Article 1(Purpose) #
The purpose of this Decree is to provide for matters delegated by the Public Capital Redemption Fund Act and those necessary for the enforcement thereof.
[This Article Wholly Amended on Nov. 20, 2012]
Article 2(Definition of debts of fund for redemption of deposit insurance fund bonds and non-performing loan resolution fund) #
"Bonds prescribed by Presidential Decree" in subparagraph 1 of Article 2 of the Public Capital Redemption Fund Act (hereinafter referred to as the "Act") means any of the following bonds determined and publicly notified by the Financial Services Commission in consultation with the Minister of Planning and Budget: <Amended on Feb. 17, 2022; Dec. 30, 2025>
1. Among the bonds to be repaid with the non-performing loans resolution fund under Article 38 of the Act on the Establishment of Korea Asset Management Corporation (hereinafter referred to as the "non-performing loans resolution fund"), a bond within the limit of 3.3 trillion won in face value;
2. A bond with the par value of not more than the amount of money computed by deducting that of any other bond provided in subparagraph 1 from 49 trillion won, which is bound to be redeemed out of the Fund for Redemption of Deposit Insurance Fund Bonds established under Article 26-3(1) of the Depositor Protection Act (hereinafter referred to as the "Fund for Redemption of Deposit Insurance Fund Bonds").
[This Article Wholly Amended on Nov. 20, 2012]
Article 3(Financial resources of public capital redemption fund) #
"Funds provided for by Presidential Decree" in Article 3(2)8 of the Act means funds received after the settlement (including the assets in kind, where the funds are received in kind under the proviso to Article 3(2) of the Addenda to the Enforcement Decree of the Act on the Efficient Disposal of Non-Performing Assets of Financial Institutions and the Establishment of Korea Asset Management Corporation enacted by Presidential Decree No. 15511) among funds contributed to the Non-Performing Loan Resolution Fund and the Fund for Redemption of Deposit Insurance Fund Bonds out of the Public Capital Redemption Fund (hereinafter referred to as the "Fund") under Article 4(2) and (3) of the Act.
[This Article Wholly Amended on Nov. 20, 2012]
Article 4(Entrustment of affairs relating to administration and management of the fund) #
(1) The Financial Services Commission shall entrust affairs relating to the administration and management of the Fund to the Governor of the Bank of Korea under Article 4(4) of the Act.
(2) The Governor of the Bank of Korea shall report the details of raising and administration of the Fund of each month to the Financial Services Commission by no later than the 20th day of the following month.
(3) The Governor of the Bank of Korea shall submit a report on the settlement of accounts of the Fund of each fiscal year to the Financial Services Commission together with the following documents no later than February 20 of the following fiscal year: <Amended on Jan. 5, 2021>
1. Documents relating to general conditions and analyses of the Fund;
2. Statement of financial position;
3. Income statement;
4. Documents specifying revenues and expenditures in cash, such as revenue and expenditure accounts;
5. Other documents related to the settlement of accounts of the Fund.
(4) If necessary for the smooth management and sale of assets in kind referred to in Article 3, the Financial Services Commission may demand the Governor of the Bank of Korea to assign a person selected through deliberation by the Public Funds Oversight Committee established under Article 3(1) of the Special Act on the Management of Public Funds (hereinafter referred to as the "Committee") from among the following persons to deal with the affairs relating to the management and sale of the assets in kind on behalf of the Governor of the Bank of Korea: <Amended on Feb. 17, 2022>
1. The Korea Deposit Insurance Corporation (hereinafter referred to as the "Korea Deposit Insurance Corporation") established under the Depositor Protection Act;
2. The Korea Asset Management Corporation under the Act on the Establishment of Korea Asset Management Corporation (hereinafter referred to as the "Korea Asset Management Corporation");
3. The Korea Development Bank established under the Korea Development Bank Act;
4. Other persons acknowledged by the Committee as appropriate for dealing with the affairs relating to the management and sale of assets in kind.
(5) When the Governor of the Bank of Korea intends to assign a person selected under paragraph (4) (hereinafter referred to as "agency") to deal with affairs relating to the management and sale of assets in kind, he or she shall conclude an agency contract with the agency which includes the following matters:
Article 5(Contribution to Fund) #
(1) "Ratio provided for by Presidential Decree" referred to in Article 5(4) of the Act means 1/1000.
(2) "Amount of money provided for by Presidential Decree" in Article 5(5) of the Act means the amount of money calculated by applying mutatis mutandis Article 16-4(3) of the Enforcement Decree of the Depositor Protection Act, and "ratio provided for by Presidential Decree" in Article 5(5) of the Act means 1/1000. <Amended on Jun. 23, 2020>
(3) The amounts of money referred to in Article 5(4) and (5) of the Act shall, within three months after the expiration of each fiscal year, be contributed to the Fund from the special accounts for postal savings and the special accounts for postal insurance, respectively.
[This Article Wholly Amended on Nov. 20, 2012]
Article 6(Plans for redemption of principal of and interest on public funds) #
Specifications of and plans for the redemption of public funds which the Financial Services Commission submits to the National Assembly under Article 8 of the Act shall include specifications of the redemption of public funds in the relevant year as well as public funds subject to the redemption and plans for raising financial resources for such redemption in the following year.
[This Article Wholly Amended on Nov. 20, 2012]
Article 7(Institutions to temporarily lend funds) #
"Institutions provided for by Presidential Decree" referred to in Article 9 of the Act means insured financial companies as defined in subparagraph 1 of Article 2 of the Depositor Protection Act. <Amended on Mar. 11, 2016>
[This Article Wholly Amended on Nov. 20, 2012]
Article 8(Fund Administration Council) #
(1) The Fund Administration Council established under Article 10 of the Act (hereinafter referred to as the "Council") shall be comprised of no more than ten members, including one chairperson.
(2) The chairperson shall be the vice chairperson of the Financial Services Commission.
(3) Members shall fall under any of the following persons: <Amended on Oct. 1, 2025>
1. A Grade III public official of the Financial Services Commission or public official in general service belonging to the Senior Civil Service Corps who is in charge of the management of the Fund;
2. A Grade III public official of the Ministry of Planning and Budget or public official in general service of the Senior Executive Service who is appointed by the Minister of Planning and Budget;
3. Assistant Governor of the Bank of Korea in charge of the management of the funds;
4. An executive of the Korea Deposit Insurance Corporation in charge of the management of the Fund for Redemption of Deposit Insurance Fund Bonds;
5. An executive of the Korea Asset Management Corporation in charge of the management of the Non-Performing Loan Resolution Fund;
6. A person deemed to have abundant professional knowledge and experience relating to the management or administration of the Fund and who is appointed by the Financial Services Commission.
(4) The term of office of each member falling under paragraph (3)6 shall be 2 years.
(5) Where a member appointed under paragraph (3)6 falls under any of the following cases, the Financial Services Commission may withdraw his or her appointment: <Added on May 10, 2016>
1. Where a person becomes unable to perform his or her duties due to mental or physical disability;
2. Where he or she has committed any malfeasance in relation to his or her duties;
3. Where he or she is deemed disqualified as a member due to neglect of duties, injury to dignity, or any other reason;
4. Where he or she indicates his or her intention that it is impracticable to perform his or her duties.
(6) "Bonds prescribed by Presidential Decree" in subparagraph 1 of Article 2 of the Public Capital Redemption Fund Act (hereinafter referred to as the "Act") means any of the following bonds determined and publicly notified by the Financial Services Commission in consultation with the Minister of Planning and Budget: <Amended on Feb. 17, 2022; Dec. 30, 2025>