The main subject matter of the Fund’s activities is to compensate authorised persons for their receivables from deposits under the terms and conditions set forth in the provisions of Section 41a et seq. of the Act on Banks No. 21/1992 Coll., as amended, (hereinafter referred to as the “Act on Banks”).

The Fund’s further activities include the following:

1. administration and recovery of receivables from banks in accordance with Section 41h of the Act on Banks as part of pending bankruptcy, liquidation and composition proceedings;
2. securing and managing funds which are contributions from banks, revenues from investment of funds, funds acquired on the financial market, proceeds from terminated bankruptcy, liquidation and composition proceedings, returnable grants-in-aid and possible further income of the Fund;
3. deepening cooperation and integration within the framework of existing or emerging structures of the European Union.

The Deposit Insurance Fund is managed by a five-member Board of Administration. The President, Vice-president and other members of the Board of Administration (hereinafter referred to as the “Fund”) are appointed and removed from office by the Finance Minister. Pursuant to Section § 41b (5) of the Act on Banks, at least one member of the Fund’s Board of Administration, is appointed from among the ranks of employees of the Czech National Bank at the recommendation of the Czech National Bank, and at least two members of the Fund’s Board of Administration are appointed from among the ranks of members of the boards of directors of banks.

The term of office of individual members of the Board of Administration is five years, and one new member is appointed each year. There is no remuneration for the tenure of a member of the Board of Administration. The Fund’s Board of Administration is the statutory body of the Fund and manages its activities. The Board of Administration appoints an executive director who is the head of the Fund’s entire executive staff.

As of February 2006, the Finance Minister removed Václav Křivohlávek from the office of member of the Board of Administration and appointed Petr Vojtíšek Vice-president of the Board of Administration. As of February 2006 the Finance Minister appointed two new members to the Board of Administration, Klára Cetlová and Petr Kielar. As of 30 June Petr Kielar resigned from the office of member of the Board of Administration and as of 1 July the Finance Minister appointed Jiří Šperl new member of the Board of Administration.