Circular Letter CVM/SMI/SIN 01/14

CIRCULAR LETTER/CVM/SMI/SIN/No. 001/2014
Rio de Janeiro, January 15, 2014.
To
Directors Responsible for CVM Instruction No. 301/1999 Subject: Communications regarding Articles 7 and 7-A of CVM Instruction No. 301/99.

Dear Sirs:

1. With a view to the faithful compliance with the Instruction in question, particularly regarding the provisions of Articles 7 and 7-A, we reiterate the terms of CIRCULAR LETTER/CVM/SMI/SIN/No. 004/2013 of December 12, 2013, at which time we emphasized that in the event that the natural or legal person obliged has not provided any "Communication" referred to in the caput of Article 7 of ICVM No. 301/1999 to the Financial Activities Control Council – COAF, in the period from 01/01/2013 to 31/12/2013, the obliged person must communicate by 31/01/2014 the non-occurrence in the previous calendar year of transactions or proposals for transactions capable of being communicated, in accordance with Article 7-A ("negative declaration").

2. We highlight that the "negative declaration" must be sent to COAF through the Siscoaf system, already available for the communication of transactions or proposals for transactions covered by the records provided for in Article 4 of ICVM No. 301/1999, which may be considered serious indications of crimes of "money laundering" or concealment of assets, rights, and values derived from a criminal offense, as provided for in Article 1 of Law No. 9.613/1998, including terrorism or its financing. This measure aims to provide the use of a single communication system, that is, the obliged person sending the "negative declaration" does not need to send it to the CVM as provided for in the instruction.

3. In this vein, the persons obliged by Article 2 of CVM Instruction No. 301/1999 to adopt prevention procedures so that the financial and capital markets system are not used for the practice of crimes of "money laundering" or concealment of assets, rights, and values, including terrorism or its financing, must be duly registered in the Siscoaf system in order to fulfill the obligations provided for in Articles 7 and 7-A of the instruction.

4. We take this opportunity once again to provide general guidance to support the registration and respective access to Siscoaf by persons obliged by Article 2 of CVM Instruction No. 301/1999, in case they have not completed their registration:

4.1 To obtain general guidance on the use of Siscoaf
Access the COAF portal at URL: http://coaf.fazenda.gov.br Option: OBLIGATED PERSONS –> Frequently Asked Questions.

4.2 For registration in the Siscoaf system
Access the COAF portal at address http://www.coaf.fazenda.gov.br, option OBLIGATED PERSONS –> Access to Siscoaf –> Click on the option "new communicator".
The screen showing the list of activities/segments will be displayed. Confirm the reading and inform the CNPJ of the obliged person, if a legal entity, or the CPF of the obliged person, if a natural person. The system will lead to the filling out of the basic data of the obliged person and the definition of the respective responsible user. Before the completion of the registration, the system will allow the definition/choice of the responsible user's password for access to Siscoaf.

4.3 Access profiles – Siscoaf will make two access profiles available to the communicator. One of the profiles refers to the responsible user who is registered at the time of the communicator's registration. The responsible user, once registered, may include new users in the user profile.

4.4 To make communications regarding Article 7 of ICVM 301/99 to COAF, the communicator must access Siscoaf – Financial Activities Control System and select the segment "CVM – Securities Market". The aforementioned system has functionalities to administer users, send/query communications, batch send communications, as well as access via webservice.

4.5 To make communications regarding Article 7-A of ICVM 301/99 to COAF, the communicator must access Siscoaf – Financial Activities Control System and select the segment "CVM – Securities Market". In addition to the functionalities above, the aforementioned system also has the option to send the "negative declaration".

4.6 To access all system functionalities, the responsible user must use a digital certificate of the E-CPF type. If digital certification is not used, the system will allow only the sending of communications, user registration (for the person responsible for the institution), and query of the protocol of sent communications.

4.7 To access the Siscoaf Test and Training environment:
Access the URL: http://treina.siscoaf.serpro.gov.br

5. We remind you that communications regarding Articles 7 and 7-A of CVM Instruction No. 301/1999 must be addressed to the segment "CVM – Securities", whose identification is available in Siscoaf.

6. Finally, the person obliged under Article 7-A of CVM Instruction No. 301/1999 must send a single negative declaration, regardless of the number of records or authorizations they hold with this Commission.

Sincerely,

Waldir de Jesus Nobre
Superintendent of Market Relations and Intermediaries

Francisco José Bastos Santos
Superintendent of Institutional Investor Relations