WRITTEN QUESTION P-3104/00

by Mihail Papayannakis (GUE/NGL) to the Commission

(26 September 2000)

Subject: Investor-compensation scheme

Under Directive 97/9/EC(1) each Member State is obliged to ensure that within its territory one or more investor-compensation schemes is introduced and officially recognised. Under this scheme, if the competent or judicial authority considers that an investment firm is unable to meet its obligations to its investors compensation of not less than EUR 20 000 per investor is set. It should be noted that no authorised investment firm may carry on investment business unless it belongs to such a scheme and that the Member States must ensure that investment firms provide their investors with the necessary information on the existence and operation of an investor-compensation scheme.

Could the Commission give information on:

1. the extent to which this directive is being applied in Greece,

2. whether the competent Greek authorities have communicated to the Commission the text of the main provisions of national law which they have adopted with regard to the above directive,

3. whether the authorities ensure that Greek investors are aware of the existence and operation of the compensation scheme, and

4. why the Commission has not submitted a report to Parliament and the Council on the application of the directive, as laid down by Article 14 thereof, and which Member States have not notified details of the implementation of the directive?

(1) OJ L 84, 26.3.1997, p. 22.

Answer given by Mr Bolkestein on behalf of the Commission

(24 October 2000)

All Member States have notified national measures transposing Directive 97/9/EC of the Parliament and of the Council of 3 March 1997 on investor-compensation schemes.

Greece has implemented Directive 97/9/EC through Law 2533/1997. The legal status of the Greek scheme is that of a legal person under private law, subject to the supervision of the capital market commission. The actions of the scheme and the performance of its statutory duties are therefore subject to challenge under Greek private law.

The annex to the Commission report on the application of the export prohibition clause (Article 7(1)) provides a synthetic view of the implementation of Directive 97/9/EC on investor compensation schemes in the European economic area (EEA) states. This provides a detailed indication of the situation as it prevailed at the end of 1999. This extensive presentation is nevertheless incomplete as a result of the lack of qualitative experience with the practical operation of the Directive and the national schemes in the short period since its entry into force (September 1998).

This situation has implied in particular that neither the Commission nor the Member States have as yet identified any circumstances relating to the operation of the Directive which call for revision. The Commission will keep this situation under review.

This report provides some summary information on how the Greek authorities have implemented Directive 97/9/EC and the main features of the scheme as regards identity of the scheme (Athens Stock Exchange Members' Guarantee Fund), level of cover (20 000 in accordance with Article 4), coverage of credit institutions, form of contributions from participating firms, and types of service which are exempted from the scheme in accordance with annex 1 of the Directive.