Corporate Governance - Bank Spółdzielczy w Szczytnie

By decision of the Management Board on December 18, 2014, the Supervisory Board on December 30, 2014, and the Meeting of Representatives of the Cooperative Bank in Szczytno on June 12, 2015, the Cooperative Bank in Szczytno adopted the Corporate Governance Principles for supervised institutions issued by the Financial Supervisory Commission on July 22, 2014.

The Corporate Governance Principles are a set of rules defining the internal and external relations of supervised institutions, including relations with shareholders and clients, their organization, functioning of internal supervision, and key internal systems and functions, as well as statutory bodies and the principles of their cooperation.

The Management Board of the Cooperative Bank in Szczytno implements the Corporate Governance Principles taking into account the principle of proportionality resulting from the scale, nature, and specificity of the Bank's operations, therefore decided to refrain from applying the principle stated in §8 sec.4, according to which the Bank should ensure all shareholders the ability to participate electronically and actively in the meetings of the decision-making body. In the Bank's opinion, the introduction of the above principle does not apply considering the specificity of the cooperative bank's operations, where the majority of the owners are residents of the local community. According to the Bank's Statute, notifications to members about the time, place, and agenda of the Meeting of Representatives are sent with return receipt or by registered mail at least 21 days before the meeting date. Such a regulated way of informing Bank members guarantees the possibility of their personal participation in the Meeting of Representatives. Implementing the principle of enabling all shareholders to participate electronically and actively in the meetings of the decision-making body would incur significant costs, which in the Bank's opinion are unjustified.

The Cooperative Bank in Szczytno does not apply Corporate Governance Principles related to the exercise of rights from assets acquired at the client's risk, recorded in § 53, § 54, § 55, § 56, § 57, as they do not concern the Bank.