Circular RUNOR 1 - 279. Financial Trusts Included in the Financial Institutions Law. Redefinition of Applicable Requirements

1998 - Year of the Municipalities

CENTRAL BANK OF THE ARGENTINE REPUBLIC
__________________________________________________________________ COMMUNICATION "A" 2703 13/05/98 __________________________________________________________________ TO FINANCIAL ENTITIES:
Ref.: Circular
RUNOR 1 - 279.
Financial trusts included in the
Financial Institutions Law.
Redefinition of the applicable requirements

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

"- Replace the provisions of the resolution disseminated through Communication "A" 2664, with the following:

"1. Establish that financial trusts constituted in accordance with the provisions of Title I of Law 24.441, in whose assets there are credits originated by financial entities, are covered by the Financial Institutions Law, subject to the regulations established by the Central Bank and the prior authorization of the Financial and Exchange Entities Superintendence.

2. Determine that - without prejudice to observing, when
   corresponding, the regulations referred to in Communication "A" 2634 - financial entities that decide to transfer the fiduciary ownership of their portfolios - totally or partially - must inform this Institution the data that allow the individualization of the financial trust to which those assets will be transferred, of the fiduciary and the beneficiaries, as well as the nature of the assets they project to transfer and their respective classifications.

3. Order that the fiduciaries of the financial trusts included in point 1 of the present
   resolution inform the Central Bank of the nature of the credits that have been transferred to them, listing the corresponding settlors and

continue to supply this Institution - for destination to the "Central of debtors of the financial system" that it administers - the data on the degree of compliance of the transferred debtors, according to the debtor classification guidelines provided in section II of Annex I to Communication "A" 2216, with the same frequency and under the other conditions established by the reporting regime of the Financial and Exchange Entities Superintendence.

4. Establish that the fiduciaries of the financial trusts included in point 1 of the
   present resolution must provide the Central Bank with all the information requested by the Financial and Exchange Entities Superintendence, to calculate the provisions that financial entities - whether or not they are the originators of the transferred credits - must establish on their holdings of participation certificates and/or debt titles of the aforementioned trusts, according to the procedure that will be established."

We salute you very attentively.
CENTRAL BANK OF THE ARGENTINE REPUBLIC
Juan Carlos Isi Alfredo A. Besio
Deputy Manager of Regulations for Deputy Manager of Regulations for Financial Entities Financial Entities