Hungary: KELER announced retroactive CSDR penalties from February 2022
Clearstream Banking1 would like to inform customers effective
that the European Securities and Markets Authority (ESMA) now requires KELER to calculate, collect and distribute the penalties for failed transactions starting from 2 February 2022, even though KELER initially postponed its SDR penalty mechanism until 2 May 2022.
Impact on customers
Due to the ESMA resolution, KELER is obliged to collect and distribute penalties for all settlement instructions that have failed from the original deadline of 1 February 2022.
KELER plans to continue the full operation of the penalty mechanism according to the new schedule from 2 May 2022. However, for the transitional period, that is, for the months of February, March and April 2022, the penalties will be settled in one sum ex-post.
By 31 May 2022, KELER will prepare the details of the penalties for the three months concerned in a consolidated form. This will be made available to Clearstream Banking in an Excel file. Once available, Clearstream Banking will send it to customers by email.
The deadline for appeals against the three month of penalties is 30 June 2022.
Following the appeal deadline and any amendments, penalties will be collected and distributed until 31 July 2022.
Clearstream Banking will keep its customers informed of any further details in the coming weeks.
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for Clearstream Banking AG customers using Creation Accounts), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany, and registered in Register B of the Amtsgericht Frankfurt am Main, Germany, under number HRB 7500.