MADE, NOT TO NATIONAL LEGISLATION, BUT TO THE DEFINITIONS SET OUT IN THE "EXPLANATORY NOTES" ANNEXED TO THE DIRECTIVE, WHICH FORM AN INTEGRAL PART THEREOF .
12 ACCORDING TO THE EXPLANATORY NOTES, THE EXPRESSION "RESIDENTS OR NON-RESIDENTS" MEANS "NATURAL AND LEGAL PERSONS ACCORDING TO THE DEFINITIONS LAID DOWN IN THE EXCHANGE CONTROL REGULATIONS IN FORCE IN EACH MEMBER STATE ". IN THAT REGARD IT IS UNCONTESTED THAT THE DEFENDANTS WERE RESIDENT IN IRELAND .
13 FURTHERMORE, AGAIN ACCORDING TO THE EXPLANATORY NOTES, SECURITIES ARE DOMESTIC OR FOREIGN "ACCORDING TO THE COUNTRY IN WHICH THE ISSUER HAS HIS PRINCIPAL PLACE OF BUSINESS ". IT IS ALSO NOT CONTESTED THAT EACH OF THE COMPANIES IN WHOSE SHARES THE DEALINGS AT ISSUE TOOK PLACE HAD ITS PRINCIPAL PLACE OF BUSINESS IN IRELAND . CONSEQUENTLY, FOR THE PURPOSES OF THE DIRECTIVE OF 11 MAY 1960, AS AMENDED, THOSE SECURITIES ARE IRISH SECURITIES .
14 IT FOLLOWS FROM THE FOREGOING THAT FOR THE PURPOSES OF THE DIRECTIVE OF 11 MAY 1960, AS AMENDED, THE TRANSACTIONS AT ISSUE IN THE MAIN PROCEEDINGS CONSTITUTE PURCHASES BY RESIDENTS OF DOMESTIC SECURITIES ON A FOREIGN MARKET . SUCH TRANSACTIONS DO NOT APPEAR IN TABLE B ANNEXED TO THAT DIRECTIVE .
15 NOR CAN TRANSACTIONS OF THAT TYPE BE REGARDED AS BEING COVERED BY THE DIRECTIVE BY IMPLICATION . THEY DIFFER FROM THOSE REFERRED TO BY THE DIRECTIVE AND WERE LIBERALIZED ONLY BY COUNCIL DIRECTIVE 86/566/EEC OF 17 NOVEMBER 1986 ( OFFICIAL JOURNAL 1986, L 332, P . 22 ), WHICH CAME INTO EFFECT AFTER THE EVENTS WHICH GAVE RISE TO THE MAIN PROCEEDINGS .
16 THE REPLY TO THE SECOND QUESTION MUST THEREFORE BE THAT ARTICLE 2 ( 1 ) OF THE COUNCIL DIRECTIVE OF 11 MAY 1960, AS AMENDED, MUST BE INTERPRETED AS MEANING THAT IT DOES NOT COVER TRANSACTIONS FOR THE PURCHASE OF SECURITIES OF THE TYPE AT ISSUE IN THE MAIN PROCEEDINGS, WHICH, IN THE LIGHT OF THAT DIRECTIVE, CONSTITUTE PURCHASES BY RESIDENTS OF DOMESTIC SECURITIES ON A FOREIGN MARKET .
THE REMAINING QUESTIONS
17 IT FOLLOWS FROM THE ANSWER TO THE SECOND QUESTION THAT TRANSACTIONS OF THE TYPE WHICH GAVE RISE TO THE MAIN PROCEEDINGS WERE NOT LIBERALIZED BY THE DIRECTIVE OF 11 MAY 1960, AS AMENDED, AND THAT THEREFORE THE GOVERNMENT OF IRELAND CONTINUED TO HAVE THE POWER TO REGULATE THEM .
18 IN THOSE CIRCUMTANCES THE REMAINING QUESTIONS REFERRED BY THE NATIONAL COURT RELATING TO THE POSSIBLE DIRECT EFFECT OF THE DIRECTIVE OF 11 MAY 1960, AS AMENDED, AND TO THE VALIDITY AND SCOPE OF THE COMMISSION DECISION OF 3 DECEMBER 1980 AUTHORIZING IRELAND TO APPLY PROTECTIVE MEASURES BY WAY OF DEROGATION FROM CERTAIN PROVISIONS OF THE DIRECTIVE OF 11 MAY 1960, AS AMENDED, NO LONGER SERVE ANY PURPOSE . THERE IS THEREFORE NO NEED TO ANSWER THEM .
Decision on costs
COSTS
19 THE COSTS INCURRED BY THE GOVERNMENT OF IRELAND AND THE COMMISSION OF THE EUROPEAN COMMUNITIES, WHICH HAVE SUBMITTED OBSERVATIONS TO THE COURT, ARE NOT RECOVERABLE . SINCE THESE PROCEEDINGS