http://www.legislation.gov.uk/eur/2012/282/chapter/III/adoptedCommission Implementing Regulation (EU) No 282/2012 of 28 March 2012 laying down common detailed rules for the application of the system of securities for agricultural products (codification) (repealed)Commission Implementing Regulation (EU) No 282/2012 (repealed)Commission Implementing Regulation (EU) No 282/2012 of 28 March 2012 laying down common detailed rules for the application of the system of securities for agricultural products (codification) (repealed)2020-12-13King's Printer of Acts of Parliamenthttps://webarchive.nationalarchives.gov.uk/eu-exit/https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32012R0282texttext/xmlen CHAPTER III <Strong>FORM OF SECURITIES</Strong> Article 7 1 A security may be given by: a making a cash deposit as referred to in Articles 12 and 13; and/or b providing a guarantor as defined in Article 15(1). 2 At the discretion of the competent authority, a security may be given by: a providing a mortgage; and/or b pledging cash deposits in a bank; and/or c pledging recognised claims against a public body or public funds, which are due and payable and against which no other claim has precedence; and/or d pledging securities negotiable in the Member State concerned provided they are issued or guaranteed by that Member State; and/or e pledging bonds, issued by mortgage credit associations, listed on a public stock exchange and for sale on the open market, provided that their credit rating ranks equal with that of government bonds. 3 The competent authority may impose additional terms for accepting securities of the type listed in paragraph 2. Article 8 The competent authority shall refuse to accept or shall require the replacement of any security which it considers inadequate or unsatisfactory or which does not provide cover for a sufficient period. Article 9 1 Assets mortgaged in accordance with Article 7(2)(a) or securities or bonds pledged in accordance with Article 7(2)(d) and (e) shall, at the time the security is given, have a disposable value of at least 115 % of the value of the security required. A competent authority may accept a security of the type listed in Article 7(2)(a), (d) or (e) only if the party offering it undertakes, in writing, either to give an additional security or to replace the original security should the disposable value of the assets, securities or bonds in question have been for a period of three months below 105 % of the value of the security required. This written undertaking shall not be necessary where national law already so provides. The competent authority shall regularly review the value of such assets, securities or bonds. 2 The disposable value of a security as referred to in Article 7(2)(a), (d) and (e) shall be assessed by the competent authority, taking, into account any costs of disposal. The disposable value of securities or bonds shall be assessed using the last available quotation. The party giving the security shall, at the request of the competent authority, provide proof of its disposable value. Article 10 1 Any security may be replaced by another. However, the agreement of the competent authority shall be required in the following cases: a where the original security has been forfeited but not yet realised; or b where the replacement security is of a type listed in Article 7(2). 2 A block security may be replaced by another block security on condition that the new block security covers at least that part of the original block security assigned at the time of replacement to ensure fulfilment of one or more obligations still outstanding. Article 11 1 Securities as referred to in Article 1 shall be constituted in euro. 2 Notwithstanding paragraph 1, where the security is accepted in a Member State outside the euro area, in national currency, the amount of the security in euro shall be converted into that currency in accordance with Article 10 of Regulation (EC) No 1913/2006. The undertaking corresponding to the security and any amount withheld in the event of irregularities or breaches shall remain fixed in euro. Article 12 Where cash is deposited by transfer it shall not be regarded as establishing a security until the competent authority is satisfied that it has the amount at its disposal. Article 13 1 A cheque for a sum whose payment is guaranteed by a financial institution recognised for the purpose by the Member State of the competent authority concerned shall be treated as a cash deposit. The competent authority need not present such a cheque for payment until the period for which it is guaranteed is about to expire. 2 A cheque, other than as referred to in paragraph 1, shall constitute a security only when the competent authority is satisfied that it has the amount at its disposal. 3 Any charges by a financial institution shall be borne by the party giving the security. Article 14 No interest shall be paid to the party giving a security in the form of a cash deposit. Article 15 1 The guarantor shall have his normal residence or an establishment in the Union and, subject to the provisions of the Treaty concerning freedom to supply services, be approved by the competent authority of the Member State in which the security is given. The guarantor shall be bound by a written guarantee. 2 The written guarantee shall state at least: a the obligation or, in the case of a block security, the type(s) of obligation against whose fulfilment it guarantees the payment of a sum of money; b the maximum liability to pay that the guarantor accepts; c that the guarantor undertakes jointly and severally with the party responsible for meeting the obligation to pay, within 30 days of demand by the competent authority, any sum, within the limit of the guarantee, due once a security is declared forfeit. 3 The competent authority may accept a written telecommunication sent by the guarantor as constituting a written guarantee. If the competent authority does so accept, it shall take whatever steps are required to satisfy itself that the telecommunication is genuine. 4 Where a written block guarantee has already been given, the competent authority shall determine the procedure to be followed by which all or part of the block guarantee shall be allocated to a particular obligation. Article 16 As soon as part of a block security is assigned to a particular obligation, the balance of the block security remaining shall be noted.