Brussels’ ING concerns dismissed

The European Commission extended, under EC Treaty state aid rules, September 2009, its investigation of the illiquid asset back-up facility provided by the Dutch State to the financial group ING. The Commission has also extended its temporary clearance of the measure until the assessment of the measure is finalised. The Commission initially authorised the measure for six months for reasons of financial stability on 31 March (see IP/09/514 ), while opening an in-depth investigation to analyse the complex measure in light of the Commission's Impaired Assets Communication (see IP/09/322 ). On the basis of the information provided so far, the Commission has doubts as to the compatibility of the measure with the Impaired Assets Communication, in particular as regards valuation and burden sharing. This decision is without prejudice to the final outcome of the investigation.

Nout Wellink, head of the Dutch central bank, dismissed concerns by the European Commission that the impaired asset deal between the government and the Dutch lender may have been too generous.

European Commission: Press Release, IP/09/1318: State aid: Commission prolongs temporary clearance for ING's illiquid back-up facility; extends in-depth investigation http://europa.eu/rapid/pressReleasesAction.do?reference=IP/09/1318&format=DOC&aged=0&language=EN&guiLanguage=en

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