In accordance with the amendment of Article 19 of the Delegated Regulation (EU) 2018/1229 on Settlement Discipline Regime (‘SDR’), as regards the penalty mechanism for settlement fails relating to cleared transactions submitted by CCPs for settlement, with effect from September 2, 2024, the Central Securities Depository (‘CSD’) will be responsible for calculating and managing the collection and distribution of penalties to be applied.
BME CLEARING will not make any action or management in this regard.
It applies to the failed seller a penalty of 1 bps plus a fixed administrative cost of 1.000 euros for each Failed Settlement Instruction to which Buy-in process is executed (without taking into account number of attempts or buy-ins), or Cash Settlement.