On September 28, Law No. 21.374 (the “Law”) was published in the Official Gazette, which amends Law No. 20.712 on the administration of third party funds and individual portfolios, in relation to the destination of certain funds to the Chilean Fire Department.
The Law includes a new art. 26 bis, which establishes that the money of the funds (whether mutual or investment funds), not collected by the respective participants for a period of 5 years from the liquidation of the corresponding fund, must be delivered to the National Board of Firefighter Corps of Chile.
In addition, it adds that in order to comply with the above, the fund administrator must maintain such resources in time deposits with indexed interest rates after 1 year has elapsed since the funds have not been collected by the respective participants.
Finally, the Law also adds that the money corresponding to dividends, capital distributions and any other cash benefits that have not been collected by the respective participants of the funds liquidated more than 5 years after the entry into force of this law, may be delivered to the National Board of Firefighters of Chile, indicating the procedure for this purpose.