Regulations for banks and Financial Guard

The Government has endorsed two law drafts modifying the banking law and regulating the organisation and operation of the Financial Guard. The draft modifying Banking Law 58/1998 introduces new stipulations on how financial-banking institutions should conduct their business. The normative act stipulates, among others, increasing the share capital amount that turns a specific person into a significant shareholder from 5% to 10% and raising the amount of the bank’s equity it may use for investments in non-financial entities from 10% to 15%. The minority shareholders of a banking institution will have the possibility to hold general meetings to make decisions about the activity of the institution in question, in case they do not have their voting rights suspended. The second law draft regulating the organisation and operation of the Financial Guard allows commissaries to perform controls in the spaces where goods covered by the fiscal legislation are manufactured, stored or sold, and seize all those illegally manufactured, shipped or sold. ZF