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Amendments to the bankruptcy procedure of credit institutions

The bankruptcy procedure of credit institutions was amended by Law no. 207/2011 regarding the approval of Government Emergency Ordinance no. 37/2010 as published in the Official Gazette no. 817 of November 18th, 2011. The latter amends and supplements the Government Ordinance no. 10/2004 regarding the bancrupcy of credit institutions [In Romanian, Legea nr. 207 din 15 noiembrie 2011 privind aprobarea Ordonantei de urgenta a Guvernului nr. 37/2010 pentru modificarea si completarea Ordonantei Guvernului nr. 10/2004 privind falimentul institutiilor de credit].

The most important amendments provided by the new enactment refer to:

  • the extraordinary appeal which will be judged, on an emergency basis, within 48 hours from its registration with the relevant court;
  • during the bankruptcy procedure, both the judge and the liquidator have the right to request the opinion of the National Bank of Romania in its capacity as prudential supervising authority in the field; the National Bank of Romania can convey its opinion, as well as any other relevant information, anytime it deems necessary during the bankruptcy procedure and communicate to both judge and liquidator such opinion.

As per the same enactment, the bankruptcy procedure shall be closed by the judge, at the request of the liquidator, after the endorsement of the final report by the syndic judge and after the distribution of all the funds and assets of the bankrupt credit institution. If within 90 days from the endorsement of the final report there will be funds not claimed by entitled creditors then such amounts will be deposited with the State Treasury and the relevant statement of account will be submitted to the syndic judge.