Circular CREFI 2-60, LISOL 1-488, RUNOR 1-862: Modifications to Applicable Norms on Money Laundering Prevention, Terrorism Financing Prevention, and Consolidated Supervision

"2008 - Year of Science Education"
COMMUNICATION "A" 4835 15/08/2008
TO FINANCIAL ENTITIES,
TO EXCHANGE HOUSES, AGENCIES, OFFICES AND BROKERS:
Ref.: Circular
CREFI 2 - 60
LISOL 1 - 488
RUNOR 1 - 862
"Prevention of money laundering and other illicit activities", "Prevention of terrorism financing" and "Consolidated Supervision".
Modifications to applicable norms.

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We address you to inform you that this Institution adopted the following resolution:

"1. Incorporate, effective from 01.01.09, as point 1.1.6. of Section 1. of the norms on "Prevention of money laundering and other illicit activities", the following:
"1.1.6. For the purpose of considering the integrity of data involving the movement of deposit accounts, financial entities shall take the necessary measures to allow identification of the depositor when he/she is not the client holding the account, in cases of cash deposits, except when electronic means with identification (such as debit cards) are used or it concerns collections with counterpart in a collection account, even if structured as a savings account or checking account (banking or special), provided that at the time of deposit or through the entity's internal records it is possible to establish the unique relationship with the final allocation of the payment."

2. Replace with effect from 01.01.09 point 1.3.4.3. of Section 1. of the norms on "Prevention of money laundering and other illicit activities", with the following:
   "1.3.4.3. Politically Exposed Persons. a) National, provincial, municipal and Autonomous City of Buenos Aires public officials.
   Persons who have held or have held during the two years prior to the analysis date any of the functions or positions listed in Article 5 of Law 25.188 are included.
   In the provincial and municipal jurisdictions of the country and the Autonomous City of Buenos Aires, those who have held or have held during the aforementioned period the following functions are considered included:

• Governors, mayors and Chief Government Officer of the Autonomous City of Buenos Aires, government ministers and provincial justice court ministers, provincial judges, provincial senators and deputies and of the Autonomous City of Buenos Aires, members of municipal deliberative councils, highest authority of each control body and each of the provincial and municipal autonomous entities or State Companies (Law 20.705), and positions equivalent to those functions in each jurisdiction.
  b) Foreign public officials.
  Persons from abroad who have held or have held during the last two years prior to the analysis date any of the following positions are included:
• Heads of State, heads of Government, governors, mayors, ministers, secretaries and undersecretaries of State and other equivalent governmental positions.
• Members of Parliament/Legislative Power.
• Judges, senior members of courts and other high judicial and administrative instances of that scope of the judicial power.
• Ambassadors, consuls and prominent officials of permanent official missions abroad.
• High-ranking officers of the armed forces (from colonel or equivalent rank in the force and/or country concerned) and of public security forces (from commissioner or equivalent rank according to the force and/or country concerned).
• Members of the governing and control bodies of state-owned companies.
• Directors, governors, board members, trustees or equivalent authorities of central banks and other state regulatory and/or supervisory bodies.
  The established scope is limited to those ranks, hierarchies or categories with decision-making powers; therefore, mid-level or lower-level officials are excluded. c) Spouses or legally recognized cohabitants and relatives in ascending, descending or collateral line up to the second degree of consanguinity or second degree of affinity, of the persons referred to in items a) and b), during the periods indicated for them. d) Persons linked -by control- to those enumerated in items a), b) and c), in accordance with the provisions of point 1. of Annex I to Communication "A" 2140 and complementary ones, during the periods indicated for them. For the determination of the condition referred to in this point, acting entities will require from clients with whom they establish a new contractual relationship, as well as from those clients regarding whom a new operation involving the physical presence of the client at the entity is carried out, a sworn declaration (according to the model contained in point 1.10.) indicating whether they fall under items a), b), c) and/or d), assuming also the responsibility to inform any change that occurs regarding said condition. Without prejudice to this, the entity must make inquiries to information systems or other sources that provide information on politically exposed persons. In the control and prevention procedures referred to in point 1.6., the entity will define which information sources it consults. In the cases foreseen in this point, entities must apply reinforced policies and procedures compared to those established in point 1.6., aimed at complying with due diligence, as well as taking extra precautions regarding operations they carry out considering their economic and legal reasonableness and justification. Among others, it must be determined that to operate with each of these clients, authorization from at least the highest responsible person of each branch of the entity is required, and monthly reports of developments in this regard must be sent to the Committee referred to in point 1.5.1., leaving a record of informing that body in its meeting minutes."

3. Incorporate with effect from 01.01.09 point 1.10. in Section 1. of the norms on "Prevention of money laundering and other illicit activities", as follows:
   "1.10. Model of sworn declaration on the client's status regarding what is established in point 1.3.4.3.
   NAME OF THE ENTITY
   The / the (1) who signs, (2) declares under oath that the data entered herein are correct, complete and a true expression of the truth and that YES / NO (1) is / the firm represented (1) covered by the provisions referred to in point 1.3.4.3. of Section 1. of the norms on "Prevention of money laundering and other illicit activities", whose text I have read. (In case of affirmative) Position / Function / Hierarchy, or nature of the relationship (1):
   ………………
   ..
   Furthermore, assumes the commitment to inform any modification that occurs in this regard, within thirty days of occurrence, by presenting a new sworn declaration.

Place and date: Signature:
Document: Type (3) No Country and Issuing Authority:
Invoked Character (4):
Name of the legal entity (5):
CUIT / CUIL / CDI (1) No:
We certify that the preceding signature matches the one registered in our books / was put in our presence (1).
(Seal of the entity and signature of two authorized officials) Observations:
………………
..
(1) Strike out what does not apply.
(2) Integrate with the first and last name of the client, in the case of natural persons, even if an attorney-in-fact signs on their behalf.
(3) Indicate DNI, LE or LC for native Argentines. For foreigners: Foreign DNI, International Card, Passport, Provisional Certificate, Identity Document of the respective country, as appropriate. (4) Indicate holder, legal representative, attorney-in-fact. When it concerns an attorney-in-fact, the granted power must be broad and general and valid on the date this declaration is signed. (5) Integrate only in cases where the signatory acts as attorney-in-fact or legal representative of a legal entity. Note: This declaration must be integrated in duplicate, the one intervened by the entity serving as proof of receipt of this declaration for the client. On the back, point 1.3.4.3. of Section 1. of the norms on "Prevention of money laundering and other illicit activities" and Art. 5° of Law 25.188 will be transcribed."

4. Incorporate, with effect from 01.01.09, as point 5.2.3. of Section 5. of the norms on "Consolidated Supervision", the following:
   "5.2.3. Compliance with norms on "Prevention of money laundering and other illicit activities" and "Prevention of terrorism financing".
   The provisions contained in the cited norms must also be observed in subsidiaries and affiliates that result included in this regime, to the extent allowed by the applicable legal provisions in the matter of the country where they are located. The observance of the above does not extend to the provisions for the integration of the base referred to in point 1.7. of the first provision, nor to suspicious transaction reports deriving from both regimes. In that framework, financial entities must ensure that subsidiaries and affiliates consider within the internal control scheme related to "Prevention of money laundering and other illicit activities" and "Prevention of terrorism financing", the following:
   5.2.3.1. Existence of written policies and procedures for the prevention of money laundering and terrorism financing framed in international standards, consistent with the characteristics of different activities and consistent with those of the parent house and/or controller.
   5.2.3.2. Designation of an official responsible for implementing the policies and procedures mentioned in the previous point and keeping the highest level of the parent house and/or controller informed about the matter.
   5.2.3.3. Existence of an organizational structure with clear definition of roles and responsibilities consistent with that of the parent house and/or controller.
   5.2.3.4. Existence of a written procedure for reporting unusual or suspicious transactions according to respective legal requirements, and consistent with that of the parent house and/or controller.
   5.2.3.5. If it has internal audit to evaluate prevention programs and controls consistent with those of the parent house and/or controller and if its conclusions are analyzed in a consolidated manner.
   5.2.3.6. If there are staff training programs in the matter, consistent with those of the parent house and/or controller and if they are fulfilled.
   Financial entities shall take the means to obtain information regarding compliance with the points detailed previously by each of their included subsidiaries and affiliates, for example, through reports issued by external and internal auditors of the aforementioned subsidiaries and affiliates."

5. Replace the first paragraph of point 3.1.7. of Chapter VI of Circular CREFI – 2, text according to Communication "A" 4775, with the following:
   "Certification extended by the supervision authorities of the country of origin, by which it is accredited that the represented institution is authorized to operate as a financial intermediary, complies with principles, standards or norms on Anti-Money Laundering and Counter-Terrorism Financing and has its express authorization to act as a representative -natural person- in the Argentine Republic."

6. Incorporate as point 1.9.7. of Section 1. of the norms on "Prevention of money laundering and other illicit activities", the following:
   "1.9.7. Representatives of foreign financial entities not authorized to operate in the country.
   They shall observe what is provided in points 1.1. to 1.4., pertinently points 1.5. and 1.6. and point 1.8., regarding the operations they intervene in, included within the current legal and regulatory limits."

7. Incorporate as point 5.6. of the norms on "Prevention of terrorism financing", the following:
   "5.6. Representatives of foreign financial entities not authorized to operate in the country.
   They shall observe pertinently points 1. to 4., regarding the operations they intervene in, included within the current legal and regulatory limits."

8. Establish that, before 01.01.2010, financial entities must have taken the appropriate means, in their judgment deemed pertinent, for the proper dissemination among their clientele of the provisions referred to in point 1.3.4.3. (text according to point 2. of this resolution) of the norms on "Prevention of money laundering and other illicit activities".
   Furthermore, they must have made, according to said regime, the best efforts and practices to identify politically exposed persons, which includes the possibility of resorting to the request for the sworn declaration referred to in point 1.10. of said norms (text according to point 3. of this resolution). When the aforementioned declaration is not used, confirmation may be requested by any means that allows unique identification of the declaring client, in which there is explicit record of their inclusion or not as a "politically exposed person" according to point 1.3.4.3. (text according to point 2. of this resolution) of the norms on "Prevention of money laundering and other illicit activities". As a consequence of the above, reinforced controls will be practiced among holders who are included, and from the date indicated in the first paragraph, they must also apply them with respect to those from whom no response to such request has been received.

9. Provide that, before 01.01.2009, representatives of foreign financial entities not authorized to operate in the country, who are currently performing those functions, shall send to the Superintendency of Financial and Exchange Entities (Directorate of Authorizations) the certification referred to in the first paragraph of point 3.1.7. of Chapter VI of Circular CREFI – 2 (text according to point 5. of this resolution), linked to the new requirement incorporated.
   Finally, we send you the sheets that, in replacement of those previously provided, correspond to incorporate in the ordered texts of the reference. Likewise, it is recalled that on this Institution's website www.bcra.gov.ar, accessing "regulations" ("ordered texts"), the modifications made with texts highlighted in special characters (strikethrough and bold) will be found.

We salute you very attentively.
CENTRAL BANK OF THE ARGENTINE REPUBLIC
Darío C. Stefanelli José I. Rutman
Manager of
Regulation Issuance
Deputy General Manager of Regulations

ANNEX

• Index -
  Section 1. Money Laundering Prevention.
  1.1. General Aspects.
  1.2. Definition of Client.
  1.3. Minimum Requirements.
  1.4. Documentation Retention.
  1.5. Policies and Structure.
  1.6. Control and Prevention Procedures.
  1.7. Maintenance of a Database.
  1.8. Report of Unusual or Suspicious Operations.
  1.9. Covered Entities.
  1.10. Model of Sworn Declaration on Client Status Regarding What is Established in Point 1.3.4.3.
  Section 2. Payment of Checks and Bills of Exchange over the Counter.
  2.1. Limitation.
  2.2. Exceptions.
  2.3. Requirements.
  Section 3. Cash-out of Credits in Deposit Accounts.
  3.1. Scope.
  3.2. Specific Treatment.
  3.3. Exceptions.
  Correlation Table.
  B.C.R.A.
  UPDATED ORDERED TEXT OF THE NORMS ON
  "PREVENTION OF MONEY LAUNDERING
  AND OTHER ILICIT ACTIVITIES"
  Version: 7th COMMUNICATION "A" 4835
  Validity:
  15/08/2008

1.1. General Aspects.
1.1.1. Financial and exchange entities shall observe the safeguards contained in this norm, without prejudice to complying with what is established in Law 25.246 and the regulatory norms issued by the Financial Information Unit linked to the matter.
1.1.2. The basic principle underlying this regulation is the internationally known "know your customer" policy.
1.1.3. Consequently, the opening and maintenance of accounts must be based on knowledge of the clientele, paying special attention to their functioning, with the purpose of avoiding that they can be used in relation to money laundering. For these purposes, the following will be observed:
1.1.3.1. Natural persons: a sworn declaration on the legality and origin of funds will be required, and when necessary to define the client profile, supporting documentation allowing to establish their patrimonial and financial situation.
1.1.3.2. Legal persons: must present a copy of the last balance sheet certified by a public accountant and legalized by the Professional Council of Economic Sciences corresponding, or alternative documentation allowing to establish their patrimonial and financial situation.
1.1.4. Consideration will be given -among other aspects- that both the number of accounts in which the same person appears as owner and the movement they register bear a reasonable relationship with the development of the activities declared by the respective clients.
1.1.5. In order to verify compliance with the principle of client knowledge (points 1.1.2. and 1.1.3.), in accounts for crediting remuneration, Unemployment Fund for Construction Industry Workers and linked to social plan payments, the information provided by employers and by national, provincial or municipal competent bodies respectively is considered sufficient, provided that the amount of credits does not exceed $ 30,000 monthly.
This presumption does not relieve the entity from analyzing the possible discrepancy between the account holder's profile and the amounts and modes operated.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Money Laundering Prevention.
Version: 5th COMMUNICATION "A" 4835
Validity:
15/08/2008

1.1.6. For the purpose of considering the integrity of data involving the movement of deposit accounts, financial entities shall take the necessary measures to allow identification of the depositor when he/she is not the client holding the account, in cases of cash deposits, except when electronic means with identification (such as debit cards) are used or it concerns collections with counterpart in a collection account, even if structured as a savings account or checking account (banking or special), provided that at the time of deposit or through the entity's internal records it is possible to establish the unique relationship with the final allocation of the payment.

1.2. Definition of Client.
1.2.1. Is any natural or legal person with whom one or more contractual relationships linked to operations admitted for each class of entity included are established, once or occasionally or permanently.
1.2.2. By virtue of the above, financial and exchange entities may maintain operational links with two types of clients:
1.2.2.1. Regular clients: those with whom a permanent relationship is established.
1.2.2.2. Occasional clients: those who perform operations once or occasionally, understanding that this happens when checking accounts are not maintained with the entity, except in those cases where the client is incorporated in a database and/or file in which the identification requirements required for regular clients are registered.

1.3. Minimum Requirements.
1.3.1. Identification.
The identity of clients will be recorded, in accordance with what is provided in the norms on "Valid Identification Documents", to comply with these provisions. This, without prejudice to the obligation in that sense established in the norms on account opening, active operations and exchange operations, which remain fully in force. Apart from this and what is established in point 1.3.2., it is at the exclusive discretion of each entity to require other requirements they deem necessary for these purposes.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Money Laundering Prevention.
Version: 5th COMMUNICATION "A" 4835
Validity:
01/01/2009

1.3.2. Other identification requirements.
1.3.2.1. Regular Clients
1.3.2.1.1. Natural Persons.
a) Full names. b) Date and place of birth. c) Nationality, sex and marital status. d) Type and number of identity document that must be presented in original. e) Unique Tax Identification Key (CUIT) or Unique Labor Identification Code (CUIL) or Identification Key (CDI), if applicable. f) Address (street, number, locality, province and postal code) and telephone number. g) Profession, trade, industry, commerce, etc. that constitutes their main activity. Same treatment will be given to the attorney-in-fact, tutor, curator or representative.
1.3.2.1.2. Legal Persons.
a) Name or corporate name. b) Date of contract or deed of constitution; copy of the updated social statute, without prejudice to the exhibition of originals. c) Date and registry inscription number. d) Unique Tax Identification Key (CUIT). e) Address (street, number, locality, province and postal code) and telephone number of the headquarters. f) Main Activity. Additionally, the identifying data -in the terms provided in points 1.3.1. and 1.3.2.1.1.- of the authorities, the legal representative, attorneys-in-fact and/or authorized persons with signature use to operate with the entity on behalf and representation of the legal person will be requested. The same safeguards indicated above will be evidenced in cases of associations, foundations and other organizations with or without legal personality.
1.3.2.2. Occasional Clients.
1.3.2.2.1. Natural Persons.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Money Laundering Prevention.
Version: 7th COMMUNICATION "A" 4835
Validity:
15/08/2008

a) Full names and surnames. b) Type and number of the identity document, which must be presented in original. c) Address (street, number, locality, province, and postal code) and telephone number. d) Main activity (only in cases where the transaction is for an amount equal to or greater than $1,000, or its equivalent in other currencies).

1.3.2.2.2. Legal entities.
a) Corporate name or trade name. b) Unique Tax Identification Key (CUIT). c) Address (street, number, locality, province, and postal code) and telephone number. d) Main activity (only in cases where the transaction is for an amount equal to or greater than $1,000, or its equivalent in other currencies).

Additionally, the identifying data -in the terms provided in points 1.3.1. and 1.3.2.2.1.- of the persons who carry out the transaction with the entity on behalf and in the name of the legal entity, with presentation of the documents that authorize them to do so, will be requested.

1.3.3. Additional requirements.
In addition to the identification requirements referred to in points 1.3.1. and 1.3.2.2., the following requirements must be observed regarding occasional clients:

1.3.3.1. In the case where individual operations, included or not in the enumeration of point 1.7.1., except those mentioned in point 1.3.3.3., result in amounts greater than thirty thousand pesos ($30,000), a sworn declaration regarding the legality and origin of the funds will be required.

1.3.3.2. In the case where individual operations, included or not in the enumeration of point 1.7.1., result in amounts greater than two hundred thousand pesos ($200,000), in addition to the sworn declaration regarding the legality and origin of the funds, the corresponding supporting documentation and/or information substantiating the declared origin of the funds will be additionally required.

1.3.3.3. In the case where individual or accumulated foreign exchange operations in the month result in amounts greater than thirty thousand pesos ($30,000) and to the extent that the client's consideration is the delivery of cash, a sworn declaration regarding the legality and origin of the funds with the corresponding supporting documentation and/or information substantiating the declared origin of the funds will be required.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 5th. COMMUNICATION "A" 4835
Validity:
15/08/2008

1.3.3.4. When the entity has been able to determine that linked operations have been carried out which, individually, have not reached the established minimum amounts but which, collectively, reach or exceed said amounts, the procedure will be as provided in points 1.3.3.1. to 1.3.3.3.
The same criterion will be followed when, in the judgment of the intervening entity, the operation is considered to lack economic or legal justification.

1.3.4. Particular situations.
Without prejudice to the general requirements mentioned in points 1.3.1. and 1.3.2., special attention must be paid regarding the identification of the clients mentioned in points 1.3.4.1. to 1.3.4.4.

1.3.4.1. Remote transactions.
Entities must adopt specific measures that, in their judgment, are adequate to compensate for the higher risk of money laundering, when business relationships are established or transactions are carried out with clients who have not been physically present for their identification.

1.3.4.2. Presumed acting on behalf of another.
Entities must take extra precautions to identify the beneficial owners and/or end clients and/or real owners, complying with the same general requirements mentioned in points 1.3.1. to 1.3.3., when, in the judgment of the entity, it is feasible to suppose that in the transaction in question, the presumed client would be acting on behalf of another person (beneficial/end/real client), requiring information on the identity of the latter.

1.3.4.3. Politically exposed persons.
a) National, provincial, municipal, and City of Buenos Aires public officials.
Persons who have held or have held during the two years prior to the analysis date, any of the functions or positions listed in Article 5 of Law 25.188, are included.
In the provincial and municipal jurisdictions of the country and the City of Buenos Aires, those who have held or have held during the aforementioned period the following functions are considered included:

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 12th. COMMUNICATION "A" 4835
Validity:
01/01/2009

• Governors, mayors, and Chief of Government of the City of Buenos Aires, government ministers and judges of provincial courts, provincial judges, provincial and City of Buenos Aires senators and deputies, members of municipal deliberating councils, the highest authority of each control body and of each provincial and municipal autonomous entity or State Companies (Law 20.705), and positions equivalent to those functions in each jurisdiction.
  b) Foreign public officials.
  Persons from abroad who have held or have held during the two years prior to the analysis date, any of the following positions, are included:
• Heads of State, heads of Government, governors, mayors, ministers, secretaries and undersecretaries of State and other equivalent governmental positions.
• Members of Parliament/Legislative Power.
• Judges, senior members of courts and other high judicial and administrative instances of that scope of the judicial power.
• Ambassadors, consuls, and senior officials of permanent official foreign missions.
• High-ranking officers of the armed forces (from colonel or equivalent rank in the force and/or country in question) and of public security forces (from commissioner or equivalent rank according to the force and/or country in question).
• Members of the governing and control bodies of state-owned companies.
• Directors, governors, board members, auditors, or equivalent authorities of central banks and other state regulatory and/or supervisory bodies.
  The established scope is limited to those ranks, hierarchies, or categories with decision-making powers; therefore, officials at intermediate or lower levels are excluded. c) Spouses or legally recognized cohabitants and relatives in the ascending, descending, or collateral line up to the second degree of consanguinity or second degree of affinity, of the persons referred to in items a) and b), during the periods indicated for them.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 11th. COMMUNICATION "A" 4835
Validity:
01/01/2009

d) Persons linked -by control- to those listed in items a), b), and c), in accordance with the provisions of point 1. of Annex I to Communication "A" 2140 and complementary ones, during the periods indicated for them. For the purposes of determining the condition referred to in this point, acting entities will require from clients with whom they establish a new contractual relationship, as well as from those clients regarding whom a new operation involving the physical presence of the client at the entity is carried out, a sworn declaration (according to the model contained in point 1.10.) indicating whether they are included in items a), b), c), and/or d), assuming also the responsibility to inform any changes that occur regarding said condition. Without prejudice to this, the entity must make inquiries to information systems or other sources that provide information on politically exposed persons. In the control and prevention procedures referred to in point 1.6., the entity will define which information sources it consults. In the cases provided for in this point, entities must apply reinforced policies and procedures regarding those established in point 1.6., aimed at complying with due diligence, as well as taking extra precautions regarding the operations they carry out considering their reasonableness and economic and legal justification. Among other things, it must be determined that to operate with each of these clients, authorization from at least the highest responsible person of each branch of the entity is required, and monthly reports of any developments in this regard must be sent to the Committee referred to in point 1.5.1., with the notification to this body recorded in its meeting minutes.

1.3.4.4. Funds from other entities.
In the case of funds coming from another entity covered by this regulation, it is presumed that said entity verified the "know your customer" principle.
In the case of funds coming from foreign entities -except from jurisdictions considered non-cooperative- it is presumed that said entity verified the "know your customer" principle. When it concerns funds transferred from countries classified as having low or no taxation, according to the terms of Decree 1037/00 and its amendments, an express mention from the foreign entity -correspondent of the local entity- must be requested stating that it complies with the "know your customer" principle.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 5th. COMMUNICATION "A" 4835
Validity:
01/01/2009

These presumptions do not relieve the entity from complying with the requirements mentioned in points 1.3.1., 1.3.2., and 1.3.4.1. to 1.3.4.3. above, regarding the clients who are the recipients of the funds.

1.3.5. Special cases:
In the cases listed below, the treatment generally provided for client identification will be applied as indicated. a) Physical or legal persons holding shares in common investment funds: only when the financial entity acts as a placement agent. b) Holders of debt securities and/or certificates of participation of financial trusts -with public offering- when they acquire them through the financial entity -whatever the capacity in which they intervene- and the physical or legal persons acting as trustees.

1.3.6. Exception.
The following are excluded from the treatment generally provided for client identification:

1.3.6.1. Holders in the public and financial sectors, or their representatives, when they require operations by reason of their specific functions.

1.3.6.2. Accounts with deposits originating from causes in which the Judiciary intervenes.

1.4. Preservation of documentation.
The supporting documentation of operations related to the subject matter, which must be collected -in compliance with this regulation- during the periods and conditions established in the norms on "Preservation and reproduction of documents," will be maintained. This documentation must allow the reconstruction of transactions and be available upon request by competent authorities.

1.5. Policies and structure.

1.5.1. Control and Prevention Committee for Money Laundering.
Version: 4th. COMMUNICATION "A" 4835
Validity:
15/08/2008

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.

Financial and exchange entities must constitute a "Control and Prevention Committee for Money Laundering" composed of, at least, one member of the Board of Directors or Board of Administration, as applicable, the responsible official referred to in point 1.5.2., and a senior-level official with competence in financial intermediation operations (that is, with experience and knowledge in this matter and with the consequent assignment of functions, within the framework of the definition of functional positions corresponding to the organizational structure of each entity). When it concerns exchange entities whose statutes or articles of association provide for the formation of the governing body with an insufficient number of members to observe the preceding requirement, they may constitute the said committee with one member of that body, who must be the responsible official referred to in point 1.5.2., and a senior-level official, with competence in exchange operations. In the case of branches of foreign financial entities, this committee must be composed of its local highest authority and, at least, two first-level officials designated by the Head Office who have competence in the area of financial intermediation operations. The aforementioned executives will remain in these functions for a minimum period of two (2) years (provided their mandate does not expire earlier) and a maximum of three (3) years (except for the responsible official referred to in point 1.5.2.). Furthermore, the duration of their stay in said function must not coincide, so that the Committee is always composed of an executive with experience in the matter. The "Control and Prevention Committee for Money Laundering" will be responsible for planning, coordinating, and ensuring compliance with the policies in this matter established and approved by the Board of Directors, Board of Administration, or the highest authority in the country of the branches of foreign financial entities. The Committee must establish its internal regulations regarding its functioning, periodicity, and documentation of meetings through minutes transcribed in a special book enabled for this purpose.

1.5.2. Responsible official.
He/She will be responsible for executing the policies established by the governing body of financial and exchange entities, for their monitoring, and for the implementation of the necessary internal controls in this matter. The appointment must fall on a member of the Board of Directors or Board of Administration, as applicable, who will be responsible for anti-money laundering and in charge of centralizing all information required by the Central Bank of the Argentine Republic and/or the Financial Information Unit. In the case of branches of foreign financial entities, this responsibility must fall on their local highest authority.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 4th. COMMUNICATION "A" 4835
Validity:
15/08/2008

To this effect, the following guidelines will be observed:

1.5.2.1. The certified copy of the appointment will be sent to the Main Management of Analysis and Monitoring of Special Operations of the Superintendence of Financial and Exchange Entities, along with the personal data of the appointed official. Additionally, telephone numbers, "fax", email address, and workplace will be recorded.

1.5.2.2. Any deviations detected in their performance will make them subject to the sanctions provided for in Article 41 of the Financial Entities Law, without prejudice to the responsibility that falls on the Board of Directors, the Board of Administration, or the highest authority of the financial and exchange entities.

1.5.2.3. Removals or resignations that occur in the exercise of such function will be reported within 15 business days of their occurrence, indicating the causes that gave rise to the event.

1.5.3. Internal Auditor.
He/She will be responsible for the implementation of periodic and independent audits of the global anti-money laundering program to ensure the achievement of the proposed objectives.

1.5.4. Human Resources Area.
Financial and exchange entities must adopt a formal and permanent program of training, coaching, and updating in this matter for their employees.
Likewise, they must adopt adequate pre-selection systems to ensure strict hiring standards for employees.

1.6. Control and prevention procedures.

1.6.1. According to the particular characteristics of the different products they offer, each entity must design and put into practice control mechanisms that allow it to achieve adequate knowledge of all its clients based on the risk analysis policies each entity has implemented.
These risk analysis policies must be gradual, that is, the higher the client's risk, the greater the degree of control implemented.
Client knowledge must begin with the entry registration into the system and compliance with the requirements determined by the entity for each of the products through which one can link. It is necessary for the entity to verify, by the means it considers most effective, the veracity of the most relevant personal and commercial data.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 4th. COMMUNICATION "A" 4835
Validity:
15/08/2008

The data obtained to fulfill client knowledge must be updated when operations considered unusual are detected according to the prudential valuation of each entity, when significant transactions are carried out, when relatively significant changes occur in the way accounts are operated and/or when, within the risk parameters adopted by the entity, such update is considered necessary.

1.6.2. During the course of the contractual or commercial relationship, the following actions must be carried out:

1.6.2.1. Monitoring of operations:

• Adopt risk analysis policies in the entity.
• Define parameters for each type of client based on their initial profile and in function of the risk analysis policies implemented by each entity.
• In case of detecting deviations, incongruities, incoherences, or inconsistencies, the analysis of the operation/s must be deepened in order to obtain additional information that corroborates or reverses the situation presented.

1.6.2.2. The unusual nature or suspicion of the operation may also be founded on elements such as volume, value, type, frequency, and nature of the operation compared to the client's usual activities.

1.6.2.3. In order to achieve adequate control of the operations carried out by clients, segmentation parameters or any other instrument of similar efficacy must be adopted, by risk levels, by class of product, or by any other criterion, which allows identifying unusual operations, for which adequate levels of technological development must be implemented according to the type and volume of operations of each entity that ensure the greatest coverage and reach of their control mechanisms.

1.7. Maintenance of a database.

1.7.1. Covered operations.
The information corresponding to the clients defined in point 1.2.2. who carry out operations -considered individually for amounts equal to or greater than $30,000 (or its equivalent in other currencies), for the following concepts, must be maintained in a database:

1.7.1.1. Cash deposits: in checking accounts, savings accounts, fixed-term deposits, and other fixed-term modalities.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 5th. COMMUNICATION "A" 4835
Validity:
15/08/2008

1.7.1.2. Deposits constituted with securities, computed according to their quotation value at the close of the day prior to the deposit.

1.7.1.3. Placement of debentures and other debt securities issued by the entity itself.

1.7.1.4. Repos (active and passive).

1.7.1.5. Purchase and sale of securities -public or private- or placement of shares in common investment funds.

1.7.1.6. Purchase and sale of precious metals (gold, silver, platinum, and palladium).

1.7.1.7. Cash purchase and sale of foreign currency (includes arbitrage).

1.7.1.8. Drafts or transfers issued and received (operations with other entities in the country and with abroad) regardless of the form used to process the operations and their destination (deposits, repos, purchase and sale of securities, etc.).

1.7.1.9. Purchase and sale of checks drawn against accounts abroad and traveler's checks.

1.7.1.10. Payment of imports.

1.7.1.11. Collection of exports.

1.7.1.12. Sale of the financial entity's portfolio to third parties.

1.7.1.13. Loan amortization services.

1.7.1.14. Early loan cancellations.

1.7.1.15. Establishment of trusts and all other types of fiduciary trusts.

1.7.1.16. Purchase and sale of cancellation checks.

1.7.1.17. Sale of financial payment checks.

1.7.2. Storage and maintenance of information.
The data of all clients in whose name accounts are opened or operations are registered will be stored.
The storage and maintenance of information will also cover cases of clients who -in the judgment of the intervening entity- carry out linked operations that, even when -considered individually- do not reach the minimum level established in the first paragraph of point 1.7.1., collectively exceed or reach said amount.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILICIT ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 1st. COMMUNICATION "A" 4835
Validity:
15/08/2008

To this end, operations carried out must be accumulated daily, storing the data of persons who register operations—regardless of their individual amount—that in aggregate reach an amount equal to or greater than $1,000 (or its equivalent in other currencies), without considering any amounts lower than said threshold in any case.

1.7.3. Backup.
At the end of each calendar month, with the data stored in accordance with points 1.7.1. and 1.7.2.—in this case, when during the period they have summed up computable operations of $30,000 or more (or its equivalent in other currencies)—a backup copy must be created.

This element will contain, in addition to that information, the data corresponding to the previous months of the last 5 (five) years, meaning it must cover a maximum of 60 periods.

This backup copy must be made available to the Central Bank of the Argentine Republic to be delivered within 48 business hours of being requested.

1.7.4. Exclusions.
Operations conducted with holders belonging to the financial and public sectors.

1.8. Report of unusual or suspicious operations.
Once the facts or operations that an entity considers reportable have been detected, according to the analysis performed and with the guide on suspicious transactions disseminated by the Financial Information Unit (UIF), the reporting of such unusual or suspicious operations must be carried out in the manner provided for by the corresponding resolutions issued by that Unit, in accordance with what is established in Article 10 of Decree 169/2001.

1.9. Entities covered.

1.9.1. Financial entities.

1.9.2. Exchange houses, agencies, and offices.
The provisions contained in this regulation will be applicable regarding the operations in which they intervene, included within the legal and regulatory limits, respectively, currently in force.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILLEGAL ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 1st. COMMUNICATION “A” 4835
Validity:
15/08/2008

1.9.3. Mutual associations.
It is recommended to observe what is provided in points 1.1. to 1.4., insofar as pertinent point 1.5., and 1.6.

1.9.4. Closed credit card systems.
It is recommended to observe what is provided in points 1.1. to 1.4., insofar as pertinent point 1.5., and 1.6.

1.9.5. Fund transmitting companies.
It is recommended to observe what is provided in points 1.1. to 1.4., insofar as pertinent point 1.5., and 1.6.

1.9.6. Exchange brokers.
They will observe what is provided in points 1.1. to 1.4., insofar as pertinent points 1.5. and 1.6. and point 1.8., regarding the operations in which they intervene, included within the legal and regulatory limits currently in force.

1.9.7. Representatives of foreign financial entities not authorized to operate in the country.
They will observe what is provided in points 1.1. to 1.4., insofar as pertinent points 1.5. and 1.6. and point 1.8., regarding the operations in which they intervene, included within the legal and regulatory limits currently in force.

1.10. Model of sworn statement regarding the customer's status in relation to what is established in point 1.3.4.3.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILLEGAL ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 1st. COMMUNICATION “A” 4835
Validity:
01/01/2009

NAME OF THE ENTITY
The undersigned (1), declares under oath that the data provided in this document are correct, complete, and a faithful expression of the truth and that YES / NO (1) is / the firm represented (1) covered by the provisions referred to in point 1.3.4.3. of Section 1. of the norms on “Prevention of money laundering and other illegal activities”, whose text I have read. (In case of affirmative answer) Position / Function / Hierarchy, or nature of the relationship (1):
………………
Furthermore, it assumes the commitment to inform any modification that occurs in this regard, within thirty days of its occurrence, by presenting a new sworn statement.
Place and date: Signature:
Document: Type (3) No. Country and Issuing Authority:
Invoked status (4):
Legal entity name (5):
CUIT / CUIL / CDI (1) No.:
We certify that the preceding signature matches the one registered in our books / was put in our presence (1).
(Seal of the entity and signature of two authorized officials) Observations:
………………
(6) Cross out what does not apply.
(7) Integrate with the first and last name of the client, in the case of natural persons, even if an attorney signs on their behalf.
(8) Indicate DNI, LE or LC for native Argentines. For foreigners: Foreign DNI, International Card, Passport, Provisional Certificate, Identity Document of the respective country, as applicable. (9) Indicate holder, legal representative, attorney. When it concerns an attorney, the power of attorney granted must be broad and general and be in force on the date this declaration is signed. (10) Integrate only in cases where the signatory acts as an attorney or legal representative of a legal entity. Note: This declaration must be integrated in duplicate, the one intervened by the entity will serve as proof of receipt of this declaration for the client. On the back, point 1.3.4.3. of Section 1. of the norms on “Prevention of money laundering and other illegal activities” and Art. 5° of Law 25.188 will be transcribed.

PREVENTION OF MONEY LAUNDERING
AND OTHER ILLEGAL ACTIVITIES
B.C.R.A.
Section 1. Prevention of money laundering.
Version: 1st. COMMUNICATION “A” 4835
Validity:
01/01/2009

ORDERED TEXT ORIGIN OF THE NORM Observations
Section Point Paragraph Comm. Point Paragraph
1.1.1. “A” 4353
1.1.2. “A” 4353
1.1.3. "A" 2627 1. 1° According to Com. “A” 4353 and “A” 4459, pt.
1.
1.1.4. "A" 2627 1. 2°
1.1.5. “A” 4459 2.
1.1.6. “A” 4835 1.
1.2. “A” 4353
1.3.1. "A" 2451 1. and 2. According to Com. “A” 3037 and “A” 4353
1.3.2. “A” 4353 According to Com. “A” 4459, pt. 3.
1.3.3. “A” 4353 According to Com. “A” 4459, pt. 3. and 4.
1.3.4. “A” 4353 According to Com. “A” 4459, pt. 5., “A”
4675, pt. 1 and “A” 4835, pt. 2.
1.3.5. “A” 4353
1.3.6. “A” 4353 According to Com. “A” 4459, pt. 6.
1.4. "A" 2451 3. According to Com. “A” 4353
1.5.1. “A” 4353 According to Com. “A“ 4383, “A” 4459, pt.
7. and “A” 4675, pt. 2.
1° and 2° "A" 2627
"A" 2458
6.
1.
According to Com. “A” 3037, “A” 4353 and “A”
4459, pt. 8.
1.5.2.
3° “A” 4675 9.
1.5.2.1. "A" 2458 2. According to Com. “A” 4353
1.5.2.2. "A" 2458 3. According to Com. “A” 4353
1.5.2.3. "A" 2458 4.
1.5.3. “A” 4353
1.5.4. “A” 4353
1.6. "A" 2451 5. According to Com. “A” 3037 and “A” 4353
1.7.1. "A" 2627 2. 1° According to Com. “A” 3037 and “A” 4353
1.7.1.1 "A" 2627 2.1. According to Com. “A” 3037
1.7.1.2. “A” 3037
1.7.1.3. "A" 2627 2.2.
1.7.1.4. "A" 2627 2.3. According to Com. “A” 3037
1.7.1.5. "A" 2627 2.4. According to Com. "A" 3037 and “A” 4353
1.7.1.6. "A" 2627 2.5. According to Com. "A" 3037
1.7.1.7. “A” 3037
1.7.1.8. "A" 2627 2.6. According to Com. “A” 3037 and “A” 4353
1.7.1.9. "A" 2627 2.7. According to Com. “A” 3037
1.7.1.10. "A" 2627 2.8.
1.7.1.11. "A" 3037
1.7.1.12. "A" 2627 2.9.
1.7.1.13. "A" 2627 2.10.
1.7.1.14. "A" 2627 2.11.
1.7.1.15. "A" 2627 2.12.
1.7.1.16. “A” 3217 1.
1.7.1.17. “A” 3249 3.
1.
1.7.2. “A" 2627 3. According to Com. “A” 3037, “A” 4353 and “A”
B.C.R.A.
ORIGIN OF THE PROVISIONS INCLUDED IN THE ORDERED TEXT OF THE NORMS ON “PREVENTION OF MONEY LAUNDERING AND OTHER ILLEGAL ACTIVITIES”

PREVENTION OF MONEY LAUNDERING AND OTHER ILLEGAL ACTIVITIES ORDERED TEXT ORIGIN OF THE NORM Observations
Section Point Paragraph Comm. Point Paragraph
1.7.3. "A" 2627 5. According to Com. “A” 4353
1.7.4. "A" 2627 4.
1.8. “A” 2627 1. 2° According to Com. “A” 3037 and “A” 4353
“A” 2509 1.
1.9.1. "A" 2627 1.
1.9.2. "A" 2627 8.
1.9.3. “A” 2451 2° According to Com. “A” 4353
1.9.4. “A” 2451 2° According to Com. “A” 4353
1.9.5. “A” 4353
1.9.6. “A” 4675 3.
1.9.7. “A” 4835 6.
1.
1.1.10. “A” 4835 3.
2.1. 1° "A" 2543 1. 1° According to Com. “A” 3059 and “A” 3831
2° “A” 4713
2.2.1. "A" 2543 1. 2° According to Com. “A” 3061 and “A” 4713
2.2.2. "A" 2543 1. 2°
2.
2.3. "A" 2543 2.
3.1. 1° "A" 2213 1°
2° "A" 2213 3°
3.2.1. "B" 5672 5°
3.2.1.1. "B" 5672 5°
3.2.1.2. Includes interpretative clarification
3.2.2. "B" 5672 4°
3.2.3. "B" 5672 6°
3.3.1. "B" 5672 2°
3.3.2.
"A" 2213
"B" 5672
2°
3°
3.3.3. "A" 2213 2°
3.3.4. "B" 5709 2°
3.3.4.1. "B" 5709 2°
3.3.4.2. "B" 5709 2°
3.3.4.3. "B" 5709 2°
3.3.5. "B" 5672 2°
3.
3.3.6. "B" 5672 2°

• Index -

1. General aspects.
2. Information regarding holders included in the Resolutions issued by the Ministry of Foreign Relations, International Trade and Culture.
3. Special requirements.
4. Information on suspicious transactions.
5. Entities covered.
   5.1. Financial entities.
   5.2. Exchange houses, agencies, offices and brokers.
   5.3. Mutual associations.
   5.4. Closed credit card systems.
   5.5. Fund transmitting companies.
   5.6. Representatives of foreign financial entities not authorized to operate in the country.
   Correlation table
   B.C.R.A.
   ORDERED TEXT OF THE NORMS ON
   PREVENTION OF TERRORISM FINANCING
   Version: 5th. COMMUNICATION “A” 4835
   Validity:
   15/08/2008

B.C.R.A. PREVENTION OF TERRORISM FINANCING
5.5. Fund transmitting companies.
It is recommended to observe what is provided in points 1. to 3., insofar as pertinent according to their operational regime.
5.6. Representatives of foreign financial entities not authorized to operate in the country.
They will observe insofar as pertinent points 1. to 4., regarding the operations in which they intervene, included within the legal and regulatory limits currently in force.
Version: 6th. COMMUNICATION “A” 4835
Validity:
15/08/2008

B.C.R.A.
ORIGIN OF THE PROVISIONS INCLUDED IN THE ORDERED TEXT OF THE NORMS ON “PREVENTION OF TERRORISM FINANCING” ORDERED TEXT ORIGIN OF THE NORM Point Paragraph Com. Annex Ch. Sec. Point Par. OBSERVATIONS

1. 1° “A” 4218
   2° “A” 4384 1.
2. 1° “A” 4218 According to Com. “A” 4273.
   2° “A” 4384 2.
   3.1. “A” 4273
   3.2. “A” 4273
   3.3. “A” 4273
   3.4. “A” 4273
   3.5. “A” 4273
3. “A” 4273 According to Com. “A” 4750
   5.1. “A” 4273
   5.2. “A” 4273 According to Com. “A” 4675,
   pt. 4.
   5.3. “A” 4273
   5.4. “A” 4273
   5.5. “A” 4273
   5.6 “A” 4835 7.

B.C.R.A.
Section 5. Compliance with norms.
5.2.1.5. Maximum limit reaching financings, except those destined for other financial entities, regarding whose granting the intervention of credit area officials and the general manager and the approval of the lending entity's executives is not required, fixed at 2.5% of the computable equity liability of the second month prior to the granting.
5.2.1.6. Position and minimum liquidity coefficients.
5.2.1.7. Ratio for immobilized assets and other concepts.
5.2.2. Quarterly consolidated base.
Without prejudice to compliance individually, and additionally and independently of compliance on a monthly consolidated basis, controlling financial entities subject to consolidated supervision will observe the following norms on a quarterly consolidated basis:
5.2.2.1. Minimum capital, except for market risk.
5.2.2.2. Classification of debtors and minimum provisions for uncollectible risk.
5.2.2.3. Fragmentation of credit risk.
5.2.2.4. Maximum limit for holding shares in companies
that do not provide complementary services to the financial activity.
5.2.2.5. Ratio for immobilized assets and other concepts.
5.2.3. Compliance with the norms on “Prevention of money laundering and other
illegal activities” and “Prevention of terrorism financing” The provisions contained in the cited norms must also be observed in the subsidiaries and affiliates that result included in this regime, to the extent that the applicable legal provisions in the matter of the country where they are located allow. The compliance with what is stated does not reach the provisions for the integration of the base referred to in point 1.7. of the first disposition, nor the reports of suspicious operations derived from both regimes. In that framework, financial entities must ensure that subsidiaries and affiliates consider within the internal control scheme related to “Prevention of money laundering and other illegal activities” and “Prevention of terrorism financing”, the following:
Version: 2nd. COMMUNICATION “A” 4835
Validity:
01/01/2009

B.C.R.A.
Section 5. Compliance with norms.
5.2.3.1. Existence of written policies and procedures for prevention
of money laundering and terrorism financing framed in international standards, consistent with the specific characteristics of the different activities and consistent with those of the parent house and/or controlling entity.
5.2.3.2. Appointment of an official responsible for the implementation of the policies and procedures indicated in the previous point and to keep the highest level of the parent
house and/or controlling entity informed on the matter.
5.2.3.3. Existence of an organizational structure with clear definition of
roles and responsibilities consistent with that of the parent house and/or controlling entity.
5.2.3.4. Existence of a written procedure for the reporting of unusual or suspicious operations according to respective legal requirements, and consistent with that of the parent house and/or
controlling entity.
5.2.3.5. If it has internal audit to evaluate the programs and
prevention controls consistent with those of the parent house and/or controlling entity and if its conclusions are analyzed in a consolidated manner.
5.2.3.6. If there are staff training programs in the matter, consistent with those of the parent house and/or controlling entity and if they are fulfilled.
Financial entities must arrange the means to obtain information regarding the compliance of the points detailed previously by each of their subsidiaries and affiliates included, for example, through the reports issued by the external and internal auditors of the aforementioned subsidiaries and affiliates.
5.3. Applicable criteria.
For the purposes indicated above, the following will be taken into account:
5.3.1. Monthly consolidation.
The data of the local financial entity will be taken, including its subsidiaries in the country and abroad, and its significant subsidiaries.
The maximum limits in matters of credit risk fragmentation must be observed at all times on a consolidated basis, meaning considering the operations included of the respective clients in the entities and companies subject to monthly consolidation. Version: 2nd. COMMUNICATION “A” 4835 Validity:
01/01/2009

B.C.R.A.
Section 5. Compliance with norms.
The determination of the computable equity liability will be made by applying the norms established in the matter, both regarding the requirement and the integration, on a consolidated basis.
5.3.2. Quarterly consolidation.
The data of the local financial entity will be taken, including its subsidiaries in the country and abroad, and all its subsidiaries included in the obligation to consolidate quarterly. The maximum limits in matters of credit risk fragmentation must be observed at all times on a consolidated basis, meaning considering the operations included of the respective clients in the entities and companies subject to quarterly consolidation. The determination of the computable equity liability will be made considering, both for the requirement and for the integration, the balances at the end of the quarter, and applying in other aspects the norms established in the matter. This liability will be the comparison base during the following quarter to determine compliance with the norms to be observed on a quarterly consolidated basis.
5.4. Other aspects.
5.4.1. Fund collections with a term of less than 30 days.
Stock exchange companies subject to consolidated supervision may not carry out stock exchange operations with a term of less than 30 days, or cancel them in advance before 30 days have elapsed, that directly or indirectly imply a fund collection.
5.4.2. Holdings in investment accounts.
Controlling financial entities subject to consolidated supervision will observe the investment account regime on individual and consolidated bases.
5.4.3. Restrictions regarding common investment funds.
The limitations on holding shares of common investment funds and on the transactions that grant liquidity to said funds must be observed on individual and consolidated bases.
Version: 4th. COMMUNICATION “A” 4835
Validity:
15/08/2008

B.C.R.A.
Section 5. Compliance with norms.
5.5. Responsibilities.
It will be the obligation of the local financial entity to ensure full compliance on a consolidated basis of the regulations subject to that compliance.
When this requirement is not observed, the entity will be subject to the charges and other provisions that, for cases of non-compliance, each of the norms provide.
Additionally, the Superintendent of Financial and Exchange Entities may:
5.5.1. Order that the treatment established for related persons be applied to the financial entity or entities subject to consolidation.
5.5.2. Revoke the authorization previously conferred to acquire the participation in the subsidiary.
Version: 2nd. COMMUNICATION “A” 4835
Validity:
15/08/2008

ORDERED TEXT ORIGIN OF THE NORM
Section Point Paragraph Com. Annex Point Paragraph Observations
5.2.1.6. “A” 2690 unique 6.
5.2.1.7. “A” 2227 unique 5.1.8. According to Com. “A” 2736.
5.2.2. “A” 2227 unique 5.1. According to Com. “A” 2649.
Complemented by
Com. “A” 2461, 2736 and
2839 and “B” 5902.
5.2.3. “A” 4835 4.
5.3.1. “A” 2227 unique 5.2.1. According to Com. “A” 2649.
5.3.2. “A” 2227 unique 5.2.2.
5.4.1. “B” 6115 3º
5.4.2. “A” 2793 unique 3. According to Com. “A” 4835.
5.4.3. “B” 6566 1.
5.
5.5. “A” 2227 unique 5.3. Modified by the
Com. “A” 2649.