Banking activity is the implementation by banks and other banking operations stipulated by this article.

2. Banking operations are:

1) receiving deposits, opening and maintaining bank accounts of legal entities;
2) acceptance of deposits, opening and maintaining bank accounts of individuals;
3) opening and maintaining correspondent accounts with banks and institutions performing certain types of banking operations;

4) opening and maintaining bank accounts of metallic natural and legal persons, which reflects the physical quantity of refined precious metals and coins made of precious metals belonging to the person;
5) cash transactions: receiving and issuing banks and national mail operator of cash, including their exchange, sharing, counting, sorting, packing and storage;

6) transfer operations: execution of orders of individuals and entities for payments and money transfers. License to engage in transfer operations issued to banks and entities referred to in paragraph 1.6 of this article;

7) accounting operations: accounting (discount) the promissory notes and other debt obligations of natural and legal persons;

8) bank loan operations: granting of the bank, mortgage companies, brokers, and (or) a dealer with the right to manage client accounts as a nominee or subsidiaries of the holding of national control in the field of agriculture loans in cash to the terms of payment, maturity, and repayment; V053870
9) organization of exchange operations with foreign currency;

12) collection of notes, coins and valuables;\

13) technique for collection of payment instruments (except for bills);
14) opening () and confirm letters of credit and performance obligations thereunder;

15) issuing banks, bank guarantees, providing execution of cash; V085231
16) issuing banks, bank guarantees and other obligations for third parties, providing execution in cash.
3. Banking operations do not include:

1) the activity of micro-credit entities registered as micro-credit organizations in the manner determined by the legislation of the Republic of Kazakhstan;

2) acceptance by consumers of cash as payment for services rendered implemented by an attorney acting for and on behalf of principal (service provider) based on the agency contract, including through electronic terminals. Documents confirming the right attorney to accept payment in favor of the principal (service provider) must be submitted for review by the payer's demand.
4. Banking transactions listed in paragraph 2 of this article can be made electronically in the manner prescribed by the National Bank.
5. License banks to conduct banking and other operations stipulated by this article shall be issued by the authority.
In issuing licenses to banks to conduct banking transactions contemplated in subparagraphs 5) and 12), paragraph 2, subparagraph 9) of paragraph 11 of this article requires the endorsement of the National Bank.
In issuing licenses to banks to conduct banking transactions require the conclusion of the National Bank of the availability of an automated banking system that meets the requirements for the automation of accounting and general ledger. The procedure for issuing detention determined by the National Bank.
6. Holding one or more types of banking operations stipulated by paragraph 2 of this article may be organizations engaged in certain types of banking operations, under license of the authorized body or the National Bank, except in cases where a legislative act of the Republic of Kazakhstan regulating the activities of such organizations, the possibility implementation of these operations without a license.
License to organizations engaged in certain types of banking operations, to conduct banking operations stipulated by Article 2, issued by an authorized agency, except as provided for in paragraph 7 of this article.
6-1. Banking operations stipulated by paragraph 6) of 2% of this Article shall be provided by the stock exchange, central depository, broker, and (or) a dealer with the right to manage client accounts as nominee in the presence of these entities authorized agency licensed to conduct banking operations stipulated by subparagraphs 1) and (or) 3) of paragraph 2 of this article, as well as the operator of inter-bank money transfer system.
Other legal entities conducting banking transactions contemplated in subparagraphs 1) and 6) of paragraph 2, within the powers established by the laws of the Republic of Kazakhstan.
7. Licensed organizations conducting certain banking operations, an operation under subparagraph 12) of paragraph 2 of this Article, nationals and corporations, whose sole activity is the operation under subparagraph 9) of paragraph 2, issued by the National Bank.
7-1. Organizations carrying out operations of collection of banknotes, coins and valuables by a licensed National Bank, are prohibited from engaging in other activities (operations), except for activity by conversion, sorting, packing, storage of banknotes, coins and valuables, as well as their issuing banks and their customers on behalf of banks.
8. The licensing of banking operations and other operations performed by banks under this Article shall be established by the regulations of the authority.
9. The licensing of banking operations carried out by organizations performing certain banking operations stipulated by this article shall be established by regulations of the authority, except as provided for in paragraph 7 of this Article, the licensing of which is established regulations of the National Bank.
10. By acts of regulating body or the National Bank may establish additional requirements for banks and institutions performing certain types of banking operations associated with obtaining licenses for certain activities.
11. Banks, in addition to banking operations provided for in paragraph 2 of this Article shall be entitled to under a license authorized agency the following:
1) purchase, acceptance of collateral, accounting, storage and sale of refined precious metals (gold, silver, platinum, platinum group metals) in bars, coins made of precious metals;
2) purchase, acceptance of collateral, accounting, storage and sale of jewelry containing precious metals and precious stones;
3) operations with the bills: the adoption of bills for collection, provision for payment of a bill payer, and payment is domiciled promissory notes, acceptance of bills in the order of mediation;
4) leasing activity;
5) issue its own securities (except for shares);
6) factoring operations: the acquisition of rights to demand payment from the buyer of goods (works, services) with the adoption of non-payment risk;
7) forfeiting operations (forfeiting): payment of debt obligations of the buyer of goods (works, services) through the purchase of bills of exchange without recourse to the seller;
8) trust operations: management of money, claims on mortgage loans and refined precious metals for and on behalf of the trustee;

9) safe operations: storage services securities issued in documentary form, documents and valuables of clients, including the leasing of safe deposit boxes, closets and rooms.

12. Banks are entitled to the following types of professional activity at securities market:
1) brokerage - with government securities of Kazakhstan and countries with a minimum required rating from one rating agency or without a decision by the authorized body, derivative securities and derivative financial instruments, the list and order of acquisition of the underlying assets of which are determined by the authority;
2) a dealer - with government securities of Kazakhstan and countries with a minimum required rating from one rating agency or without a decision by the authorized body, as well as derivative securities and derivative financial instruments, the list and order of acquisition of the underlying assets are determined by the competent authority, other securities in cases stipulated by Article 8 of this Act;

3) custodian;

4) the transfer agent.

License to engage in banks of one or more compatible the above types of professional activity on securities market issued by the authority.

A list of rating agencies and the minimum required rating stipulated in subparagraphs 1) and 2) of this paragraph shall be determined by the authority.

13. Banking operations under sub-paragraph 2) of paragraph 2 of this article may hold only the banks who are members of obligatory deposit insurance system, as well as national mail operator in accordance with the legislation of the Republic of Kazakhstan regulating its activities on the basis of a license issued by the authority.

Banks (except for banks, more than fifty percent of the outstanding shares are owned by the state) not having a big party - the individual, the parent bank or holding company, with a certain rating from rating agencies, which list and the minimum required rating set by the authorized body, not the right to conduct banking operations stipulated in subparagraph 2) of paragraph 2 of this article.
14. The provisions of this Article shall apply to the activities of Islamic banks to the extent not contrary to the requirements of the activities of Islamic banks, referred to in Article 52-1 of this Act.

Article 36. Measures applicable in respect of an insolvent debtor

Bank - the lender has the right in relation to the borrower fails to fulfill its obligations under the loan agreement:

v not to grant new loans;

v foreclose, without the consent of the borrower, the money is available to any accounts of the borrower (if this is stipulated in the loan agreement);

v contact with a claim to the court for recognition of an insolvent debtor bankrupt in accordance with the laws of the Republic of Kazakhstan.

Article 42. Prudential standards and other mandatory
to the norms and limits

1. The composition of prudential norms set by the competent authority for mandatory compliance by banks include:

v minimum capital of the bank;

v capital adequacy ratio;

v maximum risk per borrower;

v liquidity ratio;

v open currency positions.

v The composition of prudential norms set by the competent authority for mandatory compliance with banking conglomerates include:

v minimum capital;

v capital adequacy ratio;

v maximum risk per borrower.

The authority may impose additional prudential standards and other mandatory standards and limits that are used in international banking practice.

The authorized body in accordance with banking legislation of the Republic of Kazakhstan is taking steps to prosecute the banks and (or) bank holding companies or their officials, and (or) major bank participants - individuals who own more than twenty five percent stake in the bank for breach of bank prudential regulations and (or) other mandatory standards and limits.

The authority may establish by banks and banking conglomerates who have no bank holding company, certain prudential regulations and their values at a level sufficient to cover the potential of significant losses arising from a possible maximum changes in risk factors inherent in the bank and banking conglomerate.
1-1. Prudential standards and other mandatory standards and limits for Islamic banks and their normative values and calculation methods, forms of reporting and timing of its submission shall be established by the authorized body taking into account the peculiarities of Islamic banks banking activities under this Act.
2. In order to address the issue of compliance with the financial situation of the bank's requirements the authority may determine the size of the bank's capital to a certain date.

3. Normative values and calculation methodology of prudential standards and other mandatory standards and limits the size of the bank's capital and banking conglomerate, on a certain date, the order of calculation and the limits of open currency positions, forms of reporting and timing of its submission shall be established by the authority.

3-1. In case of failure by the bank or the banking conglomerate requirements of the authorized body, said in a written prescription to correct data in financial and (or) other accounting calculation of prudential standards and other mandatory standards and limits the authorized body on the basis of the corrected statements.
4. In case of violation of bank capital adequacy ratios set by regulations of the authorized body, the bank must submit to the authority a plan of recapitalization. Plan must be submitted within one month from the date of violation of capital adequacy ratio with a detailed description of activities and timelines to address the violations.
5. Bank holding companies, as well as major actors in the bank - the individuals who own, directly or indirectly, more than twenty-five percent of the voting and (or) outstanding (net of preferred shares and repurchased by the bank) the bank's shares, are obliged to take measures stipulated by normative legal acts of the authorized body, keeping capital adequacy ratios of the bank and banking conglomerate.
In the case of the deteriorating financial situation of the bank bank holding company, a major participant of the bank - a natural person who owns, directly or indirectly, more than twenty-five percent of the voting and (or) outstanding (net of preferred shares and repurchased by the bank) the bank's shares must at the request of the authorized body to take action to improve bank's financial position, including an increase in bank's own capital in an amount sufficient to ensure financial sustainability of the bank.

Article 43. Reserve capital and provisions (reserves)
against doubtful and bad assets

1. In order to cover losses associated with banking activities, banks are required to build a capital reserve. Reserve capital is created by the bank's net income before payment of dividends on ordinary shares. The minimum size of reserve capital of the bank is established by the authority.
2. In order to ensure an adequate level of control and reliability of its activities in accordance with the nature and scale of operations, banks are required to carry out the classification of loans and other assets, highlighting the doubtful and loss claims against them and making provisions (reserves) on the terms and conditions as the competent authority in accordance with the laws of the Republic of Kazakhstan.

Article 50. Bank secrecy

1. Banking secrecy includes information on availability, ownership and numbers of bank accounts of depositors, clients and correspondent bank balances and cash flow in these accounts and the accounts of the bank, the operations of the bank (with the exception of the general conditions for banking operations), as well as information availability, ownership, nature and value of client assets in its custody in the safe deposit boxes, cases and bank premises.

Do not apply to banking secrecy information on loans and deposits of the bank, in the process of elimination.
2. Bank guarantees confidentiality of transactions and deposits of its depositors, clients and correspondents, as well as the mystery of the property in storage in safe deposit boxes, closets and rooms of banks.
3. Officials, bank employees and other persons who by virtue of their official duties, have access to information constituting bank secrecy for their disclosure criminally liable except as provided by paragraphs 4-8 of this article.

4. Banking secrecy may be disclosed only to the account holder (property) to any third person with the written consent of the account holder (property), given at the time of his personal presence at the bank, the credit bureau for bank loans, leasing, factoring, forfeiting operations, accounting bills, and issued by the bank guarantees, sureties, letters of credit in accordance with the laws of the Republic of Kazakhstan, as well as to the persons specified in paragraphs 5-8 of this article, on the grounds and within the limits prescribed by this article.
Nor is the disclosure of bank secrecy:

1) mandatory reporting by banks of the tax authorities about opening bank accounts of an individual engaged in entrepreneurial activities without forming a legal person or entity;

1-1) the mandatory reporting by banks authorized agency for financial monitoring of transactions subject to financial monitoring in accordance with the laws of the Republic of Kazakhstan on combating the legalization (laundering) of proceeds from illegal means, and the financing of terrorism;

2) representation of the issuer of the securities and the representative of holders of securities of information on loans, claims on which the pledged securities, including in the framework of a securitization transaction;
3) Reporting on the balances of money in the bank accounts of individuals and interest accrued thereon fee of the bank, temporary administration imposed in connection with the deprivation of a license to carry out all banking operations of the organization performing the obligatory deposit insurance and the agent banks for the implementation of activities related money back to investors, the firm based on the written consent of the account holder;

4) representation of other banks of data required for operations referred to in Articles 61-2, 61-3 of this Act;
5) submission of information by banks in the second level, claims which are purchased or accepted in the management of a legal entity established by the state for the acquisition of classified assets of banks listed entity;
6) submission of information under restructuring the bank creditors of the bank, which assumed the obligation to restructure, to other banks in the restructuring of restructured assets and liabilities.
5. Inquiries about availability and numbers of bank accounts are issued by the bank in relation to which the account holder (s) is the borrower, guarantor, surety or the mortgagor, upon written request, signed by the Chairman of the Board or his deputy, subject to the submission of the document confirming the loan.

6. Inquiries about availability and numbers of bank accounts of legal entities and (or) its structural unit, as well as current accounts of physical persons engaged in business activities without a legal entity, private notaries, lawyers on balances and cash flow in these accounts are issued by:

a) the bodies of inquiry and preliminary investigation: on under their criminal cases with the approval of the prosecutor;

b) courts: on under their affairs on the basis of the court;

c) Attorney: Based on the order of production testing, within its competence, located in his review of materials;
d) the customs authorities of export and (or) import operations with the approval of the prosecutor;

e) the tax authorities in respect of:

v audited entity and (or) its structural subdivisions on matters relating to taxation;

v inspect the individual entrepreneur on matters relating to taxation - on current accounts used by (used in) entrepreneurship;

v verifiable private notary on issues related to taxation - on current accounts used by (used in) notarial activities;

v inspected attorney on matters related to taxation - on current accounts used by (used in) advocacy;

v individual entrepreneur who is subject to special order fulfillment of tax obligations upon termination of activities in accordance with the laws of the Republic of Kazakhstan;

v legal entity and (or) its structural unit, individual entrepreneurs, private notaries, lawyers, the virtual absence of which the location is confirmed in the manner prescribed by the tax legislation of the Republic of Kazakhstan, and did not submit tax returns before the expiration of six months after the tax legislation of the Republic of Kazakhstan for it is presented, with the exception of the period of extension of this period in the cases stipulated by the tax legislation of the Republic of Kazakhstan;

v dormant entity, individual entrepreneurs, private notaries, lawyers;

q-1) enforcement proceeding: on under their affairs executive production by order the bailiff, stamped by authority of enforcement proceedings and authorized the prosecutor, or a copy certified by the seal of the territorial department of the executive body of the production.
6-1. Inquiries about availability and numbers of bank accounts of physical persons, balances and cash flow in these accounts are issued by the tax authorities in respect of:

v person registered in the manner prescribed by law as a candidate for President of the Republic of Kazakhstan, deputies of the Parliament of the Republic of Kazakhstan and maslikhats, as well as members of local authorities, and his wife (husband);

v person who is a candidate for public office or office related to the implementation of state or equivalent functions and his wife (husband);

v person released on parole from serving a sentence.

The information provided in this paragraph shall be submitted at the request of the tax service in the form prescribed by the authorized body in coordination with the authorized state agency for regulation and supervision of financial markets and financial institutions.

7. Inquiries about availability and numbers of bank accounts of physical persons, balances and cash flow in these accounts, as well as the available information on the nature and value of his property, kept in safe deposit boxes, cases and bank premises, issued by:

a) representatives of an individual: on the basis of a notarized power of attorney;
b) bodies of inquiry and preliminary investigation: by being in their criminal cases where money and other property of physical persons in the accounts or on deposit, may be seized, foreclosed, or forfeiture of property used under a written request, signed by the director or an investigator, stamped by the body of inquiry or preliminary investigation and sanctioned by the prosecutor;

a) vessels: on under their affairs on the basis of determination, decisions, decrees, court sentence in cases where money and other property of physical persons in the accounts or on deposit, may be seized, levied or applied confiscation of property;

d) Attorney: Based on the order of production testing, within its competence, located in his review of materials.

7-1. Inquiries about the movement of money from bank accounts of the client, provided for in paragraphs 6 and 7 of this Article shall be submitted in the form of statements of cash flows for the customer's bank account. Information, which should contain an extract of cash flows for the customer's bank account, are determined by the regulations of the National Bank of Kazakhstan.
8. Inquiries about availability and numbers of bank accounts of an individual and on the balance of money on them, as well as the available information on the availability, nature and value of his property, kept in safe deposit boxes, cases and bank premises, in case of death of the owner shall be issued:

a) the persons specified by the account holder (property) in a testamentary disposition;

b) courts and notaries: by being in their inheritance cases based on the definition, a court order or written request of the notary, certified by its stamp. By written request, the notary must be accompanied by a copy of the death certificate of the account holder;

c) foreign consular offices: by being in their inheritance cases.

10. Information containing bank secrecy is provided on the basis of international treaties of the Republic of Kazakhstan, the exchange of information

Date: 2015-01-12; view: 1255