CELEX: 51985PC0788
Language: en
Date: 1985-12-23
Title: PROPOSAL FOR A COUNCIL DIRECTIVE ON THE COORDINATION OF LAWS, REGULATIONS AND ADMINISTRATIVE PROVISIONS RELATING TO THE RE-ORGANIZATION AND THE WINDING-UP OF CREDIT INSTITUTIONS

31. 12. 85                           Official Journal of the European Communities                            No C 356/55
             Proposal for a Council Directive on the coordination of laws, regulations and administrative
                   provisions relating to the reorganization and the winding-up of credit institutions
                                                    COM (85) 788 final
                                                       (85/C 356/10)
THE COUNCIL OF THE EUROPEAN COMMUNITIES,                        Whereas it is desirable, and sometimes necessary, to
Having regard to the Treaty establishing the European           notify creditors and shareholders of the implementation
                                                                of certain reorganization measures in countries where
Economic Community, and in particular Article 57 (2)
                                                                branches are situated, particularly when such measures
thereof,
                                                                could hinder them from exercising certain of their
Having regard to the proposal from the Commission,              rights;
Having regard to the opinion of the European Parlia-            Whereas it is essential to provide for a procedure to
ment,                                                           enable the Directive to be swiftly adjusted to changes
                                                                in national rules on reorganization measures, which
Having regard to the opinion of the Economic and                must continue to evolve at national level in the light
Social Committee,                                               of experience; whereas it is desirable to extend the
                                                                responsibilities of the Advisory Committee set up under
Whereas, in accordance with the objectives of the               Council Directive 77/780/EEC i1) to this end, by
Treaty, the harmonious development of economic                  empowering it to give an opinion on whether such
activities throughout the Community should be pro-              changes should be adopted or rejected at Community
moted through the elimination of any restrictions on            level;
freedom of establishment and the freedom to provide
services within the Community;                                  Whereas in the absence of reorganization measures,
                                                                or in the event of such measures failing, the credit
Whereas, at the same time as those restrictions are             institutions in difficulty must be wound up; whereas
eliminated, consideration should be given to the situ-          certain provisions should be made in such cases for
ation which might arise if a credit institution runs            coordinating the banking supervisory authorities' role
into difficulties, particularly where that institution has      in applying the winding-up measures;
branches in other Member States;
                                                                Whereas the important role played by the competent
Whereas the existing structure of the credit sector,            authorities in implementing reorganization measures
where the taking up and pursuit of business are subject         before winding-up commences must continue after win-
to supervision by the. authorities in all the Member            ding-up has commenced so that the winding-up oper-
States of the Community, justifies the provision of             ations may be properly carried o\it;
specific measures in respect of the reorganization and
winding up of credit institutions;                              Whereas withdrawal of authorization to pursue the
                                                                business of banking must be one of the necessary effects
Whereas there is a tendency in the laws and practices           of winding-up credit institutions; whereas the com-
in force in the Member States to institute reorganization       petent authorities may, however, maintain such autho-
procedures, aimed at preventing credit institutions from        rization in certain exceptional cases in order to facilitate
becoming insolvent, as soon as financial difficulties           the winding-up operations;
become apparent, so as to maintain savers' confidence
in the banking system;                                          Whereas it is acknowledged that, while it is pursuing
                                                                its business, a credit institution and its branches form
Whereas it would be very difficult to attempt to unify          a single entity whose liquidity position and solvency
those laws and practices without first securing mutual          are subject to supervision by the competent authorities
recognition by the Member States of the achievements            of the home country; whereas it would be inexpedient
of each in resolving the financial difficulties of its own      to abandon this rule at a time when a credit institution
credit institutions;                                            is being wound up;
Whereas implementation of reorganization measures in            Whereas equal treatment of creditors can be guaranteed
respect of a credit institution operating in several Mem-       only in so far as the credit institution is wound up
ber States should be entrusted to the competent authori-        according to the principles of unity and universality,
ties of one Member State, namely that in which the              which require that the administrative authorities and
credit institution has its head office; whereas those           courts of a single State have jurisdiction, that the home
authorities must be empowered to enforce their own              country's law on winding-up be applied and that that
laws outside their national territory in consultation, as       law be effective outside the territory of the State con-
appropriate, with the competent authorities of the other        cerned;
Member States concerned;                                        Whereas, however, winding-up must be governed by
Whereas reorganization cannot be achieved unless all            particular rules when an institution is solvent; whereas
the legal obstacles which might prevent the reorganiza-
tion measures taken by the authorities of the home
country from being effective against branches are elim-
inated;                                                         (J) OJ No L 322, 17. 12. 1977, p. 30.
 ---pagebreak--- No C 356/56                          Official Journal of the European Communities                                     31. 12. 85
voluntary winding-up according to the statutory pro-           (a) measures taken as part of the normal supervision
visions presupposes such solvency; whereas provision                 of credit institutions as defined in Article 7 of
should be made for the competent authorities' to be                  Directive 77/780/EEC, and measures intended to
empowered to ensure that the institution is solvent                  deal with infringements of laws or regulations;
throughout the winding-up period;
                                                               (b) measures taken in connection with bankruptcy
Whereas it should be made possible, by means of certain              proceedings, an arrangement or any other wind-
adjustments, for the competent authorities' role to be               ing-up procedure already initiated.
coordinated also in respect of branches of credit insti-
tutions whose head office is outside the Community;            3.     The measures referred to in paragraph 1 and the
                                                               authorities responsible for implementing them shall be
Whereas depositors' interests in the event of an insol-        determined by the laws and regulations set out in the
vent credit institution being .wound up must be safe-          Annex.
guarded by the guarantee schemes existing in the Euro-
pean Community, without discrimination in a given
territory between branches of national or Community                                         Article 3
credit institutions and also without discrimination in a
given institution between deposits made in the State           For the purposes of this Directive:
where the head office is situated and those made in
branches set up in other States, where no deposit-             — 'home country' means the Member State in which
guarantee scheme exists in those States,                            a credit institution has its head office,
                                                               — 'host country' means any Member State — other
                                                                    than that defined as being the home country — in
                                                                    which a credit institution has set up a branch within
                                                                    the meaning of the third indent of Article 1 of
HAS ADOPTED THIS DIRECTIVE:                                         Directive 77/780/EEC,
                                                               — 'competent authorities' means the authorities
                                                                    empowered to grant and withdraw authorization
                            TITLE I                                 and/or supervise the activities of credit institutions
                                                                    pursuant to Articles 3, 4, 6, 7 and 8 of Directive 77/
                   Scope and definitions                            780/EEC and any other authority listed in the Annex
                                                                    to this Directive as being responsible for implement-
                                                                    ing the reorganization measures.
                           Article 1
 1. This Directive shall apply to credit institutions
and their branches as defined in the first and third
indents of Article 1 of Directive 77/780/EEC, due regard                                    TITLE II
being had to the conditions and exemptions laid down
in Article 2 of that Directive.                                                 Reorganization measures
2.     The provisions of this Directive concerning the
 branches of a credit institution whose head office is                   A. Credit institutions having their head office
outside the Community shall apply only where that                                   within the Community
institution has branches in at least two Member States
of the Community.                                                                           Article 4
                                                                1. The authorities or courts of the home country
                           Article 2                            shall be empowered to decide, in accordance with the
                                                                rules, procedures and practices in force in their territory,
 1. For the purposes of this Directive, 'reorganization         on the implementation of one or more reorganization
measures' means measures which are intended to safe-            measures in a credit institution and its branches.
guard or restore the financial situation of a credit
institution and which satisfy the following conditions:         2. The reorganization measures decided on by the
                                                                competent authorities or court in the home country
(a) they are included in the list set out in the Annex          shall be fully effective as against the governing bodies
      to this Directive;                                        and creditors of branches situated in the other Member
(b) they are designed to avoid the opening of a wind-           States, even where the rules of the host country appli-
      ing-up procedure;                                         cable to them do not make provision for such measures
                                                                or make their implementation subject to conditions
(c) they were decided on before any declaration that            which are not fulfilled.
      the credit institution was insolvent.
                                                                3.    Decisions taken by the competent authorities or
2.     The following shall not be considered to be reor-        court in the home country to apply one or more reor-
ganization measures, even if they are included in the           ganization measures shall preclude the application or
list set out in the Annex.                                      maintenance by the competent authorities or court in
 ---pagebreak---  31. 12. 85                           Official Journal of the European Communities                                  No C 356/57
 the host country of any reorganization measure within           unless the competent authorities of the home country
 the meaning of Article 2, unless a decision to the con-         or the law of that country governing the measures
 trary is taken by the competent authorities of the home         provide otherwise.
 country.
                                                                 5.     Except in the case of individual notification, the
                                                                 time for lodging an appeal shall run from publication
                           Article 5                             in the Official Journal of the European Communities.
 The competent authorities of the home country shall,
 before adopting any reorganization measure, inform,
 by all available means, the competent authorities of the
 host country, of their intention and consult them on                B. Credit institutions having their head office outside the
 the effects of such a measure in the host country, unless                                  Community
 the measure concerned is clearly not likely to have
 any significant effect on a branch situated in another
 Member State.                                                                               Article 8
                                                                  1. Pending subsequent coordination of laws, regu-
                           Article 6                             lations and administrative provisions applying to the
                                                                 branches of credit institutions having their head office
 Where the competent authorities of the host country             outside the Community, the authorities and courts of
 deem it necessary to implement in their territory one           the host country shall retain the right to implement
 or more reorganization measures within the meaning              reorganization measures in accordance with the rules,
 of Article 2, they shall inform the competent authorities       procedures and practices in force in their territory,
 of the home country accordingly.                                unless provision is made to the contrary in agreements
                                                                 concluded with the home country, in accordance with
 Where, upon receipt of such information, the competent          the Treaty, on the basis of the principle of reciprocity.
 authorities of the home country consider that the diffi-
 culties encountered by the branch are not such as to            2.    However, the competent authority of the host
 justify the application of Article 4 (1) and (2), they shall    country of a branch of a credit institution having its
 so inform the authorities of the host country, which may        head office outside the Community which deems it
 decide to apply one or more reorganization measures in          necessary to implement one or more reorganization
 their territory.                                                measures within the meaning of Article 2 shall, before
                                                                 adopting such measures, so inform, by all available
                                                                 means, the competent authorities of the other host
                                                                 countries in which the institution has set up branches
                           Article 7                             included in the list mentioned in Article 3 (7) of Direc-
                                                                 tive 77/780/EEC and published each year in the Official
 1. Where implementation of the reorganization                   Journal of the European Communities,
 measures decided on pursuant to Article 4 (1) and (2)
 directly affects the rights of creditors established in a
 host country and where an appeal is possible in the             3.    In cases of extreme urgency, the information
home country against the decision ordering the                   referred to in paragraph 2 may be replaced by notifi-
 measure, the competent authorities of the home country          cation of the measure, which must be made without
may, should they deem it necessary, publish at the               delay to the competent authorities of the host country.
expense of the credit institution an extract from their
decision in the Official Journal of the European Com-           4.     The competent authorities of another host coun-
munities and in two nationally distributed newspapers            try may decide, save where the agreements referred to
in each host country.                                            in paragraph 1 are applicable, that the reorganization
                                                                 measures of which they are informed, through the pro-
2.     The competent authorities of the home country            cedure referred to in paragraph 2 or the notification
may, should they deem it expedient, notify the measure          referred to in paragraph 3, shall take effect as against
directly and individually to creditors resident in the          the governing bodies and creditors of branches situated
Community whose rights are affected.                            in that host country, even if the rules applicable to
                                                                them, by virtue of paragraph 1, do not provide for
3.     The extract from the decision to be published or         such measures or make their implementation subject to
the notification shall specify, in the national language        conditions which are not fulfilled.
or languages of the States concerned, the purpose and
legal basis of the decision taken, the time limits for
lodging an appeal and the full address of the authorities       5.     The publicity measures entrusted under Article
or court competent to examine the appeal.                       7 (1) and (2) to the competent authorities of the home
                                                                country shall, in the event of application of the pro-
4.     The reorganization measures shall apply irrespec-        visions of paragraph 4 of this Article, be entrusted to
tive of the publicity measures prescribed in paragraphs         the competent authority of the host country referred to
1 to 3 and shall be fully effective as against creditors,       in paragraph 2.
 ---pagebreak---  N o C 356/58                           Official Journal of the European Communities                                      31. 12. 85
 C. Adjustment of the Directive to changes in national legislation another Member State, have set up in its territory; it
                                                                   shall consequently adopt, with due regard to the general
                                                                   principles of its own system, the laws, regulations and
                                                                   administrative provisions necessary to this effect.
                           Article 9
 1.    The list of reorganization measures given in the
Annex shall be amended or supplemented in accordance
with the procedure laid down in this Article.                                                   TITLE III
2.     If a Member State wishes to make amendments                                            Winding-up
or additions to the annexed list, it shall notify the
proposed measure to the Commission, stating whether
or not it involves provisions that may affect the rights                A. Credit institutions having their head office within the
of creditors.                                                                                  Community
3.     A Commission representative shall ask the Chair-
man of the Banking Advisory Committee set up by                                                Article 11
Directive 77/780/EEC, hereinafter referred to as the
Committee, to refer the proposed measure to the Com-                1.    The competent authorities of the home country
mittee, asking the Committee to hold an emergency                  shall be consulted on any application from creditors,
meeting if he considers that the situation so requires.            the debtor or the representative of the State for a
                                                                   compulsory winding-up procedure to be opened.
4.     The Committee shall deliver its opinion on the              2.     The business of the credit institution shall be
 measure by a qualified majority of two-thirds of the              wound up in accordance with the law of the home
votes; if, however, the proposed amendment concerns                country in so far as this Directive and the Convention
 a measure that may affect the rights of creditors, the            on bankruptcy, winding-up, arrangements, compos-
 Committee shall deliver its opinion unanimously.                  itions and similar proceedings do not provide otherwise.
5.    Where the Committee delivers a favourable                    3.     Decisions on the winding-up of a credit institution
opinion on the amendment to the list, the Commission               taken by the administrative authorities or courts, or
shall adopt the measure proposed.                                  winding-up agencies, shall also be fully effective against
                                                                   the credit institution's branches situated in other Mem-
                                                                   ber States and shall preclude the opening of any other
6.    Where the Committee does not deliver such an                 winding-up procedure in respect of them, subject to the
opinion, the Commission shall without delay present                provisions of Article 12 (2).
to the Council, which shall act by a qualified majority,
a proposal on the measure to be adopted.
If the Council has not acted within six months of such                                         Article 12
referral, the proposed measure shall be adopted by the
Commission.                                                        1.     The competent authorities of the home country
                                                                   shall be consulted prior to any voluntary winding-up
This provision shall not apply where the measure may
                                                                   decision taken by the governing bodies of a credit
affect the rights of creditors. In that case, the Com-
                                                                   institution.
mission shall present to the Council a proposal for a
Directive in the manner prescribed in Article 149 of the           2.     The voluntary winding-up of a credit institution
Treaty.
                                                                   shall not preclude the opening, at the request of the
                                                                   competent authorities of the home country, of a pro-
7.    The Member States may adopt the proposed                     cedure for administrative or compulsory winding-up, if
measure without awaiting the decisions of the Commit-              the governing bodies do not carry out such winding-up
tee and of the Council; however, decisions taken pursu-            in a satisfactory manner, or there is good reason to
ant to the measure shall not be covered by the provisions          believe that the institution is not in a position to fulfil
of this Directive, and in particular Article 4 (2) and (3).        its obligations to its creditors.
                                                                                               Article 13
                         . Article 10
                                                                   1.     Where a winding-up procedure is opened in
Each Member State shall ensure that there are no legal             respect of a credit institution in the absence or following
impediments preventing any reorganization measures                 the failure of reorganization measures, the competent
that may be decided on, in accordance with Article 4,              authorities of the home country shall withdraw the
by the competent authorities or court of the home                  authorization of the institution in accordance with the
country from being rendered applicable to branches                 procedure provided for in Article 8 of Directive 77/780/
which credit institutions, having their head office in             EEC.
 ---pagebreak---    31. 12. 85                               Official Journal of the European Communities                          No C 356/59
   2.    However, exceptionally, the withdrawal of autho-             4.    The competent authorities of the host countries
   rization shall not prevent the person or persons                   other than the host country referred to in paragraphs
   entrusted with the winding-up from carrying on some                1 and 2 may decide to withdraw any separate authoriza-
   of the activities of the credit institution with the consent       tion granted to the branch set up in their territory.
   and under the supervision of the competent authorities
   of the home country, in so far as this is necessary for            5.     Exceptionally, the withdrawal of authorization
   the purposes of the winding-up. This provision shall be            shall not prevent the person or persons entrusted with
   applicable in the host country only if the law on the              the winding-up from carrying on certain of the activities
   withdrawal of banking authorization does not provide               of the branch with the consent of the competent autho-
   otherwise.                                                         rities and/or under the supervision of the competent
                                                                      courts, in so far as the law of the host country so
   3.    In the event of voluntary winding-up, the authori-           permits.
   zation provided for in Article 3 of Directive 77/780/EEC
   may be maintained until completion of the winding-up               6. Withdrawal of authorization shall not bring to an
   operations provided the institution continues to satisfy           end the supervision of the activities of a branch by the
   the conditions of the authorization.                               competent authorities of the host country.
                              Article 14
                                                                                               TITLE IV
   1. Winding-up shall be carried out under the super-
   vision of the competent authorities of the home country                            Deposit-guarantee schemes
   in collaboration with the competent authorities of the
   host country.
                                                                                               Article 16
   2.    Liquidators shall be entitled to exercise in the
   territory of all the Member States all the powers which             1. Member States shall ensure that the deposit-
   they are entitled to exercise in the territory of the              guarantee schemes that exist in their territory cover the
   Member State in which the winding-up procedure is                  deposits of branches of institutions having their head
   opened. However, even if the law of the Member State               office in another Member State.
   in which the winding-up procedure is opened does not
   provide for the possibility of more than one liquidator            2.     As a transitional measure, pending entry into force
   being appointed, the competent authorities of a host               of a deposit-guarantee scheme in all Member States,
   country may, if they deem it necessary, request the                the latter shall ensure that the deposit-guarantee
   appointment of a liquidator from among the persons                 schemes, in which the institutions that have their head
   exercising the functions of liquidator in their territory,         office in their territory take part, extend cover to
   similarly, where the law of the Member State in which              deposits received by branches set up in host countries
   the winding-up procedure is opened permits the dele-                within the Community which have no deposit-guaran-
   gation of certain powers to other persons, such persons            tee scheme, under the same conditions as those laid
   shall, at the request of the competent authorities of the          down to guarantee deposits received in the home
   host country, be chosen from among the persons able                country.
   to exercise the functions of liquidator in that country.
                                                                                                TITLE V
      B. Credit institutions having their head office outside the
                             Community                                                      Final provisions
                             Article 15                                                        Article 17
  1. Where the law of the host country provides for the                1. Member States shall adopt the laws, regulations
  possibility of winding-up a branch of a credit institution          and administrative provisions necessary to comply with
  having its head office outside the Community, such                  this Directive not later than 1 January 1990. They shall
  winding-up shall be decided on by the competent autho-              forthwith inform the Commission thereof.
  rities of the host country.
                                                                      Member States may stipulate that such provisions shall
  2.     The competent authorities of the host country                not apply until two years after that date.
  referred to in paragraph 1 shall withdraw the authoriza-
' tion of the branch if the branch was granted a separate             2.    Member States shall communicate to the Com-
  authorization in accordance with Article 4 (4) of Direc-            mission the texts of the main provisions of national law
  tive 77/780/EEC.                                                    which they adopt in the field governed by this Directive.
  3.     The competent authorities referred to in para-
  graphs 1 and 2 shall inform the competent authorities                                        Article 18
  of the other host countries that authorization has been
  withdrawn and a winding-up procedure opened.                        This Directive is addressed to the Member States.
 ---pagebreak--- No C 356/60                           Official Journal of the European Communities                                        31. 12. 85
                                                                ANNEX
          List of the reorganization measures provided in Article 2 (1) of the draft Directive on the coordination of
          laws, regulations and administrative provisions relating to the reorganization and the winding-up of credit
                                                             institutions
          BELGIUM
          Banks
          — On-the-spot investigations and expert appraisals
              Article 19, paragraph 3, 2° and paragraph 4 of Royal Decree No 185 of 9 July 1935 on the supervision of
              banks and the rules on issues of stocks and securities (penal sanction: Article 42, 9° of the Decree).
              Competent authority responsible for deciding on the investigation or appraisal: Banking Commission
               ('Commission Bancaire'). /
              Competent authorities responsible for conducting the investigation or appraisal: Banking Commission
              and the Banque Nationale de Belgique, at the request of the Banking Commission.
          — Appointment      of a special auditor
              Article 25, § 1, paragraphs 1 and 2, 1° and § 2 of Royal Decree No 185 of 9 July 1935 (penal sanction for
              persons carrying out acts without the authorization of the special auditor: Article 42, 2° bis of the Royal
              Decree).
              Competent authority responsible for appointing the special auditor: Banking Commission.
          — Suspension of all or part of a credit institution's   activities
              Article 25, § 1, paragraphs 1 and 2, 2° and § 3 of Royal Decree No 185 of 9 July 1935 (penal sanction for
              persons carrying out acts in contravention of suspension decision: Article 42, 2° bis of the Royal Decree).
              Competent authority responsible for suspending activities: Banking Commission; an appeal may be made
              to the Ministry of Finance, which confirms or reverses the decision.
          Private savings banks
          — On-the-spot investigations and expert appraisals
              Article 16, paragraph 4,2° and paragraph 5 of the provisions concerning the supervision of private savings
              banks, coordinated by the Royal Decree of 23 June 1967 (penal sanction: Article 35 of the coordinated
              provisions).
              Competent authority responsible for deciding on the investigation or expert appraisal: Banking Com-
              mission.
              Competent authorities responsible for carrying out the investigation or expert appraisal: the Banking
              Commission and the Banque Nationale de Belgique, at the request of the Banking Commission.
          — Appointment      of a special auditor
              Article 17 bis, § 1, paragraphs 1 and 2, 1° and § 2 of the coordinated provisions (penal sanction: Article
              32, 4° of the coordinated provisions).
              Competent authority: Banking Commission.
          — Suspension of all or part of a credit institutions    activities
              Article 17 bis, § 1, paragraphs 1 and 2, 2° and § 3 of the coordinated provisions (penal sanction: Article
              32, 4° of the coordinated provisions).
              Competent authority and appeal: Banking Commission; an appeal may be made to the Ministry of
              Finance, which confirms or reverses the decision.
          — The King has the power, in the Decree revoking a private savings bank's authorization to operate, to
              take appropriate measures to safeguard the rights of depositors (especially the transfer of privileged
              savings funds and encumbered assets).
             Article 23 of the coordinated provisions.
          Undertakings governed by Chapter 1 of the Law of 10 June 1964
          — On-the-spot investigations and expert appraisals
             Article 6, § 1, paragraph 3, 2° and paragraph 4 of the Law of 10 June 1964 on the raising of funds from
             the public (penal sanction: Article 13, 4° of the Law).
 ---pagebreak--- 31. 12. 85                              Official Journal of the European Communities                                      No C 356/61
                Competent authority responsible for deciding on the investigation or expert appraisal: Banking Com-
                mission.
                Competent authorities responsible for carrying out the investigation or expert appraisal: Banking Com-
                mission and the Banque Nationale de Belgique at the request of the Banking Commission.
           — Appointment       of a special auditor
                Article 9 bis, § 1, paragraphs 1 and 2, 2° and § 2 of the Law (penal sanction: Article 13, 5° of the Law).
                Competent authority: Banking Commission.
           — Suspension of all or part of a credit institution's   activities
                Article 9 bis, § 1, paragraphs 1 and 2, 2° and § 3 of the Law (penal sanction: Article 13, 5° of the Law).
                Competent authority and appeal: Banking Commission; an appeal may be made to the Ministry of
                Finance, which confirms or reverses the decision.
           Public credit institutions
           Savings Bank of the General Savings and Pension Fund ('Caisse d'Epargne de la Caisse Generate d'Epargne
           et de Retraite')
           — On-the-spot investigations and expert appraisal
                Article 1, paragraph 2 of Royal Decree No 2 on the supervision of the Savings Bank of the General
               Savings and Pensions Fund.
               Competent authority responsible for deciding on the investigation or expert appraisal: Banking Com-
               mission.
               Competent autorities responsible for carrying out the investigation or expert appraisal: Banking'Com-
               mission and the Banque National de Belgique, at the request of the Banking Commission.
           — Other measures: no special measures; responsibility of Parliament and the government.
           DENMARK
           — Article 46 of Law No 35 of 30 January 1981.
           The supervisory authorities for banks and savings banks can declare cessation of payments for banks or
           savings banks, when it is necessary in the interests of the depositors. The declaration cannot be revoked by
           the bank or savings bank without the agreement of the supervisory authorities.
           The declaration should be sent to the Court 'skifteretten' which is a part of the Court system.
           FRANCE
           Measures provided for by Law No 84/46 of 24 January 1984 concerning the activity and supervision of credit
           institutions.
           Measures to be taken by the Banking Commission ('Commission bancaire'):
           — injunctions (Article 43),
           — appointment of a temporary administrator (Article 44),
           — prohibition of certain operations and other limitations on activity (Article 45, § 3),
           — temporary suspension or compulsory resignation of one or more of the persons responsible for actually
               determining the general patterns of the activity of credit institutions (Article 45, § 4 and 5).
           Measures to be taken by the Governor of the Banque de France:
           — organization of the assistance of all credit institutions with a view to taking the measures necessary for
               protecting the interests of depositors and third parties, for the functioning of the banking system and for
               preserving the reputation of local banking (Article 52).
           GERMANY
           Measures taken pursuant to Section 46 of the Banking Act:
           — instructions issued to directors,
           — prohibition or limitation of the right to make payments*
           — prohibition or limitation of the right to act as director or proprietor,
           — appointment of persons responsible for supervising the institution.
 ---pagebreak--- No C 356/62                              Official Journal of the European Communities                                            31. 12. 85
           Measures taken pursuant to Section 46a of the Banking Act( 1 ):
          — ban on making payments or disposing of property,
          — closure of a credit institution's counters for business with customers,
          — ban on the acceptance of payments not intended for the discharge of debts to a credit institution.
           Competent authority: Federal Banking Supervisory Office (Bundesaufsichtsamt fur das Kreditwesen).
           GREECE
           Measures provided for by
           (a) the Law 1665/1951 organizing the Banking Prudential Control, the administrative winding-up of banks,
                  the appointment of a Commissioner, liquidation and revocation of licence;
           (b) Law 236/75 organizing the appointment of a temporary Commissioner in cases of special urgency and
                  importance;
           (c) Law 431/76 providing for compulsory doubling of share capital of banks under certain conditions
                  considered as constituting a state of insolvency;
           (d) Law 2292/1953 (especially Articles 10 to 12) dealing with compulsory mergers of banking corporations.
           A. Measures to be taken by the Bank of Greece under the general law 1266/1982
             (i) Compulsory increase of capital (Law 1665/1951, Article 6);
            (ii) Appointment of a Commissioner (Law 1665/1951, Article 8);
          (iii) Appointment of a temporary Commissioner in cases of special importance and urgency (Law 236/75);
           (iv) Obligatory increase (doubling) of share capital by banks who have been placed repeatedly under a
                  Commissioner or temporary Commissioner and whose share capital and surplus is less than 1/70 of the
                  total of their deposits (Law 431/76).
           B. Measures to be taken by the Government (Council of Ministers and Minister of Commerce)
           Compulsory merger of banks and compulsory increase of initial share capital by 1/3 at least (Law 2292/1953,
           Articles 10 to 12).
           IRELAND
           Measures relating to licensed banks where the legislative references are to the Central Bank Act, 1971 and
           where the competent authority is the Central Bank of Ireland:
           — suspension of the right to receive deposits and make payments (Section 21),
           — restriction of the scope of authorization (Section 10),
           — prohibition or restriction of advertising concerning deposits (Section 22).
           Measures relating to building societies where the legislative references are to the Building Societies Act, 1976
           and where the competent authority is the Registrar of Friendly Societies:
           — restriction on authorization (Section 11),
           — loans from one society to another (Section 24),
           — union of societies (Section 25),
           — transfer of and undertaking to fulfil engagements (Section 26),
           — confirmation and registration of union under Section 25 or transfer of undertaking under Section 26
                 (Section 27),
           — power of registrar to appoint an inspector or call a special meeting (Section 29),
           — power of registrar to suspend the raising of funds and making of payments (Section 31),
           — power of registar to suspend and control advertising (Section 32).
           (') These measures are also listed,in Article 1(b) of the Protocol to the draft Convention on bankruptcy, winding-up,
                arrangements, compositions and similar proceedings.
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             ITALY
             (a) Request for information of the economic situation of the credit institution or its branches (Section 31 of
                    the Banking Act);
                     Competent authority: Banca d'ltalia
             (b) Investigations at the credit institution and its branches (Section 31 of the Banking Act);
                     Competent authority: Banca d'ltalia
             (c)    Convening of shareholders' meetings and governing bodies of the credit institutions with a view to
                    taking special measures (Section 35 of the Banking Act);
                     Competent authority: Banca d'ltalia
             (d) Withdrawal of the internal administrative and supervisory bodies and appointment in their place of
                    special bodies for the reorganization of the credit institution (Section 57 of the Banking Act);
                    Competent authority. Ministry of the Treasury on a proposal from the Banca d'ltalia (for appointment
                    of the special bodies, only the Banca d'ltalia)
             (e) Temporary suspension of payments and of any executive procedure in respect of the credit institution
                    during the special administration referred to at (d) (Section 63 of the Banking Act);
                    Competent authority: Banca d'ltalia
             (f)    Temporary suspension of the functions of the credit institution's administrative and supervisory bodies
                    and appointment of an official of the Banking Supervisory Authority to perform tasks in their place
                    (Section 66 of the Banking Act);
                    Competent authority: Banca d'ltalia
             (g) Withdrawal of the authorization to operate in respect of the credit institution's individual branches on
                    account of administrative shortcomings (Section 34 of the Banking Act);
                    Competent authority: Interministerial Committee for Credit and Savings (Comitato interministeriale per
                    il credito ed il risparmio)
            LUXEMBOURG
            Measures provided for by the Law of 10 August 1982 organizing:
            1. the right of the Luxembourg Monetary Institute ('Institut Monetaire Luxembourgeois') to suspend credit
                  institutions;
            2. suspension of payments; supervised administration and the winding-up of credit institutions.
            Measures to be taken by the Luxembourg Monetary Institute:
            — injunctions (in the event of a crisis) (Article 2),
            — suspension of directors (Article 3) (not applicable to institutions governed by Luxembourg public law),
            — total or partial suspension of activities (Article 3).
            Measures to be taken by the district court ('Tribunal d'Arrondissement') sitting as a commercial court (where
            appropriate, at the request of the Luxembourg Monetary Institute):
            — suspension of payments and supervised administration (Articles 7 to 10) (not applicable to institutions
                  governed by Luxembourg public law).
            NETHERLANDS
            Measures provided by the law of 13 April 1978 concerning the supervision of credit institutions:
            — injunctions,
            — secret trusteeship (Part HI, section 24),
           — emergency regulations (Part V, section 31),
            Competent authority: Central Bank (De Nederlandsche Bank)
           UNITED KINGDOM
           'Measures available to the Bank of England:
           — the power to appoint one or more competent persons to investigate and report on the state and conduct
                 of the business of an authorized institution (Banking Act 1979, Section 17),
           — the power to revoke outright an institution's authorization (Banking Act 1979, Section 7 (l)(a)),
           — the power to revoke an institution's authorization and to grant in its place a conditional licence (Banking
                 Act 1979, Section 7 (l)(b) and Section 10),
           — the power, when revoking outright an institution's authorization, to give directions as to the conduct of
                 the business (Banking Act 1979, Sections 8 and 9).