Announcement by the Financial Market Guarantee System regarding the payout of compensation for deposits to institutional clients of Sberbank CZ, a.s.: Due to failure to provide the necessary documents, the Financial Market Guarantee System will not commence the payout of compensation for deposits to institutional clients of Sberbank CZ, a.s. on the originally announced date of 21 March 2022. A new date for the commencement of payout of such compensation will be announced
Prague, 21 March 2022 – The Guarantee System informs institutional clients of Sberbank CZ, a.s. that the payout of the so-called institutional compensation for deposits will not commence on 21 March 20221. Sberbank CZ, a.s has not provided the Guarantee System, in accordance with Section 41(d) (5) of Act No 21/1992, on banks, with the documents needed for the payout of such compensation. The Guarantee System has also informed the Czech National Bank of this situation.
The payout of compensation will not start on the originally announced date due to failure to provide documents for the payout of compensation for deposits to institutional clients by Sberbank CZ, a.s. We apologize to the affected institutional clients for any inconvenience.
The Guarantee System assures institutional clients that they will not lose their entitlement to the payout of compensation for deposits. Compensation for deposits will be paid out to them after the delivery of the documents by Sberbank CZ, a.s. and their processing by the Guarantee System. The commencement date for the payout of compensation for such deposits will be announced. Individual institutional clients will also be directly informed about this situation by the Guarantee System via their data boxes.
Institutional clients are:
- payment institutions
- small-scale payment services providers
- electronic money institutions
- small-scale electronic money issuers
- investment firms on whose accounts there are funds constituting a customer’s property according to legislation governing capital market business
- bailiffs on whose accounts there are funds for eligible and registered creditors according to the Act on Enforcement Proceedings.
The Guarantee System will pay out to institutional clients compensation for deposits of each of their customers whose funds were recorded as of 28 February 2022 in the institutional client’s account with Sberbank CZ. However, this compensation may not exceed the limit of CZK 2,499,500 per customer (an amount equivalent to EUR 100,000 at the exchange rate of CZK/EUR 24.995 announced by the Czech National Bank on 28 February 2022). If a customer of an institutional client becomes entitled to compensation for another deposit kept with Sberbank CZ, the above limit will be reduced by the amount of that entitlement. Compensation for deposits will be paid out for a period of 3 years from its commencement.
1 compensation for deposits in accordance with Section 41(f)(7) and (8) of the above law
Back to the list of news