Public funding of failing banks in the European Union
Einde inhoudsopgave
Public funding of failing banks in the European Union (LBF vol. 19) 2020/3.5.1.2:3.5.1.2 Formal investigation
Public funding of failing banks in the European Union (LBF vol. 19) 2020/3.5.1.2
3.5.1.2 Formal investigation
Documentgegevens:
mr. M. Louisse-Read, datum 01-06-2020
- Datum
01-06-2020
- Auteur
mr. M. Louisse-Read
- JCDI
JCDI:ADS213850:1
- Vakgebied(en)
Financieel recht / Europees financieel recht
Staatssteun (V)
Deze functie is alleen te gebruiken als je bent ingelogd.
As noted above, the Commission may initiate the formal investigation procedure if it has doubts regarding the compatibility of a State aid measure with the internal market. The aim of the decision to initiate the formal investigation procedure is to summarize the relevant issues of fact and law, to include a preliminary assessment as to the qualification of the aid as State aid, and to set out the doubts regarding the compatibility with the internal market.1 The formal investigation procedure is closed by means of one of the following decisions by the Commission where appropriate, following modification of the aid measure by the Member State concerned: 1) the aid measure does not constitute State aid, 2) the doubts as to the compatibility of the aid measure with the internal market have been removed (positive decision), 3) the doubts as to the compatibility of the aid measure with the internal market have been removed, taking into account the conditions stipulated by the Commission (conditional decision), or 4) the aid is not compatible with the internal market and may not be granted (negative decision).2 The Commission should, as far as possible, endeavor to adopt a decision within a period of 18 months.3
During the period 2008 to 2016, the Commission only initiated the formal investigation procedure in relation to 9 banks.4 The Commission has continued its practice of approving aid without the need for formal investigation procedures in many resolution cases.5