REGULATIONS

of the procedure of the Client’s Account servicing by JSC “Zepter-Bank” -

legal person, individual or individual entrepreneur.

The regulations assigned shall determine the order of the Bank Client’s account servicing – legal person, individual or individual entrepreneur, rights and obligations of the Bank and its Client, liabilities and also other terms regulating Bank and Client’s relations as a result of servicing and maintenance of the account opened by the Bank for the Client and shall be considered standardized terms of such relations in accordance with article 398 of the Civil Code of the Republic of Belarus.

Agreements made between the Bank and the Client shall not be considered public agreements.

2. Account maintenance.

2.1. Account operations shall be performed in accordance with the legislation of the Republic of Belarus and local regulatory enactments of the Bank.

2.2. Assignment of cash assets in favor of the Client shall be performed without sum limitation depending on the currency, type and functioning conditions of the account. Remittance of funds to the Client’s account shall be performed:

·     in Belarusian rubles – on the date of electronic payment documents receipt;

·     In foreign currencies – on the date of the extract receipt from the bank – correspondent and/or its annex. Remittance shall be allowed on the day of the credit note of SWIFT receipt, but not earlier than the date of currencies valuation, stipulated by the bank-correspondent credit note.

2.3. In accordance with these regulations the Bank shall not be entitled to charge fines and to collect them according to settlement documents not paid in due time.

2.4. Operations subject to license (permission) of the National Bank of the Republic of Belarus shall be performed upon availability and in accordance with the license (permission) of the National Bank of the Republic of Belarus.

2.5. The Client’s payments shall be performed within actual balance on his account. Admission and processing of the payment instructions for payments shall be performed in accordance with the following servicing schedule (hereinafter - Servicing schedule*):

The banking day shall be scheduled for the payments instructions sent by the Client using the system "Client - Bank" in Belarusian rubles and foreign currency: Monday - Thursday – from 09.00 till 15.30; the last working day of the month, pre-holiday, Friday – from 9.00 till 15.00; for payment instructions drawn in hard copy in Belarusian rubles and foreign currency: Monday - Friday– from 09.00 till 14.00.

Payment instructions in other types of currency (excluding transfer in US dollars, euro, Russian rubles) shall be performed from the date of currency valuation not later than the second working day after the payment instruction receipt.

Services rendered:

·     Payment instructions in Belarusian rubles received during the banking day - by the current date;

·     Payment instructions in Belarusian rubles and foreign currency received by the end of the banking day – not later than the following working day followed by the payment instruction receipt date;

·     Payment instructions in Belarusian rubles received by the end of the banking day – by the current date as agreed between the Bank and the Client at additional payment in accordance with "List of compensations for the operations performed by JSC “Zepter-Bank” (hereinafter - List);

·     Payment instructions of the payments received by other banks’ clients:

·        Abroad (in Russian rubles, received by 2.30 p.m. (on Friday and pre-holiday by 1.30 p.m.) – by the current date; received after the period specified - not later than the following working day followed by the assignment receipt; in other currencies (US dollars, euro) received by 3 p.m. (on Friday and pre-holiday by 2 p.m.) – by the current date; that came after the time specified – not later than the following working day followed by assignment receipt;

·        In the banks of the Republic of Belarus received by 12 a.m. – by the current date; received by the time specified – not later than the working day following the date of the assignment receipt.

2.6. Not later than the banking day following the day of operation execution the Bank shall provide the Client with the accountant statement. Applications shall be provided to the Client from the Bank on an on-going basis. Extract from the Client’s account and applications shall be issued to the individuals entitled to sign in the cards with signature samples and stamp impression to the Client’s representatives by attorney, drawn in due order and also according to the Client’s claims through post-office boxes.

2.7. The Client’s Account closing in the Bank and opening of other accounts in other banks shall be assumed after Client’s obligations performance in due order. Should there be any debts to the Bank the Client can open accounts in other banks only after making certain Bank agreement in free form.

2.8. The bank shall charge the interest to the fund balance of the Client’s account (excluding depositary account) monthly in amount of 0,01% per annum unless otherwise stipulated by the Parties’ agreement. Charging of interest shall be performed in the last working day of the month. The order of interest charging (including the interest rate) of the deposit account balance shall be determined in the corresponding agreements with the Client. Interest of the temporary account balance shall not be charged. Transfer of the interest to the corresponding current (settlement) Client’s accounts shall be performed not later than the last working day of the month.

2.9. The priority order of the Bank operations (payments) settlement of the Account shall correspond to the legislation of the Republic of Belarus.

2.10. The Bank shall not receive the Client’s payment instructions to be executed unless:

·        There are corrections and erasures in the payment order;

·        Details required are not specified in the payment order;

·        The payer’s signatures and stamp impression on the payment order do not correspond to the samples provided to the Bank;

·        Documents required for payment execution in accordance with the legislation of the Republic of Belarus are not provided;

·        Payment order information does not correspond to the information of the documents introduced to the originating bank in cases specified by the legislation of the Republic of Belarus;

·        The Client does not possess legal basis to perform the transfer, if legitimacy control of the transfer execution from the side of originating Bank is stipulated by the legislation of the Republic of Belarus;

·        It is not possible to perform conversion, purchase, sale of means in accordance with the legislation of the Republic of Belarus, or it is impossible to perform conversion, purchase, sale of the currency at the rate specified by the Client;

·        The references of the payment order are illegible.

Bank shall also have the right not to accept the Client’s payment order for execution if the Client fails to represent enough assets or represent insufficiency of assets on the account to execute that payment order.

         2.11. Term of keeping the Client’s payment orders in the card index of the off-balance sheet account “Settlement documents unpaid”, shall be determined by the legislation of the Republic of Belarus.

2.12. The Bank shall perform express cash transfer in Belarusian rubles according to the Client’s payment orders. Express cash transfer shall be performed in 2 (two) hours from its receipt by the Bank. Express cash transfer terms may be agreed with the Bank.

         2.13. The Bank shall receive disposable funds within a banking day in accordance with the Bank local acts, determining cash department work.

         2.14. The Bank shall issue disposable funds on the ground of the Client’s preliminary application provided up to 12 p.m. of the day prior to the day of issue.

2.15. Purchase, sale, foreign currency conversion shall be performed on the ground of applications (form shall be stipulated by the Bank), submitted by the Client to the Bank, execution of which shall be agreed by the Bank and also on the ground of the Client’s request in respect of transfers of purchase, sale, conversion, assignment with purchase (conversion). The Bank shall perform currency exchange operations in the exchanging currency market and in the exchanging currency aftermarket. The procedure of execution shall be stipulated by the legislation of the Republic of Belarus and local regulatory enactments of the Bank.

2.15.1. Transactions of purchase, sale (free, obligatory) in the exchanging currency market shall be performed by the Bank, but by the order of the Client and at the Client’s cost during the auction of JSC “Belarusian currency-stock exchange” (hereinafter – Stock exchange). The procedure of the currency-exchange operations in the stock currency market shall be determined by the active legislation of the Republic of Belarus, local regulatory enactments of the Bank. Exchange rate in the exchanging currency market during currency exchange operations shall be determined by auctions results during the Stock exchange sessions.

2.15.2. Transactions of purchase, sale (free, obligatory), and foreign currency conversion in the exchanging currency aftermarket shall be performed directly between the Bank and the Client.

The Client shall have the right to perform operations of foreign currency assignment with sale (conversion), foreign currency transfer with purchase (conversion).

Exchange rate during the operations of currency exchange in the exchanging currency aftermarket shall be agreed by the Parties and shall be specified in the application (request for the transfer with purchase, sale, conversion).

2.15.3. Foreign currency purchase for the objectives, stipulated by the legislation of the Republic of Belarus, shall be performed by the Client:

·        through the Bank in the auctions of the Stock exchange to special account for the storage of foreign currency bought in the internal market, opened by the Client in the Bank;

·        in the non-exchange market from the Bank or from another Bank – resident of the Republic of Belarus with - assignment to the special account for the storage of foreign currency bought in the internal market, opened by the Client in the Bank;

·        by means of transfer with foreign currency purchase upon corresponding payment instruction of the Client;

·        in any other way permitted by the National Bank of the Republic of Belarus.

Use of the foreign currency purchased by the Client, modification of its designated purpose, reverse sale shall be performed in accordance with the requirements of the legislation of the Republic of Belarus. Introduction of applications for the purchase of foreign currency in the auctions of the Stock exchange and transfer of ruble equivalent to the transit account of the Bank shall be performed not later than 3 p.m. of the day prior to two days of auction.

2.15.4. Free sale of foreign currency shall be performed by the Client:

·        through the Bank in the auctions of the Stock exchange by means of introduction an application of a due form specified by the Bank and a commitment for transfer of assets subject to the sale;

·        in the non-exchange market to the Bank by the way of provision of transfer with foreign currency sale on the ground of corresponding payment instruction of the Client;

·        in any other way under authority of the National Bank of the Republic of Belarus.

2.15.5. The Client’s signing of corresponding Engagement agreement shall be an expression of his/her written agreement to perform reverse sale of foreign currency in case the Bank fails to provide an application for the sale and/or a payment order for the transfer with the sale of unused balance of foreign currency at the Stock exchange rate existing in the auction on the day of reverse sale execution, if the auction for the reverse sale of foreign currency did not take place – an agreement for reverse sale of foreign currency at the official rate of Belarusian ruble to corresponding foreign currency set on the day of reverse sale.

2.15.6. Foreign currency conversion shall be performed by the Client:

·        in the non-exchange market to the Bank by the way of foreign currency conversion transfer introduction and corresponding payment instruction of the Client;

·        in any other way under authority of the National Bank of the Republic of Belarus.

2.15.7. Carrying out of obligatory foreign currency sale shall be performed in accordance with the legislation of the Republic of Belarus. In order to execute obligatory sale a legal person or individual entrepreneur shall not later than 7 (seven) banking days from the date of profit inflow in the foreign currency to the Account introduce to the Bank:

·        register of foreign currency distribution in accordance with the form, specified by the Bank;

·        payment order for the sum of foreign currency subject to the sale in the stock exchange on account of an obligatory sale;

·        payment order for the sum of foreign currency less than the board lot, specified in the auction of the Stock exchange for the sale to the Bank on account of an obligatory sale;

·        payment order for foreign currency transfer from transit account to the Account of a legal person or individual entrepreneur, to whom transit account is opened for the sum left after an obligatory sale.

The register of distribution shall be drawn up by legal persons or individual entrepreneurs only for foreign currency entered as a profit and shall be introduced to the Bank in terms of separate foreign currency profit inflow. Legal persons and individual entrepreneurs shall not be allowed to represent the register of distribution for the part of a separate foreign currency profit inflow. The register of distribution shall be made in two copies, one for the Bank, the other – for the Client.

2.15.8. Assignment of cash assets in foreign currency to correspondent account of the Client, not through his/her transit account shall be performed in case the Bank defines that cash assets are not considered profit in foreign currency in compliance with the legislation of the Republic of Belarus regulating the order of obligatory sale procedure.

2.15.9. During currency-exchange operations in the internal exchange markets involving assets of the republican and local budgets apart from the cases stipulated by the legislation of the Republic of Belarus, the commission remuneration shall not be charged.

3.1. Remuneration for the services rendered by the Bank shall be charged in the amount and within the terms in accordance with the List effective at the moment of the service rendering not later than the last working day of the month when the service was rendered and in accordance with the agreements concluded with the Bank.

3.2. Client’s signing of corresponding engagement agreement shall be considered as his/her written agreement with the remuneration extent specified in the List, effective on the date of its signing.

3.3. Remuneration payment for the services rendered shall be performed either by the Client’s presentation of corresponding payment instructions or by independent writing off by the Bank of the due remuneration from the Client’s account by memorial slip, if functioning terms of such account allow such operations in accordance with the legislation of the Republic of Belarus.

4.1. The Client shall have the right:

4.1.1. to manage cash funds on his/her account, including the use of the system “Client-Bank” on the ground of corresponding agreement and in accordance with the legislation of the Republic of Belarus and local regulatory enactments of the Bank.

4.1.2. to provide the Bank with instructions of cash management services, to require report of their fulfillment (in the way of certificates, extracts, duplicates and other information of the Account).

4.1.3. to receive disposable funds in accordance with the requirements of the legislation of the Republic of Belarus and local regulatory enactments of the Bank.

4.1.4. to obtain information of the services rendered by the Bank, of amount and terms of compensation payment for the services rendered and of the Schedule, of its modifications and/or additions.

4.2. The Bank shall have the right:

4.2.1. to reject settlement and cash operations if there are corrections and erasures in the financial documents or facts that prove the Client’s violation of the laws of the Republic of Belarus or being according to the opinion of the Bank of doubtful character.

4.2.2. to return the corresponding sum by a memorial slip without the Client’s consent (to write off from his/her Account) when it is proved that an incorrect funds remittance or excessive funds remittance took place from/to the Client’s account as a result of technical mistakes due to the fault of Bank employees and also at the receiving of the corresponding application from the correspondent bank.

4.2.3. to close the Client’s Account in cases stipulated by the legislation of the Republic of Belarus and the present Order.

4.2.4. to suspend operations of the Client’s Account in cases and in the order stipulated by the legislation of the Republic of Belarus.

4.2.5. to exercise a partial payment of the Client’s payment documents placed in the card-index to the off-balance sheet account "Settlement documents not paid in due time due to the fault of the Bank" within the balance in the Bank correspondent account by its memorial slip in case of absence of proper amount of finance on the Bank corresponding account.

4.2.6. not to close the Client’s account and not to open account in another Bank if the Client fails to fulfill obligations specified by clause 2.7. hereof.

4.2.7. to introduce modifications and/or additions to the List with the notification of the Client by corresponding notice on the corporative WEB-site of the Bank, information stands or in any other way not less than within 5 (five) calendar days from the day of modifications and/or additions coming into force.

4.3. The Client undertakes:

         4.3.1. to comply with the legislation of the Republic of Belarus, to observe the conditions and requirements of the local regulatory enactments of the Bank.

         4.3.2. to familiarize himself with the List, effective as of service rendering and also with modifications and/or additions introduced to it.

          4.3.3. to provide the Bank annually during the first month of the current year with information to ascertain the Client’s needs in disposable funds.

4.3.4. if required from the moment of the Account opening and from now forth annually during the first quarter to provide the Bank with an application for determination of cash balance limit, the order and terms of the profit charge, drawing up of a permission for cash assets expenditure from the gain that are incoming to the cash department for real cash settlements.

Should the cash limit balance, the order and the terms of the gains charge, amount of real cash expenditures from the gain and the permission for real cash settlements between legal persons, individual entrepreneurs or private notaries be stipulated by another bank, to provide the Bank with the copy of the application according to which cash balance limit, the order and terms of the profit charge, cash assets expenditure amount from the gain, a copy of a permission for real cash settlements between legal persons, individual entrepreneurs, private notaries are specified.

In case of any claims in respect of the Account the effectiveness of former permissions to use incoming gain shall be ceased till the complete payment settlements prior to the fourth priority group excluding the cases stipulated by the legislation of the Republic of Belarus.

4.3.5. to provide the Bank with an application to receive disposable funds in the order under the present Regulations.

4.3.6. to inform the Bank in writing within 3 (three) working days of modifications in respect of constituent documents, address, contents of the executive Board and/or organization founders –holder of an Account; to submit within 30 (thirty) banking days all the required documents confirming such modifications, unless otherwise stipulated by the legislation of the Republic of Belarus.

4.3.7. within 10 (ten) calendar days after receiving of bank account statements to inform the Bank in writing of the sums charged or written off from/to the Account by mistake. Should the Client fail to submit objections within specified term, operations executed and account balance are considered to be confirmed.

4.3.8. to submit under the Bank requirements the documents necessary for the latter to perform functions of currency control agent and other control functions imposed to the Bank by the legislation of the Republic of Belarus.

4.3.9. to send to the Bank up to January 15 a notification (confirmation or objection) of the fund balance amount on the Account as of January 1 annually.

4.3.10. to pay the Bank a remuneration in accordance with the list or a separate Parties’ agreement.

4.3.11. to meet its obligations before the Bank in full measure (redeemed indebtedness before the Bank upon operations of credit or other character in case of the Account closure in the Bank and/or an account opening in another bank).

4.4. The Bank undertakes:

4.4.1. to control the Client’s operations to prevent illegal income legalization according to accepted state prevention measures program.

4.4.2. to guarantee execution of the Client’s orders according to the legislation of the Republic of Belarus, local normative enactments of the Bank and corresponding engagement agreements.

4.4.3. to guarantee the Client’s cash assets safety charged to his/her account in accordance with the legislation of the Republic of Belarus.

4.4.4. to perform disposable funds reception and delivery in accordance with the requirements of the legislation of the Republic of Belarus and local regulatory enactments of the Bank stipulating cash department work organization.

4.4.5. to guarantee information confidentiality in relation to the Client’s activity composing bank secrecy. Submission of the information composing bank secrecy shall be performed in accordance with the requirements of the legislation of the Republic of Belarus.

4.4.6. to issue certificates of the Account status to the Client’s representative, other persons and bodies in cases stipulated by the legislation if the Republic of Belarus.

4.4.7. to render an advisory opinion to the Client concerning settlements, cash operations and other questions concerning settlement/cash services, according to the Client's written applications to issue extract copies, to search for money that did not reach his/her account, to perform other banking operations and to render other services specified by the list of corresponding local Bank documents.

5.1. In case of non-fulfillment or improper fulfillment of obligations within the present Regulations the Parties shall be held liable in accordance with the legislation of the Republic of Belarus.

5.2. Bank liability:

5.2.1. the Bank shall bear responsibility for non-fulfillment, improper fulfillment, untimely execution of the Client’s payment documents in accordance with the legislation of the Republic of Belarus, these Regulations;

5.2.2. cash assets unfoundedly written off, not credited in proper way, transferred (credited) to the wrong beneficiary shall be reimbursed by the Bank to the Client in full amount to corresponding Account within 3 (three) banking days from the moment of the fact establishing that the Bank failed to fulfill properly its obligations under the agreement;

5.2.3. the Bank shall not be responsible for authenticity and reliability of the documents submitted by the Client to open an Account and also for correctness and authenticity of information specified by the Client at payment documents filling in and for the conformity of operations carried out by the Client to the statutory documents;

5.2.4. the Bank shall not bear responsibility for keeping disposable funds received if the shortage was detected during disposable funds calculation outside Bank cash department premises and without its representatives;

5.2.5. the Bank shall not bear responsibility for non-fulfillment, improper fulfillment or overdue of the Client’s received payment documents execution as a result of:

- Client’s indication of wrong requisites of the payment documents;

- Loss of payment documents by telecommunications agencies or in connection with their payment messages distortion;

- Breakage or accidents of the systems used by the Bank that took place not through the fault of the Bank;

 - in any other case stipulated by the legislation of the Republic of Belarus.

5.3. Liability of the Client:

5.3.1. The Client shall bear responsibility for the proper use of cash assets flowed to his/her Account.