NORMATIVE INSTRUCTION BCB NO. 406, OF JULY 31, 2023

Guides institutions authorized to operate by the Central Bank of Brazil regarding the procedures to be adopted when purchasing gold.

The Head of the Conduct Supervision Department (Decon), the Head of the Cooperatives and Non-Bank Institutions Supervision Department (Desuc), the Head of the Banking Supervision Department (Desup), the Head of the Financial System Regulation Department (Denor), and the Head of the Prudential and Exchange Regulation Department (Dereg), in use of the attribution conferred upon their heads by art. 23, item I, letter "a", of the Internal Regulations of the Central Bank of Brazil, annexed to Ordinance No. 108.150, of August 27, 2020, and having in view the decision rendered in Direct Action of Unconstitutionality No. 7345, endorsed by the Plenary of the Supreme Federal Court, which suspended the effectiveness of art. 39, § 4th, of Law No. 12.844, of July 19, 2013, which establishes the presumption of legality of the gold acquired and the good faith of the acquiring legal entity when the information provided by the seller is properly archived at the headquarters of the institution legally authorized to purchase gold,

RESOLVE:

Art. 1st This Normative Instruction guides multiple banks, commercial banks, investment banks, securities brokers, and securities distributors regarding the procedures to be adopted when purchasing gold.

Art. 2nd When carrying out the purchase of gold, the institutions referred to in Art. 1st must observe that there is no presumption of legality of the acquired gold, nor presumption of good faith of the acquiring legal entity.

Art. 3rd When carrying out the purchase of gold, the institutions referred to in Art. 1st must fully comply with the applicable regulation, as an example of what is set forth in the following normative documents:

I - issued by the National Monetary Council:

a) Resolution No. 4.557, of February 23, 2017, which provides for the risk management structure, the capital management structure, and the information disclosure policy;

b) Resolution No. 4.595, of August 28, 2017, which provides for the compliance policy of financial institutions and other institutions authorized to operate by the Central Bank of Brazil;

c) Resolution No. 4.606, of October 19, 2017, which provides for the simplified optional methodology for calculating the minimum requirement for Simplified Reference Equity (PRS5), the requirements for opting for this methodology, and the additional requirements for the simplified continuous risk management structure;

d) CMN Resolution No. 4.879, of December 23, 2020, which provides for the internal audit activity in institutions authorized to operate by the Central Bank of Brazil;

e) CMN Resolution No. 4.945, of September 15, 2021, which provides for the Social, Environmental and Climate Responsibility Policy (PRSAC) and actions aimed at its effectiveness; and

f) CMN Resolution No. 4.968, of November 25, 2021, which provides for the internal control systems of financial institutions and other institutions authorized to operate by the Central Bank of Brazil;

II - issued by the Central Bank of Brazil:

a) Circular No. 3.978, of January 23, 2020, which provides for the policy, procedures, and internal controls to be adopted by institutions authorized to operate by the Central Bank of Brazil aiming at preventing the use of the financial system for the practice of crimes of "money laundering" or concealment of assets, rights, and values, as dealt with in Law No. 9.613, of March 3, 1998, and terrorism financing, provided for in Law No. 13.260, of March 16, 2016;

b) Circular Letter No. 4.001, of January 29, 2020, which publishes a list of operations and situations that may constitute indications of the occurrence of the crimes of "money laundering" or concealment of assets, rights, and values, as dealt with in Law No. 9.613, of March 3, 1998, and terrorism financing, provided for in Law No. 13.260, of March 16, 2016, subject to communication to the Financial Activities Control Council (Coaf);

c) BCB Resolution No. 265, of November 25, 2022, which provides for the risk management structure, the capital management structure, and the information disclosure policy of a prudential conglomerate classified as Type 3 framed in Segment 2 (S2), Segment 3 (S3), or Segment 4 (S4).

Art. 4th This Normative Instruction enters into force on August 1, 2023.

Juliana Mozachi Sandri
Head of the Conduct Supervision Department

Harold Paquete Espinola Filho
Head of the Cooperatives and Non-Bank Institutions Supervision Department

Belline Santana
Head of the Banking Supervision Department

Joao Andre Calvino Marques Pereira
Head of the Financial System Regulation Department

Ricardo Franco Moura
Head of the Prudential and Exchange Regulation Department