Resolution CMN No. 3712 — Amends Deadlines for Renegotiation of Rural Credit Operations under Law No. 11,775 of September 17, 2008

RESOLUTION NO. 3712

Amends the deadlines for the renegotiation of rural credit operations, under Law No. 11,775 of September 17, 2008.

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595 of December 31, 1964, makes public that the Monetary Council, in an extraordinary session held on April 16, 2009, considering the provisions of Article 4, item VI, of Law No. 4,595 of 1964, Articles 4 and 14 of Law No. 4,829 of November 5, 1965, Article 18 of Law No. 11,322 of July 13, 2006, Article 41 of Law No. 11,775 of September 17, 2008, and Articles 16 and 17 of Law No. 11,922 of April 13, 2009,

RESOLVES:

Article 1. Articles 1 and 3 of Resolution No. 3,572 of May 29, 2008, shall enter into force with the following wording:

"Article 1. .............................................

I - ..................................................

II - until June 30, 2009, for the settlement of the operation or the minimum amortization required of the borrower as a condition for the renegotiation of their debts, with the discounts provided for 2008, when applicable;

III - until August 31, 2009, for financial agents to formalize the renegotiations." (NR)

"Article 3. Financial institutions shall have until August 31, 2009, to inform the National Treasury Secretariat of the Ministry of Finance or, when dealing with operations using resources from the Constitutional Financing Funds of the North (FNO), Northeast (FNE), and Center-West (FCO), to the Ministry of Integration, the number of repactuated contracts and the amounts involved in the renegotiations and settlements referred to in this resolution. In the case of operations backed by resources transferred by BNDES, the information shall be sent to that entity, which will consolidate and inform the National Treasury Secretariat." (NR)

Article 2. Articles 1 and 4 of Resolution No. 3,574 of May 29, 2008, amended by Resolution No. 3,636 of November 13, 2008, shall enter into force with the following wording:

"Article 1. .............................................

I - until June 30, 2009, for the borrowers of the operations referred to in Article 4 of Law No. 11,775 of 2008, to become compliant and thus qualify for the benefit assured therein;

.......................................................

III - until June 30, 2009, for the settlement of the balance of overdue interest installments;

IV - until August 31, 2009, for financial institutions to formalize the financing operations referred to in item II of Article 3 of Law No. 11,775 of 2008." (NR)

"Article 4. Financial institutions shall have until August 31, 2009, to inform the National Treasury Secretariat of the Ministry of Finance or, when dealing with operations using resources from the Constitutional Financing Funds of the North (FNO), Northeast (FNE), and Center-West (FCO), to the Ministry of Integration, the number of repactuated contracts and the amounts involved in the renegotiations and settlements referred to in this resolution. In the case of operations backed by resources transferred by BNDES, the information shall be sent to that entity, which will consolidate and inform the National Treasury Secretariat." (NR)

Article 3. Articles 1, 3, and 4 of Resolution No. 3,577 of May 29, 2008, shall enter into force with the following wording:

"Article 1. .............................................
.......................................................

II - until June 30, 2009, for the borrowers of the operations referred to in Sections 1 and 2 of Article 14 of Law No. 11,775 of 2008, to become compliant, including regarding the minimum amortization required in Section 2, and to qualify for the benefits assured therein for the settlement or renegotiation of debts;

III - until June 30, 2009, for compliant borrowers as of April 1, 2008, to fully settle the operations with the respective rebates provided for in item I of Article 14 and Annex XI of Law No. 11,775 of 2008;

IV - until June 30, 2009, for financial agents to formalize the renegotiations." (NR)

"Article 3. Borrowers who made the payment of the installments, due in 2008, prior to the publication of this resolution, may settle the outstanding balance of the operation until June 30, 2009, with the right to the rebates provided for in the table contained in Annex XI of Law No. 11,775 of 2008." (NR)

"Article 4. Financial institutions shall have until August 31, 2009, to inform the National Treasury Secretariat of the Ministry of Finance or, when dealing with operations using resources from the Constitutional Financing Funds of the North (FNO), Northeast (FNE), and Center-West (FCO), to the Ministry of Integration, the number of repactuated contracts and the amounts involved in the renegotiations and settlements referred to in this resolution. In the case of operations backed by resources transferred by BNDES, the information shall be sent to that entity, which will consolidate and inform the National Treasury Secretariat." (NR)

Article 4. The following deadlines are established for the implementation of the provisions of Article 18 of Law No. 11,775 of 2008, regarding the operations classified therein:

I - until June 30, 2009, for borrowers to make the minimum amortization required in Article 18 and to qualify for the benefits assured therein for the settlement or renegotiation of debts;

II - until June 30, 2009, for financial agents to formalize the renegotiations.

Article 5. Article 2 and Section 3 of Article 4 of Resolution No. 3,578 of May 29, 2008, shall enter into force with the following wording:

"Article 2. Financial institutions shall have until August 31, 2009, to inform the National Treasury Secretariat of the Ministry of Finance or, when dealing with operations using resources from the Constitutional Financing Funds of the North (FNO), Northeast (FNE), and Center-West (FCO), to the Ministry of Integration, the number of repactuated contracts and the amounts involved in the renegotiations and settlements referred to in this resolution. In the case of operations backed by resources transferred by BNDES, the information shall be sent to that entity, which will consolidate and inform the National Treasury Secretariat." (NR)

"Article 4. .............................................

.......................................................

Section 3. The borrower who renegotiates their investment debt under the conditions established in this article shall be prohibited, until they fully settle their renegotiated investment operation, from contracting new investment financing, except for investments destined for irrigation, drainage, soil protection and recovery, or degraded areas, fruit farming, shrimp farming, afforestation, and reforestation, using resources controlled by rural credit or the Constitutional Financing Funds, throughout the National Rural Credit System - SNCR, with the requirement to present a declaration that they do not maintain prorogated debt under those conditions with the SNCR." (NR)

Article 6. Articles 1 and 2 of Resolution No. 3,579 of May 29, 2008, shall enter into force with the following wording:

"Article 1. .............................................

.......................................................

II - .................................................

a) formalize the respective instruments of individualization and assumption of debts until June 30, 2009;

................................................." (NR)

"Article 2. .............................................
.......................................................

II - until June 30, 2009, for the formalization of the renegotiation, including the minimum amortization required of the borrower as a condition for the renegotiation of their debts;

................................................." (NR)

Article 7. Section 4 of Article 2 of Resolution No. 3,575 of May 29, 2008, amended by Resolution No. 3,597 of August 29, 2008, shall enter into force with the following wording:

"Section 4. The borrower who renegotiates their investment debt under the conditions established in this article shall be prohibited, until they fully settle their renegotiated investment operation, from contracting new investment financing with resources equalized by the National Treasury or with resources controlled by rural credit or the Constitutional Financing Funds, throughout the National Rural Credit System (SNCR), except when destined for irrigation, drainage, soil protection and recovery, or degraded areas, fruit farming, shrimp farming, afforestation, and reforestation, with the requirement to present a declaration that they do not maintain prorogated debt under those conditions with the SNCR." (NR)

Article 8. Articles 7 and 10 of Resolution No. 3,407 of September 27, 2006, amended by Resolution No. 3,579 of May 29, 2008, shall enter into force with the following wording:

"Article 7. ..............................................

.......................................................
IV - ..................................................

.......................................................

c) ....................................................

.......................................................

4. deadline from repactuation: ten years, with the first installment due on October 31, 2009.

.................................................."(NR)

"Article 10. ............................................

.......................................................

IV - ..................................................

.......................................................

b) ....................................................

.......................................................

3. deadline: ten years, with the first installment due on October 31, 2009;

.......................................................

c) ....................................................

4. deadline from repactuation: ten years, with the first installment due on October 31, 2009;

................................................." (NR)

Article 9. This resolution enters into force on the date of its publication.

Brasilia, April 16, 2009.

Henrique de Campos Meirelles
President