Resolution No. 368 of 2020 issued by Colombia’s Financial Superintendence

02/04/2020

Following the general instructions set forth by the National Government in accordance with Decree 491 of 2020, relating to the provision of public services in charge of administrative authorities throughout the national territory amid the national sanitary emergency context, on April 1, 2020, Colombia’s Financial Superintendence (the “Superintendence”) issued Resolution No. 398 of 2020. Pursuant to this resolution, the Superintendence took special measures aimed at providing its services to the general public, as follows:

1. During the state of sanitary emergency, supervised entities and the general public will only be attended and served by telephonic and virtual means. On site services and every physical office of the Superintendence will not be available.
2. Every administrative act issued by any of the Superintendence’s servants will be notified or communicated via email. If by any reason this is not possible, the corresponding proceedings will be suspended until the state of emergency comes to an end.
3. Except for special provisions to the contrary and for the special situations described therein, every petition will be answered within the 30 days following its receipt.
4. Excluding disciplinary and punitive proceedings, the terms of every other administrative proceeding conducted by the Superintendence will be resumed as of April 2, 2020, using exclusively electronic means.
5. The procedural terms of jurisdictional proceedings conducted by the Superintendence will be resumed as of April 13, 2020. Such proceedings will also be conducted exclusively by electronic means.

Should you have any additional doubts or questions with respect to the contents and scope of Resolution No. 398 of 2020, please do not hesitate to contact us.

Decree 491 of March 28, 2020

30/03/2020

On March 28, 2020, Colombia’s National Government issued Decree 491 of 2020 (“Decree 491”) as an additional measure taken because of the actual sanitary emergency caused by Covid-19 and the state of emergency declared in accordance with Decree 417 of 2020. Pursuant to Decree 491, the National Government gave instructions to public authorities and to individuals that exercise public functions to guarantee the provision of the services they are in charge of and imparted measures to protect public employees. These provisions are applicable to entities that conform the branches of public power, the different state entities, and to individuals that perform public functions.

Among others, Decree 491 gave the following orders and instructions to the aforementioned entities:

• Purport for the provision of services rendered by these entities through remote work and using available information and communication tools, to the fullest possible extent and considering applicable exceptions-
• The notification of administrative acts issued during the emergency state shall be done by electronic means.
• Excepting special provisions to the contrary and for the situations described therein, the terms to respond petitions presented by any individual, including petitions filed before and during the state of emergency, are extended to 30 days counted from its receipt,
• Entities are given the capacity to defer the terms of any of the administrative or judicial proceedings they are in charge of.
• Any act and decision they issue will be validly executed by means of a digitalized or scanned original signature.

Should you have any additional doubts or questions with respect to the contents and scope of Decree 491, please do not hesitate to contact us.

The Financial Information and Analysis Unit extends deadline for filing reports

28/03/2020

Last Friday March 27, the Financial Information and Analysis Unit (“UIAF”, as per its Spanish acronym) publicly announced its decision to extend the deadline for reporting entities to present their answers to information reports raised by the UIAF. This measure is taken in light of Decree 457 of 2020 issued by the National Government and the current national situation.

As such, compliance officers and people responsible for the delivery of such information in every reporting entity will have until April 30 to completely respond UIAF’s information requirements. UIAF will, however, accept partial information deliveries for its corresponding analysis.

Should you have additional doubts in respect of UIAF’s decision, please do not hesitate to contact us.

Decree 444 of March 21, 2020 – Fund for the Mitigation of Emergencies (Fondo de Mitigación de Emergencias)

22/03/2020

Given the national state of sanitary emergency declared by Colombia’s President, Colombia’s National Government, acting through the Ministry of Finance and Public Credit (“MFPC”), issued Decree 444 of 2020 (“Decree 444”) on March 21, 2020. Decree 444 created the Fund for the Mitigation of Emergencies (Fondo de Mitigación de Emergencias; “FOME”, as per its acronym in Spanish). FOME was created as a fund managed by the MFPC’s Directorship of Public Credit (Dirección de Crédito Público y del Tesoro Nacional). Amid the actual sanitary emergency global context, FOME’s key objectives are (i) to tend to lack of resources in the public health administration, (ii) to address the adverse effects caused on productive activities, and (iii) to support the national economy in creating suitable conditions for the preservation of economic growth and employment levels.

FOME will be funded with resources derived from: (i) loans granted by the Savings and Stabilization Fund (Fondo de Ahorro y Estabilización) (such loans may consist of a maximum amount corresponding to 80% of the available resources of such fund); (ii) loans granted by the Territorial Entities National Pension Fund (Fondo Nacional de Pensiones de las Entidades Territoriales); (iii) resources previously designated from Colombia’s National General Budget; (iv) financial returns obtained from the administration of its resources; and (v) any other resources that may be allocated to the FOME by the National Government.

FOME’s resources may be used, generally, to resolve the sanitary crisis or to impede the aggravation of its effects in the national territory and, specifically:

• To provide funds to public entities included in Colombia’s National General Budget, if required.
• To pay the expenses caused by the performance of any agreement executed to fulfill FOME’s objectives. Any contract executed for the use of FOME’s resources will be governed by private law.
• To perform operations aimed to temporarily provide liquidity to the financial sector.
• To provide direct financing to private, public or semi-public companies that carry out activities of national interest.
• To provide liquidity to the Nation, only if the state of emergency affects the ordinary sources of liquidity.

Finally, Decree 444 of 2020 authorized the National Government to use resources available in the FOME to invest in equity or debt instruments issued by companies that (i) provide services of national interest and that (ii) have been seriously affected by the declared state of sanitary emergency, regardless if they are private, public or semi-public companies. The MFPC will evaluate and perform such investments taking into consideration the specific social and economic needs caused by the national sanitary emergency situation, in spite of their expected financial results.

Please do not hesitate to contact us, should you have any additional doubt in respect of the contents and scope of Decree 444 of 2020.

Deferral of terms Financial Superintendence of Colombia

17/03/2020

As a result of the state of health emergency declared by Colombia’s Ministry of Health and Social Protection pursuant to Decree 358 of 2020, issued on March 12, due to the pandemic of virus COVID-19, Colombia’s Financial Superintendence has taken the following measures: 

To defer the procedural terms within the Office for Jurisdictional Functions of the Financial Superintendence of Colombia, including all scheduled hearings, starting March 17 through April 8, 2020.

Resolution 001 of March 16, 2020

Superintendent Delegate for Jurisdictional Functions 

To defer the terms of all administrative proceedings brought before the Financial Superintedence of Colombia starting March 17 through April 8, 2020.

Resolution 305 of  March 17, 2020

Financial Superintendent of Colombia

It is important to consider that the lenght of these measures will depend on how the public health situation moves forward and that these measures do not exempt entities subject to the surveillance of the Financial Superintendence from complying with their legal duties. Please do not hesitate to contact us with any question you may have.