Guidelines for implementing Circular No. 419 concerning D/A-O/A imports

MANILA

office of the deputy governor Banking Services Sector Research and Treasury

CIRCULAR-LETTER

Series of 2004

Guidelines for implementing Circular No. 419 Concerning D/A-O/A imports

1. Authorized Agent Banks (AABs) upon receipt of their importer-clients' Report

open account (O/A) shall report the same under the revised Schedule 10 of Goods Imported (RGl) under documents against acceptance (D/A) and

(Import Letters of Credit (U/Cs) Opened and DIA-OIA import Avaiiments and Extensions) and upon' payment thereof under Schedule 11 (Import Payments), both Schedules of FX Form 1 (Consolidated Report on Foreign Exchange Assets and Liabilities);

2. Within five (5) banking days after the end of the reference week, the hard

copy of the following shalt be submitted to the BSP International Operations Department (IOD):

a Schedule 10 together with the original duly accomplished Record of Goods Imported and, for DA/OA imports exceeding US$10,000 or its

equivalent, a copy of the commercial invoice, bili of lading (B/L.) or airway bill (AWB) and/or other appropriate documents required under BSP Circular-Letter dated January 24, 2002, for post-audit and validation purposes; and

b. Schedule 11 if it involves D/A-O/A partial payments indicating such

partial payments with an asterisk and as footnote the amount in original currency and US dollar eguivalent thereof:

3. The FX Form 1 report of AABs to BSP with all its Schedules inciuding revised Schedule 10 and 11, shall continue to be submitted to in accordance with existing rules;

4. Each D/A-O/A importation shall be assigned by the reporting AAB its unique Bank Reference Number (BRN) incorporating thereon its bank code and

reporting payment of the same importation; such BRN reference number shouid aiso be used by the remitting AAB when

5. if the currency of payment is not US Doliar, the US dollar equivaient to be reported under said Schedule 10 shall be computed at the exchange rate quoted in the daily BSp Treasury Department Reference Exchange Rate

Bulletin issued on report date:

6. Extensions of maturity date shail be reported under said Schedule 1o and

shall be supporied by documents, required under, and subiect to, BsP Circular-Letter dated October 30, 2001;

7. tn case of an O/A importation where the foreign exchange (FX) selling and

remitting AAB is not the reporting AAB, the seiling and remitting AAB shall, documents under item ii.a of Circuiar-Letter dated January 24, 2002; and (2) prior to Fx sale, require the submission of the following: (1) required

certification from the reporting bank as to the remaining unpaid balance of the O/A importation and that the O/A importation has been duly reported to authorized officer with a rank of at ieast Assistant Vice President. The FX BSP with the BRN indicated thereon duly signed by the reporting bank's

and shall cormply with Circuiar Letter dated June 27, 2003 on FX sale for O/A selling and remitting bank shall report such payment under said Schedule 11

importation by an AAB other than the registering (now reporting) AAB;

8. The AAB reporting the D/A-O/A avaiiment shall verify the importer code of a new importer with the BSP IOD to avoid invaid entries and unreconciled importer name under Schedule 10; and

9. Penalty provisions under Circular-Letter dated July 23, 2001 shail apply to banks that seii FX for servicing DIA-O/A importations that were not previously reported to the BSP under the prescribed Scheduie 10 of FX without payment of required Bsp Form 1 or were reported later than ten (10) calendar days before due date processing fee. The existing penalty

provisions under BSP Circuiar No. 194 dated March 30, 1999 and Circular- letter dated August 29, 2001 shall continue to be imposed on late, erroneous or incomplete reports, inicluding amended reports.

AMANDO M. TETANGCO, JR Deputy Governor

February 9 204