Home / CY AIF Law of 2018 / PART ΙΙ: PROVISIONS REGARDING THE ALTERNATIVE INVESTMENT FUNDS / Chapter 6: AIF depositary / [32] Resignation of the depositary.

32. Resignation of the depositary.

(1) Where the depositary intends to resign from its tasks, it shall notify its intention, in writing, to the external manager or the AIF, in case it is internally managed, at least three (3) months before its resignation becomes effective.

(2) The external manager of the AIF or the AIF, in case it is internally managed, shall communicate the resignation of the depositary to the Securities and Exchange Commission immediately, and shall propose a new depositary, which satisfies the requirements of articles 26(3) or (4), to replace the resigning depositary.

(3) Where the external manager or the AIF, in case it is internally managed, unjustifiably delay proposing a new depositary which satisfies the requirements of articles 26(3) or (4), the resigning depositary shall propose a new depositary.

(4) The Securities and Exchange Commission shall either approve the choice of depositary or demand from the external manager or the AIF, in case it is internally managed, or the resigning depositary, to propose a new depositary.

(5) The resigning depositary shall, following the appointment of a new depositary, transfer all assets under its custody belonging to the AIF to the new depositary, as well as all necessary documents for the performance of its tasks by the new depositary.

(6) The resigning depositary shall continue to perform its tasks until the new depositary has fully taken over its tasks.

(7) The resignation and replacement of the depositary shall entail the amendment of the AIF’s offering document and fund rules or instruments of incorporation.