CHAPTER IIIDISAGREEMENTS AND DECISIONS TAKEN IN THE ABSENCE OF JOINT DECISION

Article 15Decision process in the absence of joint decision

1.

In the absence of a capital joint decision or a liquidity joint decision between the consolidating supervisor and the relevant competent authorities within the time periods referred to in Article 8(3) or 8(4), respectively, the decisions referred to in Article 113(3) of Directive 2013/36/EU shall be evidenced in writing and shall be taken by the latest of the following dates:

(a)

the date one month after the expiry of the time period referred to in Article 8(3) or (4), as applicable;

(b)

the date one month after the provision of any advice by the EBA following a request for consultation in accordance with the third subparagraph of Article 113(2) of Directive 2013/36/EU;

(c)

the date one month after any decision taken by the EBA in accordance with the first or second subparagraphs of Article 113(3) of Directive 2013/36/EU or any other date set by the EBA in such a decision.

2.

The relevant competent authorities shall communicate to the consolidating supervisor the decisions they have taken at individual level in the absence of a joint decision.

3.

The consolidating supervisor shall include the decisions referred to in paragraph 2 with its decisions taken at individual and consolidated levels into a single document and shall provide this document to all relevant competent authorities.

4.

Where the EBA has been consulted, the document referred to in paragraph 3 shall include an explanation of any deviations from the advice of the EBA.

Article 16Drafting of the capital decisions taken in the absence of capital joint decision

1.

A capital decision taken in the absence of capital joint decision shall be set out in a document that contains all of the following items:

(a)

the name of the consolidating supervisor or relevant competent authority taking the capital decision;

(b)

the name of the group of institutions or the institution of the group to which the capital decision relates and applies;

(c)

the references to the applicable Union and national law relating to the preparation, finalisation and application of capital decisions;

(d)

the date of the capital decision;

(e)

the conclusion on the application of Articles 73 and 97 of Directive 2013/36/EU;

(f)

for capital decisions taken on a consolidated basis, the conclusion on the adequacy of own funds held by the group of institutions at consolidated level;

(g)

for capital decisions taken on an individual basis, the conclusion on the adequacy of own funds held by the relevant institution at individual level;

(h)

for capital decisions taken on a consolidated basis, the conclusion on the level of own funds that the group of institutions is required to hold at consolidated level pursuant to point (a) of Article 104(1) of Directive 2013/36/EU;

(i)

for capital decisions taken on an individual basis, the conclusion on the level of own funds that the relevant institution is required to hold at individual level pursuant to point (a) of Article 104(1) of Directive 2013/36/EU;

(j)

information on the minimum prudential requirements which apply to the relevant institutions pursuant to Article 92 of Regulation (EU) No 575/2013 and Articles 103, 129, 130, 131 and 133 of Directive 2013/36/EU and on any other relevant prudential or macro-prudential requirements, guidelines, recommendations or warnings;

(k)

the reference date to which the conclusions referred to in points (e) to (i) relate;

(l)

the description of how the risk assessment, views and reservations expressed by the other relevant competent authorities or consolidating supervisor are considered, where applicable;

(m)

the timeline for the implementation of the conclusions referred to in points (h) and (i), where applicable.

2.

The capital decisions taken in the absence of a capital joint decision at individual or consolidated level shall meet the requirements set out in Article 10(2) to (4), where applicable.

Article 17Drafting of the liquidity decisions taken in the absence of a liquidity joint decision

1.

A liquidity decision taken in the absence of liquidity joint decision shall be set out in a document that contains all of the following items:

(a)

the name of the consolidating supervisor or relevant competent authority taking the liquidity decision;

(b)

the name of the group of institutions or the institution of the group to which the liquidity decision relates and applies;

(c)

the references to the applicable Union and national law relating to the preparation, finalisation and application of liquidity decisions;

(d)

the date of the liquidity decision;

(e)

for liquidity decisions taken on a consolidated basis, the conclusion on the liquidity adequacy for the group of institutions at consolidated level;

(f)

for liquidity decisions taken on an individual basis, the conclusion on the liquidity adequacy for the relevant institution at individual level;

(g)

for liquidity decisions taken on a consolidated basis, the conclusion on measures taken to address any significant matters and material findings relating to liquidity supervision including relating to the adequacy of the organisation and the treatment of risks as required pursuant to Article 86 of Directive 2013/36/EU and relating to the need for specific liquidity requirements in accordance with Article 105 of that Directive for the group at consolidated level;

(h)

for liquidity decisions taken on an individual basis, the conclusion on measures taken to address any significant matters and material findings relating to liquidity supervision including relating to the adequacy of the organisation and the treatment of risks as required pursuant to Article 86 of Directive 2013/36/EU and relating to the need for liquidity requirements specific to the relevant institution at individual level in accordance with Article 105 of that Directive;

(i)

the reference date to which the conclusions referred to in points (e) to (h) relate;

(j)

information on any other relevant prudential or macro-prudential requirements, guidelines, recommendations or warnings;

(k)

a description of how the risk assessment, views and reservations expressed by the other relevant competent authorities or consolidating supervisor are considered, where applicable;

(l)

the timeline for the implementation of the conclusions referred to in points (g) to (h), as applicable.

2.

The liquidity decisions taken in the absence of a liquidity joint decision at individual or consolidated level shall meet the requirements set out in Articles 11(2) to (3).

Article 18Communication of capital decisions and liquidity decisions taken in the absence of capital joint decision or liquidity joint decision

1.

The consolidating supervisor shall provide the decision document referred to in Article 15(3) to the management body of the EU parent institution.

2.

The relevant competent authorities in a Member State shall provide to the management bodies of institutions which are authorised in that Member State the respective parts of the decision document referred to in paragraph 1 that are relevant to each of these institutions.

3.

The consolidating supervisor shall, where appropriate, discuss the decision document with the EU parent institution to explain the details and application of the capital decisions or liquidity decisions taken in the absence of a capital joint decision or liquidity joint decision.

4.

The relevant competent authorities in a Member State shall, where appropriate, discuss with the institutions established in this Member State the respective parts of the decision document that are relevant to each of these institutions to explain the details and application of the capital decisions or liquidity decisions taken in the absence of a capital joint decision or a liquidity joint decision.

Article 19Monitoring of the application of the capital decisions and liquidity decisions taken in the absence of capital joint decision or liquidity joint decision

The consolidating supervisor and relevant competent authorities shall monitor the application of the capital decisions and liquidity decisions, taken in the absence of a capital joint decision or liquidity joint decision, that are relevant to each of the institutions of the group for which they are respectively responsible.