European Parliament resolution on the crisis of the Equitable Life Assurance Society (2006/2026(INI))
Date: 2006-07-04
Institutions: European Parliament
Subjects: United Kingdom, application of EU law, bankruptcy, committee of inquiry, insurance company, parliamentary scrutiny

C 303 E/108

EN

Official Journal of the European Union

13.12.2006

Tuesday, 4 July 2006

TEXT PROPOSED
BY THE COMMISSION

AMENDMENTS
BY PARLIAMENT

Amendment 6

Article 9

In the framework of the full, wide-ranging review covering all
aspects of EU spending and of resources on which it shall
report
the Commission shall undertake a
general review of the own resources system, accompanied, if
necessary, by appropriate proposals.

in 2008/2009,

in 2008/2009,

In the framework of the full, wide-ranging review covering all
aspects of EU spending and of resources on which it shall
report
the Commission shall undertake a
general review of the own resources system, accompanied by
appropriate proposals. It shall take into account the results of
the work conducted jointly by the national parliaments and
the European Parliament. In undertaking this review and in
drawing up its proposals, the Commission shall take into
account the work and recommendations of the European
Parliament, in accordance with the terms of Declaration No 3
annexed to the Interinstitutional Agreement of 17 May
2006.

P6_TA(2006)0293

Crisis of Equitable Life

European Parliament

resolution on the crisis of

the Equitable Life Assurance Society

(2006/2026(INI))

The European Parliament,

— having regard to Article 193 of the EC Treaty,

— having regard to Decision 95/167/EC, Euratom, ECSC of the European Parliament, the Council and the
Commission of 19 April 1995 on the detailed provisions governing the exercise of the European Parlia-
ment's right of inquiry (1),

— having regard to its decision of 18 January 2006 on setting up a Committee of Inquiry into the crisis of

the Equitable life Assurance Society (2),

— having regard Rule 176 of its Rules of Procedure,

— having regard to the interim report of the Committee of Inquiry into the crisis of the Equitable Life

Assurance Society (A6-0221/2006),

A. whereas Article 193 of the EC Treaty provides a legal basis for the establishment by the Parliament of a
temporary Committee of Inquiry to investigate alleged contraventions or maladministration in the imple-
mentation of Community law; whereas this constitutes an important element of the Parliament's supervi-
sory powers,

B. whereas the purpose of a Committee of Inquiry is to look at the existing body of Community legislation
and the way in which it has been implemented, either by an institution or a body of the European
Communities or by the Member States, and whereas the scope of an inquiry is limited by the mandate of
the Committee of Inquiry as well as by primary and secondary Community law,

C. whereas on the basis of a proposal by the Conference of Presidents, the Parliament decided, at its plenary
session on 18 January 2006, to set up a Committee of Inquiry to look into the crisis of the Equitable
Life Assurance Society, and that the Committee of Inquiry would investigate a large series of related
issues and would make any proposals that it deemed necessary in the matter,

(1) OJ L 113, 19.5.1995, p. 2.
(2) Texts Adopted, P6_TA(2006)0011.

13.12.2006

EN

Official Journal of the European Union

C 303 E/109

Tuesday, 4 July 2006

D. whereas the remit of a Committee of Inquiry prevents it from advancing any conclusions arising out of
its investigations before it considers its mandate to have been fulfilled; whereas, therefore, it is neither
possible nor desirable for the Committee of Inquiry to submit any observations on the various aspects of
its mandate at this early stage of its work,

E. whereas the Committee of Inquiry has approved a working document setting out a structured approach

and establishing clear lines of action and investigation,

F. whereas the Committee of

Inquiry has commissioned external studies under its expertise budget
concerning the first three lines of investigation identified in the working document, and is currently
awaiting the results,

G. whereas the issues dealt with by the Committee of Inquiry have a general significance that goes beyond
the particular concerns of the European citizens who are directly affected, in particular as regards the
adequate functioning of the internal market for insurance products, the correct implementation of Com-
munity law and the adequacy of redress mechanisms available to citizens, in particular in cross-border
situations where the undertaking concerned is under home-country control,

H. whereas the issues dealt with by the Committee of Inquiry may have a general significance for the
Solvency II project, in particular for possible future provisions on the rules governing the assets and
liabilities of insurance undertakings, matching assets to liabilities, reinsurance arrangements, and the
implications of accounting and actuarial policies,

I. whereas the Committee of Inquiry should take into account the investigations already undertaken in the
United Kingdom, especially those carried out by Lord Penrose, and should give full consideration to the
investigations that are ongoing, such as that of the UK Parliamentary Ombudsman,

J. whereas the oral and written evidence submitted and examined by the Committee of Inquiry to date
confirms the need to investigate further all the points contained in its mandate by the Parliament in its
Decision of 18 January 2006 and to make the necessary proposals,

1.
Encourages the Committee of Inquiry to pursue its work and to implement fully the mandate given by
Parliament in its Decision of 18 January 2006 and supports all the actions and initiatives leading to the
accomplishment of the mandate;

2. Considers it essential to take into consideration the different reports and investigations carried out in
the United Kingdom, in particular the report currently being finalised by the UK Parliamentary Ombudsman,
due to be published in November 2006 at the earliest; decides, therefore, to extend the mandate of the
Committee of Inquiry by a period of three months in accordance with Rule 176(4) of the Rules of
Procedure;

3. Asks the Conference of Presidents and the Bureau to support all measures needed for the Committee of
Inquiry to fulfil its mandate, in particular regarding witnesses' expenses, extraordinary meetings or any other
technical means, which are duly justified;

4. Asks the Commission to continue to support and assist the work of the Committee of Inquiry, with full
respect for the principle of loyal cooperation, providing all the technical and political support possible even
where the Commission's action, or lack of action, is the subject of scrutiny;

5. Requires the regulatory and supervisory bodies of the Member States, in particular those of the United
Kingdom, Ireland and Germany, to assist the Committee of Inquiry in its tasks and, in particular, to give
evidence on the functioning of the exchange of information and cooperation between these authorities;

6. Requires that the governments and parliaments of Members States, in particular those of the United
Kingdom, Ireland and Germany, assist the Committee of Inquiry in its tasks with full respect for the prin-
ciple of loyal cooperation established in the Treaties.

Instructs its President to forward this resolution to the Council, the Commission, and the governments

7.
and parliaments of the Member States.