| Author (Person) | Barber, Tony, Buck, Tobias |
|---|---|
| Series Title | Financial Times |
| Series Details | 14.12.05 |
| Publication Date | 14/12/2005 |
| Content Type | News |
|
The European Commission has decided to send Italy a formal request to submit its observations on provisions in its national regulatory framework that apply to supervisory decisions on the acquisition of stakes in domestic Italian banks by other EU banks. The provisions in question are the 1993 Banking Law and the 'Istruzioni di vigilanza per la banche', which further refer to Article 2359 Civil Code and a decision by an interministerial committee. The Commission is concerned that this framework may allow for the exercising of supervisory authority which lacks procedural transparency and can create legal uncertainty. This could therefore act as a disincentive to investment from other Member States in the Italian banking industry, in violation of EC Treaty rules on the free movement of capital (Article 56) and the right of establishment (Article 43). The Commission's request takes the form of a letter of formal notice, the first stage of infringement procedures under Article 226 of the EC Treaty. |
|
| Related Links |
|
| Countries / Regions | Italy |
