39 Amendments of Sari ESSAYAH related to 2013/0253(COD)
Amendment 87 #
Proposal for a regulation
Recital 1 a (new)
Recital 1 a (new)
(1a) Since the outbreak of the current international financial and economic crisis there has been uncertainty as to the amount of losses pending in the European banks and it is not known how many and which banks should actually be under resolution procedures if objective and uniform criteria were applied. The SSM is to make stress tests before the end of 2014. If according to these stress tests some banks will need extra funding it should be covered by the owners of these banks and the Member States which were responsible for their supervision. A Single Resolution Mechanism may only be applied after all legacy assets have been cleared, capital requirements are fulfilled and the banking system is deemed to be on sound footing also in other respects. Therefore the SRM should start functioning only after the end of 2017.
Amendment 108 #
Proposal for a regulation
Recital 11
Recital 11
(11) A singlenetwork of national bank resolution funds (hereinafter referred to as the ‘'Fund’') is an essential element without which a single resolution mechanism could not work properly. Different systems of national funding would distort the application of uniform bank resolution rules in the internal market. The Fund should help to ensure a uniform administrative practice in the financing of resolution and to avoid the creation of obstacles for the exercise of fundamental freedoms or the distortion of competition in the internal market due to divergent national practices. The Fnational funds should be financed directly by banks and should be pooled at Union level so that the resolution resources can be objectively allocated across Member States. Only the national resolution funds of the Member States where the bank under resolution operates would participate in the funding, according to the share of financial activity, thus increasing financial stability and limiting the link between the perceived fiscal position of individual Member States and the funding costs of banks and undertakings operating in those Member States.
Amendment 124 #
Proposal for a regulation
Recital 17
Recital 17
(17) The Board should be empowered to take decisions, in particular, in connection with resolution planning, the assessment of resolvability, the specification of burden sharing in the network of resolution funds, the removal of impediments to resolvability and the preparation of resolution actions. National resolution authorities should assist the Board in resolution planning and in the preparation of resolution decisions. In addition, as the exercise of resolution powers involves the application of national law, national resolution authorities should be responsible for the implementation of resolution decisions.
Amendment 167 #
Proposal for a regulation
Recital 36
Recital 36
(36) The Commission and the Council should provide the framework for the resolution action to be taken depending on the circumstances of the case and should be able to designate for use all necessary resolution tools. Within that clear and precise framework, the Board should decide on the detailed resolution scheme. The relevant resolution tools should include the sale of business tool, the bridge institution tool, the bail-in tool and the asset separation tool, which are also provided for by Directive [ ]. The framework should also make it possible to assess whether the conditions for the write- down and conversion of capital instruments are met.
Amendment 186 #
Proposal for a regulation
Recital 47
Recital 47
(47) Directive [ ] has conferred the power to write down and convert capital instruments on national resolution authorities, since the conditions for the write-down and conversion of capital instruments may coincide with the conditions for resolution and in such a case, an assessment is to be made of whether the sole write-down and conversion of the capital instruments is sufficient to restore the financial soundness of the entity concerned or it is also necessary to take resolution action. As a rule, it will be used in the context of resolution. The CommissionBoard, the Commission and the Council should replace national resolution authorities also in this function and should therefore be empowered to assess whether the conditions for the write- down and conversion of capital instruments are met and to decide whether to place an entity under resolution, if the requirements for resolution are also fulfilled.
Amendment 206 #
Proposal for a regulation
Recital 58
Recital 58
(58) It is necessary to ensure that the Fund is fully available for the purpose of the resolution of failing institutions. Therefore, the Fund should not be used for any other purpose than the efficient implementation of resolution tools and powers. Furthermore, it should be used only in accordance with the applicable resolution objectives and principles. Accordingly, the Board should ensure that any losses, costs or other expenses incurred in connection with the use of the resolution tools are first borne by the shareholders and the creditors of the institution under resolution. It is only if the resources from shareholders and creditors are exhausted, that the losses, costs or other expenses incurred with the resolution tools should be borne by the Fund in relation to the share of activity of the failing bank in the Member States concerned.
Amendment 215 #
Proposal for a regulation
Recital 63
Recital 63
(63) In order to ensure a fair calculation of contributions and provide incentives to operate under a model which presents less risk, contributions to the Fund should take account of the degree of risk incurred by credit institutions. In each Member State the contributions should amount to the same percentage target.
Amendment 217 #
Proposal for a regulation
Recital 66
Recital 66
(66) The Commission should be empowered to adopt delegated acts in accordance with Article 290 TFEU in order to determine the type of contributions to the Fund and the matters for which contributions are due, the manner in which the amount of the contributions is calculated and the way in which they are to be paid; specify registration, accounting, reporting and other rules necessary to ensure that the contributions are fully and timely paid; determine the contribution system for institutions that have been authorized to operate after the Fund has reached its target level; determine the criteria for the spreading out in time of the contributions; determine the circumstances under which the payment of contributions may be advanced; determine the criteria for establishing the annual contributions in the limits set by this Regulation; determine the measures to specify the circumstances and modalities under which an institution may be partially or entirely exempted from ex post contributions, and the measures to specify the circumstances and modalities under which an institution may be partially or entirely exempted from ex-post contributions.
Amendment 228 #
Proposal for a regulation
Article 1 – paragraph 2
Article 1 – paragraph 2
Those uniform rules and procedure shall be applied by the Commission together with a Board and the resolution authorities of the participating Member States within the framework of a single resolution mechanism established by this Regulation. The single resolution mechanism shall be supported by a singlenetwork of national bank resolution funds which is centrally coordinated (hereinafter called the Fund).
Amendment 280 #
Proposal for a regulation
Article 6 – paragraph 1
Article 6 – paragraph 1
1. No action, proposal or policy of the Board, the Commission, the Council or a national resolution authority shall discriminate against entities referred to in Article 2, deposit holders, investors or other creditors established in the Union on grounds of their nationality or place of business.
Amendment 304 #
Proposal for a regulation
Article 6 – paragraph 3
Article 6 – paragraph 3
3. The Board and the Commission shall balance the factors referred to in paragraph 2 with the resolution objectives referred to in Article 12 as appropriate to the nature and circumstances of each case.
Amendment 308 #
Proposal for a regulation
Article 6 – paragraph 4
Article 6 – paragraph 4
4. No decision of the Board or the Commission shall require Member States to provide extraordinary public financial supportpublic funds to support the resolution action. No decision by the Council to allow for the borrowing by the Fund shall come into force before all participating Member States have informed the Secretary-General of the completion of their applicable national procedures.
Amendment 522 #
Proposal for a regulation
Article 16 – paragraph 1
Article 16 – paragraph 1
1. Where the ECB or a national resolution authority after consultation of the ECB assesses that the conditions referred to in points (a) and (b) of paragraph 2 are met in relation to an entity referred to in Article 2, it shall communicate that assessment without delay to the Commission and the Board.
Amendment 544 #
Proposal for a regulation
Article 16 – paragraph 5 – point c
Article 16 – paragraph 5 – point c
Amendment 556 #
Proposal for a regulation
Article 16 – paragraph 6
Article 16 – paragraph 6
6. Having regard to the urgency of the circumstances in the case, the Commission shall decide, on its own initiative or taking into account, if any, the communication referred to in paragraph 1 or the recommendation of the Board referred to in paragraph 5, whether or not to place the entity under resolution, and on the framework of the resolution tools that shall be applied in respect of the entity concerned and of the use of the Fund to support the resolution action. TWhere the Commission, on its own initiative, may decide to place an entity under resolution if all the co intends not to adopt the recommendation submitted by the Board or to adopt it with amendments, it shall send the recommendation back to the Board, explaining why it does not intend to adopt it or, as the case may be, explaining the reasons for its intended amendments. The Commission may establish a deadline during which the Board may amend its initial recommendation on the basis of the Commission's proposed amendments and resubmit it to the Commission. If, on the expiry of the deadline established by the Commission, the Board has not submitted an amended recommendiations referred to in paragraph 2 are met. or has submitted an amended recommendation that is not formulated in a way consistent with the Commission's proposed amendments, the Commission may adopt its decision under the paragraph above with the amendments it considers relevant or reject the recommendation.
Amendment 564 #
Proposal for a regulation
Article 16 – paragraph 7 a (new)
Article 16 – paragraph 7 a (new)
7a. Where the Board considers that the resolution action requires the support from the Fund in accordance with Article 71, it shall address the proposal for a draft decision referred to in paragraph 5 to the Council. In addition to the elements referred to in paragraph 5, such draft shall include a framework of the use of the Fund to support the resolution action.
Amendment 565 #
Proposal for a regulation
Article 16 – paragraph 7 b (new)
Article 16 – paragraph 7 b (new)
7b. The Council shall decide, pursuant to the proposal submitted by the Board under paragraph 8 of this Article, whether or not to put the entity under resolution, and on the framework of the resolution tools that shall be applied in respect of the entity concerned. Where the Council intends not to adopt the recommendation submitted by the Board or to adopt it with amendments, it shall send the recommendation back to the Board, explaining why it does not intend to adopt it or, as the case may be, explaining the reasons for its intended amendments. The Council may establish a deadline during which the Board may amend its initial recommendation on the basis of the Council's proposed amendments and resubmit it to the Council. If, on the expiry of the deadline established by the Council, the Board has not submitted an amended recommendation or has submitted an amended recommendation that is not formulated in a way consistent with the Council's proposed amendments, the Council may adopt its decision under the paragraph above with the amendments it considers relevant or reject the recommendation. The Council shall act by qualified majority without taking into account the vote of the members of the Council which are not participating Member States.
Amendment 570 #
Proposal for a regulation
Article 16 – paragraph 8
Article 16 – paragraph 8
8. Within the framework set by the Commission or Council decision, the Board shall decide on the resolution scheme referred to in Article 20 and shall ensure that the necessary resolution action is taken to carry out the resolution scheme by the relevant national resolution authorities. The decision of the Board shall be addressed to the relevant national resolution authorities and shall instruct those authorities, which shall take all necessary measures to implement the decision of the Board in accordance with Article 26, by exercising any of the resolution powers provided for in Directive [ ], in particular those in Articles 56 to 64 of that Directive [ ]. Where State aid is present, the Board may only decide after the Commission has taken a decision on that State aid.
Amendment 579 #
Proposal for a regulation
Article 16 – paragraph 11
Article 16 – paragraph 11
11. The Commission and the Council shall have the power to obtain from the Board any information which it deems relevant for fulfilling its tasks under this Regulation and, where applicable, Article 107 TFEU. The Board shall have the power to obtain from any person, in accordance with Chapter 5 of this Title, any information necessary for it to prepare and decide upon a resolution action including updates and supplements of information provided in the resolution plans.
Amendment 584 #
Proposal for a regulation
Article 16 – paragraph 12
Article 16 – paragraph 12
12. The Board shall have the power to recommend to the Commission or the Council to amend the framework for the resolution tools and for the use of the Fund in respect of an entity placed under resolution.
Amendment 632 #
Proposal for a regulation
Article 20 – paragraph 1
Article 20 – paragraph 1
The resolution scheme adopted by the Board under Article 16(8) shall establish, in compliance with the decisions of the Commission on the resolution framework under Article 16(6) or of the Council under Article 16(7b) and with any decision on State aid where applicable by analogy the details of the resolution tools to be applied to the institution under resolution concerning at least the measures referred to in Articles 21(2), 22(2), 23(2) and 24(1), to be implemented by the national resolution authorities in accordance with the relevant provisions of Directive [..] as transposed into national law, and determine the specific amounts and purposes for which the Fund shall be used.
Amendment 638 #
Proposal for a regulation
Article 20 – paragraph 2
Article 20 – paragraph 2
In the course of the resolution process, the Board may amend and update the resolution scheme as appropriate in light of the circumstances in the case and within the resolution framework decided upon by the Commission pursuant to Article 16(6) or by Council pursuant to Article 16(7b) respectively..
Amendment 676 #
Proposal for a regulation
Article 24 – paragraph 6 – introductory part
Article 24 – paragraph 6 – introductory part
6. WThe Council may allow in a resolution framework adopted pursuant to the Article 16(8) that where an eligible liability or class of eligible liabilities excluded or partially excluded, pursuant to paragraph 5, and the losses that would have been borne by those liabilities have not been passed on fully to other creditors, a contribution from the Fund may be made to the institution under resolution to:
Amendment 689 #
Proposal for a regulation
Article 24 – paragraph 9 – introductory part
Article 24 – paragraph 9 – introductory part
9. In extraordinary circumstances, where provided in the framework adopted by the Council pursuant to Article 16(8) further funding may be sought from alternative financing sources after:
Amendment 749 #
Proposal for a regulation
Article 39 – paragraph 1 – point a
Article 39 – paragraph 1 – point a
(a) the Executive Director with voting right;
Amendment 756 #
Proposal for a regulation
Article 39 – paragraph 1 – point b
Article 39 – paragraph 1 – point b
(b) the Deputy Executive Director with voting right;
Amendment 763 #
Proposal for a regulation
Article 39 – paragraph 1 – point c
Article 39 – paragraph 1 – point c
(c) a member appointed by the Commission without voting right;
Amendment 773 #
Proposal for a regulation
Article 39 – paragraph 1 – point d
Article 39 – paragraph 1 – point d
(d) a member appointed by the ECB without voting right;
Amendment 781 #
Proposal for a regulation
Article 39 – paragraph 1 – point e
Article 39 – paragraph 1 – point e
(e) a member appointed by each participating Member State, representing the national resolution authority, with voting right.
Amendment 912 #
Proposal for a regulation
Article 64 – paragraph 1
Article 64 – paragraph 1
1. The Single Bank Resolution Fund is hereby established. as a coordinated network of national resolution funds.
Amendment 931 #
Proposal for a regulation
Article 65 – paragraph 1
Article 65 – paragraph 1
1. In a period no longer than 10 years after the entry into force of this Regulation, the available financial means of the Fund shall in each participating Member State reach at least 1% of the amount of deposits of all credit institutions authorised in the participating Member States which are guaranteed under Directive 94/19/EC.
Amendment 936 #
Proposal for a regulation
Article 65 – paragraph 4
Article 65 – paragraph 4
4. If, after the initial period of time referred to in paragraph 1, the available financial means diminish below the target level specified in paragraph 1, contributions calculated in accordance with Article 66 shall be raised until the target level is reached. Where the available financial means amount to less than half of the target level, the annual contributions shall not be less than one fourth of the target levelhigher than 0.2% of covered deposits.
Amendment 963 #
Proposal for a regulation
Article 67 – paragraph 1
Article 67 – paragraph 1
1. Where the available financial means are not sufficient to cover the losses, costs or other expenses incurred by the use of the Fund, the Board shall raise in accordance with Article 62 extraordinary ex post contributions from the institutions authorised in the territories of participating Member States, in order to cover the additional amounts. These annual extraordinary contributions shall not exceed 0.2% of covered deposits and shall be allocated between institutions in accordance with the rules set out in Article 66.
Amendment 967 #
Proposal for a regulation
Article 67 – paragraph 1 a (new)
Article 67 – paragraph 1 a (new)
1a. The cumulated amount of annual contributions referred to in Articles 65 to 67 shall not exceed 0.3 % of covered deposits.
Amendment 995 #
Proposal for a regulation
Article 71 – paragraph 3 a (new)
Article 71 – paragraph 3 a (new)
3a. The payments from the Fund shall be allocated to the members of the network of national resolution funds in proportion to the level of activity the institution under resolution carries out in the Member States concerned.
Amendment 1008 #
Proposal for a regulation
Article 73 – paragraph 4
Article 73 – paragraph 4
Amendment 1037 #
Proposal for a regulation
Article 85 – paragraph 1
Article 85 – paragraph 1
From the date of application referred to in the second subparagraph of Article 88, the Fund shall be consideredreplace the resolution financing arrangement of the participating Member States under Title VII of Directive [ ].
Amendment 1040 #
Proposal for a regulation
Article 87 – paragraph 1
Article 87 – paragraph 1
1. The Board shall become fully operational by 1 January 20158.
Amendment 1046 #
Proposal for a regulation
Article 88 – paragraph 2
Article 88 – paragraph 2
Articles 7 to 23 and Articles 25 to 38 shall apply from 1 January 20158.