Unofficial Translation 10 February B.E.2543The Manager All Finance Companies and Credit FoncierCompanies No. FPG. (01) C. 19/2543 Re: Notification of the Ministry of Finance Re: The usage of the Internet network for undertaking of finance companies and credit foncier companies' business Herewith attached is the notification of the Ministry of Finance regarding the usage of the Internet network for undertaking of finance companies and credit foncier companies' business issued as of 27 January B.E. 2543 which was published in the Government Gazette, General Issue, Volume 117, Special Part 11 Ngor, dated 4 February B.E. 2543. The essence of this notification is that any usage of the Internet network for undertaking of finance companies and credit forcier companies' business, at the stage of entering into any agreements or juristic acts, shall obtain prior permission from the Bank of Thailand. For conformity, finance companies and credit foncier companies shall submit the application for permission in the form attached herewith. The Bank of Thailand will consider a permission from all the details notified in the application form as stipulated in the notification of the Ministry of Finance. Please be informed and comply with the notification. Regards, (Mrs. Salinee Wangtan) Acting Senior Director Financial Institutions Policy Department Financial Institutions Policy Group for GovernorEnc: The notification of the Ministry of Finance regarding the usage of the Internet network for undertaking of finance companies and credit froncier companies ' businessFinancial Institutions Policy Department, Tel: 283-6418, 283-5079Remarks: [ ] The Bank of Thailand will arrange a meeting to clarify on………. at……….. [ x ] No meeting for clarification will be arranged. Notification of the Ministry of Finance Re: The usage of the Internet network for undertaking of finance companies and credit foncier companies' business By virtue of the provision of Section 20(6) of the Act on the Undertaking of the Financial Business, Securities Business and Credit Foncier Business B.E. 2522, as amended by the Emergency Decree Amending the Act on the Undertaking of Finance Business, Securities Business and Credit Foncier Business B.E. 2522 (No.2) B.E. 2528, and the first paragraph of Section 54(4) of the Act on the Undertaking of Finance Business, Securities Business and Credit Foncier Business B.E.2522, the Minister of Finance hereby issues regulations for permission finance companies and credit foncier companies to use the Internet network for undertaking of finance companies and credit foncier companies' business as follows:Article 1: Finance companies and credit foncier companies may use the Internet network to give information in the same manner as advertising or to disseminate business services being offered and related matters, such as loan application procedure and form, necessary accompanying documents, promissory note application form, interest rate, etc., either generally or particularly to a specific customer, without obtaining permission from the Minister of Finance.Article 2: At the stage of entering into any agreements or any juristic acts, including transferring of funds or receiving the funds transferred or any other transactions incidental to such agreements or juristic acts, by using the Internet network for undertaking of finance companies and credit foncier companies' business, it is required to obtain prior permission from the Bank of Thailand. In applying for permission, finance companies and credit foncier companies shall submit the following information: (1) Types and scope of services/transactions to be offered. (2) A plan that outlines measures to support business operation over the Internet network. At the minimum, the plan shall include security measures for the system and data, risk assessment, contingency plan in time of emergency, system technology development, staff training development, internal control and measure against possible legal problems taking into consideration for the rights and the benefits of customers. Finance companies and credit foncier companies shall readily provide further explanation or take further action if so requested by the Bank of Thailand. (3) Finance companies and credit foncier companies shall render to their customers documents/evidence of the Internet transactions for legal purposes and retain copies for verification by the Bank of Thailand.Article 3: In applying for permission, finance companies and credit foncier companies shall submit the application in the form specified. Unless the Bank of Thailand objects or demands further information in writing, the permission shall be deemed granted after 60 days from the date of application.Article 4: This notification shall come into force after the date of its publication in the Government Gazette. Given on 27th January B.E. 2543 Mr. Tarrin Nimmanahaeminda Minister Ministry of Finance Application form of the usage of the Internet network for undertaking of finance companies and credit foncier companies' business At…………… Date:……………………Dear Governor of the Bank of Thailand We,……………………………would like to ask permission for the usage of the Internet network for undertaking the business. Included here to are the details of the types and scope of our services/transactions : (1)………………………………………. (2)………………………………………. (3)………………………………………. (4)………………………………………. (5)……………………………………… Should further information be required by the Bank of Thailand, we willingly agree to clarify and/or send any documentary evidence as requested. In addition, we agree to strictly follow any terms of condition issued by the Bank of Thailand, whether it is issued pior to or after the permission has been granted, which urge or prohibit us from conducting some actions. Reported for your consideration. Sincerely Yours, (……………………) Authorized Signature of Financial Institution Relevant documentary evidence for the application of the usage of the Internet network for undertaking of finance companies and credit foncier companies' businessDocuments which have to be submitted in conjunction with the application form are as follows: 1.Types and scope of services/transactions executing through the Internet network, which include the details such as: procedure, duration, fee, and condition terms. 2.A plan that outlines measures to support business operation over the Internet network. At the minimum, the plan shall include the following information: 2.1 Security measures for the system and data (please indicate technology types) 2.2 Risk assessment 2.3 Contingency plan in time of emergency 2.4 System technology and security development 2.5 Staff training development 2.6 Internal control 2.7 Measures against possible legal problems which take into consideration for the rights and benefits of customers 3.Documentary evidence for transactions executed through the Internet networkFurther information can be obtained from Financial nstitutions Policy Department Tel: 283-6418, 283-5079Fax: 283-5983E-mail: [email protected]