Information on the procedure and manner of payment of compensation to the clients of …………………………………

Investor Compensation Fund (ICF) provides compensation to the clients of an investment intermediary in the cases specified in Art. 77b, para. 1, Art. 77c, para. 1 or Art. 77о, para. 3 of the Law on Public Offering of Securities (LPOS).

The claim for payment of compensation shall be raised in writing to the Fund within a period of one year after the publishing of the announcement by the Fund, i. e. as of ……………….

The Fund provides compensation to every client of an investment intermediary at the rate of 90 per cent of the amount of clients’ assets, but not more than BGN 40 000.

The Fund pays compensation only in BGN.

The procedure for claim consideration and payment of compensation by the ICF is as follows:

1.

The Fund verifies the regularity of the claim for payment of compensation

(respectively when there is incompleteness and inconsistencies the client must resolve those or provide additional information and data)

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Within 10 days from the date on which the claim is received

 

2.

Any claim for payment of compensation shall be sent officially to the quaestor, liquidator or receiver for a standpoint

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Within 7 days from the date on which the claim is received. If the claim is inconsistent/incomplete within 7 days from the date on which all inconsistencies have been resolved

3.

Receiving a written statement by the quaestor, liquidator or receiver on the merits of the claim for payment of compensation

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Within 30 days from the date of receiving the claim by the Fund

4.

The Fund reviews the claim and takes a decision to pay out compensation

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When the reason and amount of each client’s claim is established, but not later than 3 months

5.

The amount is paid by ………………………… after the client has submitted to the banks the decision, received from the Fund

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Sample templates

Claim for payment of compensation of natural person from the Investor Compensation fund

Claim for payment of compensation of legal entity from the Investor Compensation Fund

 


Mandatory declarations

Declaration for natural person, according to Art. 77d, para. 2, items 2, 4, 13 and 14, para. 3 and Art. 77w of LPOS

Declaration for legal entity, according to Art. 77d, para. 2, items 2, 13 and 14 of LPOS

 

Additional information for the terms and manners of the payment of compensation can be found here.