Daniel Noboa signs decree on the AGD-CFN No More Impunity Business Trust

2024-09-01 11:22:39

The AGD-CFN No More Impunity Business Trust decreed by Daniel Noboa was created in 2009.

Daniel Noboa signed a decree on the AGD-CFN No More Impunity Commercial Trust, this Monday, July 22, 2024.

The AGD-CFN No More Impunity Business Trust was created 15 years ago, in 2009.

Decree 338, signed by Daniel Noboa, consists of six pages with eight articles, one repealing provision and one final provision.

What does Daniel Noboa provide in the decree on the AGD-CFN No More Impunity Commercial Trust?

In the recitals, Daniel Noboa points out that the AGD-CFN No More Impunity Commercial Trust has fulfilled the purpose of its establishment.

That, despite the fact that it should have been liquidated by the provisions of the Organic Law for Productive Development, Investment Attraction, Employment Generation and Fiscal Stability and Balance, it is still in force.

For this reason, it is necessary to proceed with the liquidation and termination of the AGD-CFN No More Impunity Commercial Trust.

The Decree of Daniel Noboa issues the regulations to proceed with the cancellation of companies whose share package is part of the Trust and is in a state of dissolution and liquidation, through the Superintendency of Companies, Securities and Insurance.

The Decree also provides that CFN BP, as Trustee of the Trust, apply the figure of “confusion” to extinguish the capital and interest obligations of any item registered as accounts and notes receivable in the trust and that are owed to it by the cancelled companies and those in a state of dissolution and liquidation, whose sole and final shareholder is the Trust.

Los accounting adjustments corresponding to the cancelled companies must be made within ten days from the publication of the Decree.

The CFN, as Trustee of the Trust, based on the balances reflected in the financial statements of the Trust, must carry out the corresponding write-off of the asset accounts that are provisioned due to the deterioration determined by the audit reports.

The Decree states that the Management and Regularization Unit is the guarantor-beneficiary entity of the Guaranteed Liability Certificates generated by financial institutions liquidated in the 1999 banking crisis.

Once the CPGs Guaranteed Liability Certificates have been written off, the Trust will proceed to inform the Management and Regularization Unit of the treatment given to the Guaranteed Liability Certificates that it kept recorded in its financial statements.

Daniel Noboa orders the termination of the AGD-CFN No More Impunity Commercial Trust

The Trust, once the accounting adjustments have been made, will restore to the Technical Secretariat for Public Sector Real Estate Management the remaining assets that appear in the autonomous patrimony, in the state in which they are found.

The Technical Secretariat for Public Sector Real Estate Management, in coordination with the Ministry of Economy and Finance, will execute all necessary actions for the receipt and registration of cash, securities and other assets received as a remainder of the Trust.

The liabilities of the Trust will be returned to the Technical Secretariat for Public Sector Real Estate Management in its capacity as Constituent and sole Beneficiary, in accordance with the law and the Trust agreement.

Finally, the Decree provides for the termination of the Trust; once the restitutions and other actions indicated have been carried out, the CFN will deliver to the Technical Secretariat for Real Estate Management of the Public Sector the consolidated report of the actions taken during the liquidation process of the Trust prepared by said Trustee.

Once said report has been delivered, CFN BP will proceed to draw up the Trust termination certificate, which upon its subscription and for all legal purposes, will be considered as liquidation of the trust. The trustee will manage the registration of the trust termination certificate in the respective registries and control entities.