French Monetary and Financial Code
In forceBefore attaching special conditions to an authorisation or transmitting to the European Central Bank a draft decision to grant an authorisation to acquire a holding or control or to grant an authorisation to a credit institution which is :
1° A subsidiary of an insurance undertaking, reinsurance undertaking, credit institution, portfolio management company or investment firm authorised in a Member State of the European Union or in another State party to the Agreement on the European Economic Area, or authorised in a financial sector other than that in which the acquisition is proposed;
2° or a subsidiary of the parent undertaking of an insurance undertaking, a reinsurance undertaking, a credit institution, a portfolio management company or an investment firm authorised in a Member State of the European Union or in another State party to the Agreement on the European Economic Area or authorised in a financial sector other than that in which the acquisition is contemplated;
3° An institution controlled by a natural or legal person who also controls an insurance undertaking, a reinsurance undertaking, a credit institution, a portfolio management company or an investment firm authorised in a Member State of the European Union or in another State party to the Agreement on the European Economic Area or authorised in a financial sector other than that in which the acquisition is proposed,
The Autorité de contrôle prudentiel et de résolution shall consult the competent authority, within the meaning of 4° of Article L. 517-2, in order to assess, in particular, the quality of the shareholders with regard to the criteria set out in Article R. 511-3-2, as well as the good repute and experience of the members of the management body involved in the management of another entity of the same group.
The decision taken in this regard by the European Central Bank or the Autorité de contrôle prudentiel et de résolution, as the case may be, shall mention any opinions or reservations expressed by this competent authority.
II - In the case of transactions involving the direct or indirect acquisition of voting rights or equity interests or the extension of shareholdings, the Autorité de contrôle prudentiel et de résolution shall immediately consult the competent authority, within the meaning of 4° of Article L. 517-2, to which the proposed acquirer is subject, in order to obtain any information that is essential or relevant to the assessment provided for in Article R. 511-3-2. The decision taken by the European Central Bank in this regard shall mention any opinions or reservations expressed by this competent authority.
