CELEX: 52018PC0683
Language: en
Date: 2018-10-12
Title: Proposal for a COUNCIL DECISION on the position to be adopted, on behalf of the European Union, within the EEA Joint Committee concerning an amendment to Annex IX (Financial Services) to the EEA Agreement

EUROPEAN COMMISSION
            Brussels, 12.10.2018
            COM(2018) 683 final
            2018/0353(NLE)
            Proposal for a
            COUNCIL DECISION
            on the position to be adopted, on behalf of the European Union,within the EEA Joint Committee concerning an amendment to Annex IX (Financial Services) to the EEA Agreement 
            (Text with EEA relevance)
            
               
         
         
            
               EXPLANATORY MEMORANDUM
            
            
               1.CONTEXT OF THE PROPOSAL
            
            
               •Reasons for and objectives of the proposal
            
            
               The two draft Decisions of the EEA Joint Committee (annexed to the proposed Council Decision) aim to amend Annex IX (Financial Services) to the EEA Agreement in order to incorporate the Transfer of Funds Regulation
                  1
                and the Fourth Anti-Money Laundering Directive
                  2
                including its supplementing Commission Delegated Regulation
                  3
               .
            
            
               The adaptations appearing in the drafts of the annexed Decisions of the EEA Joint Committee go beyond what can be considered mere technical adaptations in the sense of the Council Regulation No 2894/94.The Union position shall therefore be established by the Council.
            
            
               •Consistency with existing policy provisions in the policy area
            
            
               The annexed draft EEA Joint Committee Decisions extend the already existing EU policy to the EEA EFTA States (Norway, Iceland and Liechtenstein). 
            
            
               •Consistency with other Union policies
            
            
               The extension of the EU acquis to the EEA EFTA States, through their incorporation into the EEA Agreement is conducted in conformity with the objectives and principles of that Agreement, aiming at establishing a dynamic and homogeneous European Economic Area, based on common rules and equal conditions of competition. 
            
            
               2.LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY
            
            
               •Legal basis
            
            
               The legislation to be incorporated into the EEA Agreement is based on Article 114 of the Treaty on the Functioning of the European Union.
            
            
               Article 1(3) of Council Regulation (EC) No 2894/94
                  4
                concerning arrangements for implementing the EEA Agreement provides that the Council establishes the position to be adopted on the Union’s behalf on such Decisions, on a proposal from the Commission. 
            
            
               The EEAS with the Commission services submit the draft Decisions of the EEA Joint Committee for adoption by the Council as the Union’s position. The EEAS would hope to be able to present them in the EEA Joint Committee at the earliest possible opportunity.
            
            
               •Subsidiarity (for non-exclusive competence) 
            
            
               The proposal complies with the subsidiarity principle for the following reason. 
            
            
               The objective of this proposal, namely to ensure the homogeneity of the Internal Market, cannot be sufficiently achieved by the Member States and can therefore, by reason of the effects, be better achieved at Union level. 
            
            
               The process of incorporation of the EU acquis into the EEA Agreement is conducted in conformity with the Council Regulation (EC) No 2894/94 of 28 November 1994 concerning arrangements for implementing the Agreement on the European Economic Area which confirms the approach taken. 
            
            
               •Proportionality
            
         
         
            
               In accordance with the principle of proportionality, this proposal does not go beyond what is necessary in order to achieve its objective.
            
            
               •Choice of the instrument
            
            
               In conformity with Article 98 of the EEA Agreement, the chosen instrument is the EEA Joint Committee decision. The EEA Joint Committee shall ensure the effective implementation and operation of the EEA Agreement. To this end, it shall take decisions in the cases provided for in the EEA Agreement. 
            
            
               3.RESULTS OF EX-POST EVALUATIONS, STAKEHOLDER CONSULTATIONS AND IMPACT ASSESSMENTS
            
            
               Not applicable 
            
            
               4.BUDGETARY IMPLICATIONS
            
            
               There are no budgetary implications expected as a result of incorporation of the above mentioned acts into the EEA Agreement.
            
            
               5.OTHER ELEMENTS
            
            
               Not applicable 
            
            
               2018/0353 (NLE)
            
            
               Proposal for a
            
            
               COUNCIL DECISION
            
            
               on the position to be adopted, on behalf of the European Union,
                  within the EEA Joint Committee concerning an amendment 
                  to Annex IX (Financial Services) to the EEA Agreement 
            
            
               (Text with EEA relevance)
            
            
               THE COUNCIL OF THE EUROPEAN UNION,
            
            
               Having regard to the Treaty on the Functioning of the European Union, and in particular Article 114 in conjunction with Article 218(9) thereof,
            
            
               Having regard to Council Regulation (EC) No 2894/94 of 28 November 1994 concerning arrangements for implementing the Agreement on the European Economic Area
                  5
               , and in particular Article 1(3) thereof 
            
            
               Having regard to the proposal from the European Commission,
            
            
               Whereas:
            
            
               (1)The Agreement on the European Economic Area
                  6
                ('the EEA Agreement') entered into force on 1 January 1994.
            
         
         
            
               (2)Pursuant to Article 98 of the EEA Agreement, the EEA Joint Committee may decide to amend, inter alia, amend Annex IX to the EEA Agreement, which contains provisions on financial services.
            
            
               (3)Regulation (EU) 2015/847 of the European Parliament and of the Council
                  7
                is to be incorporated into the EEA Agreement.
            
            
               (4)Directive (EU) 2015/849 of the European Parliament and of the Council
                  8
                is to be incorporated into the EEA Agreement.
            
            
               (5)Commission Delegated Regulation (EU) 2016/1675
                  9
                is to be incorporated into the EEA Agreement.
            
            
               (6)Annex IX to the EEA Agreement should therefore be amended accordingly. 
            
            
               (7)The position of the Union within the EEA Joint Committee should therefore be based on the attached draft decisions,
            
            
               HAS ADOPTED THIS DECISION: 
            
            
               Article 1
            
            
               The position to be adopted, on behalf of the Union, within the EEA Joint Committee on the proposed amendment to Annex IX (Financial Services) to the EEA Agreement, shall be based on the draft decisions of the EEA Joint Committee attached to this Decision.
            
            
               Article 2
            
            
               This Decision shall enter into force on the date of its adoption.
            
            
               Done at Brussels,
            
            
               
                     For the Council
               
               
                     The President
               
            
         
         
            
                  
                     (1)
                  
                        Regulation (EU) 2015/847 of the European Parliament and of the Council of 20 May 2015 on information accompanying transfers of funds and repealing Regulation (EC) No 1781/2006.
               
               
                  
                     (2)
                  
                        Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC.
               
               
                  
                     (3)
                  
                        Commission Delegated Regulation (EU) 2016/1675 of 14 July 2016 supplementing Directive (EU) 2015/849 of the European Parliament and of the Council by identifying high-risk third countries with strategic deficiencies.
               
               
                  
                     (4)
                  
                        OJ L 305, 30.11.1994, p. 6–8
               
               
                  
                     (5)
                  
                        OJ L 305, 30.11.1994, p. 6.
               
               
                  
                     (6)
                  
                        OJ L 1, 3.1.1994, p. 3. 
               
               
                  
                     (7)
                  
                        Regulation (EU) 2015/847 of the European Parliament and of the Council of 20 May 2015 on information accompanying transfers of funds and repealing Regulation (EC) No 1781/2006, OJ L 141, 5.6.2015, p. 1–18.
               
               
                  
                     (8)
                  
                        Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC, OJ L 141, 5.6.2015, p. 73.
               
               
                  
                     (9)
                  
                        Commission Delegated Regulation (EU) 2016/1675 of 14 July 2016 supplementing Directive (EU) 2015/849 of the European Parliament and of the Council by identifying high-risk third countries with strategic deficiencies, OJ L 254, 20.9.2016, p. 1.
               
            
      
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               EUROPEAN COMMISSION
            Brussels, 12.10.2018
            COM(2018) 683 final
            ANNEX
            to the
            Proposal for a Council Decision
            on the position to be adopted, on behalf of the European Union, within the EEA Joint Committee, concerning an amendment to Annex IX (Financial Services) to the EEA Agreement(Transfer of Funds Regulation)
            
               
         
         
            
               ANNEX 1
                  
                  DECISION OF THE EEA JOINT COMMITTEE 
               
                  No
               
                  of 
               
                  amending Annex IX (Financial services) to the EEA Agreement
            
            
               THE EEA JOINT COMMITTEE,
            
            
               Having regard to the Agreement on the European Economic Area (“the EEA Agreement”), and in particular Article 98 thereof,
            
            
               Whereas:
            
            
               (1)Regulation (EU) 2015/847 of the European Parliament and of the Council of 20 May 2015 on information accompanying transfers of funds and repealing Regulation (EC) No 1781/2006
                  1
                is to be incorporated in the EEA Agreement.
            
            
               (2)Regulation (EU) 2015/847 repeals Regulation (EC) No 1781/2006 which is incorporated into the EEA Agreement and which is consequently to be repealed under the EEA Agreement.
            
            
               (3)Annex IX to the EEA Agreement should therefore be amended accordingly,
            
            
               HAS ADOPTED THIS DECISION:
            
            
               Article 1
            
            
               Annex IX to the EEA Agreement shall be amended as follows:
            
            
               1.The text of point 23ba (Commission Directive 2006/70/EC) is replaced by the following:
            
            
               ‘32015 R 0847: Regulation (EU) 2015/847 of the European Parliament and of the Council of 20 May 2015 on information accompanying transfers of funds and repealing Regulation (EC) No 1781/2006 (OJ L 141, 5.6.2015, p. 1).
            
            
               The provisions of the Regulation shall, for the purposes of this Agreement, be read with the following adaptation:
            
            
               By way of derogation from Articles 4 and 6,  as regards transfers of funds in Swiss Francs in Liechtenstein and from and to Liechtenstein within its Currency Union with Switzerland, the information required by Articles 4 and 6 shall be collected and made available when requested by the payment service provider of the payee within three working days, but need not be transferred immediately with the transfers of funds as foreseen in Articles 4 and 6. This derogation shall be applicable for a transitional period expiring on 31 December 2022.’
            
            
               Article 2
            
            
               The text of Regulation (EU) 2015/847 in the Icelandic and Norwegian languages, to be published in the EEA Supplement to the Official Journal of the European Union, shall be authentic.
            
            
               Article 3
            
            
               This Decision shall enter into force on […], provided that all the notifications under Article 103(1) of the EEA Agreement have been made 
                  2* or on the day of the entry into force of Decision of the EEA Joint Committee No …/… of … 
                  3
                [incorporating AMLD IV (celex 32015L0849) into the EEA Agreement], whichever is the later.
            
            
               Article 4
            
         
         
            
               This Decision shall be published in the EEA Section of, and in the EEA Supplement to, the Official Journal of the European Union.
            
            
               Done at Brussels, .
            
            
               
                     For the EEA Joint Committee
               
               
                     The President
                     
                     
                     
                     The Secretaries
                     to the EEA Joint Committee
                        
               
            
         
         
            
                  
                     (1)
                  *
                        [No constitutional requirements indicated.] [Constitutional requirements indicated.]
               
               
                  
                     (2)
                  
                        OJ L …
               
            
      
    ---documentbreak--- NA ---documentbreak--- 
      
         
               EUROPEAN COMMISSION
            Brussels, 12.10.2018
            COM(2018) 683 final
            ANNEX
            to the
            Proposal for a Council Decision
            on the position to be adopted, on behalf of the European Union, within the EEA Joint Committee, concerning an amendment to Annex IX (Financial Services) to the EEA Agreement
            
               
         
         
            
               ANNEX 2
               DECISION OF THE EEA JOINT COMMITTEE 
                  No 
               of 
               amending Annex IX (Financial services) to the EEA Agreement
            
            
               THE EEA JOINT COMMITTEE,
            
            
               Having regard to the Agreement on the European Economic Area (“the EEA Agreement”), and in particular Article 98 thereof,
            
            
               Whereas:
            
            
               (1)Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC
                  1
                is to be incorporated into the EEA Agreement.
            
            
               (2)Commission Delegated Regulation (EU) 2016/1675 of 14 July 2016 supplementing Directive (EU) 2015/849 of the European Parliament and of the Council by identifying high-risk third countries with strategic deficiencies
                  2
                is to be incorporated into the EEA Agreement.
            
            
               (3)Directive (EU) 2015/849 repeals Directive 2005/60/EC of the European Parliament and of the Council
                  3
                and Commission Directive 2006/70/EC
                  4
               , which are incorporated into the EEA Agreement and which are consequently to be repealed under the EEA Agreement.
            
            
               (4)Annex IX to the EEA Agreement should therefore be amended accordingly,
            
            
               HAS ADOPTED THIS DECISION:
            
            
               Article 1
            
            
               Annex IX to the EEA Agreement shall be amended as follows:
            
            
               1.The text of point 23b (Directive 2005/60/EC of the European Parliament and of the Council) is replaced by the following:
            
            
               ‘32015 L 0849: Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC (OJ L 141, 5.6.2015, p. 73).
            
            
               The provisions of the Directive shall, for the purposes of this Agreement, be read with the following adaptation:
            
            
               (a)
                     Point (d) of Article 3(4) shall be replaced by the following:
            
            
               “fraud affecting the Union’s financial interests, where it is at least serious, as defined below:
            
            
               (i)in respect of expenditure, any intentional act or omission relating to:
            
            
               –the use or presentation of false, incorrect or incomplete statements or documents, which has as its effect the misappropriation or wrongful retention of funds from the general budget of the European Union or budgets managed by, or on behalf of, the European Union,
            
            
               –non-disclosure of information in violation of a specific obligation, with the same effect,
            
         
         
            
               –the misapplication of such funds for purposes other than those for which they were originally granted;
            
            
               (ii)in respect of revenue as defined in Council Decision of 29 September 2000 on the system of the European Communities' own resources 
                  5
                any intentional act or omission relating to:
            
            
               –the use or presentation of false, incorrect or incomplete statements or documents, which has as its effect the illegal diminution of the resources of the general budget of the European Union or budgets managed by, or on behalf of, the European Union,
            
            
               –non-disclosure of information in violation of a specific obligation, with the same effect,
            
            
               –misapplication of a legally obtained benefit, with the same effect.
            
            
               Serious fraud shall be considered to be fraud involving a minimum amount not to be set at a sum exceeding Euro 50 000.”’
            
            
               2.The text of point 23ba (Commission Directive 2006/70/EC) is replaced by the following:
            
            
               ‘32016 R 1675: Commission Delegated Regulation (EU) 2016/1675 of 14 July 2016 supplementing Directive (EU) 2015/849 of the European Parliament and of the Council by identifying high-risk third countries with strategic deficiencies (OJ L 254, 20.9.2016, p. 1).’
            
            
               3.The following indent is added in point 31bc (Regulation (EU) No 648/2012 of the European Parliament and of the Council):
            
            
               ‘-32015 L 0849: Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 (OJ L 141, 5.6.2015, p. 73).’
            
            
               Article 2
            
            
               The texts of Directive (EU) 2015/849 and Delegated Regulation (EU) 2016/1675, in the Icelandic and Norwegian languages, to be published in the EEA Supplement to the Official Journal of the European Union, shall be authentic.
            
            
               Article 3
            
            
               This Decision shall enter into force on […], provided that all the notifications under Article 103(1) of the EEA Agreement have been made
                  6*.
            
            
               Article 4
            
            
               This Decision shall be published in the EEA Section of, and in the EEA Supplement to, the Official Journal of the European Union.
            
            
               Done at Brussels, .
            
            
               
                     For the EEA Joint Committee
               
               
                     The President
                     
                     
                     
                     The Secretaries
                     to the EEA Joint Committee
                     
               
            
            
               
         
         
            
               
            
            
               Declaration of the EFTA States
            
            
               to Decision No […] incorporating Directive (EU) 2015/849 into the EEA Agreement
            
            
               [for adoption with the Decision and for publication in the OJ]
            
            
               Directive (EU) 2015/849 contains provisions with references to acts adopted under Title V TFEU. It is recalled that the incorporation of acts with such provisions into the EEA Agreement is without prejudice to the understanding that EU legislation adopted pursuant to Title V TFEU falls outside the scope of the EEA Agreement.
            
            
               Joint Declaration by the Contracting Parties
            
            
               to Decision No […] incorporating Directive (EU) 2015/849 into the EEA Agreement
            
            
               [for adoption with the Decision and for publication in the OJ]
            
            
            
               The Contracting Parties have agreed to include serious fraud affecting the financial interests of the European Union in the list of predicate offences to money laundering. For practical reasons, the Fourth Money Laundering Directive (Directive (EU) 2015/849) has been incorporated without a reciprocal agreement to protect likewise the financial interests of the EEA EFTA States. Nevertheless, the principles of reciprocity and homogeneity as laid down in the EEA Agreement, particularly in its Recital 4 and Article 1, remain fully applicable also to the mutual protection against criminal activity affecting the financial interests of the Contracting Parties in the meaning of [this Decision]. 
            
            
         
         
            
                  
                     (1)
                  
                        OJ L 141, 5.6.2015, p. 73.
               
               
                  
                     (2)
                  
                        OJ L 254, 20.9.2016, p. 1.
               
               
                  
                     (3)
                  
                        OJ L 309, 25.11.2005, p. 15.
               
               
                  
                     (4)
                  
                        OJ L 214, 4.8.2006, p. 29.
               
               
                  
                     (5)
                  
                        OJ L 253, 7.10.2000, p. 42.
               
               
                  
                     (6)
                  *
                        [No constitutional requirements indicated.] [Constitutional requirements indicated.]