Bishkek 

dated July 23, 2002 No.122  

The Kyrgyz Republic Law on Banking Secrecy  

(In edition of the KR Laws dated October 17, 2008, No.216; October 17, 2008, No.231, May 19, 2009 No.160) 

Article 1. Regulation subject of the present Law  

The Present Law determines the information, constituting the banking secrecy; regulates relations, appearing due to assignment of the information to the banking secrecy; establishes the procedure of storage, protection, publishing and delivery of the information as well as responsibility for violation of the banking secrecy legislation.  

Article 2. Banking secrecy legislation  

Relations, related to the banking secrecy are regulated by the present Law as well as by other normative and legal acts of the Kyrgyz Republic. 

Article 3. The present Law operation bounds 

Provisions of the present Law are effective for the National Bank of the Kyrgyz Republic, banks (including foreign ones) and financial-and-credit institutions, licensed by the National Bank of the Kyrgyz Republic, including their branches and representative offices, acting on the territory of the Kyrgyz Republic (hereinafter referred to as banks), as well as for all legal entities and individuals regardless their ownership forms, which have received the information, constituting the banking secrecy or being informed about it, in accordance with the present Law.      

Article 4. Banking secrecy 

Banking secrecy includes the information about accounts (deposits) of a client (correspondent), which have become disclosed to a bank due to its servicing, the information about a client himself, the information about clients of other banks, which have become disclosed due to information exchange between banks as well as other information, which has been entrusted or disclosed to a bank within the business process between a bank and client.  

Article 5. Third parties 

For the purpose of the present Law, third parties include all other entities, except for a bank, its client and the National Bank of the Kyrgyz Republic as well as authorized agency on prevention of terrorism financing and legalization (washing out) of income, received by illegal way. 

(In edition of the Kyrgyz Republic Law No.160, dated May 19, 2009)  

Article 6. Violation of banking secrecy 

1. Violation of the banking secrecy is publishing or distribution in spoken or written, through mass media or by any other means, the information which constituting the banking secrecy, communication of the information to third parties, direct or indirect enabling third parties to get such information, specifically: permission, non-prevention or providing possibilities for such cases as a result of the information storage procedure violation.  

2. Banking secrecy does not include provision of messages or the data by a bank, which constitutes banking secrecy to the authorized agency on prevention of terrorism financing and legalization (washing out) of income, received by illegal way as well as to the entities, providing auditing, juridical, bookkeeping and other consultative or representative services to a bank or performing specified works for a bank if this is required for performance of this service or work. At that those entities are obliged to restrain from activity or inactivity, established by the Article 9 of the present Law.  

(In edition of the Kyrgyz Republic Law No.160, dated May 19, 2009) 

Article 7. Prohibition of the banking secrecy violation  

1. It is prohibited to disclose the information, constituting the banking secrecy, by an individual, organization, governmental body or official, to whom such information has been disclosed, who has obtained the information due to official duties, performance of works or provision of services or if the information has been provided in accordance with the present Law.  

2. The National Bank of the Kyrgyz Republic has no right to disclose the information, constituting the banking secrecy and received by the Bank from reports of other banks as well as a result of performing licensing, supervisory and monitoring functions, excluding the cases, provided by the Kyrgyz Republic legislation.  

3. Auditing organizations have no right to disclose to third parties the information, constituting the banking secrecy and received by them in the course of monitoring and auditing inspections of a bank and its clients, excluding the cases, provided by the Kyrgyz Republic legislation.  

Article 8. Protection, storage and publication of banking secrecy  

1. Banks guarantee protection of the information, constituting the banking secrecy. 

2. Managers and officials of the National Bank of the Kyrgyz Republic (including former employees), as well as individuals, providing or having provided services to the bank and performing (having performed) various works to the bank, are prohibited to disclose the information, constituting the banking secrecy and entrusted or disclosed to them. It is prohibited for them to use this information in personal interests or in interests of third parties as well as direct or indirect provision of the possibility to use this information by third parties, including: permission, non-prevention or providing possibilities for such cases as a result of the information storage procedure violation.  

3. The National Bank of the Kyrgyz Republic, banks, governmental bodies, auditing organizations and other legal entities, should take all necessary organizational, legal and technical measures on protection from unauthorized access to the information, constituting the banking secrecy.  

4. A bank may disclose in court the information about a client, constituting the banking secrecy, in cases and limits, required for protection of its rights and legal interests as well as for settling arguments between a bank and a client. On application of a bank or its client, court session may be closed.    

Article 9. Provision of the information, constituting banking secrecy  

1. Provision of the information, constituting the banking secrecy – is the provision of such information to third parties only in cases and on the basis of reasons, provided by the present Law.  

2. Third parties, excluding banks, to whom such information has been disclosed or entrusted due to official duties, have no right to provide such information to someone else.  

The National Bank of the Kyrgyz Republic has not right to provide the information, constituting the banking secrecy and received in the process of business relations with banks, to governmental bodies (the Audit Chamber of the Kyrgyz Republic, the State Tax Inspection and others), to officials, citizens or other individuals, except for the cases, provided by the Law.  

Article 10. Provision of the information, constituting banking secrecy to legal investigation authorities, court and other governmental bodies  

1. The information, constituting the banking secrecy, may be provided to banks on the basis of judicial act, issued in accordance with the adjective legislation of the Kyrgyz Republic. 

2. Banks provide the information, constituting the banking secrecy, to governmental body for the following purposes:  

1) to prevent terrorism financing and legalization of the money, received by illegal way, only on the basis of special law, regulating such legal relations; 

2) to provide control over tax imputation and payment. 

(in the edition of the KR Law No.231, dated October 17, 2008). 

Article 11. Provision of the information, constituting banking secrecy to lawful heirs of a client 

1. The information, constituting the banking secrecy may be provided by banks to lawful heirs of a client, if those heirs or their legal representatives have provided sufficient documents in corroboration of their rights of inheritance (law of succession).  

2. Rejection of a bank to provide the information may be appealed against in the court. Damage, impaired to appealed individuals by groundless rejection to provide the documents, is liable to be covered in full, in case if rejection is found ungrounded.  

Article 12. Circulation of the information, constituting banking secrecy, between banks  

1. Banks for the purpose of protection of their activity, credit recovery and other investments may exchange the information about clients between themselves, even if this information constitutes the banking secrecy.  

2. The National Bank of the Kyrgyz Republic has the right to receive and survey the information about banks’ clients, even if it constitutes the banking secrecy, in the course of supervisory functions performance and if this information is required for assessment of banks’ assets and liabilities.  

Article 13. Rejection to provide the information, constituting banking secrecy  

A bank and The National Bank of the Kyrgyz Republic are obliged to refuse to provide the information, constituting the banking secrecy, if a request does not correspond with the present Law provisions.  

Article 14. Responsibility for the Present Law requirements breach  

1. Damage, impaired to a bank’s client in consequence of the Present Law requirements breach, is liable to full recovery in accordance with the legislation.  

2. Individuals, guilty for the Present Law requirements breach, bear responsibility in accordance with the Kyrgyz Republic legislation.  

Article 15. Coming of the present Law into effect  

The present Law comes into effect from the date of its official publication.  

The Law was published in Erkin-Too newspaper No.58 on August 2, 2002.  

Article 16. Adjustment of the Kyrgyz Republic normative and legal acts in accordance with the present Law  

Normative and legal acts of the Kyrgyz Republic are liable for adjustment in accordance with the present Law.  

President of the Kyrgyz Republic Akaev A.  

Accepted by the legislative assembly of the Kyrgyz Republic Jogorku Kenesh on June 13, 2002  

Approved by the assembly of popular representatives of the Kyrgyz Republic Jogorku Kenesh on July 3, 2002. 

Law of the Kyrgyz Republic “On banking secrecy ”  

Article 3. 

Provision of the present Law is applied for the National Bank of the Kyrgyz Republic, banks (including foreign ones) and financial-credit institutions, licensed by the National Bank of the Kyrgyz Republic, their branches and representative offices (hereinafter referred to as banks), acting on the territory of the Kyrgyz Republic as well as for all individuals and legal entities irrespective of ownership forms, which constitute the banking secrecy or have been informed about it in accordance with the present Law.  

Article 5.  

For the purpose of the present Law, third parties include all other entities, except for a bank, its client and the National Bank of the Kyrgyz Republic as well as authorized agency on prevention of terrorism financing and legalization (washing out) of income, received by illegal way. 

(In edition of the Kyrgyz Republic Law No.160, dated May 19, 2009)  

Article 6. 

2. Banking secrecy does not include provision of messages or the data by a bank, which constitutes banking secrecy to the authorized agency on prevention of terrorism financing and legalization (washing out) of income, received by illegal way as well as to the entities, providing auditing, juridical, bookkeeping and other consultative or representative services to a bank or performing specified works for a bank if this is required for performance of this service or work. At that those entities are obliged to restrain from activity or inactivity, established by the Article 9 of the present Law.  

(In edition of the Kyrgyz Republic Law No.160, dated May 19, 2009)