Law 10/2013, of 23 May, of the Institut Nacional Andorrà de Finances since the General Council in its session of 23 May 2013 has approved the following: law 10/2013, of 23 May, of the Institut Nacional Andorrà de Finances preamble the Andorran National Institute of Finance (hereinafter, the INAF) was established by the law on the creation of the Institut Nacional Andorrà de Finances of 12 June 1989, as a financial institution of public character with the aim of facilitating the financing of the public sector, to help the Government to meet their social and economic objectives and to assist the authorities in the management of financial and economic policy. Subsequently, the law on modification of the law of creation of the Andorran National Institute of finance, of 3 September 1993, defined the INAF technical body Executive of the financial authority of the Principality of Andorra in order to contribute, inter alia, in the Organization of the Andorran financial sector. It was not until 2003 that the law 14/2003, of 23 October, of the Institut Nacional Andorrà de Finances (hereafter, law 14/2003) defined the INAF as the authority of the Andorran financial system, revised extensively their functions, and to provide more independence.

Ten years after the adoption of this regulation, it is necessary a revision of the law 14/2003 to provide the necessary means for the achievement of ITS JURISDICTION of its objectives and expand them, taking into account the need for whole of the sphere of action of the INAF in the current context. This is characterised by changes and the international expansion of the Andorran financial system, as well as to the evolution of financial markets at international level and the commitments on the part of Andorra with the European Union with the signature of the Monetary agreement which came into force on April 1, 2012.

As a prominent element of the law, is the incorporation of the legal authority of the INAF to obtain information, including personal data, any natural or legal person in the exercise of their functions, as well as the authority to cooperate with foreign authorities in the supervision and monitoring of compliance with legislation relating to the activities of the operational entities of the financial system and of the legislation relating to stock markets financial instruments, derivatives, and other, exchanging information, including personal data, and to collaborate in the framework of investigations, or inspections as long as they meet the requirements set out in paragraphs 1 to 3 of article 20. Additionally, note the clarification and extension of the mission and objectives of the INAF to include, among others, the objective of ensuring adequate protection of customers and investors or contribute to reduce the systemic risk arising from the instability of the markets in which they operate the operational entities of the Andorran financial system. These modifications are necessary requirements to provide the appropriate skills INAF to comply to the standards of supervision and cooperation of the international organization of Securities Commissions (IOSCO) and to facilitate the signature, on behalf of the INAF, of the protocol of understanding of the IOSCO multilateral related to consultation, cooperation and the exchange of information between the competent authorities in the area of supervision and inspection of practices of abuse that are signatories of the protocol of understanding multilateral , within a maximum period of 18 months from the entry into force of the Monetary Agreement, on 1 April 2012.

For all these reasons and as a look to stand out especially of this law, is expected to be the qualification of article 4 which incorporates the functions and powers of the INAF, as well as that of article 20 on the international cooperation of the INAF, in the extent to which both requires the obtaining and/or the exchange of personal data of any natural or legal person. This qualification gives comply with the provisions of article 40 of the Constitution of the Principality of Andorra reserva in the legislative body regulating the exercise of rights and freedoms and requires, moreover, with regard to fundamental rights, this regulation is done by law or qualified article.

By means of this law also highlighted the role of public interest of the INAF and validated its functions, powers and organization to the required at the international level to supervisory authorities of similar characteristics and recommended by international bodies such as the International Monetary Fund or the Basel Committee, with particular emphasis on the consolidation of the independence of the INAF.

It should not be forgotten, moreover, that the framework that defined, to date, the cooperation of the INAF with foreign authorities is included in article 9 of the law 14/2003, in article 45 of law 14/2010 and the Decree of November 24, 2010 by approving the regulation carried out by the section 5 of article 45 of the law 14/2010; and that this framework is not adjusted to the provisions laid down at international level in order to make possible an appropriate cooperation with the competent authorities in the area of supervision and inspection of practices of abuse of market or in other areas of banking and financial supervision, given that the article was only 45 cooperation in the monitoring of the operational entities of the financial system and not on the supervision of quotations , and also enabled the international cooperation in the field of supervision on a consolidated basis of the supervised entities in accordance with widely accepted standards.

This law equates the sphere of cooperation of the INAF to international standards of international cooperation in this area to incorporate broader and precise manner the mechanisms under which the INAF cooperates, established relationships and/or collaboration agreements with official bodies or authorities competent in the field of national and international regulation of the financial system, licensing and registration, supervision and/or control of the operating entities of the financial system to ensure compliance with the legislation in force by part of these. In this way, it gives the legal framework required for the signature, on behalf of the INAF, of protocols of cooperation with the supervisory authorities of the countries in which the operational entities of the Andorran financial system have subsidiaries and, as well, to provide the necessary means to an appropriate supervision of ITS JURISDICTION on the basis of consolidated in line with international standards in this area.


On the other hand, point out that, on the same line, have been clarificades the powers of the Board of Directors and of the General direction of the INAF, the requirements of good repute, knowledge, experience and independence required to its members and the duty of confidentiality that must observe the members of the governing bodies of the INAF, his staff, the people who play or have played a role , the external auditors and other experts who have been hired by the INAF.

Finally, as a relevant point of this law, to improve the autonomy and financial independence of the INAF establishes a new financing regime through the creation of taxes for the provision of services by the INAF, in particular, the following: fees for the creation of entities, annual rates of existing monitoring of operational entities of the financial system and of the collective investment undertakings and fees relating to the registration and licensing processes of administrative acts to the INAF. This new funding model, which is a substantial change, should also contribute, on the one hand, the INAF can dispose of human and material resources needed to carry out properly its duties and responsibilities and, in particular, on the basis of the consolidated supervision of entities that currently have presence, directly or indirectly, in more than 20 countries and, on the other hand, those relating to the achievement of the commitments acquired by Andorra with the signing of the Monetary agreement.

The law is divided into four chapters:-First: nature, purpose and functions-second: Organization, secrecy and international cooperation-third: situation and property management-Fourth: Fees for the provision of services by the INAF chapter, comprising six articles, is divided into two sections; the first, relating to General provisions, governs the nature, the legal system and the headquarters of the INAF while the second includes the mission and objectives, and the functions and powers of the INAF. The second chapter, it is divided into four sections and fourteen articles and regulates the Organization, the duty of confidentiality and international cooperation of the INAF. The third chapter, consisting of seven articles, regulates the situation and management heritage of the INAF. And finally, the fourth chapter, consisting of eleven articles, regulates the framework related to the fees for the provision of services by the INAF.

Also part of the Act, a transitional provision repealing and seven final provisions.

For all the above, this law entails the repeal of the law 14/2003, of 23 October, of the Institut Nacional Andorrà de Finances; of article 45 of the law 14/2010, of the 13 of may of the legal regime of the banking entities and basic administrative regime of the operating entities of the financial system; the Decree of November 24, 2010 by approving the regulation carried out by the section 5 of article 45 of the law 14/2010; of article 53 of the law 10/2008 of 12 June, regulating collective investment bodies of Andorran law; the fourth additional provision of law 35/2010, of 3 June, licensing regime for the creation of new operational entities of the Andorran financial system and of article 22 of the law on regulation of solvency and liquidity criteria in financial institutions of 29 February 1996.

Chapter first. Nature, purpose and functions Section first. General provisions Article 1 nature and legal the Andorran National Institute of Finance (from now on, the INAF) is an entity of public law with its own heritage, its own legal personality and full capacity to act publicly and privately, independently of the general administration, to develop the functions which are assigned in accordance with the provisions of this law and in the law.

Article 2 headquarters the headquarters of the INAF is established in the territory of the Principality of Andorra.

Second section. Mission, objectives, functions and powers Article 3 mission and objectives 1. The INAF is the authority of the Andorran financial system.

2. The main objectives of the INAF are as follows: a) to promote and ensure the proper functioning of the Andorran financial system;

b) ensure safeguarding the stability and reputation of the Andorran financial system, promote confidence in and contribute to reduce the systemic risk derived from credit events of their own operating entities in the financial system and/or their counterparts;

c) to ensure an adequate protection of customers and investors.

d) to promote the competitiveness of the Andorran financial at national and international level;

e) contribute to reducing systemic risk arising from the instability of the markets in which they operate the operational entities of the Andorran financial system; and f) to perform the necessary actions that require the exercise of its functions.

3. The supervision carried out by the INAF has no aims to guarantee the individual interests of the entities supervised or supervised or its customers or third parties, but that the aim in the public interest.

4. The INAF exercises the supervision on a consolidated basis for operational entities of the financial system and, therefore, exercise the supervision over operating entities and the operational entities of the financial system, understood as all those groups of companies in which the parent company is an operational entity or has as main activity, the possession of shares in one or more operating entities of the financial system , and those groups where, including one or more operating entities in the financial system, the activity of these is the most important of the group.

5. In addition to the above, are also subject to the supervision of the INAF: a) the collective investment organizations (CROS);

b) financial markets located in Andorra or that operate in Andorra and that require or may require an authorization of the INAF to operate in Andorra.

6. The INAF also works as a competent authority or supervisor about other persons, physical or juridical, out of the financial system, in the framework of the exercise of the functions which are assigned in accordance with the legislation in force.

7. supervised entities is understood as entities, people and/or organizations mentioned in paragraphs 4 and 5. In addition, it is understood as a supervised supervised entities and other persons referred to in paragraph 6.


8. In the exercise of its functions, the INAF supervises and monitors companies to ensure compliance with, on the part of these, of the legislation and, in particular, with respect to the specific regulations of the sector, and act preemptively in finding evidence of wrongdoing on the part of its supervision.

Article 4 roles and responsibilities 1. The INAF, as an authority of the Andorran financial system, has attributed to the functions and powers entrusted this law as well as all other functions or responsibilities that might be entrusted with other legal provisions.

2. But not limited to, the INAF develops the following functions: a) issue, among others, press releases, technical papers and/or recommendations, in order to develop the regulations and the rules of instrumental techniques in relation to the exercise of banking activities and the activities of the operational entities of the financial system and any other activity when the legislation so allows. In the exercise of this function, the INAF can submit to the consideration of the agents of the financial sector, the relevant regulations and, in any case, take into account the following factors: and) that the cost of the regulation to be provided to the benefits of its implementation;

II) international standards in the field; and iii) the impact of their implementation in the competition, the ability of innovation and international competitiveness of the Andorran financial;

b) examine and resolve any application submitted to the INAF for obtaining a license or authorization to operate in the Andorran financial system in accordance with the legislation in force; and keep updated the records of the INAF;

c) as competent authority or supervisor on all entities supervised and on those persons, physical or juridical, out of the financial system that are or may be subject to the supervision of the INAF, in accordance with the legislation in force in order to ensure compliance with the regulations applicable to these people;

d) monitor on the basis of consolidated operating entities in the financial system and, accordingly, the operating entities of the financial system understood as all those groups of companies in which the parent company is an operating entity of the financial system or has as its main activity the possession of shares in one or more operating entities in the financial system, and those groups where , including one or more operating entities in the financial system, the activity of these is the most important of the Group;

e) exercise disciplinary powers and sanctions on supervised entities and on all persons, natural or legal, outside of the financial system on which the legislation confers this competence to the INAF;

f) examine and resolve requests for permission and/or registration of administrative acts in accordance with the legislation in force and keep updated the records of the INAF;

g) respond to and manage the claims of customers of the supervised entities presented in front of the INAF. When the analysis of the claim makes its a problem of reasonable supervision which may be beyond the claim of the individual client, the INAF can carry out specific controls within the framework of the supervision. The actions that the INAF carried out within the framework of prudential supervision cannot be shared with the client. The reports issued by the INAF in relation to complaints made by customers of supervised entities do not have focussed on nature with respect to the contractual responsibilities between the client and the company, stuff that is reserved for the jurisdictional courts;

h) perform the tasks associated with the representative of Andorra at the international level in relation to specific issues affecting the financial sector;

and) providing the services of the State Treasury and carry out the financial management of the public debt emissions of the Principality of Andorra upon resolution of the Government because it is;

j) collect deposits and the deposits made in application of the legislation and judicial decisions, and manage these funds all observing the principle of prudence appropriately;

k) issue at the request of Government reports and reports on legislation regarding the financial system and on other matters of the INAF and proposing, on its own initiative, measures likely to improve the Organization and regulation of the financial system;

the issues relating to Government policy advice) financial and economical at the request of the Ministry responsible for finance;

m) and studies relating to the financial system and statistics on all those matters of the INAF, in accordance with the legislation in force; and n) to establish and publish an annual report of activities of the INAF.

3. In the exercise of its functions, the INAF has competition for: a) information, including personal data, any natural or legal person;

b) require any person, physical or legal entities, the delivery of information in the period that it considers appropriate;

c) on-site inspections at supervised;

d) quote and statement to any person, physical or legal entities, and analyze the statements, as well as all written or verbal communications received and make an assessment of the facts;

e) require the supervised the provision of reports of independent experts, their auditors or its organs of internal control and compliance for the purpose of checking compliance with the legislation in force;

f) to hire external auditors independent or hiring other qualified experts in the subject matter of monitoring or analysis;

g) access to any information necessary for the exercise of its functions, in timely, after formulating the corresponding request to the appropriate official body in each case.

People who provide information to the INAF, in accordance with the provisions in the letters a), b), d) and g) should keep it secret.


4. In the exercise of these functions and competences and in accordance with the conditions laid down in this law or in the applicable legislation, authorises the INAF to cooperate, establish relationships and/or collaboration agreements with foreign agencies or authorities, competent in the field of regulation of the financial system, licensing and registration, supervision and/or control of supervision to ensure compliance with the legislation of the financial system , of the legislation relating to stock markets, derivatives and other financial instruments or other legislation that foresee, exchanging information, including personal data, and to collaborate in the framework of investigations, or inspections as long as they meet the requirements set out in paragraphs 1 to 3 of article 20.

5. For the proper exercise of its functions and respecting the legal powers of the parties, the INAF cooperates with Government and with other national bodies or authorities by providing assistance and exchanging confidential information as necessary. When the exchange of confidential information contains personal information, this may only be exchanged by the INAF with the judicial authority and/or with the competent national authority in the field of the fight against money laundering and the financing of terrorism. Likewise, the INAF may collaborate with the competent national authority in the field of fight against the laundering of capital and financing of terrorism within the framework of investigations, or inspections in the exercise of its functions.

6. Finally, in the exercise of its functions and powers, the INAF: a transparent, independent and autonomous acts);

b) takes into account the reality of the Andorran financial system and the potential impact of their decisions on the stability and reputation of the financial system;

c) takes into consideration the international standards in each subject;

d) strictly follows the rules of good corporate governance;

e) supervises the correct exercise of the responsibilities granted to the people who oversee the institutions;

f) use their resources efficiently; and g) facilitates innovation in matters relating to the activities monitored.

7. Without prejudice to the provisions provided for by law, the INAF can only use the confidential information obtained by virtue of the provisions of the present article in the exercise of their functions or in connection with the administrative or judicial proceedings specifically related to the exercise of those functions.

Article 5 Part of the INAF 1. In the exercise of its functions, the INAF establishes rules and technical standards, supplemented, if necessary, by guides and guidelines, through the issuance of press releases and technical papers.

2. The issuance of press releases, technical reserves in the establishment, by the INAF, of any technical standard, or standard instruments binding that may affect the supervised. All technical releases are published on the website of the INAF.

3. The issue of communications is used to make requests for specific information or any other communication of binding the INAF deems relevant to a subgroup of supervised entities or for all of these, or other supervised.

4. The information demands of props that must be required to monitored individually will be by letter addressed directly to these entities.

Article 6 retention of documentation the INAF has to establish appropriate procedures for the conservation of the information linked to the exercise of its functions in accordance with the policy for the conservation of the documentation and information approved by its Board of Directors.

Second chapter. Organization, secrecy and international cooperation Section first. Governing bodies and staff Article 7 governing bodies 1. The governing bodies of the INAF are the Board of Directors and the General management.

2. Can form part of the governing bodies of the INAF those committees who, both the Board of Directors as the director general delegate functions and that, at the discretion of the Board of Directors, have to be part of the governing bodies of the INAF.

Article 8 of contract staff Regime 1. The professional relationship between each employee of the INAF and INAF is governed by private contract signed between both parties.

2. The director-general of the INAF fixes the conditions and the formalities of the contract in accordance with the policies of personnel management and remuneration approved by the Board of Directors of the INAF.

3. Without prejudice to the provisions of the private contract mentioned in point 1, the staff of the INAF is governed by internal regulations of the personnel and it must comply at all times with the conditions laid down by law and regulations as well as the code of ethics and conduct of the INAF.

Article 9 liability of the Government organs of the INAF and of its staff 1. The Board of Directors of the INAF, the Directorate-General and his staff must comply at all times with the legal provisions and regulations that define and applying to the exercise of its functions.

2. Any member of the INAF, understood as a member of its Board of Directors, the General Directorate and its staff, is responsible for the execution of the functions which are entrusted and collaborate with the other members of the INAF, with the aim of providing a proper service, optimizing resources and the processes used.

3. the members of the governing bodies of the INAF and his staff only have tort liability in the exercise of their functions in the case of damages caused by actions or omissions, produced with grief or caused by gross negligence, which are directly attributable under the terms of the articles 58 to 64 of the code of the administration of 29 March 1989.

Second section. The Board of Directors Article 10 composition, appointment, duration and remuneration 1. The Board of Directors is made up of four to six members, including a president, a Vice-President and two to four members.

2. The director-general of the INAF is part of Office of the Board of Directors, with voice but without vote.

3. The Board of Directors appoints, from among the staff of the Institute, a Secretary who assists in its meetings.


4. The president, the Vice President and all the members of the Board of Directors are appointed by the General Council, at the proposal of the Government, presented by the Minister in charge of finance, with the favourable vote of two-thirds of its members in first ballot.

5. If in the first ballot the required majority is not achieved in the previous section, within a period not exceeding seventy-two hours, will be elected the candidates who, in a second vote, obtained the favourable vote of the simple majority of the General Council.

6. To be named, all members of the Board of Directors of the INAF lend an oath or promise under the Presidency of general Ombudsman.

7. The posts of president, Vice President and member of the Board of Directors have a duration of six years. The same person may be appointed as a member of the Board of Directors of the INAF at most for two ongoing mandates or three alternate way mandates.

8. The processes of choice and of renewal of the members of the Board of Directors of the INAF must ensure that it will not modify more than half of the members in the same year. Likewise, in the event that you consider the re-election of a person who has already played this role, it has to carry out the process of choice in accordance with the provisions of sections 4 and 5 and, in all cases, ensure that they continue to fulfil the requirements set forth in the following article.

9. In the event that a vacancy occurs in the Board of Directors, we proceed to the appointment of his replacement as soon as possible. The duration of the mandate of the new Member will be appointed in exceptional cases a period of less than six years and shall be responsible for the remaining period of the Member's mandate to fulfill pending causing the vacancy.

10. The salaries of the president, the Vice-President and of the members of the Board of Directors are fixed by the Government at the proposal of the Minister responsible for finance.

11. The Board of Directors may constitute all those committees that it considers necessary for the proper exercise of its functions. Each of these committees shall be composed of, at least, two members of the Board of Directors of which will have to preside over the Committee.

Article 11 and incompatibilities Requirements 1. The president, the Vice-President and the members of the Board of directors should be persons of good repute with appropriate professional knowledge recognized business and to exercise the functions inherent in the Office and with adequate professional experience.

2. It is considered that they are people of recognized good repute and professional business that have a good personal and professional reputation, people the public image of which corresponds to that of good administrators and, in a specific way that: a) do not have a criminal record for crimes of forgery, of infidelity in the custody of documents and violation of secrets, of waste of public key , of discovery and revelation of secrets or offences against patrimony;

b) have no criminal record for other malicious crimes;

c) are not or have been disabled to exercise public office or their directors or Director on operational entities of the financial system in Andorra or abroad;

d) are not or have been declared bankrupt or in a situation of legal arrangement, and if they have been, have been legally rehabilitated.

3. It is considered that they have appropriate professional experience people who have played normally for a period equal to or greater than five years some of the charges or the following responsibilities: a) functions, administration of management or control in organisms or entities of supervision;

b) functions, administration, management, control and audit advice on banks or supervised entities of significant size;

c) functions of similar responsibility in the previous two in other private entities or public administration; or d) functions for the analysis, development and/or implementation of economic and financial policy.

4. The members of the Board of Directors of the INAF should be preferably of Andorran nationality; exceptionally, but will be able to resort to Andorran not personalities, by reason of their competence, knowledge and experience in the field. In any case, the majority of members of the Board of Directors must have Andorran nationality and the posts of president and vice president must be represented by a person of Andorran nationality.

5. The members of the Board of Directors must be independent of the entities included in the scope of activity of the INAF and not to participate in the decision-making process of these. In this regard, the members of the Board of Directors may not hold any employment relationship, professional or business, either directly or indirectly, with the entities included in the scope of activity of the INAF.

6. Thus, in the exercise of their functions as members of the Board of Directors of the INAF, each of the members can not get into conflicts of interest in relation to any entity that oversees the INAF and, in particular, those which may arise as a result of their particular professional activity.

7. The posts of president, Vice-President or member of the Board of Directors are incompatible with: a) the membership of the General Council;

b) any other public function or provided to the service of the Administration, whether by choice, or by civil service appointment or contract;

c) any function or Office, Manager or Executive, in political parties or entities that develop, in Andorran territory or abroad, activities equivalent to those supervised by the INAF; and d) any activity that could jeopardize the independence and impartiality in the exercise of the Office.

8. After the cessation or separation from their offices and during the subsequent year, the members of the Board of Directors may not exercise any professional activity related to the activities and/or entities supervised by the INAF, except for teaching and research.

Article 12 Termination and separation 1. The president, the Vice-President and the members of the Board of Directors are constant in the charge for any of the following reasons: a) to end of the period for which they were appointed;

b) by resignation, presented in writing in front of whom he appointed;

c) to death;

d) for disability declared by judicial decision;

e) to conviction for the Commission of a crime of the referred to in the previous article; or f) for unjustified absence at meetings of the Board of Directors more than twice in a calendar year;


g) to arrive at the age of 76 years.

2. The General Council, at the proposal of the Government, may cease or separate the president, the Vice President or the members of the Board of Directors in the event that no longer meet the requirements for the exercise of the Office, to incur in any incompatibility or coping with a serious breach of the obligations of the commit charge.

Article 13 Operation 1. The Board of Directors may be called by the president, by the Vice President, by the director general of the INAF or by at least two members.

2. The Board of Directors shall meet at least once every three months.

3. The Board of Directors is validly constituted when attend at least two-thirds of the members. The agreements are adopted by a majority of the members present and, in case of a tie, the vote of the president is ruling.

4. The assistance to the Board of Directors can be in person or by using electronic or telematic means of distance communication, once verified and guaranteed the identity of the Member.

5. Saved a cause duly justified, the members of the Board of Directors have a duty to participate in all the meetings regularly convened and remain bound to respect the secrecy of the deliberations.

6. In the event that a member has a conflict of interest in the resolution of any of the issues dealt with in the framework of the meetings will have to abstain from the vote and voice in connection with the issue.

7. The Vice President shall replace the president in all cases of absence, illness or vacant.

8. Will be able to attend the meetings of the Board of Directors, with voice but without vote, other people when the majority of members it deemed appropriate in view of the importance of the matters treated in the Board of Directors.

9. The Board of Directors, when the majority of members it deemed appropriate in view of the importance of the matters to be discussed in the Board of Directors, you can hire the services of specialised external advice.

10. The Board of Directors must provide an internal regulation that will have to be approved by all of its members.

11. The Secretary, with the approval of the president, minuted of all meetings, appointments and decisions of the Board of Directors which must sign the president and the Secretary. The certification of the resolutions of the Board of Directors are delivered by the Secretary with the approval of the president.

Article 14 Competencies Are competencies of the Board of Directors: 1. approve anyalment, at the proposal of the director general, the strategic objectives and the General guidelines of the INAF; and monitor their achievement;

2. to approve, on the proposal of the director general, the budget proposal of the INAF before send it to the Government for its processing to the General Council for approval;

3. to approve, on the proposal of the director general, the organic structure of the INAF and assign roles and responsibilities; as well as, the structure and the composition of the governing bodies of the INAF;

4. to approve, on the proposal of the director general, the levels of authorization and powers to grant investment commitments and/or expense as well as to make payments in name and on behalf of the INAF;

5. approve, on the proposal of the director general, the annual accounts of the INAF, including the proposal for the implementation of the outcome of the exercise and the proposed liquidation budget of the INAF;

6. approve, on the proposal of the director general, the proposed annual report of activities of the INAF;

7. approve, on the proposal of the director general, the appointment of the directors of the INAF;

8. approve, on the proposal of the director general, personnel management policies and remuneration, as well as the internal rules of the personnel of the INAF and its code of ethics and conduct;

9. approve the internal rules of the Board of Directors;

10. approve the proposed regulations that, because of its relevance, may be presented by the director general;

11. approve, on the proposal of the director general, the precautionary measures that have been applied to the operating entities of the financial system or its organs of management and administration, including the proposed replacement of administrators of supervised entities;

12. approve, on the proposal of the director general, the resolution of files incoats and the imposition of appropriate disciplinary sanctions;

13. approve, on the proposal of the director general, the revision of the rate of supervision and/or the benefits to which they have to face the operational entities of the financial system;

14. to approve, on the proposal of the director general, bilateral or multilateral agreements for cooperation with other competent authorities in the area of regulation, authorization, registration, supervision and/or control with powers equivalent to those attributed to the INAF by law;

15. approve, on the proposal of the director general, requests for prior authorization the following: a) creation or of new operational entities of the Andorran financial system;

b) changes in the shareholding of an operational entity of the Andorran financial system when you imply that some of the shareholders reach, increase or reduce a qualified participation or which, irrespective of their participation, to attain representation to the Board of Directors of the entity;

c) issuance of bonds or other titles of non-bank credit that recognize or create a subordinate liabilities on the part of the operating entity of the financial system or of an entity controlled, directly or indirectly, to this, whenever these issues are significant in relation to the structure of financing of the supervised entity;

d) creation and/or acquisition of entities, with the vocation of permanence and with qualified participation as well as opening of overseas branches or representative offices on the part of the operational entities of the financial system, including the acquisitions of shareholdings, direct or indirect, involving the achievement of a qualified participation;

e) processes of liquidation and/or dissolution of entities operating in the financial system;

f) any relevant changes that may occur in the operating entities of the Andorran financial system or its subsidiaries, provided that they are controlled by these entities, in connection with the authorization granted by the INAF and/or the appropriate foreign supervisory authority;


16. to approve, on the proposal of the director general, all acts and/or requests related to supervised entities or other decisions that the INAF has taken in the exercise of their functions, at the discretion of the director general, for their importance, they have to be authorised by the Board of Directors.

The third section. The Directorate General Article 15 composition, appointment, duration and remuneration 1. The General direction is formed by the general manager and up to four directors who exercise the supervision of a specialized area in accordance with the organic structure of the INAF.

2. The director-general of the INAF is appointed by the Government on the proposal of the Board of Directors of the INAF.

3. The duration of the post of director-general is of six years, renewable indefinitely.

4. The directors are appointed by the Board of Directors of the INAF, at the proposal of the director general, preferably from among the staff of the INAF.

5. In case of absence of the director general, by reason of illness, vacation, labour movements, due to force majeure or other causes, and when the director general is delegated, the competition to replace the director general will be attributed to one of the directors, up to a maximum period of one year.

6. in case of removal of the general manager or in the event that this is separate from the Office, the Board of Directors must appoint a director-general acting.

7. The remuneration and other conditions of the employment contract of the director general are set by the Government.

8. The remuneration and other conditions of the employment contract of the directors are set by the director general, in accordance with the policies of people management and compensation approved by the Board of Directors.

Article 16 incompatibilities and Requirements 1. The people who are part of the General direction should be persons of recognised good repute and professional, must have the suitable knowledge to exercise the duties inherent in the position and a suitable professional experience.

2. It is considered that they are people of recognized good repute and professional business that have a good personal and professional reputation, people the public image of which corresponds to that of good administrators and, in a specific way that: a) do not have a criminal record for crimes of forgery, of infidelity in the custody of documents and violation of secrets, of waste of public key , of discovery and revelation of secrets or offences against patrimony;

b) have no criminal record for other malicious crimes;

c) are not or have been disabled to exercise public office or their directors or Director on operational entities of the financial system in Andorra or abroad;

d) are not or have been declared bankrupt or in a situation of legal arrangement, and if they have been, have been legally rehabilitated.

3. It is believed to have suitable knowledge of the people who have a university degree in economics, finance or business administration and management, or those who have another university degree and, in addition, specialized training of competent in economics, finance, management and administration of companies or banking and financial law.

4. It is considered that they have appropriate professional experience, people who have a professional experience of more than ten years and have worked normally for a period equal to or greater than five years high charges or responsibilities of Directors, direction or control in organisms or entities of supervision, in the area of banking and financial institutions, audit or or advice to entities in the banking field and/or financial or in public administration.

5. The director-general and the majority of the members of the Directorate-General should be the Andorran nationality.

6. The members of the Directorate-General must be independent of the entities included in the scope of activity of the INAF and not to participate in the decision-making process of these. In this sense, the members of the Directorate General can not keep any financial, commercial, labour relationship or otherwise, either directly or indirectly, with the entities included in the scope of activity of the INAF, on the basis of which the Board of Directors may reach the conclusion that the independence is compromised. If the independence of the members of the Directorate General will see compromised by any factor, the affected Member has the obligation to establish the safeguards necessary to reduce these factors and to avoid compromising their independence. In the event that the safeguards will not adequately reduce the factors that compromise their independence, it is also subject to decision of the Board of Directors resolution of this situation.

7. The director general and the directors of the INAF should exercise care with exclusive dedication and, consequently, is incompatible with the exercise of any other public or private remunerated activity, profession, or.

Article 17 Termination and separation 1. The director general and the directors of the INAF are constant in the charge for any of the following reasons: a) to end of the period for which they were appointed;

b) by resignation, presented in writing in front of whom he appointed;

c) to reach the age of 70 years;

d) to death;

e) incapacity declared by judicial decision; or f) to conviction for the Commission of a crime of the referred to in the previous article.

2. The Government may cease or separate the ceo in the event that leave to meet the necessary requirements for the exercise of the Office, incur any incompatibility or coping with a serious breach of the obligations of the commit charge.

3. The Board of Directors, at the proposal of the director general, may cease or separate a Director in case you leave to meet the necessary requirements for the exercise of the Office, incur any incompatibility or coping with a serious breach of the obligations of the commit charge.

4. In the event of dismissal or separation of a Director, this retrieves the position prior to his appointment within the organic structure of the INAF, notwithstanding that the employment relationship can be resolved if the causes of the termination so justify.

5. After the cessation or separation from Office and later during the year, the director-general may not exercise any professional activity related to the activities and/or entities supervised by the INAF, except for teaching and research.


6. After the cessation or separation from their offices and later during the year, the directors cannot exercise any professional activity in private agencies or entities related to the activities and/or entities supervised by the INAF, except for teaching and research.

Article 18 Competencies 1. The Directorate General prepares measures and takes the decisions required for the fulfillment of the mission, objectives, functions and powers of the INAF, in accordance with the provisions of articles 3 and 4.

2. The Directorate-General is responsible for the reports and proposals that, in accordance with their powers, must submit to the Board of directors or to the Government.

3. the competences of the General direction, but not limited to, the following: a) to draw up the annual proposal of strategic objectives and general guidelines of the INAF;

b) elaborate the proposal annual planning of each of the specialized areas in which it is structured organically the INAF;

c) prepare the annual budget proposal of the INAF;

to prepare the annual accounts proposal) the INAF, including the proposal for the implementation of the outcome of the exercise and the proposed liquidation budget of the INAF;

e) elaborate the proposed annual report of activities of the INAF;

f) formulate technical releases and communications binding for supervised;

g) formulate recommendations, warnings and requirements for supervision and their governing bodies and to prevent and/or correct practices or conditions which, at the discretion of the INAF, could represent a material risk to the financial group and/or for the financial system in general;

h) to carry out the supervision on a consolidated basis of the Andorran financial groups and entities subject to its control in accordance with the legislation in force;

and in situ inspections monitored) to when deemed necessary in the exercise of its functions and to inform the Board of Directors;

j) require the supervised the provision of reports of independent experts, their auditors or its organs of internal control and compliance for the purpose of checking compliance with the legislation in force;

k) require any person, physical or legal entities, in the exercise of the functions of the INAF, the delivery of information in the period that it considers appropriate;

l) collaborate with competent authorities in the area of regulation, authorization, registration, supervision and/or control with powers equivalent to those attributed to the INAF by the legislation in accordance with the provisions of article 20;

m) manage the negotiations required for the signing of bilateral or multilateral agreements for cooperation with other competent authorities in the area of regulation, authorization, registration, supervision and/or control with powers equivalent to those attributed to the INAF by law; and n) address the claims of customers of the supervised entities made in front of the INAF.

4. the competences of the general director, but not limited to, the following: a) to manage and organize technically the INAF;

b) hire and fire the staff of the INAF;

c) submit to the Board of Directors for their approval all the proposals in accordance with the provisions of article 14;

d) execute the resolutions passed by the Board of Directors;

e) exercise the legal representation of the INAF both judicial and extrajudicial. and f) and instruct the sanctioning; inform the Board of Directors with the utmost urgency at the start of a sanctioning procedure as well as of the relevant facts of your instruction.

Section four. Duty of confidentiality and international cooperation Article 19 Duty of confidentiality 1. The members of the governing bodies of the INAF, his staff as well as all the people who play or have played a role in the INAF, including external auditors or other experts who are hired by the INAF, have a duty to keep confidentiality with respect to all information obtained in the framework of his mandate, in the exercise of their functions and their professional activities in anif even after its termination or their separation.

2. Violation of this duty of confidentiality is constitutes a crime in the terms envisaged in the criminal code, with the exception of cases in which the disclosure of this information is authorized or imposed by a legal provision in force.

3. This duty of confidentiality implies that, without prejudice to the legal provisions relating to the supervision, the confidential information that these people received in the exercise of its functions and of their professional activities to the INAF may not be divulged to third parties or to authorities, except that they are divulged in a summarized or aggregated so that the supervised entities cannot be identified , without prejudice to the criminal cases.

4. The provisions of the previous sections does not apply to information exchanges carried out by the members of the governing bodies and the staff of the INAF in the framework of the provisions of this article and in articles 4 and 20 or in the event that the current legislation are authorised or requires them to disclose certain information and, in particular, in the framework of the supervision and/or control of supervision to ensure compliance with the legislation of the financial system , of the legislation relating to stock markets, derivatives and other financial instruments or other legislation that sets out to do so. At the same time, it also applies to the information delivered on the part of those people who have played a role in the JURISDICTION or have been contracted for this, when these are required for the criminal judicial authority or in the context of an appeal against a decision taken in the carrying out of its functions to the INAF. In these cases, before handing any information, it shall inform in writing the General direction of the INAF. In addition, in the event that the information to deliver has been obtained from other authorities or official bodies, national or foreign, in the framework of the cooperation between these authorities or bodies and the INAF, the information may not be provided in any case without the prior written consent obtained JURISDICTION of these authorities or organizations, except when the information is required by a criminal court.


5. In all cases in which a specific law that regulates the functions and powers of the INAF does not authorise the INAF explicitly to reveal confidential information, the reception, the Exchange and transmission of confidential information by the INAF in authorities or national agencies with powers granted to the equivalent or complementary to the INAF, is authorized when the purpose is to ensure the protection of depositors , investor and/or for the stability of the financial system.

6. regulated information transmissions to the present article and in the article below does not involve nor do they constitute a violation of the duty of confidentiality, secrecy in the work environment and the professional secrecy, nor any kind of legal liability, nor conculquen the restrictions on disclosure of information to which they are subjected and entities the INAF in accordance with current legislation.

Article 20 international cooperation 1. In the practice of international cooperation that is attributed to the INAF by this law, the INAF cooperates, established relationships and/or collaboration agreements with international agencies or foreign authorities have attributed functions and competencies in the field of regulation of the financial system, licensing and registration, supervision and/or control of supervision to ensure compliance with the legislation of the financial system , of the legislation relating to stock markets, derivatives and other financial instruments or other legislation that foresee, equivalent to those attributed to the INAF by law. In this sense and in accordance with the provisions of article 4, the INAF collaborates providing assistance and exchanging information with these foreign agencies or authorities as long as they give comply with the following provisions: a) the cooperation, assistance and/or the exchange of information is based on the principles of reciprocity and confidentiality;

b) authority or body the applicant agree to respond to requests made by the INAF which are characteristics equivalent to those requested by the authority or body in the JURISDICTION;

c) the information delivered are subject to secrecy in the work environment and/or professional secrecy of the authority or body that receives and these authorities or agencies that receive the information of the INAF are subject to rules of confidentiality, secrecy in the work environment and of professional secrecy, at least equivalent to those to which it is subjected the INAF;

of) the information delivered is necessary for the attainment of the functions of the authority or agency that receives;

e) the information provided by the INAF can only be used by the authority or body that receives with the purpose for which this information has been communicated and this authority or agency should be able to ensure that no other use will be made;

f) when confidential information requested have been obtained by the INAF of other authorities or national or foreign, these confidential information may not be provided by the applicant organisation or authority in ITS JURISDICTION without the prior written consent of the authority or a national body or alien that had provided in the first instance to the INAF and, when appropriate, the INAF may only exchange information in accordance with the limitations established by the authority or a national body or abroad of which the INAF He had obtained the information initially;

g) that the request is made in writing and include specifically the information requested and the explanation that justifies its relevance and, in addition, the following: i) a description of the facts and of the reasons and purposes for which information is requested and/or the assistance;

II) a description of the alleged infringement committed, if it is the case.

2. each request for information or assistance received by the INAF is the subject of an analysis to determine whether this request given compliance with the requirements set out in this article. In the event that the INAF considers that the request of information comply with these requirements, proceed to make the necessary arrangements for obtaining the required information and submit to the authority or body the applicant. In the event that the conclusion that the JURISDICTION request for information does not proceed or does not comply with these requirements, it informs the applicant authority or body.

3. Any request for information or assistance received by the INAF an authority or body in the terms provided for in this article must be rejected when: a) the exchange of information and/or assistance can lead to prejudice to the sovereignty, or the security or to the public order of Andorra;

b) has commenced a judicial procedure on the basis of the same facts and the same people in front of the Andorran courts; or c) has been won a final court decision on the same facts and the same people in front of the Andorran courts.

In the cases mentioned in the letters b) and (c)), the INAF notifies the authority or body the applicant more detailed information as possible about the procedure or court in question.

4. The agreements of cooperation and collaboration between the competent authorities in the area of JURISDICTION and other foreign supervision on a consolidated basis shall establish the form and the terms in which they must be supervised financial institutions, subsidiaries of a parent company established in one of the countries signatories of the agreement.

5. In the framework of supervision on a consolidated basis carried out by the INAF and other foreign authorities competent in the field of supervision and, as long as the cooperation agreement signed between the parties I behold, in addition to cooperation in the exchange of information related to the supervised entities, can be given the following cases of application of assistance: a) the INAF ask a foreign authority to perform an on-site inspection or an investigation in his territory with the participation of its staff. Likewise, you can ask that personnel of the INAF accompany this authority on the on-site inspection or investigation;


b) that a foreign authority responsible for monitoring request to the INAF, which carried out an on-site inspection or an investigation in Andorra. The INAF gives their consent as long as it does not occur in any of the events listed later in this section. Likewise, the INAF can allow the staff of the INAF is accompanied by staff of the applicant authority. However, the on-site inspection or the research is entirely under the control of the INAF.

The information obtained in the framework of the on-site inspections or investigations is subject to the rules of confidentiality, secrecy in the work environment and of professional secrecy to which it is subject the INAF and may not be disclosed by the foreign supervisor authority nor used for other purposes than those of supervision of the entity object of on-site inspection or investigation.

6. The Andorran foreign subsidiaries of matrices in the countries with which the INAF has established a cooperation agreement in the field of supervision should be sent to their parent the information necessary for the management of its risks as well as all the required by part of its supervisory body.

Third chapter. Property management equity situation and Article 21 1. Own funds are formed by the capital of the 12,020,242.09 prize of euros placed at the disposal of the INAF by Government to be created and for bookings with a charge to the positive results obtained from their creation.

2. In the event that the INAF generate positive results, these will be applied to the setting up of a book that can only be used for the coverage of possible losses of the INAF.

3. In case of liquidation of the INAF, the totality of their wealth corresponds to the general administration.

Article 22 Budget 1. The Directorate General prepares the budget proposal of operation and investments of the INAF.

2. The director-general presented the budget proposal of the INAF in the Board of Directors for approval.

3. The director general shall send the budget of the INAF approved by the Board of Directors at the Ministry in charge of finances with sufficiently in advance so that it can be integrated into a specific section of the general budget bill to be submitted to the General Council for approval.

4. The Government cannot modify this budget proposal, and observations you can make, will be considered by the Board of Directors of the INAF, which, if necessary, the will take into account and made a new budget proposal.

5. The budget of the INAF is subject to the general law of public finance and the concordant provisions and deployment.

Article 23 Finance 1. The INAF is financed with the income derived from the exploitation of its heritage, the revenue derived from the collection of fees or contributions within the framework of the exercise of its functions and, if necessary, by means of subsidies contained in the budget of the general administration of the State.

2. INAF perceives in rates of authorization of creation of operational entities of the financial system, rates of supervision of the supervised entities; as well as other charges relating to the requests addressed to the INAF by entities supervised in accordance with the requirements established by legislation; all of them are included in the fourth chapter of this law.

3. Additionally, the INAF can perceive benefit in relation to the requests that are addressed by the supervised entities not described in paragraph (2); and finally, the INAF can also receive benefits in connection with the provision of other services that may be made in the framework of its functions, inter alia, the provision of training services on issues related to the financial sector.

4. The determination of the level of the fees and of the provisions set out in sections 2 and 3 are directly related to the costs to which he has to deal with the INAF to develop successfully and efficiently the functions that are assigned to it by the legislation.

Article 24 management and Administration 1. The INAF administers its own resources with total independence from the Government, while respecting the principles of efficiency, effectiveness and prudence, and pricing in each case the circumstances of financial markets.

2. INAF can buy and sell goods and real estate shares and conclude contracts for services that are necessary to the achievement of its goals.

3. In the article 1 of the law on public procurement, dated 9 November 2000, this may not be applicable to the INAF in the following cases: a) disabled or undesirability of promoting competition in the offer;

b) recognised urgency that required the rapid provision of goods or services;

c) need for additional deliveries made by the lender of the supply or service, when the provider change implies to acquire a technical material and/or a different service that involves disproportionate technical difficulties and incompatibilities in the conditions of use or maintenance;

of technical specificity of the product) or the need for measures of confidentiality of the service.

In these cases, the director-general of the INAF can propose to the Board of Directors of the INAF the use of direct contracting and that body can proceed to the approval of this type of contract.

Article 25 tax Regime will exempt the INAF payment of any kind of tax, with the exception of Indirect Tax (IGI).

Article 26 formulation and approval of the annual accounts and budget clearance 1. The General direction has been drafting the proposal of the annual accounts and the liquidation budget of the INAF, in accordance with the legislation, carrying out the necessary adaptations in accordance with the characteristics and the nature of their activities. The proposal of the annual accounts must include the proposal of applying the results of the exercise.

2. The director-general must submit the proposal of the annual accounts, including the proposal for the implementation of the outcome of the exercise and the proposed liquidation budget of the INAF, in the Board of Directors for their formulation and approval within a maximum period of three months from the date of closing of the exercise.

3. The Board of Directors may submit the annual accounts of the INAF in an audit of accounts.


4. Once you have approved the settlement budget and the annual accounts of the INAF and its proposal to apply the result of the exercise by the Board of Directors, the director-general are relayed to the Ministry in charge of finances for the submitted to the General Council.

Financial Control and accounting article 27 1. The INAF is subject to financial control in accordance with the provisions of the general law on public finance and the adaptations necessary for the exercise of their activity.

2. INAF is subject to external audit by the Court of Auditors. This audit does not imply any interference on the part of the Court of accounts in the administrative powers of the INAF.

The fourth chapter. Fees for the provision of services by the INAF Article 28 authorisation Fee for the creation of a new operating entity of the financial system in Andorra 1. Establishing a licensing fee for the creation of a new operational entity of the Andorran financial system depending on the type of each entity.

2. The facts of generators this rate are the study, assessment and resolution of the request for authorisation for the creation of a new operational entity of the Andorran financial system.

3. The tax required of this tax is the person, natural or legal, which began a process of request for authorisation for the creation of a new operational entity of the Andorran financial system.

4. Is responsible for solidarity tax debt of this fee the person on behalf of which the authorization is requested.

5. The tax share is determined by a fixed amount according to the type of entity, in accordance with the provisions below: type of entity tax Fee of the creation Rate banks 30,000 euros-non-banking Entities specialised credit 10,000 euros 12,000 euros investment financial Companies Financial Agencies of 8,000 euros investment asset management companies 6,000 euros Euro 2,000 financial advisors management companies of collective investment institutions 6,000 euros 6. Accrual basis and exigibilitat: this fee is payable at the time in which it requests the authorization of creation of an operating entity of the financial system and must be paid at the INAF in the moment in which we present this request. The INAF not begins the process of study, assessment and resolution of this application for authorisation as long as they do not have received the corresponding payment.

7. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of persons, physical or juridical, affected.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 29 Licensing Fee for the creation and/or modification of an organism of collective investment (CROS) Andorran law 1. Establishing a licensing fee for the creation and/or modification of a CROS Andorran law.

2. The facts of generators this rate are the study, assessment and resolution of the request for authorisation for the creation and/or modification of a CROS Andorran law.

3. The tax required of this fee is the supervised entity that submits the application for the creation and/or modification of a CROS Andorran law.

4. The tax share is determined by a fixed amount according to the typology of the administrative act subject to the request for authorisation, in accordance with the provisions below: concept of tax Fee rate the rate of creation and/or modification to create OICVM without compartments 2,000 euros creating OICVM with compartments € 2,000 + € 800 for a compartment compartment OICVM 800 euros creating other CROS without compartments 2,500 euros creating other CROS with compartments 2,500 euros + 1,000 euros per the creation of an other compartment compartment CROS 1,000 euros creation of self-managed SICAV 4,000 euros creating a self-managed SICAV euro 800 sharing corporate operations 700 euros modification of CROS 0-600 euros 5. The INAF is enabled to establish, by means of technical release, the tax fee corresponding to the study, assessment and resolution of a request for authorisation of modification of a CROS Andorran law in order to establish the payment of this tax rate determined by a fixed amount of the range established in the previous point.

6. Accrual basis and exigibilitat: this fee is payable at the time when authorisation is requested for the creation and/or modification of a CROS Andorran law and must be paid at the INAF in the moment in which we present this request. The INAF not begins the process of study, assessment and resolution of this request as long as they do not have received the corresponding payment.

7. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 30 application fee for the creation, termination and/or modification of an organism of collective investment (CROS) Andorran law 1. Establishes a registration fee for the creation, termination and/or modification of a CROS Andorran law.

2. The facts of generators this rate are the study, assessment and resolution of the request for registration for the creation, termination and/or modification of a CROS Andorran law.

3. The tax required of this fee is the supervised entity that presents the application form for the creation, termination and/or modification of a CROS Andorran law.

4. The tax share is determined by a fixed amount according to the typology of the administrative act subject to the request for registration, in accordance with the provisions below: concept of tax Fee rate of the fee for registration registration of the creation of OICVM and other CROS 500 euros the registration of OICVM and other CROS 1,000 euros of registration a compartments of OICVM or other CROS 600 euros registration of the creation of self-managed SICAV 500 euros


Registration of corporate operations 300 euros Registration modification of CROS 0-600 euros 5. The INAF is enabled to establish, by means of technical release, the tax fee corresponding to the study, assessment and resolution of a request for authorisation of modification of a CROS Andorran law in order to establish the payment of this tax rate determined by a fixed amount of the range established in the previous point.

6. Accrual basis and exigibilitat: this fee is payable at the time they apply for the registration of the creation, and/or modification of a CROS Andorran law and must be paid at the INAF in the moment in which we present this request. The INAF not begins the process of study, assessment and resolution of this request as long as they do not have received the corresponding payment.

7. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 31 of the high registration rate for the distribution in Andorra a collective investment organism (CROS) of foreign law 1. Establishing a high registration rate for the distribution in Andorra a CROS of foreign law.

2. The facts of generators this rate are the study, assessment and resolution of the request for registration for the distribution in Andorra a CROS of foreign law.

3. The tax required of this fee is the supervised entity that presents the application form for the distribution in Andorra a CROS of foreign law.

4. The tax share is set at a fixed amount of 600 euros.

5. Accrual basis and exigibilitat: this fee is payable at the time when registration is requested for distribution in Andorra a CROS of foreign law and must be paid at the INAF in the moment in which we present this request. The INAF not begins the process of study, assessment and resolution of this request as long as they do not have received the corresponding payment.

6. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 32 annual rate of supervision of the Andorran banking entities 1. Establishes an annual rate of supervision of the Andorran banking entities, depending on the individual balance sheet total of the supervision on the basis of established and the number and type of foreign subsidiaries or foreign subsidiaries of each bank.

2. The fact of this fee is the provision of the service of supervision and control on the part of the INAF.

3. The forced this tax rate is the Andorran Bank supervised.

4. The tax share is determined by a fixed amount that is composed by: a) the rate of individual supervision of each bank, which is determined based on the total of the individual balance sheet of the company, which for the year N is established on the basis of its audited consolidated financial statements at 31 December of the year N-1, in accordance with the following scale- Total individual tax Fee balance: the annual rate of supervision and less than or equal to 500 million euros 30,000 euros higher than 500 and less than or equal to 50,000 Euro 1,000 million euros higher than 1,000 and less than or equal to 3,000 million euros 90,000 euros higher than 3,000 million euros 120,000 euros b) the rate of additional supervision of 15,000 euros for all banking institutions subject to supervision on consolidated basis of the INAF , if applicable; and (c)) the rate of supplementary supervision for the supervision on the basis of consolidated for all subsidiaries of banks that are under the supervision of a foreign bank, financial supervision authority or insurance, in accordance with the provisions below: type of affiliates or subsidiary tax Fee of the annual rate of supervision for each foreign bank subsidiary included in the scope of consolidated supervision 12,000 euros for each foreign subsidiary Bank active in compress not supervised the scope of the consolidated supervision 6,000 euros for each branch of an entity-dependent system operations 9,000 euros for each representative office dependent on a system operating entity 1,000 euros 5. Accrual and liquidation: this rate is perceived, at the latest, on 30 April of the current year or at the start of the activity in the event of a newly created entity. If the start of activity does not coincide with the beginning of the calendar year, the fee is paid in proportion to the period of activity of the current year. The obligation to satisfy this rate takes the root end of the entity.

6. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 33 annual rate of financial institutions supervision of Andorran investment 1. Establishes an annual rate of supervision of financial institutions in accordance with the investment services, auxiliary services and complementary activities allowed and exercised real and effective way.

2. The fact of this fee is the provision of the service of supervision and control on the part of the INAF.

3. The tax rate required for this is the financial institution of Andorran investment supervised.

4. The tax share is determined by a fixed amount established in accordance with the investment services, auxiliary services and complementary activities allowed and exercised real and effective manner in accordance with the provisions below: types of services tax Fee of the annual rate of investment services supervision


a) reception and transmission of orders of the clients in relation to one or more financial instruments 500 euros b) the execution on behalf of customers of the orders mentioned in the letter a) above, which consists of the formalization of business purchase or sale of one or more financial instruments € 1,000 c) trading for own account which consists of the formalization of operations on one or more financial instruments € 1,000) 1) discretionary management and customised portfolios in accordance with the mandate given by the customers of 2,000 euros) 2) the discretional, individualised management of portfolios in accordance with the mandate given by customers exclusively in the form of indirect management 1,200 euros e) advising on matters of investment that consists of providing personalized recommendations to clients, upon request or on the initiative of the financial investment entity , on one or more transactions relating to financial instruments 500 euros f) ensuring the broadcast or the placing of financial instruments € 1,000 g) the placing of financial instruments based on, or not, of a firm commitment to Euro 1,000 h) multilateral trading systems management service € 2,000 auxiliary services to) the Administration and custody of financial instruments on behalf of customers , including the custody and related services such as cash management and guarantees 2,000 euros b) granting credits or loans to an investor to allow him an operation in one or more financial instruments, when the investment bank that granted the credit or loan is involved in the operation € 1,000 c) the advice to companies in terms of capital structure , industrial strategy and related questions and advice and services relating to mergers and acquisitions of companies of 500 euro) currency exchange services when they are related to the provision of investment services 500 euros e) reports of investments and financial analysis or other forms of general recommendation relating to transactions in financial instruments 500 euros f) services related to the quality assurance of the issue or the placing of financial instruments € 1,000 g) services and the activities of investment, and complementary services referring to the underlying financial derivative financial instruments not provided for in the fifth, sixth and seventh indents of point 7, of the preliminary title of the law 10/2008 of 12 June, regulating collective investment bodies of Andorran law, when they are linked to the provision of investment services or ancillary services 500 euros complementary activity 1,000 euros 5. Accrual and liquidation: this rate is perceived, at the latest, on 30 April of the current year or at the start of the activity in the event of a newly created entity. If the start of activity does not coincide with the beginning of the calendar year, the fee is paid in proportion to the period of activity of the current year. The obligation to satisfy this rate takes the root end of the entity.

6. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 34 annual rate of supervision of the management companies of collective investment institutions (SGOIC) Andorra 1. Establishes an annual rate of supervision of the management companies of collective investment institutions.

2. The fact of this fee is the provision of the service of supervision and control on the part of the INAF.

3. The forced this tax rate is the management company of collective investment institutions supervised Andorran.

4. The tax share is determined by a fixed amount of 3,000 euros.

5. With regard to the management companies of collective investment institutions that carry out the activity of discretional, individualised management of portfolios or advising on matters of investment or the functions relating to the custody and administration of the investments of the investment funds, the tax share is increased by € 2,000.

6. Accrual basis and liquidation: this rate is perceived, at the latest, on 30 April of the current year or at the start of the activity in the event of a newly created entity. If the start of activity does not coincide with the beginning of the calendar year, the fee is paid in proportion to the period of activity of the current year. The obligation to satisfy this rate takes the root end of the entity.

7. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 35 annual rate of supervision of collective investment undertakings (CROS) Andorran law 1. Establishes an annual rate of supervision of collective investment undertakings of the Andorran law depending on their type.

2. The fact of this fee is the provision of the service of supervision and control on the part of the INAF.

3. The tax required of this rate is CROs supervised.

4. The tax share is determined by a fixed amount according to the typology of CROS, in accordance with the provisions below: type of tax Fee annual fee CROS OICVM supervision without compartments 1,500 euros 500 euros + 1,500 compartments with OICVM euros per compartment Other CROS without compartments 3,000 euros Other CROS with 3,000 compartments euros + 500 euros for self-organized and self-managed SICAV compartment 3,000 euro SICAV compartments without compartments 3,000 euros + 500 euros per compartment 5. Accrual and liquidation: this rate is perceived, at the latest, on 30 April of the current year or at the start of the activity in the event of it being newly CROs. If the start of activity does not coincide with the beginning of the calendar year, the fee is paid in proportion to the period of activity of the current year. The obligation to satisfy this rate takes the root end of the entity.

6. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 36 annual rate of supervision of non-banking financial institutions-specialised credit (EFCE) Andorra 1. Establishes an annual rate of supervision of non-banking financial institutions-specialised credit (EFCE).

2. The fact of this fee is the provision of the service of supervision and control on the part of the INAF.

3. The forced this tax rate is the Bank-banking credit-not specialized (EFCE) Andorra supervised.

4. The tax share is determined by a fixed amount of 10,000 euros.

5. Accrual basis and liquidation: this rate is perceived, at the latest, on 30 April of the current year or at the start of the activity in the event of a newly created entity. If the start of activity does not coincide with the beginning of the calendar year, the fee is paid in proportion to the period of activity of the current year. The obligation to satisfy this rate takes the root end of the entity.

6. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 37 annual rate on the basis of consolidated supervision of financial institutions and the management companies of collective investment undertakings 1. Establishes an annual rate of supplementary supervision for the supervision on the basis of established financial institutions and investment management companies of collective investment bodies depending on the number and type of foreign subsidiaries or foreign subsidiaries of each entity.

2. The fact of this fee is the provision of the service of supervision and control on the part of the INAF.

3. The tax required of this fee is the Andorran entity supervised.

4. The tax share is determined by a fixed amount that is composed of: 1. An annual rate of supplementary supervision for the supervision on the basis of consolidated of 5,000 euros for all financial institutions and of the management companies of collective investment institutions subject to supervision on a consolidated basis of the INAF, if applicable.

2. An annual rate of supplementary supervision for the supervision on the basis of consolidated for all subsidiaries of financial institutions and of the management companies of collective investment institutions that are under the supervision of a foreign financial supervision authority or insurance, in accordance with the provisions below: type of affiliates or subsidiary tax Fee of the annual rate of supervision for each foreign subsidiary Bank active in the compress not supervised field of consolidated supervision 6,000 euros

For each branch of an entity-dependent system operations 4,000 euros for each representative office dependent on a system operating entity 1,000 euros 5. Accrual and liquidation: this rate is perceived, at the latest, on 30 April of the current year or at the start of the activity in the event of a newly created entity. If the start of activity does not coincide with the beginning of the calendar year, the fee is paid in proportion to the period of activity of the current year. The obligation to satisfy this rate takes the root end of the entity.

6. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Article 38 Taxes for prior authorization processes and/or INAF registration 1. Establishing a licensing fee and a fee for registration of administrative acts.

2. The facts of these generators are rates the study, assessment and resolution of the request for prior authorization of the request for registration of the Act corresponding to part of the INAF.

3. The tax required of these fees is the supervised entity that presents the application of prior authorization and/or registration of the corresponding Act.

4. The tax share is determined by a fixed amount in accordance with the provisions below: concept of tax Fee rate of rate of prior authorization and/or for registration process of prior authorization 500 – 10,000 euros registration process 300 – 4,000 euros 5. The INAF is enabled to establish by means of technical release the tax fee corresponding to the study, assessment and resolution of a request for prior authorization of a request for registration, with the aim of establishing the tax share of these taxes for each of the types of administrative acts that require these processes, determined by a fixed amount of the range established in the previous point.

6. Accrual basis and exigibilitat: these fees are accrued at the time in which they are applying for prior authorization and/or registration and must be paid at the INAF in the moment in which they submit these requests. The INAF not begins the process of study, assessment and resolution of this request as long as they do not have received the corresponding payment.

7. updating and modification of tax dues: a) the INAF is enabled to update the amounts fixed in advance on the basis of the evolution of the CPI. To this end, through technical release, the INAF has to communicate the new tax dues to the Group of affected entities.

b) tax fees relating to the rates set out in this article can be updated or modified by the budget law.

Transitional provision


The annual rate of supervision, in accordance with the provisions in chapter four of this law, they must satisfy the operational entities of the financial system and agencies of collective investment of Andorran law has to apply for the annual exercises that started after the entry into force of the present law.

Repealing provision abolishes the law 14/2003, of 23 October, of the Institut Nacional Andorrà de Finances; the article 45 of the law 14/2010, of the 13 of may of the legal regime of the banking entities and basic administrative regime of the operating entities of the financial system; the Decree of November 24, 2010 by approving the regulation carried out by the section 5 of article 45 of the law 14/2010; article 53 of the law 10/2008 of 12 June, regulating collective investment bodies of Andorran law; the fourth additional provision of law 35/2010, of 3 June, licensing regime for the creation of new operational entities of the Andorran financial system; article 22 of the law on regulation of solvency and liquidity criteria in financial institutions of 29 February 1996, as well as any other provision of equal or inferior rank which contradict the provisions of the present law.

First final provision amending articles 3 and 5 of the law on regulation of solvency and liquidity criteria in financial institutions of 29 February 1996, which are written as follows: "Article 3 1. Is meant by own funds of the institution, for the purposes of this law, your net worth according to their expression in the balance sheet. Is made up of the sum of the items that represent the share capital paid up, the reservations, the benefits of the exercise in progress, provisions and any other game that appears in the balance sheet under the heading of the corresponding liabilities to shareholders ' equity. Of this sum should be deducted, if applicable, interim dividends or the result of the ongoing exercise that is expected to affect dividends, are intangible assets, own shares in portfolio accounting, value any losses for the year in progress and any other game assets that indicate a decrease of heritage.

2. The Andorran National Institute of Finance may establish limitations or conditions to all those games of equity that a reduced effectiveness for the covering of losses. As well as determine the new games that can be integrated into the own funds and their deductions. "" Article 5 empowers the Institut Nacional Andorrà de Finances because, before the introduction of new financial procedures or the expression of new accounting formulas, you can determine the frequency of risk and, in function of this weighting, include them in the group corresponding to the scale established in the preceding article 4. "

Second final provision introduces the following changes to the law regulating the disciplinary regime of the financial system of 27 November 1997:1. Article 3 is worded as follows: "authority of the Andorran financial system the Andorran National Institute of Finance carries out the function of supervision and control of the operational entities of the financial system and track the evolution of these entities to check compliance with the laws and regulations that govern their actions and act preemptively in finding evidence of irregularities."

2. Paragraph 1 of article 4 is drawn up as follows: "in the exercise of its functions, the Institut Nacional Andorrà de Finances: a) apply and enforce policies and legal provisions in force, by means of the procedures and instrumental techniques, rules that are necessary;

b) apply for and receive, occasionally or on a regular basis, of the operational entities of the financial system, all information that it deems necessary and, if appropriate, requires validation by external auditors;

c) performs, in fulfilment of its functions, in-situ inspections of operational entities of the financial system, either directly or by means of external auditors; and of administrative departments) will, for the purposes, or services of the Administration, information relating to possible irregularities committed in relation to the legislation of the financial system.

Providing this information does not constitute a violation of professional secrecy, nor any restrictions on disclosure of information and, consequently, does not involve any kind of legal responsibility. "

3. article 7 is worded as follows: "competent authority for the exercise of disciplinary power and sanctioning.

The Andorran National Institute of finance, as an authority of the Andorran financial system, exercise disciplinary power over the whole of the financial system. "

4. The second paragraph of article 8 is without content.

5. The first paragraph of article 12 is worded as follows: "once the procedure has commenced, the Andorran National Institute of Finance may, in the exercise of disciplinary power, take the precautionary measures they believe suitable with the ultimate goal of protecting the depositors and investors, as well as to ensure the stability of the financial system and the effectiveness of the resolution is adopted."

6. The second paragraph of article 12 is without content.

7. the fifth paragraph of article 12 is worded as follows: "the Andorran National Institute of Finance informs the Government of the provisional measures taken."

8. In the sixth paragraph of article 12 is replaced the reference to the Commission of Finances to the Andorran National Institute of finance.

9. The second paragraph of the third paragraph of article 13 is worded as follows: "When the offences committed may be constitutive of the crime, the Andorran National Institute of Finance informs immediately the judicial authority or the public prosecutor."

10. The fourth paragraph of article 13 is worded as follows: "in the event that the instruction to a summary, which involve a firm condemnation of the criminal jurisdiction in one of the subjects defined in the second paragraph of article 2 of this law, would allow the concurrence of administrative violations, we will proceed to the opening of the relevant disciplinary record."

11. article 17 is worded as follows:


"Minor offences Constitute the breaches of obligations or prohibitions laid down in the legislation, including technical releases of the INAF, which contain provisions that refer specifically to the institutions mentioned in article 2 of this law and which are of mandatory observance by those, who do not constitute a serious violation or very serious in accordance with the provisions of the preceding two articles.

Likewise, minor offences constitute the defaults of payment, within the period stipulated, any rate which, in accordance with the regulations in force, it must satisfy the INAF by entities mentioned. "

12. In the first paragraph of article 22, replaced the reference to the Commission of Finances to the Andorran National Institute of finance.

13. The additional provisions first, second and third are without content.

Third final provision introduces the following changes to the law 10/2008 of 12 June, regulating collective investment bodies of Andorran law: 1. article 34 is worded as follows: "1. The findings made by the sale of assets of the same type and maturity acquired at different prices are calculated according to the weighted average of the cost of acquisition.

2. Must be in charge of the CROS the expenses associated to its management and dipositaria, as well as those related to the audit of its accounts, the emission of other reports necessary for their activity, the fees that caused the defense of their interests and taxes that are directly applicable. They also need to be in charge of the CROS are taxes and the means of the assets that make up, in accordance with the laws that are applicable.

3. It must be borne in mind, for the determination of the net asset value, all the operating costs of the CROS.

4. Unable to load the CROS advertising spending or expenses associated with the preparation and/or the compulsory broadcast of data in application of existing legislation.

5. The costs incurred by the creditor is using periodifiquen CROS.

6. In the calculation of the net asset value will include the assets from the time they are hired, upon liquidation, following the criterion of date operation.

7. The general criterion of valuation of assets of CROS is the market value. The securities in quotations are valued in accordance with the official quotation market in which are listed in the time set out in the prospectus of the CROS.

8. The assets that are not traded on regulated markets are valued for their estimated value of realisation or value likely to negotiation. The criteria used for assessment should pursue all the time looking for the most accurate assessment taking into account all the factors that come into play when it comes to value securities assets. In this sense, it is necessary to take into account international standards of asset valuation securities widely recognized for each type of asset.

9. The companies and investment funds with compartments and/or classes have their accounting separately differentiating between revenues and expenses attributable strictly to each compartment and/or class.

10. The costs of setting up a CROS of Andorran law, defined as the rate of authorisation and the registration fee for the creation of a CROS and/or a compartment of Andorran law, as well as all expenses directly related to its creation, can capitalize on and have to amortize in a systematic way against the profit and loss account of the CROS, without exceed the useful life of the compartment and/or CROs with a maximum limit of 5 years.

11. The cost of modification of a CROS Andorran law, defined as the rate of approval and/or the registration fee for the modification of a CROS and/or a compartment of Andorran law, should be in charge of the CROS and/or modified compartment. "

2. Paragraph 2 of article 46 is worded as follows: "the INAF by grounded decision, deny requests when they do not meet the requirements established in the regulations in force. Against the resolutions of the INAF can lodge an appeal before the Administrative Section of the Court of Batlles within thirteen working days starting from the day after the notification of the resolution of the request. "

3. article 79 is worded as follows: "are minor violations are events that involve delays in the fulfillment of obligations of formal or non-compliance of low importance of norms of substantive character, as long as they do not harm, or they do so lightly, the interests of shareholders, participants or third parties.

Have this consideration, among others: a) referral, outside the time limits set out in this law, the information that the CROS and their managers must be present.

b) the delay in the publication of the information, in accordance with this law, must be sending or put at the disposal of the partners, the participants and the general public of the CROS.

c) excess of investment on the coefficients set out in the first section of the third chapter of title II, provided that the excess transient nature and does not exceed 20% of the legal limits. It is understood that an excess is transient when you give the three following circumstances: i) that the excess will not drag on for more than five working days in a quarter;

II) that excess does not occur more than once in the same quarter.

III) that this situation will not be repeated more than three times in a year.

d) The defaults of payment, within the period stipulated, any rate which, in accordance with the regulations in force, it must satisfy the INAF by CROS.

e) breach of other obligations or prohibitions laid down in this law, or the regulations of the CROS that, by their very nature, do not have to qualify as a serious or very serious violation.

f) when you give the circumstances for the liquidation of the Fund and the management company has not initiated the procedure in question. "

The fourth final provision introduces the following changes to the law 35/2010 of 3 June, licensing regime for the creation of new operational entities of the Andorran financial system: 1. article 5 is worded as follows: "procedure of resolution and registration


1. The INAF has to solve, and notify the applicant the granting of authorisation for the creation of an operational entity of the Andorran financial system when, in the analysis of the documentation provided in fulfilment of articles 11, 12, 13 and 14 of this Act and other requirements established by technical releases of the INAF, do not observe breaches current legislation and will meet the requirements and the conditions to be eligible for the creation of an operating entity of the financial system. Otherwise, the INAF has to deny this request for prior authorization and proceed to notify the applicant in detail, including the reasons for such denial. This notification must take place within a maximum period of five months from the date of its presentation or, if this is the case, counting from the moment in which you complete the required documentation. In any case, this notification must take place within a maximum period of twelve months from the date of filing of the application.

2. The resolution of the INAF, in which grant the prior authorisation mentioned in the previous point has to be accompanied by the requirement for the submission of the documentation to be submitted according to the provisions in article 15. The applicant must submit this documentation to the INAF within a maximum period of three months from the date of the said notification of the INAF. If you do not receive the information or documentation requested within the deadline without any justified reason, the INAF shall deny the application.

3. Once we have received the information and documentation described in section 2, the INAF examines the request and if it finds it appropriate given the authorization of creation of the company and proceeds to notify the applicant within a maximum period of three months from the date of receipt of that information or documentation.

4. The new operating entity of the financial system that has 12 months to start the activities from the date of notification of the grant of the authorization of creation on the part of the INAF, has formally notified the INAF real and effective date of commencement of activities. On this date the INAF entered the new entity in the corresponding register of the INAF.

5. The extension of the activities that make up the social object of a Bank, or an entity – not bank specialised credit, or of a financial institution or investment management company of collective investment institutions in activities not specified in the initial authorization, or in a subsequent extension of the activities, is subject to a new authorisation. "

2. Paragraph 2 of article 8 is worded as follows: "2. The previous deposit must be returned to the applicants, whose applications have been rejected, within twenty working days from the date of the decision denegatòria; and authorized entities, within a maximum period of twenty working days from the date on which the INAF has a record of the beginning cash, and real activity. "

3. article 13 is worded as follows: "applicants of an authorization for the creation of any of the operating entities of the Andorran financial system must provide to the INAF, along with the corresponding request for prior authorization, a report of activities and the media.

This memory, subsidised and not limited to, must include the following information: a) the basic programme of activities associated with the type of operational entity of the financial system for which the authorization is requested as well as detailed information on how the institution comply with the whole of the legal provisions in force;

b) a description of what is expected to be held by the entity in order to comply with the organisational requirements and operating conditions required by the legislation in force as well as to the provisions relating to the protection of the investor;

c) a detailed description of the activities that are planned to outsource, if applicable;

d) a generic description of the measures envisaged to implement internal control procedures and to guarantee the right to develop the activities in an environment of adequate security;

e) a description of the policies and procedures established in conjunction with the precepts of the legislation relating to the fight against money laundering and the financing of terrorism and values;

f) links provided, if applicable, with other financial institutions or credit that aportarien the technical knowledge or participate in the management, or comprometrien to provide support of any kind in the case of possible financial difficulties;

g) the location of the planned headquarters and expectations in relation to the creation of subsidiaries, branches and offices;

h) forecasts of recruitment of staff during the first three exercises with an indication of the levels of qualification;

I) a business plan, including the regulatory balance sheet of the institution and the balance sheets and accounts of expected results for the first three exercises; as well as a description of the model and the business strategy that is based on the estimation of quantitative objectives. In particular, it precisarán the volumes of activity and income and expenditure forecast for each line of business with specification of the services and the activities that make up;

j) the policy of application of results that is expected to carry out;

k) the provisional list of people that have to integrate the general direction, with detailed information that allows them to check the compliance with the legal provisions in force; and) an affidavit of the person who is expected to presideixi the entity as well as the director general, under which State meet the obligations established by law. "

4. article 15 is worded as follows: "to qualify for the grant of the authorization of creation and in order to update and complete the documentation submitted with the request for prior authorization, applicants who have obtained the notification of the granting of prior authorisation as provided for in paragraph 1 of article 5 must provide the following documents: a) the definitive statutes of the entity and the notarial deed of incorporation of the company;

b) the certification of registration of the company in the register of companies;

c) the final location of the headquarters and, if applicable, of the subsidiaries, branches and offices of the entity; and


d) confirmation or update of the provisional information presented for obtaining prior authorisation in accordance with the provisions of articles 11 to 14 of this law, in order to give definitive character. "

5. The third additional provision is drafted as follows: "1. The direct foreign investments consisting of foreign participation in operational entities of the Andorran financial system are subject to the prior authorization of the Government in accordance with the provisions of the current regulations concerning foreign investment.

2. However, do not have the consideration of foreign investments and, therefore, are not subject to the regulations in force in the field of foreign investment, the investments of the operational entities of the Andorran financial system that have a foreign participation greater than or equal to 50 per cent, which are governed in accordance with the specific regulations of the financial sector and are subject to the supervision of the INAF. "

Fifth final provision modifies the letter c) of paragraph 2 of article 10, of Act 1/2011, 2 February, from creation of a system of guarantee of deposits to the banks, which is worded as follows: "c) Calculate annually before 31 May, according to data on audited annual financial statements pertaining to covered deposits of each Member of the system the amount of the guarantee reserve that must keep each Member and the contributions they have made to the bottom. "

A sixth final provision is responsible to the Government that, within a maximum period of six months from the date of entry into force of this law, published in the official bulletin of the Principality of Andorra, by Decree, and the revised text of the articles and of the supplementary provisions of the following laws:-law regulating deposit guarantee reserves and other operational obligations to maintain and deposited by entities operating in the financial system , May 11, 1995.

-Law on regulation of solvency and liquidity criteria in financial institutions, of 29 February 1996, amended on 12 December 1996.

-Law of regulation of the disciplinary regime of the financial system, of 27 November 1997.

-Law 35/2010 of 3 June, licensing regime for the creation of new operational entities of the Andorran financial system.

7th final provision this law comes into force the day after being published in the official bulletin of the Principality of Andorra.

Casa de la Vall, 23 May 2013 Vicenç Mateu Zamora Syndic General Us the co-princes the sancionem and promulguem and let's get the publication in the official bulletin of the Principality of Andorra.

Joan Enric Vives Sicília François Hollande Bishop of Urgell, President of the French Republic Co-prince of Andorra Co-prince of Andorra