Circular No. 2.701

CIRCULAR N. 002701 ------------------ Redefines rules for the purpose of compulsory collection on funds from deposits and guarantees made. The Collegiate Board of the BANCO CENTRAL DO BRASIL, having regard to the provisions of art. 10, items III and IV, of Law No. 4.595, of 31.12.64, as amended by arts. 19 and 20 of Law No. 7.730, of 31.01.89, in Resolution No. 1.857, of 15.08.91, and in arts. 66 and 67 of Law No. 9.069, of 29.06.95, D E C I D E D: Art. 1 Redefine rules for the compulsory collection on funds from deposits and guarantees made of multiple banks holding an investment and/or credit, financing and investment portfolio, investment banks and credit, financing and investment companies. Art. 2 The compulsory collection applies to funds recorded in the following accounting titles of the Chart of Accounts for Institutions of the National Financial System (COSIF): I - 4.1.1.60.00-2 Deposits of non-residents; II - 4.1.1.75.00-4 Compulsory deposits; III - 4.1.1.85.00-1 Linked deposits; IV - 4.9.9.60.00-8 Funds from guarantees made. Art. 3 The compulsory collection requirement shall correspond to the same rates provided for compulsory collection and mandatory reserve on demand funds. Paragraph 1 The rates referred to in this article shall be applied to the average of the amounts subject to collection (VSR) minus R$2.000.000,00 (two million reais) from the sum of items I, II and III mentioned in the previous article and an equal amount for item IV. Paragraph 2 For the purposes of the provisions of the "caput" of this article, the calculation period is defined as the business days comprised in a one-week period, beginning on Monday and ending on Friday. Paragraph 3 The adjustment date is defined as the Friday of the week following the calculation period, it being understood that, if it is not a business day, the adjustment shall be made on the immediately following business day. Art. 4 The compulsory collection referred to in this Circular must be fulfilled exclusively in cash and the collected funds shall not be entitled to any remuneration. Sole Paragraph. If insufficient compulsory collection referred to herein is found, the financial institution shall incur the payment of a financial cost that shall be charged in accordance with the legislation in force. Art. 5 For the purposes of proving the positions of the compulsory collection referred to herein, the institution must complete the statement "COMPULSORY COLLECTION - STATEMENT OF REQUIRED BALANCE - FUNDS FROM DEPOSITS AND GUARANTEES MADE", model number 24031-0, whose coding in the Document Catalog (CADOC) is as follows: SEGMENT CADOC CODE Multiple Banks........................................26.1.1.400-4 Investment Banks..................................24.1.1.400-6 Credit, Financing and Investment Companies......81.1.1.400-1 Paragraph 1 The information referred to in this article must be delivered to the Regional Office of the Banco Central do Brasil to which the financial institution is
subject until the second business day prior to the adjustment of the respective position. Paragraph 2 The financial institution that submits the information late and/or replaces it after the date provided for in the previous paragraph shall incur the payment of a fine as defined in the regulations in force. Paragraph 3 The financial institution whose requirement is equal to or less than R$10.000,00 (ten thousand reais) is exempt from the collection referred to herein, but is nevertheless obliged to submit the statement. Paragraph 4 The financial institution whose balance in all line items is equal to zero is exempt from submitting the aforementioned statement, remaining in this condition while such situation persists. Art. 6 All financial movement of the compulsory collection provided for in this Circular shall be made by entry to the Banking Reserves account, and the financial institution must enter into an agreement for such, as provided for in Circular No. 2.425, of 15.06.94. Art. 7 Amend the instructions for completing fields 27 and 28 of the "Statement of Required Balance - Funds from Deposits and Guarantees Made", annexed to Letter-Circular No. 2.510, of 16.11.94, which shall have the following wording: "Field 27 - Fill in with the amount corresponding to the regulatory rate applied to the sum of the amounts calculated in fields 16, 17 and 18 that exceeds R$2.000.000,00 (two million reais). Field 28 - Fill in with the amount corresponding to the regulatory rate applied to the amount calculated in field 19 that exceeds R$2.000.000,00 (two million reais)." Art. 8 This Circular enters into force on the date of its publication, taking effect from the calculation period of 29.07.96 to 02.08.96, whose adjustment shall occur on 09.08.96, when Circular No. 2.476, of 08.09.94, shall be revoked. Brasília, 28 June 1996 Francisco Lafaiete de Pádua Lopes Director