WRITTEN QUESTION E-0991/00 by Klaus-Heiner Lehne (PPE-DE) to the Commission. New issue procedures.
Date: 2000-03-31
Institutions: European Parliament, Provisional data
Subjects: Germany, free movement of capital, infringement of EU law, single market, stock-exchange listing

C 46 E/100

Official Journal of the European Communities

EN

13.2.2001

Answer given by Mr Patten on behalf of the Commission

(27 April 2000)

Following the positive outcome of the elections in Iran, the Commission is currently reviewing relations
with Iran. While it is still too early to formulate specific suggestions for the development of relations with
Iran, it is likely that, as a first step, these would consist primarily of a widening and deepening of the
dialogue that takes place within the framework of the comprehensive dialogue since the end of 1998.
Cooperation could also be enhanced in the areas of energy, refugee assistance and drugs control. In the
light of the political development in Iran, and depending on a constructive Iranian engagement on
international issues such as non-proliferation and the fight against terrorism, extension of cooperation to
new areas, and ultimately an institutionalisation of relations, could be envisaged.

(2001/C 46 E/104)

WRITTEN QUESTION E-0991/00

by Klaus-Heiner Lehne (PPE-DE) to the Commission

(31 March 2000)

Subject: New issue procedures

The handling of the Infineon new share issue (Infineon being a subsidiary of Siemens AG) in Germany
this March has attracted considerable public criticism. Siemens executives benefited from gross favouritism
when the shares were allocated, as did big investors. Furthermore, the bank (cid:145)lottery(cid:146) for private investors
was not organised transparently, and there are suspicions that it was conducted arbitrarily.

Will the Commission submit proposals for standard rules to govern new stock market issues whereby
companies would be obliged to treat investors equally?

Does it believe that preferential treatment of certain domestic investors infringes the ban on discrimina-
tion?

Will it investigate issue procedures in Germany in the light of the Infineon case and its implications?

Answer given by Mr Bolkestein on behalf of the Commission

(17 May 2000)

In order to create a common European market for securities and a common capital market, several
directives have been adopted to harmonise investor protection in the national securities legislation. The
aim is to create minimum standards of harmonised rules for securities transactions in the internal market.
Therefore, the directives harmonising European legislation in the securities field refer in principle to
securities transactions and not to investors.

The directives concerning the procedure of initial public offering are Council Directive 79/279/EEC of
5 March 1979 co-ordinating the conditions for the admission of securities to official stock exchange
listing (1) and Council Directive 80/390/EEC of 17 March 1980 coordinating the requirements for the
drawing up, scrutiny and distribution of the listing particulars to be published for the admission of
securities to official stock exchange listing (2). They harmonise minimum standards for the admission of
securities to official stock exchanges and for adequate investor information. They do not regulate the initial
allocation of shares (allotment).

No decision on European level has yet been made on requirements concerning the procedure for
allotment. Allotment procedures follow national rules and vary between the Member States. To respond
to this, national supervisory authorities have decided to create a working group within the framework of

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Official Journal of the European Communities

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the (cid:145)Forum of European Securities Commissions(cid:146) (FESCO). This group was established in December 1999
and is looking to develop a common approach to the regulation of allotment and the equal treatment of
investors. A draft paper of this group is expected during the second half of 2000.

Within the framework of its financial services action plan, the Commission will also examine the rules
concerning the procedures for issuing securities. It will be looking to see to what extent rules referring to
allotment procedures could usefully be proposed.

Member States are not allowed to grant preferential treatment to their own nationals. The preference of
certain investors in the allotment procedure of shares of the company (cid:145)Infineon(cid:146) occurred between private
parties. It is not a result of a Member State rules giving preference to its own nationals. Therefore, this
event is not in principle covered by anti-discrimination rules provided by the EC Treaty.

The Commission does not intend to examine the issuing procedures in Germany in the light of the issue of
(cid:145)Infineon(cid:146) shares. The information available, discloses no basis for such an assessment.

(1) OJ L 66, 16.3.1979.
(2) OJ L 100, 17.4.1980.

(2001/C 46 E/105)

WRITTEN QUESTION E-0996/00

by Chris Davies (ELDR) to the Commission

(31 March 2000)

Subject: White Paper on Food Safety

In paragraph 101 of its White Paper on Food Safety (COM(1999) 719 final), that it will revise the Food
Labelling Directive 79/112/EEC (1) in order to address the question of nutrition and functional claims.

Could the Commission please explain:

1. What it means by the term (cid:145)functional claims(cid:146), i.e. does this definition encompass (cid:145)enhanced functional
claims(cid:146), as have been defined in the draft Codex recommendations for the use of health claims
(Alinorm 99/22A)?

2. Why has the Commission not addressed the issue of disease risk reduction claims in its White Paper?

(1) OJ L 33, 8.2.1979, p. 1.

Answer given by Mr Byrne on behalf of the Commission

(22 May 2000)

In its white paper on food safety (1) the Commission indicated its intention to consider whether
1.
specific provisions should be introduced in Community legislation to govern (cid:145)functional claims(cid:146) and
(cid:145)nutritional claims(cid:146) on foodstuffs. This would include, among other provisions, definitions of the different
categories of claims. Work on the subject is still in its early stage and, at present, these definitions have not
yet been discussed in detail. In the white paper on food safety, (cid:145)functional claims(cid:146) are referred to as claims
related to beneficial effects of a nutrient on certain normal bodily functions; this corresponds to the
definition of (cid:145)nutrient function claim(cid:146) given in Codex Alimentarius Guidelines CAC/GL 23-1997. In the
proposed draft Codex recommendations for the use of health claims (cid:145)enhanced function claims(cid:146) are
presented as a special category of health claim. It must be noted that these draft Codex recommendations
are at a very early stage of consultation and that there is no consensus yet on the definitions appearing
therein.