Art.1. The Act of January 31, 1989 - The Banking Law /J.L. of 1992 no. 72 item 359/is amended as follows:
1/ Art. 35 reads as follows: "Art.35.1. In order to prevent the excessive concentration of credits and other liabilities:
1/ the sum of:
a/ credits, excluding those with warranties /or guarantees/ of the State or international financial institutions determined by the President of the NBP,
b/ money loans,
c/ liabilities arising from bank guarantees and warranties,
d/ letters of credit, excluding their part guaranteed by money deposit,
e/ other bank liabilities, incurred by the order of a client, in relation to one entity or a group of entities, related to each other by capital or organization, cannot exceed 15%,
2/ the liability arising from a single agreement may not exceed 10% of the total of a bank's own funds.
2. The value of shares and contributions submitted to legal persons and the value of purchased stocks and bonds may not exceed 25% of the total of the bank's own funds.
3. The limits, mentioned in items 1 and 2, may be exceeded upon consent of the President of Narodowy Bank Polski, but shall not be higher than 50% of the total of the bank's own funds.
4. Bonds issued by the State Treasury and Narodowy Bank Polski are not to be included in the sum of values of shares, contributions, stocks and bonds, referred to in items 2 and 3. The President of Narodowy Bank Polski may determine for banks a separate limit of their purchase of bonds, mentioned above.
5. The bank's own funds, as mentioned in items 1-3, shall be comprised of:
1/ in a State-owned bank - the statutory fund, reserve fund and reserve capital;
2/ in a bank formed as a joint stock company - the stock equity and all forms of reserve funds and capital;
3/ in cooperative banks - the shareholders fund, resource fund and reserve fund;
4/ other funds, as determined by the President of Narodowy Bank Polski to own funds.
6. The President of Narodowy Bank Polski:
1/ shall determine, by way of an Ordinance, the banks which, until their own funds are appropriately increased, may also include to the extent mentioned in items 1 and 2, money deposits accumulated in bank accounts, and shall determine the then binding percentage ratios of permitted concentration of credits and other liabilities;
2/ may permit banks to treat, as a defined portion of their own funds, the money resources accumulated in long-term deposit accounts, when the retention of such resources by the bank has been assured for a period exceeding 3 years;
3/ for the purposes referred to in item 1, may permit the banks that are related to each other, by capital and organization, to consider their own funds as a combined sum. The President of Narodowy Bank Polski has the authority to make this decision subject to the compliance with certain requirements set by the President of Narodowy Bank Polski.
7. A bank may conclude with other banks an agreement on joint issue of credit /bank consortium/. A bank which shall initiate conclusion of such an agreement shall represent the cooperating banks before the debtor and shall agree with such banks the terms of the credit agreement and principles for mutual settlements associated with the issue of such credit.",
2/ Art. 78 reads as follows: "Art.78.1. A person that intends to purchase stock of a bank or the rights resulting from such stock is obliged to:
1/ obtain through the bank, the stock of which are to be purchased, the consent of the President of Narodowy Bank Polski for the transfer of stock or rights resulting from such stock, if such stock together with other already held, will constitute a holding entitled to possessing over 10%, 20%, 33%, 50%, 66% or 75% of the votes during the General Assembly of Stockholders of the bank,
2/ notify the bank of a purchase of its stock or rights resulting from such stock, if such stock together with other already held, will constitute a holding entitled to possessing over 5% of the votes during the General Assembly of Stockholders of the bank.
2. A bank in the form of a joint stock company is obliged immediately to:
1/ notify Narodowy Bank Polski of the cases of a single stockholder possessing a holding of shares entitling such a stockholder to more than 10% of the votes during the General Assembly of Stockholders of that bank,
2/ apply on behalf of a person, referred to in item 1 pt. 1 above, to the President of Narodowy Bank Polski for obtaining the consent for the purchase of stock or the rights resulting from such stock, and then submit the decision of the President of Narodowy Bank Polski on this matter to the applicant.
3. The decision on the consent of the President of Narodowy Bank Polski for the purchase of stock or the rights resulting from such stock, referred to in items 1 and 2, may be made, if the person intending to purchase stock shall guarantee that the bank's activity will be conducted in a way duly assuring interests of its clients, and when the resources allocated by such a person for the purchase of stock are not derived from a loan, credit or are not encumbered in any other way.
4. The decision, referred to in item 3, may be claimed to the Supreme Administrative Court.
5. A person, who purchased stock or the rights resulting from the stock of a bank in defiance of the provisions of items 1 and 2, is entitled to 5% of the votes during the General Assembly of Stockholders of such a bank, or to such a number of votes that result from the consent previously obtained.
6. The acquisition or possession of stock by a subsidiary of a parent entity shall be deemed an acquisition or possession of stock by the parent entity. The parent /subsidiary/ entity shall be understood as an entity defined in the provisions of Art. 2.9 and Art.4 of the Act mentioned in item 7.
7. The provisions of this article shall not violate the provisions of Chapter 7 of the Act of March 22, 1991 on Public Trade in Securities and Trust Funds /J.L. no 35, item 155 and no 103 item 447/."'
3/ in Art. 116 in item 1 words "June 30, 1992" are replaced by words "December 31, 1992",
4/ in Art. 117:
a/ previous content is denominated as item 1,
b/ item 2 is added as follows:
"2. Bank Gospodarstwa Krajowego is a State-owned bank and it operates according to the Act - The Banking Law, however the scope of its business includes also the activities:
1/ regarding credit institutions which are liquidated or recognized to have been liquidated according to the decrees of October 25, 1948:
a/ on principles and procedure of liquidation of certain banking enterprises /J.L. no. 52 item 410, of 1949 no. 35, item 256 and of 1951 no. 31, item 240/,
b/ on principles and procedure of liquidation of certain long-term credit institutions /J.L. no. 52, item 411 and of 1951 no. 31, item 241/,
c/ on the banking reform /J.L. of 1951 no. 36, item 279 and of 1957 no. 31, item 136/,
2/ commissioned by the Minister of Finance, however the bank agrees the conditions of the execution of such a commission with the Minister of Finance.",
5/ after Art. 119, Art. 119 is added as follows: "Art.119 . During the transition period - not longer than until the end of 1993 - the ratios of concentration of credits, established in Art. 35.1, are not applicable to credits issued to housing cooperatives by Powszechna Kasa Oszczednosci - Bank Panstwowy."
Art.2. In the Act of October 19, 1991 on handling of agricultural real estate of the State Treasury and on amendments on certain Acts /J.L. no.107, item 464/ after Art.22., Art.22a. is added as follows: "Art.22a.When defining, as determined in the Act - The Banking Law, limits for the concentration of credits and other liabilities of the Agency towards Bank Gospodarki Zywnosciowej, the liabilities taken over according to Art.14.3. are not included."
Art.3. The Act of January 31, 1989 on Narodowy Bank Polski /J.L. of 1992 no. 72, item 360/ is amended as follows:
1/ in Art. 30.3., words "the state-cooperative" are deleted,
2/ in Art. 52, pt.4, words "banks and" are deleted,
3/ in Art. 54.1., pt.4 is deleted,
4/ in Art. 79 in item 1., words "June 30, 1992" are replaced by words "March 31, 1993".
Art.4. The Act becomes effective within 14 days from its announcement.
President of the Republic of Poland: L. Walesa