Instructions on the Procedure of Organizational Units of the Central Bank of Bosnia and Herzegovina in Cases of Alienation of Convertible Marks

Instructions on the Procedure of Organizational Units of the Central Bank of Bosnia and Herzegovina in Cases of Alienation of Convertible Marks, UV No.: 16/00 of 23 and 28 June 2000

PUBLISHED: "Official Gazette of BiH", 20/00 "Official Gazette of the Federation of BiH", 28/00 "Official Gazette of the Republika Srpska", 22/00

Based on Article 2, paragraph 3, point d of the Law on the Central Bank of Bosnia and Herzegovina ("Official Gazette of BiH", No. 1/97), the Governing Board of the Central Bank of Bosnia and Herzegovina, at its 11th session held on 23 and 28 June 2000, adopts

INSTRUCTIONS

on the procedure of organizational units of the Central Bank of Bosnia and Herzegovina in cases of alienation of Convertible Marks

1. These Instructions regulate the procedure in cases of alienation of Convertible Marks (hereinafter: KM), which are recorded on the accounts of organizations authorized for internal payment transactions (hereinafter: OOPP) as KM cash out of circulation and are the property of the Central Bank of Bosnia and Herzegovina (hereinafter: CBBiH).

2. Main units and other organizational units of the Central Bank of Bosnia and Herzegovina (hereinafter: organizational units of CBBiH), which have direct contact with OOPP in the distribution of KM, are obliged to reach an appropriate arrangement with OOPP regarding the method of notification in all cases of alienation of KM, in accordance with concluded agency agreements, and to obtain from OOPP all necessary available documentation regarding the alienation of KM in the shortest possible time.

3. Upon learning of the information in point 2 of these Instructions, organizational units of CBBiH shall immediately notify the vice governors responsible for the Department for Banking Services, the Department for Administration and Finance, and the Office of the Chief Controller. Simultaneously, they shall submit available documentation to the Accounting Department of the Central Office of the Central Bank of Bosnia and Herzegovina (hereinafter: Accounting Department of CBBiH), which shall provide instructions to organizational units of CBBiH for booking the opening of an adequate receivable from the respective OOPP.

4. Organizational units of CBBiH are obliged to immediately notify the persons responsible in point 3 of these Instructions upon the discovery and return of alienated KM or upon reimbursement of KM by the OOPP. Simultaneously, they shall submit available documentation to the Accounting Department of CBBiH, which shall provide instructions to organizational units of CBBiH for booking the closing of the previously opened receivable from the respective OOPP.

5. Coverage of the excess KM in circulation resulting from the alienation of KM may be executed through foreign exchange cover (in favor of CBBiH) or reimbursement in KM by the OOPP, and instructions for booking shall be provided to organizational units of CBBiH by the Accounting Department of CBBiH.

6. If the alienated KM are not found after a certain period of time or if the OOPP do not execute reimbursement for the alienated KM, necessary actions will be taken based on a decision of the Governing Board of CBBiH to take appropriate measures to cover the excess KM in circulation.

7. These Instructions enter into force on the day of publication in the "Official Gazette of BiH", and shall also be published in the "Official Gazette of the Federation of BiH" and the "Official Gazette of the Republika Srpska."

UV No.: 16/00 23 and 28 June 2000 S a r a j e v o

Chairman of the Governing Board of the Central Bank of Bosnia and Herzegovina

Governor Peter Nicholl