Public funding of failing banks in the European Union (LBF vol. 19) 2020/4.8.2.3:4.8.2.3 DNO requirement

Public funding of failing banks in the European Union (LBF vol. 19) 2020/4.8.2.3

4.8.2.3 DNO requirement

Deze functie is alleen te gebruiken als je bent ingelogd.Deze functie is alleen te gebruiken als je bent ingelogd.Deze functie is alleen te gebruiken als je bent ingelogd.

Where the application of the bail-in tool or the exercise of the PONV conversion power would result in the acquisition of or increase in a qualifying holding in a bank, competent authorities shall carry out the assessment for the required declaration of no objection (DNO) in a timely manner that does not delay the application of the bail-in tool or the exercise of the PONV conversion power, or prevent resolution action from achieving the relevant resolution objectives. If the competent authority has not completed the assessment required on the date of application of the bail-in tool or the exercise of the PONV conversion power, any acquisition of or increase in a qualifying holding by an acquirer as a result thereof still has immediate legal effect. However, during the assessment period and during any divestment period (if the competent authority opposes an acquisition of shares or other instruments of ownership), the acquirer’s voting rights attached to these shares or other instruments of ownership shall be suspended and vested solely in the resolution authority, which has no obligation to exercise any such voting rights and which has no liability whatsoever for exercising or refraining from exercising any such voting rights.1

Deze functie is alleen te gebruiken als je bent ingelogd.