Denise Milani La Fitness

Gazette - Law Gazette 891

Official Gazette of Cuba
Oswaldo Dorticos Torrado, President of the Republic of Cuba 13/10/1960 From Special Edition Republic of Cuba - Havana, Thursday, October 13, 1960 Year LVIII Volume XIX Number

Weekly. EXECUTIVE

MINISTRIES. OSWALDO

Dorticos Torrado, President of the Republic of Cuba. I know: That the Council of Ministers has agreed and I have sanctioned the following: WHEREAS, the monetary and credit policy is part of the general economic policy of the Government and key strategic role in the allocation and orientation of the productive resources country. WHEREAS: It is essential to transform the old banking structure of the nation and adapt to new economic conditions created as a result of the revolutionary process. WHEREAS, the creation of money and credit allocation should be public functions relate exclusively to the state, according to the requirements of economic planning, and should not be undertaken by private companies operating under the spur of profit and further consideration to the interests of the individual to the collective. WHEREAS: To achieve the above goals is necessary therefore to nationalization and expropriation in favor of the State of all domestic private banks operating in the country, prior to the final structuring of the system national banking. THEREFORE, in exercise of the powers are vested in the Council of Ministers resolves to issue the following: Law No. 891

ARTICLE 1: public function is declared hereafter bank may exercise the State Agencies created by the effect under the existing laws are not in contradiction with the provisions of this Act For the purposes of the preceding paragraph shall mean that the banking function includes all operations performed deposit banks and credit, capital and savings, mortgage, building and development and, in general, all other operations achievable by banking institutions of any kind.

ARTICLE 2: In accordance with the statements in the preceding article, provides for the nationalization, through eminent domain and, therefore, are awarded in favor of the Cuban all national private banks, whether deposit banks and credit, mortgage, or building and development as well as all property, rights and shares held by banks listed in the national territory, including its accounts and bank deposits abroad. Declared as the public interest or national or social interest and in support of the need for such expropriations which is entered in the For many of this Act

ARTICLE 3: It provides that the nationalization and subsequent award to the Cuban State is ordered in the previous article takes effect through the Bank Nacional de Cuba, as an autonomous body responsible for governing the function of the state bank. Consequently, states the National Bank of Cuba as a legal continuation subrogated to the location and extent of natural or legal persons referred to in Article 2 of this Act, in respect to the assets, rights and actions referred to and transferred and same all assets and liabilities of the banking institutions under the present law

ARTICLE 4: As a result of the provisions of Article 2 of this Act and the subsequent takeover by the National Bank of Cuba of the assets and liabilities of legal persons in companies affected by this Act is declared dissolved and extinguished the same, all legal purposes.

ARTICLE 5: Declare persons entitled to compensation for expropriation arranged pop, partners or shareholders of legal persons or companies are dissolved and extinct. The subsequent payment of compensation will be done by the National Bank of Cuba, social liquidated assets or shares, and as dividends or profits accrued to the date of enactment of this Act, according to the evaluation system to select the President of the National Bank. The payment of such compensation shall be made after the closing date of the operations of Banco Nacional de Cuba, on December 31, 1960. To this end the National Bank of Cuba shall offset the amounts of compensation for the debts of the partners or shareholders with any of the nationalized banks.

ARTICLE 6: balances resulting from the said settlement in favor of the partners or shareholders who have the right to compensation paid in the respective bank accounts, or in default thereof, in which for this purpose to open in the appropriate agencies of the National Bank of Cuba on behalf of the Indemnitees.

ARTICLE 7: the said payments shall be made in cash compensation up to a maximum of ten thousand dollars, and consequently, fertilizers are verified in the respective bank accounts in accordance with the provisions of the preceding article may not exceed that amount. The excess, if any, shall be paid by bonds issued for that purpose the National Bank of Cuba, redeemable within a period of 15 years and bearing interest at 2% annually. ARTICLE

8: Current bank offices affected by this Act will continue to serve as agencies usually the National Bank of Cuba and will be administered, until otherwise ordered by the president of the National Bank, with separate accounts.

ARTICLE 9: From the effect of this, the Banco Nacional de Cuba is responsible for existing deposits in the banks affected by this law and guarantees the holder the normal development of related operations themselves, according to the nature of each deposit and the law.

ARTICLE 10: National Bank of Cuba to the Council of Ministers, following approval of the Central Planning Board, a draft law establishing the final structure and organization of the Cuban banking system so that, at least, involves the creation of an Agricultural Credit Bank and other Bank Industrial and Commercial Credit, and maintenance of the Bank for Foreign Trade of Cuba.

ARTICLE 11: are declared dissolved the Board of Directors and Shareholders of Banco Nacional de Cuba, and tdodas assume the functions and powers of these bodies, the President of the Bank advised by an Advisory Council which shall consist of officer more senior Bank for Foreign Trade of Cuba, the Agricultural Credit Bank and Bank Industrial and Commercial Credit. Until the enactment of the Act referred to in Article 10 of this, the President of the National Bank will take on its own, all of those faculties.

ARTICLE 12: Declared dissolved Stabilization Fund of the Currency, established by Decree No. 1358 June 10, 1939, and reorganized in accordance with the provisions of Title 11 of Act No. 13 of 23 December 1948, and provides that the National Bank of Cuba, full assume all duties of that body and substituting himself for the same degree respect to all its rights and obligations. To this end we created the International Department of Banco Nacional de Cuba "by a boss who appoint the president of the National Bank.

ARTICLE 13: The National Bank of Cuba may carry out all operations authorized by law and accepted by the banking industry, they are compatible with its new objectives and, in general, performing any operation involving all aspects of monetary policy, credit and exchange, without prejudice to the powers of the Central Planning Board.

ARTICLE 14: Incorporated in Banco Nacional de Cuba all headquarters, branches, agencies, branches or subsidiaries of all banking institutions affected by this law, which nevertheless remain subject to taxation and, therefore, required to pay the taxes, except that levied on corporate profits.

ARTICLE 15: banking institutions incorporated into the National Bank of Cuba shall implement a general balance of their operations by June 30 and December 31 of each year and the net profits for any reason the closing date these balances will be credited to the Central Treasury of the Republic in accordance with instructions issued by Minister of Finance who may agree with the National Bank of Cuba advances from profits.

FINAL FIRST

: The publication of this Law shall be put into liquidation on Deposit Insurance Fon instituted by Law-Decree No. 1852 December 22, 1954 and Mortgage Fund Insured (F.11.A) created by Law-Decree No. 2066 of January 27, 1955. The National Bank of Cuba is responsible for carrying out the liquidation. SECOND: The application of this Act Cap Banks and Savings is determined by the President of the National Bank of Cuba, subject the rules that dictate, in order to avoid labor movement, in accordance with the employment policy of the Revolutionary Government, and encourage public and subscribers of the depositors of these banks accounts are reinstated in the most favorable terms possible. THREE: staff currently employed in incorporated bank branches listed in its Annexes B) continue in office under the relevant collective bargaining agreements. The staff set out in Annex A) will also continue in office until such time as otherwise the Chairman of the National Bank of Cuba. FOURTH: Penalties - The chief executive officers, managers, administrators or guardians with the use of authorized signatures to disobey, interfere with or impede the execution of orders, regulations or instructions of the President of Banco Nacional de Cuba or his personal representative, in connection with the execution of this Act shall be punished with imprisonment of 6 months to 5 years and a fine of one thousand dollars to fifty thousand pesos shall be imposed according to the Court, taking into account the severity of the crime and damage to public property. If the offender while participating shareholder or Bank's capital in addition forfeit the right to compensation for expropriation provided in this Act FIVE: The property, rights and actions of the entities bank incorporated under the National Bank of expropriation provided for in this Act, whether movable or immovable nature, shall be transmitted immediately and directly to the Banco Nacional de Cuba, with no need for the transfer is stated in Register any kind, or formalize endorsements or assignments of the same. SIX: few are repealed laws or regulations contrary to the compliance of the provisions of this Act which came into effect after its publication in the Official Gazette of the Republic.

For Both: Command to run complied with and this Act in its entirety. Given the Presidential Palace in Havana, October 13 , 1960

OSVA LDO Dorticos Torrado Prime Minister Fidel Castro Ruz Díaz Rolando Astaraín Minister of Finance.