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Enabling Open Trust Account Escrow Account


Signed yesterday, December 19, by the Deputy Economy and Development Minister, Alexis Haritsis, the President of Deposits and Loans Fund, Kostas Varlamitis, the Special Secretary of ETPA Ministry, Evgenia Fotoniata, and the President of the EFEPAE BP, Thomas-Fokion Algianakoglou, the contract for the activation of Open Trust Account (escrow account).


What is the Open Trust Account – Escrow Account;


The Open Trust Account is a mechanism that ensures to beneficiaries of the programs ESPA access to an amount equal to the advance payment they are entitled, without requiring the submission of a bank letter of guarantee.


The creation of the Open Trust Account to the Deposits and Loans Fund designed to enhance the liquidity and facilitate the Beneficiaries.


The use of the Escrow Account by the Beneficiaries is not mandatory. Each Beneficiary may either utilize the Open Trust Account, or to follow the traditional process of receiving the advance payment or payment of the grant.


The Process includes the following steps:



Step 1: With the signing of the approval decision to join a beneficiary financial program, the Escrow Account usage processes are activated. Specifically, after the beneficiary’s request for use of the escrow account and the declaration of accession to the contract, is created in the Escrow Account, on the action in which it is integrated a sub-account in his name.


Step 2: For the release of the funding, the Beneficiary, after having completed a part of the project (specified by each Application Guide financial program) should be submitted in the State Aid Information System (PSKE) verification request – payment of expenditure, by submitting the partially paid invoices and any private participation amount. The unpaid amount of the invoice will then be paid from the Open Trust Account.


As regards the Actions in which the amount of the subsidy amount to, invoices will be partially paid up on the ineligible expenditure 100%  (“Startups Entrepreneurship”, “Enhancing Self-Employment of Graduates of Higher Education”), invoices will be partially paid up on the ineligible expenditure (eg VAT). In any case, the Beneficiary must have insurance and tax clearance.


Step 3: After checking the documents submitted by the Intermediate Management Agency – EFEPAE, is given the mandate to the Fund to release – disbursed from the beneficiary’s account a certain amount for each supplier – vendor and to the maximum amount of public expenditure . Money, are not credited to the Beneficiary, but directly to the suppliers.


Subsequently, the command is sent in electronic form digitally signed by the EFEPAE to the Fund, which performs payments directly in the accounts held by suppliers – providers to credit institutions.