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+--
+-- This file is part of TALER
+-- Copyright (C) 2014--2022 Taler Systems SA
+--
+-- TALER is free software; you can redistribute it and/or modify it under the
+-- terms of the GNU General Public License as published by the Free Software
+-- Foundation; either version 3, or (at your option) any later version.
+--
+-- TALER is distributed in the hope that it will be useful, but WITHOUT ANY
+-- WARRANTY; without even the implied warranty of MERCHANTABILITY or FITNESS FOR
+-- A PARTICULAR PURPOSE. See the GNU General Public License for more details.
+--
+-- You should have received a copy of the GNU General Public License along with
+-- TALER; see the file COPYING. If not, see <http://www.gnu.org/licenses/>
+--
+
+CREATE OR REPLACE FUNCTION exchange_do_purse_delete(
+ IN in_purse_pub BYTEA,
+ IN in_purse_sig BYTEA,
+ IN in_now INT8,
+ OUT out_decided BOOLEAN,
+ OUT out_found BOOLEAN)
+LANGUAGE plpgsql
+AS $$
+DECLARE
+ my_deposit record;
+DECLARE
+ my_in_reserve_quota BOOLEAN;
+BEGIN
+
+PERFORM refunded FROM purse_decision
+ WHERE purse_pub=in_purse_pub;
+IF FOUND
+THEN
+ out_found=TRUE;
+ out_decided=TRUE;
+ RETURN;
+END IF;
+out_decided=FALSE;
+
+SELECT in_reserve_quota
+ INTO my_in_reserve_quota
+ FROM exchange.purse_requests
+ WHERE purse_pub=in_purse_pub;
+out_found=FOUND;
+IF NOT FOUND
+THEN
+ RETURN;
+END IF;
+
+-- store reserve deletion
+INSERT INTO exchange.purse_deletion
+ (purse_pub
+ ,purse_sig)
+VALUES
+ (in_purse_pub
+ ,in_purse_sig)
+ON CONFLICT DO NOTHING;
+
+IF NOT FOUND
+THEN
+ RETURN;
+END IF;
+
+-- Delete contract associated with purse, if it exists.
+DELETE FROM contracts
+ WHERE purse_pub=in_purse_pub;
+
+-- store purse decision
+INSERT INTO purse_decision
+ (purse_pub
+ ,action_timestamp
+ ,refunded)
+VALUES
+ (in_purse_pub
+ ,in_now
+ ,TRUE);
+
+-- update purse quota at reserve
+IF (my_in_reserve_quota)
+THEN
+ UPDATE reserves
+ SET purses_active=purses_active-1
+ WHERE reserve_pub IN
+ (SELECT reserve_pub
+ FROM exchange.purse_merges
+ WHERE purse_pub=in_purse_pub
+ LIMIT 1);
+END IF;
+
+-- restore balance to each coin deposited into the purse
+FOR my_deposit IN
+ SELECT coin_pub
+ ,amount_with_fee
+ FROM exchange.purse_deposits
+ WHERE purse_pub = in_purse_pub
+LOOP
+ UPDATE known_coins kc SET
+ remaining.frac=(kc.remaining).frac+(my_deposit.amount_with_fee).frac
+ - CASE
+ WHEN (kc.remaining).frac+(my_deposit.amount_with_fee).frac >= 100000000
+ THEN 100000000
+ ELSE 0
+ END,
+ remaining.val=(kc.remaining).val+(my_deposit.amount_with_fee).val
+ + CASE
+ WHEN (kc.remaining).frac+(my_deposit.amount_with_fee).frac >= 100000000
+ THEN 1
+ ELSE 0
+ END
+ WHERE coin_pub = my_deposit.coin_pub;
+END LOOP;
+
+
+END $$;
+
+COMMENT ON FUNCTION exchange_do_purse_delete(BYTEA,BYTEA,INT8)
+ IS 'Delete a previously undecided purse and refund the coins (if any).';