SGDB No. 26/2014: Requirements for Incorporation into the Integrated Payment Settlement System (LIP)

B.C.B. / DGD-VUC
2014 AUG - 1 PM 12: 37

EXTERNAL CIRCULAR OF THE CENTRAL BANK OF BOLIVIA La Paz, July 31, 2014 SGDB No. 26/2014

FROM: GENERAL MANAGEMENT
FINANCIAL ENTITIES MANAGEMENT
TO: ACCL S.A., EDV S.A., ATC S.A., LINKSER S.A., SERVIRED S.A., UNILINK S.A., E-FECTIVO S.A.
SUBJECT:REQUIREMENTS FOR INCORPORATION INTO THE INTEGRATED PAYMENT SETTLEMENT SYSTEM (LIP)

Ladies and Gentlemen:

As you are aware, the Central Bank of Bolivia (BCB) communicated through External Circular SGDB No. 017/2014 of June 11, 2014, that by means of Board Resolution No. 061/2014 of June 10, 2014, the "Regulation of the Integrated Payment Settlement System - LIP" was approved, which will be put into production on August 18, 2014, replacing the High-Value Payment System (SIPAV).

In this regard, according to Article 13 (Authorized Entities) of the LIP Regulation, "LIP participants shall be entities with a license from the Financial System Supervision Authority (ASFI) and the Pension and Insurance Supervision and Control Authority (APS), the General Treasury of the Nation, and others expressly authorized by the BCB Board."

For this purpose, the annex of said Regulation defines "Settlement Account" as the account of an LIP participant that serves exclusively to process payment orders in the system, also defining that the following are considered settlement accounts: current and reserve accounts, reserve accounts, clearing accounts, and settlement accounts proper.

Consequently, to access a settlement account at the BCB that allows the processing of their payment orders, entities interested in being participants in this system must sign the participation contract.

To this effect, they must send the following documentation to Dr. Wilma Pérez Paputsachis, Acting General Manager of the BCB, no later than August 15 without exception:

• Request for opening a settlement account and signing the "Participation Contract in the LIP".
• Legalized copy of the power of representation of the person(s) who will sign said contract, as well as a simple copy of their identity card.
• Simple copy of the Tax Identification Number (NIT) that includes the entity's legal name.

Ayacucho y Mercado • Tel: (591-2) 2409090 • P.O. Box: 3118 www.bcb.gob.bo • bcb@bcb.gob.bo • La Paz-Bolivia

*

[Logo of the Central Bank of Bolivia]

• Legalized copy of the Public Deed of Incorporation.
• Original Registration Certificate from FUNDEMPRESA.

In this regard, for the issuance of the legal representation powers to be sent to the BCB, they must expressly consider, without being limited to, the following powers:

• To bind, on behalf of the entity, to celebrate, sign, modify, resolve, and/or dissolve any type of contract, agreement, or legal act with the BCB, within the framework of the BCB's competencies established in Law No. 1670, and the terms that could be established in any contract to be signed with the BCB.
• To authorize the BCB to perform fund transfers, including automatic credits and debits from their settlement account at the BCB, to operationalize the management of their accounts at the BCB.
• To certify before the BCB the authorized signatures for the management of their accounts and any act arising from contracts signed with the BCB.
• For Signatory:
  The (name of the entity) in its capacity as a participant of the Integrated Payment Settlement System (LIP), grants power to (name of the legal representative), to act in its name and representation and in its capacity as signatory or signatory of the self-signed digital certificates we issue, to generate the digital signature to be used in any electronically signed digital document in the Integrated Payment Settlement System, issued in the name of (name of the entity).
• For Digital Certificate Exchange:
  The (name of the entity) in its capacity as a participant of the Integrated Payment Settlement System, grants power to (name of the legal representative), to act in its name and representation to deliver and receive self-signed digital certificates, as well as to sign the respective exchange or delivery acts of digital certificates of the Integrated Payment Settlement System.

Finally, pursuant to Article 165 of the Commercial Code, the power of the legal representatives to sign said contract must be registered in the Commercial Registry (FUNDEMPRESA).

Sincerely,

[Signature]
WPP/MMV/MMS/RPR/PMS/AJA

Ayacucho y Mercado • Tel: (591-2) 2409090 • P.O. Box: 3118 www.bcb.gob.bo • bcb@bcb.gob.bo • La Paz-Bolivia