Venezuela: COVID-19 - Continuation of activities of the Securities Market under the 7+7 easing timetable of the COVID-19 quarantine

In brief

The Office of the National Superintendent for Securities (NSS) issued Notice No. DSNV/CJU/00520 of June 14, 2020,[1] whereby it established the guidelines to continue the activities of the securities market, under the Easing Measures for the National Quarantine Plan (7+7) and the Constitutional State of Alarm generated by the COVID-19 pandemic (“Notice”).

The Notice applies to security brokers, brokerage houses, stock exchanges and other subjects regulated by the Decree with Rank, Value and Force of Securities Market Law (“Subjects”).

The 7+7 easing timetable consists of a cycle of seven quarantine days and seven easing days, until a vaccine for COVID-19 is found. The Subjects will work and have customer service activities solely in a determined schedule within the seven easing days. The 7+7 easing timetable may be subject to change by the National Executive.


Easing period

Work regime

During the easing days, the Subjects will work from Monday to Friday, in a schedule from 9:00 AM to 1:00 PM starting from June 15, 2020[1], with the personnel strictly necessary to carry out customer service to the public, investors and companies issuing securities, to prevent concentrations of people in their installations and the risk of spreading COVID-19.

Compliance with health measures

  1. The Subjects must comply with the measures issued by the National Executive and the World Health Organization, including, but not limited to: using masks, maintaining social distancing of 1.5 mt. (4.92 ft.), take the temperature of persons who enter installations, and that all persons must use antibacterial gel when entering installations, among others.
  2. The Subjects must also implement hygiene, disinfection and cleaning measures in their installations, especially in spaces of major human use (e., elevators, restrooms, sinks and doors).

Non-present customer service guarantee

The Subjects must continue facilitating the use of electronic methods of communication between employees and clients (e., emails, social media, video calls, video conferences, telephones), and promote efficient telework methods, to reduce massive assistance to administrative offices.

Exceptions

The Subjects in municipalities under special regime, such as those located in frontiers with other countries, are not subject to the 7+7 easing period.

Strict quarantine period 

Suspension period

Starting from Monday, June 22, 2020, the strict quarantine period will begin for seven continuous days, according to the measures issued by the National Executive.

Suspension of direct-contact activities

During the strict quarantine period, the Notice suspends direct-contact activities of customer service to the public, investors and companies that issue securities. Therefore, the Subjects must work remotely and electronically to attend the public, investors and companies that issue securities.

Customer service guarantee

To guarantee customer service to users during the strict quarantine period, the Subjects must guarantee that their electronic platforms and technological solutions maintain their continuity and working methods to issue, negotiate, place, take custody, transfer and liquidate securities.

The National Executive approved on June 20, 2020, new prevention measures to mitigate the spread of COVID-19 in 10 states, including the Capital District.  In this sense, the NSS issued a statement on June 21, 2020[2] in which it reiterates the guidelines of the Notice in the section "Strict quarantine period".

Spanish version

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[1] The NSS issued the Notice based on articles 3, 94 and 98 of the Decree with Rank, Value and Force of the Securities Market Law (Official Gazette No. 6,211 of December 30, 2015), articles 9 and 12 of the Decree No. 4,198 that declares the State of Alarm (Official Gazette No. 6,535 of May 12, 2020) and by virtue of the incorporation of the securities sector into the Easing Measures of the National Quarantine Plan (7+7).

[2]V. Statement of the NSS of June 21, 2020 at: https://twitter.com/Sunaval_Oficial/status/1274769844425175042, consulted on June 22, 2020.


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