Art. 46. - (1) The purpose of the Fund is to compensate investors, in compliance with the conditions set out in this law and with C.N.V.M. regulations, if Fund members fail to return the funds and/or the financial instruments owed by or belonging to investors, which have been held on their behalf for providing investment services or managing individual investment portfolios.
(2) For the purposes of this chapter, “investor” refers to any person which has entrusted a Fund member with funds or financial instruments in order to provide investment services.
(3) The value of an investor’s claims shall be calculated according to the legal and contractual provisions, taking into account the compensation and the compensation of mutual claims that are applicable at the date of finding or decision stipulated in Art. 47, paragraph (1), for the calculation of the amount of money, or of the value, determined, if possible, at the market value of the investors’ financial instruments, that the Fund member cannot pay or return, according to the conditions set out in art. 47 paragraph (1) and (2).
(4) The Fund compensates the investors equally and fairly up to a limit established by the President of C.N.V.M., on an annual basis.
(5) The following categories of investors are excluded from compensation:
- qualified investors;
- administrators, including managers, directors, censors, financial auditors, of the Fund members, their shareholders with holdings that exceed 5% of the share capital, as well as investors with a similar position within other companies of the same group with the Fund members;
- spouses and first rank relatives and in-laws, as well as the persons who act on behalf of the shareholders referred to in subparagraph b);
- the legal persons that are part of the same group with the Fund members;
- investors, natural or legal persons, that are directly liable for deeds which aggravated the financial distress of the member or have contributed to the deterioration of its financial position.
(6) The Fund shall suspend any payment to the investors charged with a criminal activity resulted from or related to money laundering until the competent court issues a final and irrevocable decision.
Art. 47. - (1) The Fund shall compensate the investors in any of the following situations:
a) C.N.V.M. has acknowledged that, for the time being, from its point of view, an intermediary or a management company that manages individual investment portfolios, for reasons directly linked to their financial situation, is
not able to meet its obligations resulted from investors’ claims and furthermore, there is no possibility for it to meet these obligations in the shortest time possible;
b) the competent legal authority, for reasons directly or indirectly linked to the financial situation of a Fund member, has issued a final decision that has as a result the suspension of investors from the possibility of exercising their rights
as regards the resolution of their claims against the said company.
(2) The compensation shall be granted for the rights resulted from the failure of a Fund member to:
- repay the investors’ funds held on their behalf in connection with their investment activities;
- return to the investors any financial instrument that belongs to them and is held and managed on their behalf in connection with their investment activities.
(3) If the intermediary is a credit institution, any situation similar to that referred to in paragraph (1) shall be signalled to C.N.V.M. by the National Bank of Romania.
(4) If the compensation is granted by the Deposit Guarantee Fund, within the banking system, no investor has the right to receive double compensation.
In accordance with the regulations in force, until 31.12.2012, the compensation limit is set up gradually to reach the amount of 20,000 Euro, as follows:
a) at the date of the authorisation of the Fund: the “lei” equivalent of EUR 1,000 per
b) from the 1st of January 2006: the “lei” equivalent of EUR 2,000 per individual investor;
c) from the 1st of January 2007: the “lei” equivalent of EUR 4,500 per individual investor;
d) from the 1st of January 2008: the “lei” equivalent of EUR 7,000 per individual investor;
e) from the 1st of January 2009: the “lei” equivalent of EUR 9,000 per individual investor;
f) from the 1st of January 2010: the “lei” equivalent of EUR 11,000 per individual investor;
g) from the 1st of January 2011: the “lei” equivalent of EUR 15,000 per individual investor;
h) from the 1st of January 2012: the “lei” equivalent of EUR 20,000 per individual investor.