Regulation on Supervision of the National Banking and Securities Commission

REGULATION ON SUPERVISION OF THE NATIONAL BANKING AND SECURITIES COMMISSION

(Published in the Official Gazette of the Federation on January 18, 2005.
Updated with reforms published in the same Gazette on April 23, 2012 and July 21, 2021)

INDEX
Title One
On General Provisions
Single Chapter
Title Two
On Inspection
Chapter I
Generalities
Chapter II
On the Procedure of the Visit
Title Three
On Surveillance
Single Chapter
Title Four
On Observations and Corrective Measures derived from Inspection and Surveillance
Chapter I
On Observations
Chapter II
On the adoption of actions, corrective measures, and mandatory compliance programs Title Five On Appearance Single Chapter Title Six On Summons for the Imposition of Sanctions Single Chapter Title Seven On Inspection, Surveillance, International Cooperation and Assistance
Chapter I
General Provisions
Chapter II
On Inspection Visits to Subsidiaries or Controlling Parent Companies conducted by Foreign Supervisory Authorities Title Eight On Intervention

Chapter I
General Provisions
Chapter II
On Managerial Intervention
Chapter III
On the Lifting of Intervention
Title Nine
On the Powers of the Commission regarding Supervised Entities in Liquidation or Commercial Bankruptcy Single Chapter Title Ten On Closure Single Chapter Transitory Provisions References

REGULATION ON SUPERVISION OF THE NATIONAL BANKING AND SECURITIES COMMISSION Title One On General Provisions Single Chapter (1) Article 1.- This Regulation aims to regulate the exercise of the supervisory function corresponding to the National Banking and Securities Commission regarding the entities and financial entities referred to in Article 3, fraction IV of the Law of the National Banking and Securities Commission, federations referred to in the Popular Savings and Credit Law, protection funds referred to in the Law to Regulate the Activities of Savings and Loan Cooperative Societies and the Popular Savings and Credit Law, representative offices of foreign financial entities, as well as natural or legal persons carrying out activities foreseen in the laws relating to the financial system. (1) Likewise, it aims to regulate the supervision of currency exchange centers, money transmitters, and unregulated multiple-object financial societies, exclusively regarding compliance with the provisions referred to in Article 95 Bis of the General Law of Credit Auxiliary Organizations and Activities and general provisions derived therefrom. (1) The supervisory function referred to in this article comprises the exercise of inspection, surveillance, and prevention and correction powers conferred upon the National Banking and Securities Commission by applicable laws and other regulations. This power shall be exercised in a consolidated manner regarding entities and financial entities that form a financial group in terms of the Law to Regulate Financial Groupings, and shall be based on risk measurement. (1) Likewise, the supervisory function may be carried out by the National Banking and Securities Commission in terms of what is provided by this Regulation, through the analysis of representative and random samples of the information, documentation, systems, or equipment of the entities and financial entities referred to in Article 3, fraction IV of the Law of the National Banking and Securities Commission, federations referred to in the Popular Savings and Credit Law, protection funds referred to in the Law to Regulate the Activities of Savings and Loan Cooperative Societies and the Popular Savings and Credit Law, currency exchange centers, money transmitters, unregulated multiple-object financial societies, and representative offices of foreign financial entities, as well as natural or legal persons carrying out activities foreseen in the laws relating to the financial system. (1) Article 2.- The provisions of this Regulation apply to the entities and financial entities referred to in Article 3, fraction IV of the Law of the National Banking and Securities Commission; the federations referred to in the Popular Savings and Credit Law; the protection funds referred to in the Law to Regulate the Activities of Savings and Loan Cooperative Societies and the Popular Savings and Credit Law and other applicable provisions; the representative offices of foreign
financial entities, as well as persons carrying out activities foreseen in the laws relating to the financial system and subject to the jurisdiction of the National Banking and Securities Commission. (1) Currency exchange centers, money transmitters, and unregulated multiple-object financial societies shall be subject to the provisions of this Regulation, exclusively regarding the supervision exercised by the National Banking and Securities Commission to verify compliance with the provisions referred to in Article 95 Bis of the General Law of Credit Auxiliary Organizations and Activities and general provisions derived therefrom.
Article 3.- In addition to the definitions established in Article 3 of the Law of the National Banking and Securities Commission, for the purposes of this Regulation, the following shall be understood:
I. Delegatory Agreement, the Agreement issued by the President of the National Banking and Securities Commission based on the Law of the National Banking and Securities Commission and other applicable provisions;
(1) II. Supervised Entities, singular or plural, the entities and financial entities referred to in Article 3, fraction IV of the Law of the National Banking and Securities Commission; the federations referred to in the Popular Savings and Credit Law and the protection funds referred to in the Law to Regulate the Activities of Savings and Loan Cooperative Societies and the Popular Savings and Credit Law, the representative offices of foreign financial entities, as well as other entities that the Commission is competent to supervise, in terms of the laws governing them. (1) This definition shall include unregulated multiple-object financial societies, solely regarding the supervision exercised by the National Banking and Securities Commission to verify compliance with Article 95 Bis of the General Law of Credit Auxiliary Organizations and Activities and other provisions derived therefrom.
III. Inspectors, singular or plural, the public servants of the Commission who assist or support the heads of the administrative units of the Commission competent to exercise the inspection function, in terms of what is provided in the Internal Regulation of the National Banking and Securities Commission and the Delegatory Agreement;
IV. Law, the Law of the National Banking and Securities Commission;
V. Persons, singular or plural, persons who, without being Supervised Entities, carry out activities foreseen in the laws relating to the financial system and are subject to the jurisdiction of the Commission;
(2) This definition shall include currency exchange centers and money transmitters, exclusively regarding the supervision exercised by the National Banking and Securities Commission to verify compliance with Article 95 Bis of the General Law of Credit Auxiliary Organizations and Activities and other provisions derived therefrom.
VI. Legal Representative or Attorney-in-Fact, the general manager, as well as any official, employee, or natural person to whom a Supervised Entity or Person has granted power of attorney containing powers to legally represent them before administrative authorities, or who has such powers attributed by legal provision;
VII. Internal Regulation, the Internal Regulation of the National Banking and Securities Commission, and
VIII. Regulation, this Regulation.
Title Two
On Inspection
Chapter I
Generalities
(1) Article 4.- Inspection shall be carried out through visits, verification of operations, and audit of records and systems, at the facilities or automated equipment of Supervised Entities or Persons, with the objective of verifying the status of the latter, including their liquidity, solvency, and stability, as well as the adequate compliance with applicable provisions. The exercise of this power may be carried out regarding information, whether general or specific, deemed necessary, or, in its case, through representative and random samples of the documentation, information, records, systems, or automated equipment of Supervised Entities or Persons, for which the Commission may:
I. Review, verify, check, and evaluate operations, organization, functioning, processes, internal control systems, risk management systems, and information systems of Supervised Entities or Persons;
II. Review, verify, check, and evaluate assets, capital adequacy relative to risks to which they are exposed, asset quality, and, in general, the financial situation of Supervised Entities or Persons;
III. Review that Supervised Entities or Persons comply with the legal provisions governing them and with sound market practices;
IV. Investigate facts, acts, or omissions from which it may be presumed that laws and other provisions governing Supervised Entities or Persons have been violated, within the jurisdiction of the Commission and when so provided by law, and
V. Follow up on observations and corrective measures formulated by the Commission as a result of the exercise of its inspection and surveillance powers, in terms of Title Four of this Regulation.
For the purposes of this article, the Commission may obtain accounting, legal, economic, financial, and administrative information and documentation deemed necessary, in accordance with applicable provisions.
Article 5.- Inspection visits carried out by the Commission may be ordinary, special, or investigative.
Article 6.- Ordinary visits are those carried out in accordance with the annual program prepared by the Commission in terms of applicable laws and the Internal Regulation.
Article 7.- The annual program referred to in the previous article must include general objectives to be achieved, as well as the manner and terms in which the program will be carried out. For these purposes, the program must provide that ordinary visits be conducted with the frequency that experience and needs warrant, taking into account the results obtained in the exercise of the Commission's surveillance function, as well as the budgetary sufficiency of the latter.
Article 8.- The Commission may carry out special visits, not included in the annual program referred to in the previous article, in any of the following cases:
I. To examine and, if applicable, correct special operational situations, when so provided by law;
II. To follow up on results obtained in an inspection visit;
III. When changes or modifications occur in the accounting, legal, economic, financial, or administrative situation of a Supervised Entity;
IV. When a Supervised Entity begins operations after the preparation of the annual program referred to in the previous article;
V. When facts, acts, or omissions occur in Supervised Entities that were not originally contemplated in the annual program, which in its opinion justify the conduct of the visit, or
VI. When derived from international cooperation referred to in Title Seven of this Regulation.
Article 9.- Investigative visits shall be conducted whenever the Commission has indications from which it may be inferred that conduct potentially violating the laws governing Supervised Entities or Persons and other applicable provisions has occurred.
Through investigative visits, the Commission may obtain necessary accounting, legal, economic, financial, and administrative information and documentation, for the review, examination, analysis, evaluation, or clarification of specific facts, acts, omissions, or operations, allowing it to verify that Supervised Entities or Persons comply with the legal provisions governing them and with sound market practices. Likewise, the Commission may require the appearance of probable offenders and other persons who may contribute to the adequate development of the investigation, in specific cases determined by law and in accordance with Title Five of this Regulation and other applicable provisions.
Article 10.- The Commission may also conduct the investigative visits referred to in the previous article when it has indications that any person, without corresponding authorization:
I. Operates as a Supervised Entity or holds themselves out as such, or
II. Carries out activities foreseen in laws regulating the financial system.
Likewise, the Commission may conduct investigative visits when deemed necessary to directly obtain documentation and information required by competent authorities, as well to expedite compliance with seizure or account unlocking orders issued by competent judicial, tax, and administrative authorities, relating to operations carried out by users of financial services with Supervised Entities, subject to applicable legal provisions on financial secrecy. What is stated in Articles 11 and 31 of this Regulation shall not apply to the visits provided for in this paragraph. Requirements referred to in the previous paragraph must be duly founded and motivated; otherwise, the Commission shall not process them. The Commission, for the adequate development of investigative visits, may request the assistance of public force, when the Supervised Entity or Person impedes or obstructs the conduct of the visit or when there are elements from which this situation may be presumed, in accordance with applicable provisions.
Article 11.- From every inspection visit, the Inspector in charge of its coordination must prepare a general report, and may, if applicable, prepare partial reports, in the terms set forth in this Chapter.
Reports referred to in this article must be signed by the Inspector who formulates them and must include quantitative and qualitative aspects determined during the visit.
In the preparation of reports, personnel of the Supervised Entity or Person shall not participate, nor shall any person other than public servants of the Commission authorized to participate in the visit, without prejudice to the fact that the general report considers clarifications and arguments raised by the Supervised Entity or Person during the course of the visit.
Article 12.- The general report aims, once the visit is concluded, to inform the public servant of the Commission who, in terms of the Internal Regulation and the Delegatory Agreement, is competent to review it, of the facts, acts, or omissions known by the Inspector in charge of coordinating the visit during its course.
Article 13.- The general report referred to in the previous article must include partial reports prepared during the course of the visit.
Article 14.- Partial reports of visits aim to inform facts, acts, or omissions that, due to their characteristics and implications, must be reported promptly to the public servant of the Commission who, in terms of the Internal Regulation and the Delegatory Agreement, is competent to review the visit, so that, where applicable, corresponding observations are made before the visit ends, or corrective measures deemed necessary are defined.
Article 15.- Inspectors designated to conduct visits are not authorized to order adjustments, penalties, and other accounting entries to the Supervised Entity or Person during the visit, nor to issue any observations, instructions, actions, or corrective measures to be followed or grant authorizations to personnel of the Supervised Entity or Person, regarding various aspects analyzed or examined in the visits.
What is stated in the previous paragraph is without prejudice to the power of Inspectors to request the exhibition of information and documentation deemed necessary during the course of the visit, to achieve its purpose.
Article 16.- The Commission, when required for the due exercise of its inspection powers and when so provided by law, may hire the services of auditors, as well as other professionals, to assist it in the performance of these powers.
In contracting the services referred to in this article, any conflict of interest between external auditors and other professionals hired and the Supervised Entity or Person, or the Commission itself, must be avoided.
Article 17.- Public servants of the Commission participating in inspection visits or having access to information or documentation of Supervised Entities or Persons must maintain strict confidentiality regarding such information, provided it is not public.
In cases of external auditors and other professionals, the Commission must expressly establish in the contracts it enters into the obligation to maintain strict confidentiality of the information or documentation to which they have access.
Public servants of the Commission, as well as auditors and other professionals who violate the strict confidentiality regime established in this article, shall be liable in terms of applicable provisions.
Article 18.- The Commission shall carry out inspection visits requested by other financial authorities, in terms of the laws governing them, who are authorized to do so.
In cases referred to in the previous paragraph, the Commission may conduct the visit together with public servants designated by the requesting financial authority.
In visits conducted by the Commission in the exercise of its functions, it may allow the participation of public servants designated by other financial authorities, provided they request it in accordance with applicable laws.
Chapter II
On the Procedure of the Visit
Article 19.- Inspection visits shall be ordered by a letter signed by the public servant of the Commission authorized to do so, in terms of the Internal Regulation and the Delegatory Agreement.
Article 20.- The letter containing the visit order must be duly founded and motivated and meet the following requirements:
I. Place and date of issuance;
II. Letter number and, if applicable, file number;
III. Name of the Supervised Entity or Person and the Legal Representative or Attorney-in-Fact to whom it is addressed. Regarding persons referred to in Article 10 of this Regulation, it shall suffice to mention the necessary elements allowing their identification, such as circumstances of manner, time, and place;
IV. Type of visit to be conducted, as well as its object;
(4) V. The date on which the visit will begin, as well as its duration. Such visits may not exceed a duration of six months, extendable once for an equal period, provided there are justified causes motivating this;
VI. The place or places where the visit will be conducted;
(2) VII. Address of the Supervised Entity or Person, regardless of whether it is the place or places where the visit will be conducted. Regarding persons referred to in Article 10 of this Regulation, it shall suffice to mention the necessary elements allowing their location;
VIII. List of initial information and documentation that, if applicable, Supervised Entities or Persons must make available to Inspectors, indicating the deadline and manner of exhibition, which may be detailed in an annex to the visit order. This is without prejudice to the fact that during the course of the visit, Inspectors may request the exhibition of additional information and documentation;
IX. Names of Inspectors who may conduct the visit, indicating the person responsible for coordinating it, and, if applicable, auditors and other professionals accredited by the Commission, as well as public servants of financial authorities referred to in Article 18, and
X. Name, position, and signature of the public servant of the Commission authorized to issue the visit order.
The Commission may, at any time, increase or decrease the number of Inspectors who may conduct the visit, as well as replace them, notifying such situation to the Supervised Entity or Person.

Supervised Person, previously and in writing, through the duly authorized public official of the Commission to issue the visit order.

Article 21.- The visit order must be notified at least two business days in advance of the date on which it is to be carried out, when it concerns ordinary and special visits. In the case of investigation visits, it may be notified at the time of commencement.

(2) Regarding ordinary, special, and investigation visits conducted at currency exchange centers, money transmitters, and unregulated multiple-object financial societies to verify compliance with the provisions referred to in Article 95 Bis of the General Law of Auxiliary Credit Organizations and Activities and general provisions derived therefrom, the visit order may be notified at the time of its commencement.

Article 22.- Upon arriving at the place or places where the visit is carried out, the Inspectors must previously identify themselves to the person with whom the proceedings are understood, exhibiting a valid credential with a photograph, issued by the Commission.

The public officials of the financial authorities participating in the visit must identify themselves with a valid official credential with a photograph, issued by the financial authority that appointed them. The auditors and other professionals hired to assist in the visit must present a valid official identification with a photograph, and additionally, the accreditation document issued by the corresponding company or institution.

For the purposes of this Regulation, official identifications are considered to be the voter credential, the professional license, and the passport, issued by the competent authorities.

(1) Article 23.- A written record of commencement shall be drawn up for every inspection visit carried out by the Commission, at the location where the visit is conducted. The record of commencement shall contain the following requirements:

I. Place, time, and date of issuance;
II. Name of the Supervised Entity or Person;
III. Identification data of the official containing the visit order;
IV. Type of visit and the object thereof, as well as the place or places where it will be conducted;
V. Name and identification of the Inspector in charge of coordinating the visit and of the Inspectors participating in the proceedings, as well as of the other persons participating therein. It shall not be necessary for all Inspectors authorized in the official containing the visit order to sign the record referred to in this article, and
VI. Name, position, and identification of the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person and of the witnesses, as well as the declaration of being informed of the commencement of the visit.

Second paragraph.- Repealed.

(1) If the visit cannot commence because the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person is not present at the domicile of the visited Supervised Entity or Person, a summons shall be left with any person found at the domicile, so that the interested party waits at a fixed hour on the next business day. If the premises located at the domicile are closed, the summons shall be left with the immediate neighbor.

If the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person does not attend the summons, the visit shall be understood with any person found there. This circumstance shall be recorded in the record of commencement of the visit.

Article 24.- The Inspector designated to coordinate the visit must inform the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person attending the visit, and, if applicable, the persons participating therein, of the penalties incurred by those who falsely declare before an authority other than the judicial authority in the exercise of their powers.

The record of commencement shall be detailed and serves as proof of the facts and acts known upon the commencement of the visit. The record of commencement must be signed by the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person, by the Inspector coordinating the visit, and by the witnesses, in two original copies, with one remaining in the possession of the Supervised Entity or Person and the other in the possession of the Commission.

In the event that the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person does not appear to sign the record of commencement, refuses to sign it, or refuses to receive a copy thereof, such circumstance shall be noted in the record itself, without affecting its validity and probative value.

Article 25.- In addition to the record of commencement referred to in the previous article, when the official containing the visit order specifies two or more locations for the visit, a record of visit confirmation must be drawn up at each of the visited locations, which must contain the following requirements:

I. Place of issuance;
II. Date and time of entry and exit;
III. Name of the Supervised Entity or Person;
IV. Identification data of the official containing the visit order;
V. Name and identification of the Inspectors participating in the proceedings, as well as of the other persons participating therein. It shall not be necessary for all Inspectors authorized in the official containing the visit order to sign the record referred to in this article;
VI. Name, position, and identification of the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person, or of the person with whom the proceedings are understood at the respective location;
VII. Name and identification of the witnesses, observing the provisions of Article 26 of this Regulation, and
VIII. The object of the review to be conducted at the visited location.

The record referred to in this article must be signed in two original copies, by the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person, or by the person with whom the proceedings are understood at the respective location, by the Inspectors participating therein, and by the witnesses, with one copy remaining in the possession of the Supervised Entity or Person and the other in the possession of the Commission.

In the event that the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person or the person with whom the visit is understood at the respective location does not appear to sign the record of visit confirmation, refuses to sign it, or refuses to receive a copy thereof, such circumstance shall be noted in the record itself, without affecting its validity and probative value.

In the event that, for reasons beyond the Commission's control, the visit could not commence on the date specified in the official containing the visit order, such situation shall be recorded in a detailed record, which must comply, where applicable, with the formalities provided in this Regulation.

Article 26.- For the purposes stated in Articles 23 and 25 of this Regulation, Inspectors must request the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person to designate two witnesses; if they do not designate them or if the designated persons do not accept to serve as such, the Inspectors shall designate them, noting this circumstance in the record they draw up, without affecting its validity and probative value.

Witnesses may be replaced at any time, for failing to appear at the location where the visit is being carried out, for leaving before the proceedings conclude, or for expressing their wish to cease being witnesses. In such circumstances, the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person must immediately designate other witnesses, and in the event of refusal or impediment of the designated persons, the Inspectors may designate those who should replace them. The replacement of witnesses must be recorded in the corresponding record and shall not affect its validity and probative value.

Witnesses designated by the Inspectors must be persons present at the location where the record is drawn up.

Article 27.- Authorized Inspectors who were not present at the commencement of the visit must identify themselves in accordance with the provisions of this Regulation at the time they begin their participation. This circumstance must be recorded in the conclusion record drawn up at the end of the visit.

Article 28.- Inspectors must perform their functions in accordance with the schedule of the Supervised Entity or Person, and once the visit has commenced, it may not be suspended without express authorization from the Commission public official empowered to do so. Nevertheless, Inspectors may perform their functions on non-business days and hours when they deem it necessary for the proper fulfillment of their duties.

When it is materially or legally impossible to continue the visit at the designated location, the respective records may be drawn up at the Commission's offices, informing the Legal Representative or Attorney-in-Fact, or the person with whom the proceedings are understood, by any means that leaves a written record. The circumstance provided for in this article must be recorded in the corresponding record.

Article 29.- In accordance with applicable laws, the personnel of the Supervised Entity or the visited Person are obligated to allow Inspectors, as well as the persons mentioned in Articles 16 and 18 of this Regulation, immediate access to the place or places subject to the visit, their offices, premises, and other facilities, including unrestricted access to documentation and other sources of information that they deem necessary for the fulfillment of their duties.

The documentation referred to in the preceding paragraph includes, enumeratively but not limitatively, general or specific information contained in reports, registers, minutes books, auxiliary records, correspondence, automated data processing and conservation systems, including any other technical procedures established for that purpose, whether magnetic files or microfilmed, digitized, or recorded documents, and optical procedures for consultation or of any other nature.

Inspectors and, if applicable, the persons mentioned in Articles 16 and 18 of this Regulation may conduct interviews they deem convenient with employees or officials of the Supervised Entity or Person.

When, during the practice of a visit, a relevant fact is known that cannot be verified with the information and documentation of the Supervised Entity or Person, the Inspectors participating in such visit may request the Legal Representative or Attorney-in-Fact, or the competent official thereof, considering the nature of the functions performed, a written report describing or specifying the referenced fact.

Article 30.- The Supervised Entity or Person must provide Inspectors with the necessary physical space to conduct the visit and make available to them the computer, office, and communication equipment they require.

Similarly, Inspectors may request the support of specialized personnel from the Supervised Entity or Person as necessary for the practice of the visit.

Article 31.- Inspectors must prepare a generic list of the information and documentation exhibited by the officials or employees of the Supervised Entity or Person, with the purpose of recording the information reviewed.

Inspectors must deliver a copy of the list referred to in this article to the Supervised Entity or Person and, additionally, include a copy as an annex to the respective conclusion record.

Article 32.- In the event that the information and documentation of the Supervised Entity or Person required for the inspection visit is stored, custodied, or safeguarded through a third party, the Supervised Entity or Person is obligated to request and obtain it for delivery to the Commission's Inspectors.

In the event that it is not possible to obtain the information and documentation referred to in the preceding paragraph due to any circumstance, the Supervised Entity or Person is obligated to carry out the necessary actions so that the Commission's Inspectors go to the facilities where the information and documentation is stored, custodied, or safeguarded.

The Supervised Entity or Person must make the necessary arrangements so that the person whose custody or safeguarding holds the information and documentation provides all facilities to the Inspectors for the performance of their duties.

Article 33.- Inspectors, for the better fulfillment of their duties, may obtain photocopies or magnetic copies of the information and documentation held by Supervised Entities or Persons.

A generic list of the copies obtained must be attached to the records drawn up.

Article 34.- Inspectors may draw up partial records in which facts, acts, or omissions known during the development of the visit are recorded.

Similarly, Inspectors must draw up partial records in the following cases:

I. When they are aware of facts, acts, or omissions that, in their opinion, may imply serious non-compliance with the laws governing Supervised Entities or Persons and other applicable provisions;
II. When the Supervised Entity or Person takes actions intended to obstruct the development of the visit;
III. When the report referred to in the last paragraph of Article 29 is not submitted;

IV. To record facts, acts, omissions, information, or additional documentation that complements or modifies what was recorded in a previously drawn-up record, when the Inspector had not been aware of such circumstances, and
V. When the Supervised Entity or Person does not exhibit to the Inspectors the information requested of them.

Article 35.- The Inspector must accompany the partial records with a simple copy of the documents that verify the facts, acts, or omissions recorded therein.

The content of the partial records must be incorporated into the partial reports formulated by the Inspector in accordance with the provisions of this Regulation. The record must be signed in two original copies, with one remaining in the possession of the person responsible for attending the visit on behalf of the Supervised Entity or Person, and the other in the possession of the Commission public official drawing up such record.

Article 36.- The partial records drawn up shall be detailed and serve as proof of the existence of the acts, facts, or omissions recorded therein, and must contain the following requirements:

I. Place, time, and date of issuance;
II. Name of the Supervised Entity or Person;
III. Identification data of the official containing the visit order;
IV. Type of visit and the object thereof;
V. Specify the facts, acts, or omissions known, and
VI. Name, position, and signature of the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person, as well as of the witnesses and the Commission Inspector in charge of coordinating the visit, or, failing that, the Inspector drawing it up.

Partial records must be signed in two original copies, with one remaining in the possession of the Supervised Entity or Person and the other in the possession of the Commission.

In the event that the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person does not appear to sign the partial record in question, refuses to sign it, or refuses to receive a copy thereof, such circumstance shall be noted in the record itself, without affecting its validity and probative value.

Article 37.- For the purposes stated in the previous article, Inspectors must request the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person to designate two witnesses, and if they do not designate them or if the designated persons do not accept to serve as such, the Inspectors shall designate them, noting this circumstance in the record they draw up, without affecting its validity and probative value.

Witnesses may be replaced at any time for failing to appear at the location where the visit is being carried out, for leaving before the proceedings conclude, or for expressing their wish to cease being witnesses. In such circumstances, the official or Legal Representative or Attorney-in-Fact of the Supervised Entity or Person must immediately designate other witnesses, and in the event of refusal or impediment of the designated persons, the Inspectors may designate those who should replace them. The replacement of witnesses must be recorded in the corresponding record and shall not affect the validity and probative value thereof.

Witnesses designated by the Inspectors must be persons present at the location where the corresponding record is drawn up, who must identify themselves in accordance with the provisions of this Regulation.

Article 38.- The Supervised Entity or Person may submit information and documentation that, in their opinion, disproves the facts, acts, or omissions contained in the partial records, prior to the drawing up of the visit conclusion record. In this case, such situation shall be recorded in the partial record drawn up in accordance with Article 34, fraction IV of this Regulation.

The provisions of this article shall be without prejudice to the provisions of Titles Fourth and Sixth of this Regulation.

Article 39.- At the end of every inspection visit, Inspectors shall draw up a conclusion record, which shall be detailed; it shall serve as proof of the existence of the acts, facts, or omissions recorded therein, and must contain the following requirements:

I. Day, time, and place of conclusion of the visit;
II. The place or places where the visit was conducted, as well as the date on which the visit ended at each place;
III. Name of the Supervised Entity or Person;
IV. Reference to the visit order and the record of commencement of the visit;
V. Name and signature of the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person;
VI. Name, position, and signature of two witnesses designated in accordance with Article 37 of this Regulation;
VII. Name, position, and signature of the Inspector in charge of coordinating the visit and, if applicable, the persons or public officials referred to in Articles 16 and 18 of this Regulation;
VIII. Reference to the record of commencement of the visit, as well as to the records of visit confirmation and partial records that may have been drawn up, which must accompany the conclusion record and form part of it, and
IX. If applicable, the list referred to in Article 31 of this Regulation.

The conclusion record must be signed in two original copies, with one remaining in the possession of the Supervised Entity or Person and the other in the possession of the Commission. The record referred to in this article must be drawn up at the location where the visit was initiated, except in the case referred to in the second paragraph of Article 28 of this Regulation.

In the event that the Legal Representative or Attorney-in-Fact of the Supervised Entity or Person does not appear to sign the conclusion record, refuses to sign it, or refuses to receive a copy thereof, such circumstance shall be noted in the record itself, without affecting its validity and probative value.

Article 40.- Once the conclusion record is drawn up, the visit shall be considered concluded, and no subsequent record may be drawn up. To initiate another visit to the same Supervised Entity or Person, a new visit order must be issued, even if the object thereof is the same or derives from the previous visit.

Article 41.- When visits referred to in this Regulation are carried out on the same day, their commencement and conclusion may be recorded in a single record, complying with the formalities referred to in Articles 23, 24, 26, and 39, respectively.

Article 42.- Copies of the identifications of those participating in them must be attached to all records referred to in this Regulation.

Title Three
On Surveillance
Sole Chapter

(1) Article 43.- Surveillance is carried out through the analysis of accounting, legal, economic, financial, administrative, process, and procedure information obtained by the Commission based on applicable provisions, with the purpose of evaluating compliance with the regulations governing Supervised Entities or Persons, as well as the stability and correct functioning of Supervised Entities. The exercise of this power may be performed regarding information, whether general or specific, deemed necessary, or, if applicable, through representative and random samples of the documentation and information of Supervised Entities or Persons, as referred to in this article.

Surveillance of Supervised Entities in dissolution, liquidation, or commercial bankruptcy shall be subject to the provisions of Title Nine of this Regulation.

(1) Article 44.- Supervised Entities or Persons must deliver to the Commission the information and documentation specified by applicable laws and general provisions, within the deadlines, periodicity, and formalities established in said laws. The information and documentation must be delivered through the Commission's official registry, when applicable laws or provisions do not establish another form of delivery.

Article 45.- The Commission, through general rules, shall determine the cases in which Supervised Entities or Persons must deliver the information requested by it, through electronic systems established by the Commission itself.

The information delivered through the means referred to in the preceding paragraph must comply with the characteristics specified for such purposes in the applicable provisions. In all cases, the electronic systems must generate an electronic receipt for the Supervised Entity or Person.

Article 46.- Without prejudice to the information and documentation that Supervised Entities and Persons must provide periodically, the Commission may, through an official letter and within the scope of applicable provisions, request information and documentation from Supervised Entities or Persons necessary to fulfill its surveillance function. The information and documentation requested in accordance with this article must be delivered through the Commission's official registry and addressed to the administrative unit that made the request, within the deadline established for that effect.

Supervised Entities or Persons may deliver the information requested by the Commission in accordance with this article, through electronic means or systems, subject to the regulations governing them.

Article 47.- The official letter requesting information from Supervised Entities or Persons must be duly founded and motivated and contain the following elements:

I. Place and date of issuance;
II. Number of the official letter and case file;
III. Name of the Supervised Entity or Person to whom it is addressed;
IV. Name and position of the official or Legal Representative or Attorney-in-fact of the Supervised Entity or Person to whom the request for information is addressed;
V. List of the information and documentation required, the deadline and manner of delivery, and
VI. Name, position, and signature of the public official of the Commission who is duly authorized to request the information.

(1) Article 48.- In the event that the information submitted to the Commission does not meet the requirements or characteristics in time and form established in the regulations or indicated in the corresponding official letter, or is not consistent with the reality of the facts, acts, or events recorded, the obligation to submit it shall be considered unfulfilled, and consequently, the corresponding sanctions shall be imposed, in accordance with the applicable provisions.

The circumstance described in the preceding paragraph shall proceed without prejudice to the Commission's authority to request such information or clarifications regarding it again.

Fourth Title
On Observations and Corrective Measures Derived from Inspection and Surveillance
Chapter I
On Observations

Article 49.- The Commission may issue observations to Supervised Entities or Persons when, in the exercise of its inspection and surveillance functions, it detects elements that may give rise to facts, acts, or omissions implying probable non-compliance with applicable provisions or sound practices of financial markets.

It may also formulate recommendations for Supervised Entities or Persons to improve their control systems or processes.

Article 50.- The Commission, when appropriate, shall communicate to the Supervised Entity or Person the observations or recommendations referred to in the previous article, via an official letter that must be duly justified and motivated and contain the following requirements:

I. Place and date of issuance;
II. Number of the official letter and case file;
III. Name of the Supervised Entity or Person to whom it is addressed;
IV. Name and position of the Legal Representative or Attorney-in-fact of the Supervised Entity or Person or of the official to whom the official letter is addressed, a copy of which must be sent to the general manager of the Supervised Entity or Person;

V. The facts, acts, or omissions from which the probable irregularities incurred by the Supervised Entity or Person in violation of applicable regulations derive. The facts, acts, or omissions referred to in this subsection may be stated in the body of the official letter or in an attached document;
VI. The express mention that the observations or recommendations are formulated without prejudice to the initiation of the procedure for imposing the corresponding sanctions;

(1) VII. The designation of a maximum deadline of twenty working days for the Supervised Entity or Person to manifest in writing what corresponds to their rights, possibly accompanying such writing with the information and documentation supporting their manifestation.

(1) The deadline referred to in this subsection may be three working days in the case of observations or recommendations related to the following irregularities:

(1) a) Violating accounting registration rules applicable to the Supervised Entity, which could eventually result in the correction or modification of its financial statements, as well as the publication of such corrections or modifications;

(1) b) Violating provisions regarding capitalization requirements;

(1) c) Failing to comply with rules regarding the credit portfolio rating process of the Supervised Entity, and

(1) d) Others that, in the Commission's judgment, are justified in protection of public interests, in order to preserve the financial stability of the entities.

VIII. Name, position, and signature of the Commission public official authorized to issue the official letter referred to in this article.

(1) The Commission, through the competent public official, may extend, upon request of the Supervised Entity or Person, the deadline referred to in subsection VII of this article when, in the Commission's judgment, there are situations preventing the Supervised Entity or Person from exercising their rights within the stated deadline, provided it does not concern the irregularities indicated in subsections a) to d) of said subsection VII. The extension referred to in this article shall not exceed ten working days.

In the case of investment companies, the official letter by which observations are communicated may be addressed to companies that provide the investment company with any of the services referred to in the Investment Companies Law, for the fulfillment of its purpose, provided that such companies have sufficient authority for such effects.

(2) Article 50 Bis.- Without prejudice to what is provided in the previous article, the Commission may order Supervised Entities to take actions or measures in accordance with Chapter II of the Fourth Title of this Regulation, upon the occurrence of the circumstances provided for in subsections a) to d) of subsection VII of the previous Article 50, in protection of public interests. In all cases, such actions or measures shall have a precautionary character; therefore, once imposed, the Supervised Entity concerned shall be granted the right to a hearing to resolve definitively.

Article 51.- When the Supervised Entity or Person does not manifest what corresponds to their rights within the deadline referred to in the previous article, or when, in the Commission's judgment, the arguments or the information and documentation presented are insufficient to refute the observations formulated, the Commission shall order, via official letter, the adoption of actions, corrective measures, or mandatory compliance programs to correct the observed irregularities, provided they are susceptible to being corrected, in accordance with the provisions of Chapter II of this Title. This is without prejudice to the initiation of the procedure for applying applicable sanctions.

Chapter II
On the Adoption of Actions, Corrective Measures, and Mandatory Compliance Programs

Article 52.- The Commission may, in accordance with applicable legal provisions, order Supervised Entities or Persons, via official letter, to adopt actions or measures aimed at correcting the facts, acts, or omissions detected through its inspection and surveillance functions, in order for such Supervised Entities or Persons to adjust their activities and operations to the laws applicable to them, to general provisions derived therefrom, to sound commercial, banking, and stock market usages, as well as to sound practices of financial markets.

(1) The measures determined by the Commission to correct the irregularities that occur or to prevent those that may occur may be carried out through the establishment of actions, corrective measures, or mandatory compliance programs for Supervised Entities or Persons, in accordance with the provisions of the Law, as well as the laws regulating such Entities or Persons and other applicable provisions.

Article 53.- The official letter referred to in the previous article must be duly justified and motivated and contain the following requirements:

I. Place and date of issuance;
II. Number of the official letter and case file;
III. Name of the Supervised Entity or Person to whom it is addressed;
IV. Name and position of the Legal Representative or Attorney-in-fact of the Supervised Entity or Person to whom the official letter is addressed, a copy of which must be sent to the general manager;
V. The corrective measures or actions aimed at preventing irregularities in the Supervised Entity or Person, and, if applicable, the terms and conditions of the mandatory compliance programs that the Supervised Entity or Person must adopt in accordance with the Law and other applicable provisions, indicating the deadline for compliance. The corrective measures, actions, and mandatory compliance programs referred to in this subsection may be stated in the body of the official letter or in an attached document;
VI. The warning to the Supervised Entity or Person of the sanctions that may arise in case of not adopting the corrective measures, actions, or mandatory compliance programs instructed by the Commission, and
VII. Name, position, and signature of the Commission public official authorized to issue the official letter referred to in this article.

Article 54.- The Commission, considering the situation of the Supervised Entity or Person, as well as their background, may extend the deadline indicated in subsection V of the previous article, upon request of the Supervised Entity or Person itself, unless laws or applicable provisions specify a specific or non-extendable deadline.

Fifth Title
On Appearance
Chapter Single

Article 55.- In accordance with the provisions of applicable laws, appearances before the Commission by individuals, as well as by Legal Representatives, Attorneys-in-fact, officials, or employees of Supervised Entities or Persons, may be voluntary or upon request of the Commission itself. In the latter case, the appearance must be requested via a summons issued by the Commission through an official letter signed by competent Commission public officials in accordance with the Internal Regulations or the Delegated Agreement, which must be duly justified and motivated and contain, in addition, the following:

I. Place and date of issuance;
II. Number of the official letter and, if applicable, case file;
III. Name of the Supervised Entity or Person where the person to whom the summons is addressed works;

(2) IV. Address of the Supervised Entity or Person where the individual who must appear works, or, if applicable, address of said person;
V. The name and position of the individual who must appear;
VI. The topic on which the appearance will be discussed;
VII. The name and position of the Commission public official before whom the summoned person must appear;
VIII. The day, time, and place where the appearance must take place;
IX. The mention that the summoned person may attend accompanied by their lawyer and two witnesses. It must also contain the mention that, in case the witnesses do not appear, the Commission public officials authorized to attend the appearance will designate them from among the persons present;
X. The warning that in case of non-appearance without justified cause, applicable sanctions will be imposed in accordance with legal provisions, and
XI. Name, position, and signature of the Commission public officials authorized to issue the summons.

Article 56.- The act of appearance referred to in this Chapter is strictly personal; therefore, it may in no case be processed through an attorney-in-fact.

Article 57.- The Commission may request the appearance of any of the persons referred to in Article 55 of this Regulation, in accordance with the laws governing Supervised Entities or Persons, when:

I. It is presumed that the person has knowledge of the facts that must be proven;
II. There are acts probably attributable to them, or

III. They may contribute to the proper development of an investigation being conducted in accordance with applicable laws.

Article 58.- On the date of the appearance, the summoned person must identify themselves in the terms indicated in Article 22 of this Regulation and take an oath, which shall be conducted in accordance with the truth before the Commission public official or officials authorized to attend the proceeding.

Article 59.- The Commission public officials authorized to attend the proceeding, at the beginning of the appearance, must inform the summoned person of the penalties incurred by persons who falsely declare before authorities other than judicial ones.

Article 60.- At the proceeding, a detailed report must be drawn up, which must contain the following requirements:

I. Place, time, and date of issuance;
II. If applicable, the identification data of the official letter containing the appearance order;
III. Name of the appearing person and description of the identification document;
IV. The reason for the appearance;
V. The statements of the appearing person, the questions formulated by the Commission public officials, as well as any other manifestation the appearing person wishes to record.
If due to its length it is deemed appropriate, the transcription of the Commission's questioning may be omitted from the report, and the corresponding questionnaire must be attached to the report. In such cases, the appearing person's responses must be related in the report to the questions contained in the questionnaire;

VI. The appearing person's statement, under oath, that they were informed of the penalties applicable to persons who falsely declare before authorities other than judicial ones, and
VII. Name, position, and signature of the appearing person, the witnesses, and the Commission public official or officials in charge of attending the appearance.

When Commission public officials, in accordance with the Internal Regulations and the Delegated Agreement, are authorized to attend the appearance, they shall designate witnesses, and this situation shall be recorded in the report drawn up, without affecting its validity and evidentiary value.

Witnesses may be replaced at any time for failing to appear at the place where the appearance proceeding is being held, for leaving before the conclusion of the proceeding, or for expressing their willingness to cease being witnesses. In such circumstances, the appearing person must immediately designate other witnesses, and in case of refusal or impediment by the designated persons, the Commission public officials authorized to attend the proceeding may designate those who must replace them. The replacement of witnesses must be recorded in the corresponding report and shall not affect its validity and evidentiary value.

Witnesses designated by the appearing person must identify themselves in accordance with the provisions of this Regulation.

The appearing person may request corrections to the report drawn up during their appearance, when the wording of the report does not reflect what they declared, provided that the correction does not involve modifying the meaning of their statement.

In case the appearing person refuses to sign the report, the Commission public officials shall record this circumstance in the report itself, without affecting its validity and evidentiary value.

Article 61.- At the conclusion of the appearance proceeding, the Commission public official in charge of attending the appearance must ask the summoned person if they made their statements and manifestations freely and without any coercion, and both the question and the answer must be recorded in the respective report.

Sixth Title
On Summons for the Imposition of Sanctions
Chapter Single

Article 62.- When the information and documentation obtained by the Commission in the exercise of its inspection and surveillance functions reveal facts, acts, or omissions that, in its judgment, may imply a violation of laws or applicable administrative provisions for Supervised Entities or Persons, and that, in accordance with the same, warrant the imposition of a sanction, the Commission must first summon the Supervised Entity or Person, so that within a deadline of 10 working days counted from the working day following receipt of the notification, they manifest in writing what they deem appropriate, offer evidence, and present arguments.

The summons referred to in the preceding paragraph shall be effected via an official letter duly justified and motivated, which shall contain the following requirements:

I. Place and date of issuance;
II. Number of the official letter and case file;

(1) III. Name of the Supervised Entity or Person to whom it is addressed, in their capacity as alleged infringer;

(1) IV. Name and position of the Legal Representative or Attorney-in-fact of the Supervised Entity or Person to whom the summons is addressed;
V. The description of the facts, acts, or omissions that, in the Commission's judgment, could constitute a violation of laws or applicable provisions;
VI. The legal grounds for administrative sanctions that, if applicable, may be deemed appropriate, and
VII. Name, position, and signature of the Commission public official authorized to issue the summons official letter.

Article 63.- The Commission, at the request of the Supervised Entity or Person, may extend once the deadline indicated in the official letter by which the summons is made, for a period equal to that indicated in the first paragraph of the previous article, taking into account the particular circumstances of each case.

Article 64.- In case the Supervised Entity or Person probably infringing does not manifest what they deem appropriate during the deadline indicated in the official letter referred to in Article 62 of this Regulation, or when, from what is manifested and in the Commission's judgment, the facts, acts, or omissions attributed to them are not refuted, they shall be considered established, and the corresponding sanction shall be imposed, in accordance with applicable legal provisions.

Article 65.- The Commission must observe the provisions contained in this Chapter for the summons and imposition of sanctions it is responsible for applying, regarding individuals or legal entities other than Supervised Entities or Persons, in accordance with the laws regulating them or other applicable provisions.

Seventh Title
On Inspection, Surveillance, International Cooperation, and Assistance
Chapter I
General Provisions

Article 66.- The exercise of inspection and surveillance functions that the Commission carries out to provide assistance to supervisory and regulatory institutions of other countries, in accordance with the agreements signed by the Commission for such purposes, shall be subject to the laws regulating Supervised Entities and the provisions contained in this Title.

In matters not expressly provided for in this Title, the inspection and surveillance provisions contained in Titles Second and Third of this Regulation shall apply, insofar as appropriate.

Article 67.- The information and documentation required by supervisory and regulatory institutions of other countries regarding any Supervised Entity or Person may only be provided through the Commission, in accordance with the provisions of cooperation agreements concluded between the Commission and the supervisory or regulatory institution concerned, without prejudice to what is provided for the exchange of information between other authorities, in accordance with applicable provisions.

Article 68.- The Commission shall carry out surveillance of branches, agencies, subsidiaries, representative offices, or any other type of Supervised Entities located outside the national territory, in accordance with the provisions of cooperation agreements and other international legal instruments concluded with supervisory and regulatory institutions of other countries and applicable provisions.

Article 69.- The Commission, for the proper exercise of its supervisory powers, may conduct inspection visits to branches, agencies, subsidiaries, representative offices, or any other type of Supervised Entities located outside the national territory, in accordance with cooperation agreements and other international legal instruments concluded by the Commission for such purposes with supervisory and regulatory institutions of other countries, and subject to applicable provisions for such effect.

Chapter II
On Inspection Visits to Subsidiaries or Parent Subsidiaries Conducted by Foreign Supervisory Authorities

Article 70.- Without prejudice to the definitions contained in Article 3 of this Regulation, for the purposes of this Chapter, the following shall be understood:

I. Foreign Supervisory Authority, singular or plural, to the supervisory authorities of the country of origin of a Foreign Financial Institution or a Related Entity, as well as to the supervisory authorities of the country of origin of the entity that, in accordance with the last

paragraph of fraction VI of this article, controls an Foreign Financial Institution or Related Company, and has supervisory and regulatory functions similar to those of the Commission;

II. Subsidiary, the Supervised Entity in whose capital a Foreign Financial Institution or a Controlling Subsidiary Company participates majority, authorized to organize and operate with such character in accordance with the law governing it;

III. Foreign Supervisor, singular or plural, the persons designated by the Foreign Supervisory Authority to carry out an inspection visit to a Subsidiary or a Controlling Subsidiary Company;

IV. Foreign Financial Institution, the financial institution constituted in a country with which the United Mexican States has celebrated a treaty or international agreement by virtue of which the establishment in national territory of Subsidiaries and Controlling Subsidiary Companies is allowed;

V. Controlling Subsidiary Company, the Mexican company authorized to be constituted and function as a controlling company of a financial group in terms of the Law to Regulate Financial Groupings, and in whose capital participates a Foreign Financial Institution or a Related Company, and

VI. Related Company, the company constituted in the country of origin of the Foreign Financial Institution, which is in any of the following situations:

a) That it is controlled by the Foreign Financial Institution; b) That it controls the Foreign Financial Institution, or c) That it is controlled by the same company that controls the Foreign Financial Institution.

For the purposes of this definition, it shall be understood that a company controls another when it is the owner, directly or indirectly, of shares with voting rights, representing at least 51 percent of its capital; has decision-making power in its shareholders' meetings or equivalent bodies; is in a position to appoint the majority of the members of its administration body, or by any other means has the authority to take the fundamental decisions of the company.

Article 71.- In terms of the applicable legal provisions, the Foreign Supervisory Authorities that intend to carry out an inspection visit to Subsidiaries or Controlling Subsidiary Companies, must request it in writing to the Commission, at least 30 natural days in advance of the date or period in which it is intended to be carried out. The request must contain the following requirements:

I. The name of the Foreign Supervisory Authority;
II. Name of the Subsidiary or Controlling Subsidiary Company to be visited;
III. The description of the inspection act to be performed;
IV. The legal provisions on which the inspection act subject to the request is based;
V. The date or dates on which the visit will be carried out, and

VI. The name and signature of the official of the Foreign Supervisory Authority issuing the request.

Article 72.- The inspection visits that Foreign Supervisory Authorities intend to carry out through the Commission, must be notified by the latter to the Subsidiary or Controlling Subsidiary Company in question, by means of a letter containing the visit order. Said letter must be duly founded and motivated and meet the following requirements:

I. Place and date of issuance;
II. Number of letter and file;
III. Name of the Subsidiary or Controlling Subsidiary Company to whom it is addressed;
IV. Name of the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company to whom the visit order is addressed;
V. The description of the inspection act to be performed;
VI. The date on which the visit will begin;
VII. Place or places where the visit will be carried out;
VIII. If applicable, list of the initial information and documentation that the Subsidiary or Controlling Subsidiary Company must make available to the Foreign Supervisors and Inspectors, indicating the deadline and form of exhibition, which may be detailed in an annex to the visit order;
IX. The mention that the Foreign Supervisors and Inspectors may request the exhibition of the information and documentation necessary to carry out the visit;
X. Name and position of the Inspector who will coordinate the visit, of the other public servants of the Commission who may participate in it, as well as of the Foreign Supervisors who have been designated by the Foreign Supervisory Authority to carry out the visit, and
XI. Name, position and signature of the public servant of the Commission authorized to issue the visit order.

The Commission may make known to the Subsidiary or Controlling Subsidiary Company, by written document, at any time subsequent to the notification of the letter containing the visit order and until the start of the visit, the names of the Foreign Supervisors who have been designated by the Foreign Supervisory Authority.

The number of persons referred to in fraction X of this article may be increased or decreased at any time, as well as be replaced, through the Commission, prior notification to the Subsidiary or Controlling Subsidiary Company in question, signed by the public servant of the Commission duly authorized to issue the visit order.

Article 73.- The Inspector who coordinates the visit, the public servants of the Commission who participate in it, as well as the Foreign Supervisors authorized for the practice of the visit, must identify themselves at the beginning of the visit with the valid credential or official document that accredits them as public servants of the Commission or of the Foreign Supervisory Authority, respectively.

Article 74.- When the visit is carried out through the Commission, the Inspector in charge of coordinating it must draw up in writing the corresponding opening and closing minutes.

The provision in the previous paragraph is without prejudice to the Inspectors who participate in the visit observing the provisions provided in this Regulation, regarding the partial minutes that, if applicable, they draw up.

Article 75.- The opening minute must be drawn up in the place where the Subsidiary or Controlling Subsidiary Company has its main administrative headquarters. The opening minute must contain the following requirements:

I. Place, time and date on which it is drawn up;
II. Name of the Subsidiary or Controlling Subsidiary Company;
III. The identification data of the letter containing the visit order;
IV. The object of the visit or description of the inspection act to be performed;
V. Name and identification of the Inspector in charge of coordinating the visit, of the public servants of the Commission and of the Foreign Supervisors who intervene in the diligence. It will not be necessary for all persons authorized in the letter containing the visit order to sign the minute referred to in this article, and
VI. Name, position and identification of the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company and of the witnesses, as well as the declaration of being informed of the start of the visit.

When the visit must be carried out in a place other than the domicile where the Subsidiary or Controlling Subsidiary Company has its main administrative headquarters, the opening minute may be drawn up in the place where it is actually carried out.

If the visit cannot begin because the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company is not present, the Inspector in charge of coordinating the visit will leave a summons with any person who is at the domicile, so that the interested party waits at a fixed time on the next business day. If the premises located at the domicile are closed, the summons will be left with the nearest neighbor.

If the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company does not attend the summons, the visit will be understood with any person who is present. This circumstance will be recorded in the opening minute of the visit.

Article 76.- The Inspector designated to coordinate the visit must make known to the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company and, if applicable, to the persons who participate in the visit, the penalties incurred by persons who declare falsely before an authority other than the judicial one in the exercise of their attributes.

The opening minute will be detailed and will serve as proof of the existence of the facts and acts that have been known at the start of the visit. The opening minute must be signed in two original copies, one remaining in the possession of the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company and the other in the possession of the Inspector in charge of coordinating it.

In the event that the Legal Representative or Attorney-in-fact, or the person with whom the visit was understood, does not appear to sign the minute in question, refuses to sign it or, if applicable, to accept the copy of it, such circumstance will be recorded in the minute itself, without affecting its validity and probative value.

Article 77.- In addition to the opening minute referred to in the previous article, when the letter containing the visit order indicates two or more places to carry it out, a visit record minute must be drawn up in each of the places visited, which must contain the following requirements:

I. Place where it is drawn up;
II. Date and time of entry and exit;
III. Name of the Subsidiary or Controlling Subsidiary Company;
IV. The identification data of the letter containing the visit order;
V. Name and identification of the Inspectors, of the public servants of the Commission and of the Foreign Supervisors who intervene in the diligence. It will not be necessary for all persons authorized in the letter containing the visit order to sign the minute referred to in this article;
VI. Name, position and identification of the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company, or rather, of the person with whom the diligence is understood in the respective place;
VII. Name and identification of the witnesses, observing what is provided in article 78 of this Regulation, and
VIII. The information, documentation or processes and procedures in general, subject of the visit.

The minute referred to in this article must be signed in two original copies, by the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company, or rather, by the person with whom the diligence is understood in the respective place, by the Inspectors who intervene in it, as well as by the witnesses, one copy remaining in the possession of the Subsidiary or Controlling Subsidiary Company and the other in the possession of the Commission.

In the event that the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company or the person with whom the visit is understood in the respective place, does not appear to sign the visit record minute, refuses to sign it or to receive the copy of it, such circumstance will be recorded in the minute itself, without affecting its validity and probative value.

In the event that, for reasons beyond the Commission's control, the visit could not be started on the date scheduled in the letter containing the visit order, this situation will be recorded in a detailed minute, which must comply, insofar as applicable, with the formalities provided in this Regulation.

Article 78.- For the purposes of what is stated in articles 75 and 77 of this Regulation, the Inspector in charge of coordinating the visit must require the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company to designate two witnesses and, if they are not designated or the designated ones do not accept to serve as such, the Inspector of the Commission will designate them, making this circumstance known in the minute he draws up, without this affecting the validity and probative value of the minute.

The witnesses can be replaced at any time, for not appearing at the place where the visit is being carried out, for leaving it before the diligence concludes or for manifesting their will to stop being a witness; in such circumstances, the person with whom the visit is understood must immediately designate other witnesses and in the face of the refusal or impediment of the designated ones, the Inspector in charge of coordinating the visit may designate those who should replace them. The substitution of the witnesses must be recorded in the minute without this affecting its validity and probative value.

The witnesses who, if applicable, are designated by the Inspector in charge of coordinating the visit, must be persons who are present at the place where the minute is drawn up.

Article 79.- At the end of the inspection visit, the Inspector responsible for coordinating the visit will draw up a closing minute, which must contain the following requirements:

I. Day, time and place of conclusion of the visit;
II. The place or places where the visit was carried out, as well as the date when the visit ended;
III. Name of the Subsidiary or Controlling Subsidiary Company;
IV. Reference to the visit order and to the opening minute of the visit;
V. Name and signature of the Legal Representative or Attorney-in-fact of the Subsidiary or Controlling Subsidiary Company;
VI. Name and signature of two witnesses designated by the Subsidiary or Controlling Subsidiary Company, observing, for such purposes, what is stated in article 78 of this Regulation;
VII. Name of the Foreign Supervisors who are present at the time the minute is drawn up, and
VIII. Name and signature of the Inspector responsible for coordinating the visit.

Article 80.- The access of Foreign Supervisors to the information and documentation that the legislation considers to be of a reserved character or that must be kept secret, will be subject to the applicable provisions, as well as to what is provided in the cooperation agreements that have been signed with the corresponding Foreign Supervisory Authorities and other international legal instruments.

Title Eight
Of the Intervention
Chapter I
General Provisions

Article 81.- The Commission may declare the administrative or managerial intervention of the Supervised Entities, through its Board of Directors, in accordance with what is provided in the Law and in the laws governing the Supervised Entities, when the solvency, stability or liquidity of the Supervised Entities is put in danger, or there are violations of the laws regulating them or of the general provisions derived from them.

Article 82.- The President will designate by letter the person who will perform the administrative or managerial intervention, in accordance with what is provided in the Law and in the laws governing the Supervised Entities.

Article 83.- The interventor will perform his position in terms of what is provided in the laws governing the Supervised Entities and other applicable provisions.

Article 84.- The Commission must notify in writing the declaration of intervention to the Supervised Entities, by means of a letter that must be duly founded and motivated and contain the following requirements:

I. Place and date of issuance;

II. Number of letter and file;
III. Name of the Supervised Entity to whom it is addressed;
IV. Name of the general director of the Supervised Entity or of whoever performs its functions, to whom the letter must be addressed, a copy being sent to the president of the board of directors or to the sole administrator;
V. The reference to the session and terms of the agreement adopted by the Board of Directors of the Commission to declare the intervention;
VI. The type of intervention;
VII. The name and signature of the President or of the public servant of the Commission who is authorized to notify the agreements of the Board of Directors, and
VIII. If applicable, the objectives set in the corresponding agreement.

The designation of the Interventor must be made by the President and will be notified in the same letter by which the declaration of intervention is notified, or by means of a letter that will be notified in the intervention diligence itself.

Article 85.- The intervention diligence will be understood with the general director of the Supervised Entity; in his absence with the main official who is present or, failing that, with the official or employee of the highest level who is present.

The intervention diligence will be carried out at the social domicile of the Supervised Entity or at the place where he resides or has established his administration and, if necessary, at the facilities of the Supervised Entity located in different places.

Article 86.- From the intervention diligence, a detailed minute must be drawn up, which must contain the requirements and formalities indicated below:

I. Place, time and date on which it is drawn up;
II. Name of the Supervised Entity;
III. Type of intervention and the object it pursues;
IV. The identification data of the letter by which the declaration of intervention is notified and, if applicable, of the letter by which the Supervised Entity is informed of the designation of the interventor;
V. The name, position and signature of the official or employee of the Supervised Entity with whom the diligence is understood, as well as a simple copy of his identification;
VI. The name, position and signature of the public servants of the Commission who participate in the diligence, of the interventor, as well as their respective identifications, and
VII. Name, position and signature of the witnesses, as well as copies of their identifications, observing what is stated in article 37 of this Regulation.

Article 87.- The minute referred to in the previous article will serve as proof of the existence of the acts, facts or omissions recorded in it. The minute must be signed in three original copies, one remaining in the possession of the official or employee who attends the diligence on behalf of the Supervised Entity, another in the possession of the Commission and, the remaining one, in the possession of the interventor.

In the event that the official or employee with whom the diligence was understood does not appear to sign the minute in question, refuses to sign it or to receive the copy of it, such circumstance will be recorded in the minute itself, without affecting its validity and probative value.

For the purposes of what is provided in this article, the public servants of the Commission must require the official or employee of the Supervised Entity with whom the diligence is understood, to designate two witnesses; if these are not designated or do not accept to serve as such, the public servants of the Commission will designate them, making this circumstance known in the minute they draw up, without this affecting the validity and probative value of the minute.

The witnesses can be replaced at any time for not appearing at the place where the diligence is being carried out, for leaving it before the diligence concludes or for manifesting their will to stop being a witness; in such circumstances, the official or employee of the Supervised Entity with whom the diligence is understood must immediately designate other witnesses and, in the face of the refusal or impediment of the designated ones, the public servants of the Commission may designate those who should replace them. The substitution of the witnesses must be included in the minute and will not affect its validity and probative value.

The witnesses who are designated by the public servants of the Commission, must be persons who are present at the place where the minute is drawn up.

Chapter II
Of the managerial intervention

Article 88.- The appointment of an interventor-manager must fall on a person who meets the requirements provided in the laws governing the Supervised Entities.

Without prejudice to the foregoing, the person who is appointed interventor-manager must declare in writing and under oath to the Commission, that he has not been sanctioned by a final resolution for having incurred administrative responsibility; that he has not been convicted by a final judgment, for an intentional crime that imposes a corporal penalty, nor disqualified or suspended from exercising any employment, position or commission in the public service or in the financial system or to exercise commerce.

Article 89.- The letter containing the appointment of the interventor-manager must be registered in the office of the Public Commerce Registry corresponding to the domicile of the intervened Supervised Entity.

Article 90.- When the Board of Directors of the Commission has declared the intervention with managerial character to the Supervised Entities, during the start diligence of the intervention, the interventor-manager will take possession of the administration of the Supervised Entity and the public servants of the Commission must carry out the actions that are necessary for the proper safeguarding of the society's information.

Article 91.- The public servants of the Commission who participate in the intervention diligence may, at all times, request the assistance of the public force, when the intervention diligence is obstructed or prevented, in terms of the applicable provisions.

Article 92.- The Commission must request from the interventor-manager the formulation and delivery of an inventory of the assets and liabilities of the Supervised Entity, as well as a report on the financial, accounting, legal, economic and administrative situation of the Supervised Entity. The foregoing, without

without prejudice to the Commission's authority under Title Three of this Regulation to request information from the Supervised Entity, in the exercise of its supervisory function.

The Commission may exempt the manager-supervisor from the obligation to present the inventory and opinion referred to in the preceding paragraph, when there is a material or legal impossibility for said manager-supervisor to comply with the request, which must be accredited before the Commission.

In any case, the manager-supervisor must prepare a diagnosis in which they express the causes for which the Supervised Entity is subject to revocation, dissolution and liquidation, or commercial bankruptcy, as well as the actions they will take, based on their powers.

Likewise, once the intervention has been declared, the Commission may grant the Supervised Entity in question, within the scope of the powers conferred by the applicable law, particular exceptions to the general provisions applicable to the financial information of credit institutions, in order that compliance with the rules regarding the dissemination and publication of information that must periodically be made known to the public, be suspended during the period of intervention.

Chapter III
Of the Lifting of Intervention

Article 93.- Once the objectives of the intervention in the Supervised Entity have been satisfied and the irregular operations or other violations of the laws have been corrected, the term for intervention provided for in the financial laws governing the Supervised Entity in question has expired, or when the Supervised Entity enters into dissolution, liquidation or commercial bankruptcy, the Commission will proceed to lift the intervention by agreement of its Board of Directors, which must be notified to the Supervised Entity, through a duly founded and motivated official letter that complies with the formalities set forth below:

I. Place and date of issuance;
II. Number of official letter and file;
III. Name of the Supervised Entity to whom it is addressed;
IV. Name of the manager-supervisor or, if applicable, the general director of the Supervised Entity, to whom, as appropriate, the official letter must be addressed. When this is possible, a copy must be sent to the president of the board of directors of the Supervised Entity;
V. The cause motivating the lifting of the intervention, and
VI. The name and signature of the President or the Commission official authorized to issue the official letter referred to in this article.

Article 94.- The Commission will not lift the intervention of the Supervised Entity in question until the new appointments of the persons who must be in charge of its administration or, if applicable, the liquidator or trustee, have been made, and until they take effective possession of their positions.

Article 95.- At the time the intervention in the Supervised Entity in question is lifted, the Commission will carry out all actions necessary to ensure that the manager-supervisor delivers to the persons assuming the administration of the Supervised Entity, an inventory of the assets and liabilities of the Supervised Entity, as well as an opinion on the financial, accounting, legal, economic and administrative situation of the Supervised Entity.

For the purposes of the foregoing, a handover-receipt act will be drawn up in which the situation in which the Supervised Entity is found, the amount of its assets and liabilities, and its corporate situation will be recorded.

(2) Article 95 Bis.- In the event that the intervention ordered with respect to a Supervised Entity ceases to fulfill its purpose, or becomes impossible to fulfill, as well as in case there is impossibility to appoint an administrator, liquidator or trustee, the manager-supervisor may request the Commission to lift said intervention, presenting for this purpose the documentation or information available. The Commission may exempt the manager-supervisor from the obligation to present the inventory and opinion referred to in the previous article, when the Supervised Entity does not have the necessary information for such purposes or the Supervised Entity lacks economic resources to generate it, in these cases the supervisor must prepare a report in which they express the factual and legal causes that justify the lifting thereof.

Article 96.- When the Commission agrees to lift the managerial intervention, it will communicate this to the person in charge of the Public Commerce Registry office in which the annotation referred to in Article 89 of this Regulation was made, in order to cancel the respective registration.

Title Nine
Of the Commission's Powers with Respect to Supervised Entities in Liquidation or Commercial Bankruptcy Single Chapter

Article 97.- The Commission will participate in the liquidation or commercial bankruptcy processes of the Supervised Entities, under the terms established by the laws or applicable provisions in this matter.

Article 98.- For the purposes of this Chapter, the supervision exercised by the Commission with respect to the Supervised Entities, liquidators, conciliators or trustees, as determined in the laws governing said Supervised Entities, will consist of ensuring that they, in the conduct of the liquidation or commercial bankruptcy process, comply with the bases, plans, programs and procedures established, for which it may request the information it deems necessary.

The foregoing includes the review and analysis of opinions formulated by independent external auditors.

Article 99.- Supervised Entities that are in a liquidation or commercial bankruptcy procedure, as well as the liquidator, conciliator or trustee, must deliver to the Commission the accounting, legal, economic, financial and administrative information that said Commission requires them to provide, relating to the liquidation or commercial bankruptcy, in accordance with the powers conferred by the applicable laws.

Article 100.- The Commission, when the laws so provide, may review the final liquidation balance sheet of the Supervised Entities and, if applicable, order the corrections that, in its judgment, it considers fundamental to said balance sheet, being authorized to request the information that proves necessary for the exercise of this attribution.

The exercise of this attribution will be based on the last entry recorded in the general liquidation balance sheet. The Commission may base its conclusions on the opinions formulated for this purpose by the independent external auditors of the Supervised Entity.

Title Ten
Of the Closure
Single Chapter

Article 101.- The Commission may order the immediate suspension of operations or proceed to the administrative closure of the office, business, company or establishment in question, when it verifies that a natural or legal person is carrying out operations reserved for Supervised Entities without the corresponding authorization.

In the cases referred to in the preceding paragraph, the Commission will warn the interested party to appear, within 15 business days following the date on which the Commission has notified the application of the aforementioned measures, to present what is convenient for their rights. In case evidence is provided, it will be processed within 10 business days following its presentation.

If the 15 business day term referred to in the preceding paragraph expires and the interested party does not appear, does not provide evidence, or the provided evidence does not disprove the facts verified by the Commission, the applied measure will become final.

Article 102.- The official letter containing the order for suspension of operations or closure of the office, business, company or establishment in question, must be duly founded and motivated and signed by the Commission official who has the powers for such effects, also containing the following requirements:

I. Place and date of issuance;
II. Number of official letter and, if applicable, file;
III. Name of the natural or legal person to whom it is addressed or their Legal Representative or Attorney-in-fact.
In the absence of the name, it will suffice for the order to mention the necessary elements that allow its identification, such as the circumstances of manner, time and place;
IV. Date or dates on which the diligence must be carried out;
V. Place or places where the diligence will be practiced;
VI. The warning referred to in Article 101 of this Regulation;
VII. Name and position of the Commission officials who will practice the diligence, and
VIII. Name and position of the person designated to notify the official letter referred to in this article.

Article 103.- The closure diligence will be carried out on business days and hours, and non-business days and hours may be enabled when so required for the due fulfillment of the Commission's closure power.

Article 104.- Every closure must be recorded in a detailed act that must contain, insofar as applicable, the following requirements:

I. Place, time and date on which the act is drawn up;
II. Name of the office, business, company or establishment in question;

III. Identification data of the official letter containing the closure order;
IV. Identification of the Commission officials participating in the diligence, and
V. Name, position and signature of the Legal Representative or Attorney-in-fact, official or employee of the office, business, company or establishment in question, before whom the diligence is practiced, as well as of the witnesses.

The act will serve as proof of the existence of the acts, facts or omissions recorded in it and must be signed in two original copies, one remaining in the possession of the person responsible for attending the diligence on behalf of the natural or legal person in question, and the other in the possession of the Commission official in charge of carrying it out.

In the event that the person with whom the diligence was conducted does not appear to sign the act in question, refuses to sign it, or, if applicable, refuses to accept a copy of it, this circumstance will be recorded in the act itself, without this affecting its validity and probative value.

For the purposes of the provisions of this article, the Commission officials must require the person with whom the diligence is conducted to designate two witnesses, and if they do not designate them or the designated persons do not accept to serve as such, the Commission officials will designate them, recording this circumstance in the act they draw up, without this affecting the validity and probative value of the act.

Witnesses may be replaced at any time for failing to appear at the place where the diligence is being carried out, for leaving the place before the diligence concludes, or for expressing their willingness to cease being a witness; in such circumstances, the person with whom the diligence is conducted must immediately designate other witnesses, and in the event of refusal or impediment of the designated persons, the Commission officials may designate those who must replace them. The replacement of witnesses must be recorded in the act and will not affect its validity and probative value.

The witnesses designated by the Commission officials must be persons who are present at the place where the act is drawn up.

The act referred to in this article must be drawn up at the moment of the diligence by the Commission officials.

Article 105.- The closure diligence will conclude with the placement of seals or marks on the entrances of the office, business, company or establishment in question, as well as on the archives, vaults or computer equipment. The Commission will make the act of closure public by placing notices on the exterior of said places, as well as through the publication of the official letter ordering the closure, in two newspapers of wide circulation at the national level.

Article 106.- If the execution of the closure act is materially prevented and whenever the case requires it, the Commission official duly authorized for this purpose will request the assistance of the public force to carry out the diligence in question.

Article 107.- When the laws provide for the closure of branches of Supervised Entities, the Commission will be subject to the procedure established in said laws, and in case they do not contemplate a specific procedure to carry out the closure, the provisions of this Title will apply.

(4) Article 108.- The notifications of administrative acts and other resolutions provided for in this legal instrument that the Commission issues in the exercise of its functions, will be carried out in accordance with the legal provisions applicable for this effect for each Supervised Entity or Person, and those established in this Regulation. Such notifications may be made to the Supervised Entity or Person by electronic means when these or their representative have expressly accepted or requested them in writing to the Commission.

(5) Article 109.- The Commission will determine the electronic means through which it may notify Supervised Entities and Persons of the administrative acts it issues in the exercise of its supervisory powers. The electronic means determined by the Commission may also be used by Supervised Entities or Persons to send to the Commission the communications they need to make to the latter during the supervision process.

(5) The provisions of the preceding paragraph will be carried out in accordance with the regulation issued by the Commission for this effect, which must be published in the Official Gazette of the Federation.

TRANSITORY PROVISIONS
(Regulation on Supervision by the National Banking and Securities Commission, published in the Official Gazette of the Federation on January 18, 2005)

FIRST.- This Regulation will enter into force the day following its publication in the Official Gazette of the Federation.

SECOND.- The Regulation of the National Banking and Insurance Commission, on Matters of Inspection, Supervision and Accounting, published in the Official Gazette of the Federation on November 24, 1988, is hereby repealed, except for what is provided in the following articles.

THIRD.- Articles 37, 38 and 39 of the aforementioned Regulation of the National Banking and Insurance Commission, on Matters of Inspection, Supervision and Accounting, will remain in force, until such time as the Commission issues the provisions regarding the documentation and information that Supervised Entities must periodically provide.

FOURTH.- The acts referred to in Titles Two and Six of the Regulation of the National Banking and Insurance Commission, on Matters of Inspection, Supervision and Accounting, published in the Official Gazette of the Federation on November 24, 1988, which had been initiated prior to the entry into force of this Regulation, will continue to be governed by the provisions of the repealed Regulation in accordance with the second transitory article above.

Given at the official residence of the Federal Executive Power, in Mexico City, Federal District, on the fourteenth day of the month of January of two thousand five.- Vicente Fox Quesada.- Rubric.- The Secretary of Finance and Public Credit, José Francisco Gil Díaz.- Rubric.

TRANSITORY PROVISION
(Decree that reforms, adds and repeals various provisions of the Regulation on Supervision by the National Banking and Securities Commission, published in the Official Gazette of the Federation on April 23, 2012)

SINGLE.- This Decree will enter into force the day following its publication in the Official Gazette of the Federation.

Given at the Residence of the Federal Executive Power, in Mexico City, Federal District, on nineteen April of two thousand twelve.- Felipe de Jesús Calderón Hinojosa.- Rubric.- The Secretary of Finance and Public Credit, José Antonio Meade Kuribreña.- Rubric.

TRANSITORY PROVISIONS
(Decree that reforms, adds and repeals various provisions of the Regulation on Supervision by the National Banking and Securities Commission, published in the Official Gazette of the Federation on July 21, 2012)

FIRST.- This Decree will enter into force the day following its publication in the Official Gazette of the Federation.

SECOND.- Administrative procedures initiated by the National Banking and Securities Commission prior to the entry into force of this Decree, will be concluded in accordance with the applicable provisions in force at their initiation.

REFERENCES

1. Reformed by Decree published in the Official Gazette of the Federation on April 23, 2012.
2. Added by Decree published in the Official Gazette of the Federation on April 23, 2012.
3. Repealed by Decree published in the Official Gazette of the Federation on April 23, 2012.
4. Reformed by Decree published in the Official Gazette of the Federation on July 21, 2021.
5. Added by Decree published in the Official Gazette of the Federation on July 21, 2021.