European Parliament legislative resolution on the proposal for a directive of the European Parliament and of the Council amending Directive 2004/39/EC on markets in financial instruments, as regards certain deadlines (COM(2005)0253 - C6-0191/2005 - 2005/0111(COD))
Date: 2005-12-13
Institutions: Committee on Economic and Monetary Affairs, European Parliament
Subjects: credit institution, financial instrument, financial market, investment company, provision of services, securities

C 286 E/196

Official Journal of the European Union

EN

23.11.2006

Tuesday 13 December 2005

P6_TA(2005)0498

Markets in financial instruments ***I

European Parliament legislative resolution on the proposal for a directive of the European Parlia-
ment and of the Council amending Directive 2004/39/EC on markets in financial instruments, as
regards certain deadlines (COM(2005)0253 — C6-0191/2005 — 2005/0111(COD))

(Codecision procedure: first reading)

The European Parliament,

— having regard to the Commission proposal to the European Parliament and the Council (COM(2005)

0253) (1),

— having regard to Article 251(2) and Article 47(2) of the EC Treaty, pursuant to which the Commission

submitted the proposal to Parliament (C6-0191/2005),

— having regard to Rule 51 of its Rules of Procedure,

— having regard to the report of the Committee on Economic and Monetary Affairs (A6-0334/2005),

1.

Approves the Commission proposal as amended;

Calls on the Commission to refer the matter to Parliament again if it intends to amend the proposal

2.
substantially or replace it with another text;

3.

Instructs its President to forward its position to the Council and Commission.

(1) Not yet published in OJ.

P6_TC1-COD(2005)0111

Position of the European Parliament adopted at first reading on 13 December 2005 with a view to
the adoption of Directive 2006/…/EC of the European Parliament and of the Council amending
Directive 2004/39/EC on markets in financial instruments, as regards certain deadlines

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 47(2) thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of European Central Bank (1),

Acting in accordance with the procedure laid down in Article 251 of the Treaty (2),

Whereas:

(1)

Directive 2004/39/EC of the European Parliament and of the Council of 21 April 2004 on markets
in financial instruments amending Council Directives 85/611/EEC and 93/6/EEC and Directive 2000/
12/EC of the European Parliament and of the Council and repealing Council Directive 93/22/EEC (3)
introduces a comprehensive regulatory regime to ensure a high quality of execution of investor trans-
actions.

(1) OJ C 323, 20.12.2005, p. 31.
(2) Position of the European Parliament of 13 December 2005.
(3) OJ L 145, 30.4.2004, p. 1.

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(2)

(3)

(4)

(5)

(6)

(7)

Directive 2004/39/EC provides that Member States shall adopt the laws, regulations and adminis-
trative provisions necessary to comply with that Directive by 30 April 2006 at the latest. In order to
ensure uniform application in the Member States, a significant number of complex provisions of that
Directive need to be supplemented by implementing measures, to be adopted by the Commission
during the period for transposition by Member States. Because Member States cannot fully prepare
and finalise their domestic laws until the content of the implementing measures is clear, they may
have difficulty in meeting the current transposition deadline.

In order to comply with the requirements of Directive 2004/39/EC and domestic implementing legis-
lation, investment firms and other regulated entities may have to introduce new information technology
systems, new organisational structures, and reporting and record-keeping procedures, or to make
significant modifications to existing systems and practices. This can only be done once the contents
of both the implementing measures to be adopted by the Commission and domestic legislation trans-
posing the Directive are settled.

It is also necessary that Directive 2004/39/EC and its implementing measures be transposed into
national law or apply directly in Member States simultaneously for the Directive to produce its full
effect.

It is therefore appropriate to extend the deadline for Member States to transpose Directive 2004/39/
EC into national law. Similarly, the deadline for investment firms and credit institutions to comply with
the new requirements should be deferred for a period after the transposition into national law has
been completed by the Member States.

Given the interaction between the different provisions of Directive 2004/39/EC, it is appropriate that
any extension of those deadlines apply to all the provisions of that Directive. Any extension of the
transposition and application deadlines should be proportionate to, and not exceed, the needs of the
Member States and regulated entities. In order to avoid fragmentation that could hamper the func-
tioning of the internal market in securities, Member States should apply the provisions of Directive
2004/39/EC from the same time.

In its resolution of 5 February 2002 on the implementation of financial services legislation (1), the
Parliament requested that it and the Council should have an equal role in supervising the way in
which the Commission exercises its executive role in order to reflect the legislative powers of the
Parliament under Article 251 of the Treaty. In the solemn declaration made before the Parliament
the same day by its President, the Commission supported that request. On 11 December 2002, the
Commission proposed amendments to Decision 1999/468/EC (2) (COM(2002)0719), and then sub-
mitted an amended proposal on 22 April 2004 (COM(2004)0324). The Parliament does not con-
sider that this proposal preserves its legislative prerogatives. In the view of the Parliament, it and
the Council should have the opportunity of evaluating the conferral of implementing powers on
the Commission within a determined period. It is therefore appropriate to limit the period during
which the Commission may adopt implementing measures.

(8)

The Parliament should be given a period of three months from the first transmission of draft
amendments and implementing measures to allow it to examine them and to give its opinion.
However, in urgent and duly justified cases, it should be possible to shorten that period. If, within
that period, a resolution is adopted by the Parliament, the Commission should re-examine the draft
amendments or measures.

(9)

Further consequential amendments are necessary to defer the dates for the repeal of Directive 93/22/
EEC and for the transitional provisions laid down in Directive 2004/39/EC, and to extend the time-
table for the Commission's reporting obligations.

(1) OJ C 284 E, 21.11.2002, p. 115.
(2) OJ L 184, 17.7.1999, p. 23.

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(10) Given the deferred deadline between the obligation for Member States to transpose Directive 2004/
39/EC into national law and the deadline for investment firms and credit institutions to comply
with the new requirements, the provisions of Directive 2004/39/EC will remain ineffective until
1 November 2007; it is therefore appropriate to repeal Directive 93/22/EEC with effect from
1 November 2007.

(11) Directive 2004/39/EC should therefore be amended accordingly,

HAVE ADOPTED THIS DIRECTIVE:

Article 1

Directive 2004/39/EC is amended as follows:

(1)

Recital 69 is replaced by the following:

‘(69) The Parliament should be given a period of three months from the first transmission of draft
amendments and implementing measures to allow it to examine them and to give its opinion. How-
ever, in urgent and duly justified cases, it should be possible to shorten that period. If, within that
period, a resolution is adopted by the Parliament, the Commission should re-examine the draft
amendments or measures.’

(2)

Article 64 is amended as follows:

(a) a new paragraph 2a is inserted:

‘2a
tive.’

None of the implementing measures enacted may change the essential provisions of this Direc-

(b) paragraph 3 is replaced by the following:

‘3. Without prejudice to the implementing measures already adopted, on 1 April 2008 at the
latest the application of this Directive's provisions requiring the adoption of technical rules, amend-
ments and decisions in accordance with paragraph 2 shall be suspended. Acting on a proposal from
the Commission, the European Parliament and the Council may renew the provisions concerned in
accordance with the procedure laid down in Article 251 of the Treaty and, to that end, they shall
review them prior to the date referred to above …’

(3)

Article 65 is amended as follows:

(a) paragraphs 1 to 4 are replaced by the following:

‘1.
By 31 October 2007 at the latest, the Commission shall, on the basis of public consultation and
in the light of discussions with competent authorities, report to the European Parliament and to the
Council on the possible extension of the scope of the provisions of this Directive concerning pre and
post-trade transparency obligations to transactions in classes of financial instruments other than shares.

By 31 October 2008 at the latest, the Commission shall present a report to the European Parlia-

2.
ment and to the Council on the application of Article 27.

3.
By 30 April 2008 at the latest, the Commission shall, on the basis of public consultations and in
the light of discussions with competent authorities, report to the European Parliament and to the
Council on:

(a)

(b)

the continued appropriateness of the exemption provided for in Article 2(1)(k) for undertak-
ings whose main business is dealing on own account in commodity derivatives;

the content and form of proportionate requirements for the authorisation and supervision of
such undertakings as investment firms within the meaning of this Directive;

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(c)

the appropriateness of rules concerning the appointment of tied agents in performing invest-
ment services and/or activities, in particular with respect to the supervision on them;

(d)

the continued appropriateness of the exemption provided for in Article 2(1)(i).

Tuesday 13 December 2005

4.
By 30 April 2008 at the latest, the Commission shall present a report to the European Parliament
and to the Council on the state of the removal of the obstacles which may prevent the consolidation at
European level of the information that trading venues are required to publish.’

(b) Paragraph 6 is replaced by the following:

‘6.
By 31 October 2006 at the latest, the Commission shall, in the light of discussions with com-
petent authorities, report to the European Parliament and to the Council on the continued appropri-
indemnity insurance imposed on intermediaries under
ateness of the requirements for professional
Community law.’

(4)

Article 69 is replaced by the following:

‘Article 69

Repeal of Directive 93/22/EEC

Directive 93/22/EEC is repealed with effect from 1 November 2007. References to Directive 93/22/EEC
shall be construed as references to this Directive. References to terms defined in, or Articles of, Direc-
tive 93/22/EEC shall be construed as references to the equivalent term defined in, or Article of, this
Directive.’

(5)

In Article 70, the first subparagraph is replaced by the following:

‘Member States shall adopt the laws, regulations and administrative provisions necessary to comply with
this Directive by 31 January 2007 at the latest. They shall forthwith inform the Commission thereof.
They shall apply these provisions from 1 November 2007.’

(6)

In Article 71, paragraphs 1 to 5 are replaced by the following:

‘1.
Investment firms already authorised in their home Member State to provide investment services
before 1 November 2007 shall be deemed to be so authorised for the purposes of this Directive, if the
laws of that Member State provide that to take up such activities they must comply with conditions
comparable to those provided for in Articles 9 to 14.

A regulated market or a market operator already authorised in its home Member State before
2.
1 November 2007 shall be deemed to be so authorised for the purposes of this Directive, if the laws
of that Member State provide that the regulated market or market operator, as the case may be, must
comply with conditions comparable to those provided for in Title III.

3.
Tied agents already entered in a public register before 1 November 2007 shall be deemed to be so
registered for the purposes of this Directive, if the laws of those Member States provide that tied agents
must comply with conditions comparable to those provided for in Article 23.

4.
Information communicated before 1 November 2007 for the purposes of Articles 17, 18 or 30 of
Directive 93/22/EEC shall be deemed to have been communicated for the purposes of Articles 31 and
32 of this Directive.

5.
Any existing system falling under the definition of an MTF operated by a market operator of a
regulated market shall, at the request of the market operator of the regulated market, be authorised
as an MTF provided that it complies with rules equivalent to those required by this Directive for the
authorisation and operation of MTFs and that the request concerned is made within eighteen months
after 1 November 2007.’

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Article 2

Member States shall bring into force the laws, regulations and administrative provisions necessary to comply
with this Directive by 31 January 2007 at the latest. They shall forthwith communicate to the Commission
the text of those provisions. They shall apply these provisions from 1 November 2007.

When Member States adopt those provisions, they shall contain a reference to this Directive or be accom-
panied by such a reference on the occasion of their official publication. Member States shall determine how
such reference is to be made.

This Directive shall enter into force on the day following that of its publication in the Official Journal of the
European Union.

Article 3

Article 4

This Directive is addressed to the Member States.

Done at …, on …

For the European Parliament
The President

For the Council
The President

P6_TA(2005)0499

European order for payment procedure ***I

European Parliament legislative resolution on the proposal for a regulation of the European Parlia-
ment and of the Council creating a European order for payment procedure (COM(2004)0173 —
C6-0006/2004 — 2004/0055(COD))

(Codecision procedure: first reading)

The European Parliament,

— having regard to the Commission proposal to the European Parliament and the Council (COM(2004)

0173) (1),

— having regard to Article 251(2) and Article 61(c) of the EC Treaty, pursuant to which the Commission

submitted the proposal to Parliament (C6-0006/2004),

— having regard to Rule 51 of its Rules of Procedure,

— having regard to the report of the Committee on Legal Affairs and the opinion of the Committee on

Civil Liberties, Justice and Home Affairs (A6-0240/2005),

1.

Approves the Commission proposal as amended;

Calls on the Commission to refer the matter to Parliament again if it intends to amend the proposal

2.
substantially or replace it with another text;

3.

Instructs its President to forward its position to the Council and Commission.

(1) Not yet published in OJ.