import and export of goods at the same time.

(2) Exporters of goods shall be required to accompany the accompanying documents of the "Export claim declaration 'on a form to be determined by the National Bank. If the consignment has not been accompanied by a report or if the accompanying declaration does not conform, the consignment shall not be exported abroad.

(3) Exporters of goods shall be required to negotiate the maturity of their claims arising from the export of goods in order to comply with the payment conditions laid down in the export authorisation granted under paragraph 1.

§ 14.

Export of gifts, moved uppers and valuable items.

(1) Only authorised by the Ministry of Finance (in Slovakia, by the Finance Authority) or by the Ministry of Finance, are they allowed to export abroad in travel, border or mail which are not intended to be disposed of:

(a) gifts of any kind in kind;

(b) removed uppers,

(c) articles of precious metal or of mixtures containing such metals, gems, pearls, gems, collections or individual items of collecting price, paintings, antiques, furskins, or other objects of a more significant value.

This is without prejudice to other provisions requiring the export of those special authorisation values.

(3) The Minister for Finance is hereby authorised to release, in part or in full, the export of the items referred to in paragraph 1 in an agreement with the National Bank by decree in the Collection of Laws and Regulations, as appropriate.

§ 15.

Acquisition and handling of foreign currency.

(1) With the permission of the National Bank, the foreign exchange seal may:

(a) to acquire foreign currency for domestic currency, except for foreign exchange banks;

(b) treat foreign currency in any way, except for their contribution to the National Bank pursuant to Section 8.

(2) Foreigners' tender, which is officially marked on the domestic exchange for goods and securities, must not be acquired or disposed of as domestic tender for a rate other than the last known rate officially indicated on that exchange, unless the National Bank would allow an exemption.

(3) The Devis course is also mandatory for transactions in valuables, unless a special official course is indicated for valuables.

(4) Foreigners' tender, which is not officially valid on the domestic exchange for goods and securities, must not be acquired or disposed of as domestic tender at a rate other than that laid down by the National Bank or, failing that, at a rate other than that calculated on the basis of the last known foreign exchange record of the currency of the currency of the foreign exchange point.

§ 16.

Precious metals.

(1) Only with the permission of the National Bank shall it be permitted to acquire and dispose of precious metals on a fee or charge, unless the transferee is a person authorised under paragraph 2.

(2) Persons entitled shall be those who, in the course of their trade authorisation or in the pursuit of their profession or the operation of the holding, process or sell precious metal goods (including dentists, dentists, dentists and dental practitioners) and to whom the National Bank shall grant a general authorisation pursuant to paragraph 1.

(3) The National Bank may:

(a) to reserve the acquisition of precious metals produced in the country and produced in the country and, therefore, to purchase them from extractors and producers;

(b) establish the obligations to be kept by persons authorised to acquire and dispose of precious metals (paragraph 2), and the obligation to keep records and report,

(c) specify the price at which precious metals may be acquired or stolen; where precious metals in the form of semi-finished products, salts and goods are intended for industrial or commercial purposes, their price shall be determined by the highest price office in agreement with the National Bank;

(d) state that the provisions of this paragraph do not apply to certain types of precious metals.

§ 17.

Securities.

Only with the permission of the National Bank is allowed:

(a) to transfer domestic and foreign exchange domestic securities into ownership, as collateral or for any other reason, as collateral (by carrying out the accounting transfer, by depositing, typing into another name, issuing, etc.),

(b) transfer domestic and foreign exchange foreign exchange foreign exchange securities into ownership, as collateral or for any other reason;

(c) to transfer foreign exchange domestic securities to foreign exchange domestic assets as collateral or for any other reason;

(d) to establish and maintain any custody (deposit accounts) of domestic and foreign securities for the benefit of foreign exchange foreigners or abroad for the benefit of foreign exchange residents, as well as to change the rights to such securities.

§ 18.

Handling claims.

It is only with the permission of the National Bank that it is permitted to deal with:

(a) with claims on foreign exchange residents, except for the recovery of the claim and the withdrawal of the collected amount to the National Bank pursuant to Article 8;

(b) with claims against foreign exchange nationals,

(c) with claims between foreign exchange residents in favour of foreign exchange foreigners.

§ 19.

Foreign accounts.

(1) The credits and charges on the foreign account may be carried out only on the basis of the authorisation of the National Bank for an act to which the credit or burden relates if the authorisation for such an act is required under this Act.

(2) An account held in the name of a foreign exchange foreigner and an account held in the name of a foreign exchange domestic who is entitled or co-entitled to dispose of a foreign exchange alien or who is foreign.

(3) The foreign accounts are indicated by the heading "foreign accounts."

(4) Foreign exchange accounts may be converted into domestic accounts only with the approval of the National Bank.

§ 20.

Loans and guarantees.

(1) Only authorised by the National Bank is permitted:

(a) to provide foreign exchange foreign exchange loans of all kinds in both domestic and foreign currency;

(b) receive loans of all kinds in domestic or foreign currency from foreign exchange foreigners, or make promises to them;

(c) to guarantee and provide guarantees of any kind to foreign exchange foreigners for the obligations of anyone or to foreign exchange residents for the obligations of foreign exchange foreigners;

(d) accept guarantees and guarantees of any kind from foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange foreign exchange exchange foreign exchange securities.

(2) The authorisation referred to in paragraph 1 (a) and (b) does not require the granting or acceptance of credit up to the amount of the amount charged for goods and ancillary expenses related to the export and import of goods or services, or for services, provided that such belief does not exceed the normal periods of business, after the period laid down by the Government Regulation issued pursuant to Article 11 (3).

§ 21.

Real estate, enterprises and participations.

(1) Only authorised by the National Bank is permitted:

(a) foreign exchange residents acquire or acquire foreign exchange real estate;

(b) foreign exchange foreign exchange persons acquire or acquire domestic real estate;

(c) foreign exchange residents acquire domestic real estate or rights to it from foreign exchange foreigners.

(2) Only with the permission of the National Bank is it allowed to deal with the law:

(a) with foreign exchange domestic real estate or with foreign exchange domestic right to foreign exchange real estate;

(b) with domestic real estate foreign exchange or with the right of foreign exchange foreign exchange to domestic real estate;

(c) with domestic property of a foreign exchange domestic or with the right to it in favour of foreign exchange foreign exchange.

(3) The provisions of paragraphs 1 and 2 apply mutatis mutandis to the treatment of undertakings (establishments) as well as to shares and holdings in undertakings, companies and others.

§ 22.

Insurance and reinsurance.

Only with the permission of the National Bank can insurance and reinsurance contracts be concluded which would give rise to direct liabilities or claims against foreign exchange foreigners.

§ 23.

Copyright, licensing and patent rights.

With the permission of the National Bank alone, it is permitted to conclude legal acts which create, cease or alter the copyright, licence or patent rights of foreign exchange residents to foreign countries or foreign exchange foreigners to domestic countries.

§ 24.

Other negotiations tied to a permit.

The Government is hereby authorised to provide by regulation that the authorisation of the National Bank is also required for other provisions in the previous provisions of the non-specified acts which create, cease or alter:

(a) liabilities and claims on foreign exchange residents;

(b) claims on property values and rights abroad or to foreign exchange foreigners;

(c) claims on property values and rights of foreign exchange foreigners in the domestic or foreign exchange residents.

§ 25.

Acquisition in execution and enforcement of a conditional permit.

(1) Only with the permission of the National Bank can a foreign exchange outsider acquire domestic property at auction.

(2) If the debtor's performance, which is enforced by court, is subject to authorisation under this law, the court shall permit execution only if it is declared to it.

(3) The same applies when it comes to the recovery of a claim against a domestic debtor transferred by an alien to the domestic.

(4) The authorisation required to fulfil the debtor may also be requested by the creditor.

(5) In the order authorising execution, the court shall indicate that the authorisation has been declared to it (paragraph 2). If such an authorisation has not been declared by the court, the obligor or sub-debtor may apply this deficiency without prejudice to possible recertification by resisting execution authorisation.

(6) Resistance shall be brought before the court which has authorized the execution within 15 days after the order for the execution has been delivered to the defendant; otherwise he shall be expelled. The Court of First Instance shall hear the reasons for the opposition and carry out the necessary further investigations. However, where the grounds for opposition to the facts at issue are concerned, they shall be heard orally. The decision becomes a court order. No further execution until the decision to resist.

(7) The national bank may specify when the authorisation of execution does not require the court to issue the authorisation referred to in paragraph 2.

§ 26.

Record keeping and reporting.

The national bank may request reports on the transactions and negotiations covered by this law, as well as reports on the circumstances directly and indirectly serious to the foreign exchange economy. It may also specify the necessary records to be kept. At the request of the National Bank, it shall be presented to it for inspection of the commercial book, documents and other documents.

§ 27.

Authorisation and measures of the National Bank.

(1) The National Bank may make the authorisation under this Act dependent on the fulfilment of certain conditions which would ensure the achievement of the purposes pursued by this Act and charge for the payment of administrative expenses up to 1% of the values covered by the authorisation.

(2) Where a National Bank permit is required in this Act, the National Bank may specify in which cases and under which conditions such authorisation is not necessary.

(3) If the negotiations bound by this Act are carried out by the National Bank itself, there is no need for authorisation.

(4) The authorisation granted under this Act and the regulations granted under it shall not replace the authorisation required under other regulations.

(5) The authorisation granted by the National Bank is valid for all parties involved.

(6) Measures of a general nature, issued by the National Bank under this Act, will be published by the Minister for Finance in the Collection of Laws and Regulations and, if applicable, in the Official Journal of the European Union.

§ 28.

Relation to the International Monetary Fund Agreement.

The Ministry of Finance and the National Bank will take care of the International Monetary Fund agreements when implementing this law. If the application of this law would be contrary to the obligations assumed by the Czechoslovak Republic's approach to that agreement, provision shall be made for Article 27 (2) and (6), in which cases and in relation to which countries the authorisation of the National Bank is not required.

ODDÍL III.

Supervision, enforcement and detention measures.

Date of Promulgation	15.05.1946
Effective from	15.05.1946
Effective until	-
Status	Valid

Act No. 92 / 1946 Coll.

Act on Bound Foreign Exchange Economy (Foreign Exchange Act)

Contents