Regulation (2015:1034) If Resolution

Original Language Title: Förordning (2015:1034) om resolution

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Read the untranslated law here: http://rkrattsbaser.gov.se/sfst?bet=2015:1034

/Entry into force: 2016-02-01/

Introductory provisions



Article 1 this regulation lays down provisions supplementing law (2015:1016) for resolution.



paragraph 2 of this regulation means 1. capital adequacy directive: European Parliament and Council directive of 26 June on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directive 2006/48/EC and 2006/49/EC, in wording pursuant to European Parliament and Council Directive 2004/59/EC, 2. crisis management directive: European Parliament and Council Directive 2004/59/EU of 15 may 2014, establishing a framework for the resolution of credit institutions and investment firms, and amending Council Directive 82/891/EEC and European Parliament and Council Directive 2001/24/EC, 2002/47/EC, 2004/25/EC, 2005/56/EC, 2007/36/EC, 2011/35/EU, 2012/2013/30/EU 36/EU and European Parliament and Council Regulation (EU) no 1093/2010 and (EU) No 648/2012, in the original wording, and 3. prudential regulation: European Parliament and Council Regulation (EC) no 575/2013 of 26 June 2013 on prudential requirements for credit institutions and investment firms amending Regulation (EU) No 648/2012.



Terms and expressions as used in this regulation have the same meaning as in the Act (2015:1016) for resolution.



Resolution plans



Resolution plans for institutions that are not part of a financial group



paragraph 3 of The resolution plan that the Swedish national debt Office establishes in accordance with Chapter 3. section 1 of the Act (2015:1016) if the resolution should take into account relevant scenarios, including that the default rates may be an isolated event, or can occur at a time of global financial instability, or systempåverkande events. The plan must not presume that it provided liquidity assistance on special conditions from the Riksbank or any other central bank or any other State support than the resolution reserve.



4 § in addition to what is provided in Chapter 3. section 1 of the Act (2015:1016) concerning resolution and technical standards decided by the European Commission in accordance with article 10(9) of crisis management directive, a resolution plan for an institution that is not part of a financial group include the following:



1. Summary of the main elements of the plan.



2. Summary of significant changes for the Institute which have occurred since the last resolution information was submitted.



3. Description of the critical activities and business activities that are important for the institution's earnings or profitability could be severed legally and economically from other functions to ensure the continuation of activities after the institution's failure.



4. Estimate of the time frame for the implementation of each essential element of the plan.



5. Detailed description of the test of the ability to reconstruct or liquidate an institution made in accordance with Chapter 3. section 10 of the Act on the resolution.



6. Description of all measures required under Chapter 3. section 24 of the Act on the resolution to eliminate or restrict obstacles to reconstruct or liquidate an institution identified in the examination made in accordance with paragraph 10 of the same chapter.



7. Detailed description of the procedures for determining the value of and the ability to sell the institution's critical activities, business activities are important for the institution's earnings or profitability and assets.



8. Detailed description of the arrangements for ensuring that the information requested in accordance with Chapter 3. section 25 of the Act on the resolution is up to date and available for the Swedish national debt Office.



9. Analysis of how and when an institution, in accordance with the conditions set out in the plan, may apply to be eligible for centralbanksfaciliteter and a collection of assets that can be expected to be accepted as collateral.



10. Declaration by the Swedish national debt Office of how resolution options could be financed without the provided liquidity assistance on special conditions from the Riksbank or any other central bank or any other State support than the resolution reserve.



11. Detailed description of the different resolution strategies that could be applied according to the various possible scenarios as well as the applicable time limits.



12. Description of the critical interdependence.



13. Description of policy options in order to preserve access to payment and clearing services and other infrastructure and an evaluation of the transferability of the clients ' positions.



14. Analysis of the plan's effects on the institution's employees, including an assessment of the associated costs, and a description of the planned procedures for consultation with staff during the resolution process, if applicable, taking into account the national systems of social dialogue.



15. Plan for communication with the media and the public.



16. The minimum impairment only liabilities pursuant to Chapter 4.

section 1 of the Act on the resolution, including any instrument for contractual debt and, where appropriate, a time limit to reach the intended level.



17. Description of the basic business and system for continuous operation of the Institute's operational processes.



18. Any opinions of the Institute on the motion for a resolution plan.



Consolidated resolution plans



5 § in addition to what is provided in Chapter 3. section 2 of the Act (2015:1016) concerning resolution and technical standards decided by the European Commission according to article 12(6) of crisis management directive, a consolidated resolution plan must indicate the following:



1. The resolution of the measures to be taken against the Group companies referred to in article 1 (1) (b), (c) or (d) in crisis management directive, parent and subsidiary institutions of the group, as well as coordinated resolution measures to be taken against the subsidiary, in such scenarios referred to in paragraph 3.



2. The extent to which it is possible to adopt resolution measures in a coordinated manner against group companies established in the EEA, including measures to facilitate the acquisition by third parties of the group or business activities or activities which are provided by a number of Group companies or by specific group companies. Also potential obstacles to a coordinated resolution shall be indicated.



3. If a group includes companies based in third countries, information on the appropriate arrangements for cooperation and coordination with the relevant authorities in that country and the implications of the resolution within the EEA.



4. the necessary measures, including legal and economically separate specific functions or business activities, in order to facilitate consolidated resolution when the conditions of the resolution are satisfied.



5. Other measures than those laid down in the directive and in crisis management as the coordinating the resolution authority intends to take in the resolution of the group.



6. funding of the consolidated resolution measures and, if the financing arrangements for the resolution would be needed, policies to divide responsibility for funding between the reserve and the corresponding resolution foreign financing arrangement within the EEA, but to assume that it provided liquidity assistance on special conditions from the Riksbank or any other central bank or any other State support than the resolution reserve or equivalent foreign financing arrangement within the EEA.

The principles should be established on the basis of fair and balanced criteria and, in particular, take into account article 107(5) of the crisis management directive and the effects on the financial stability of all countries concerned.



7. A detailed description of the Swedish national debt Office's review under Chapter 3. section 11 of the Act on the resolution of the ability to reconstruct or dismantle the group.



paragraph 6 of the resolution during the design of a group plan, the Swedish national debt Office strive to plan does not have a disproportionate impact on the financial stability of any country.



Update of the resolution and the consolidated resolution plans



section 7 of the Swedish national debt Office will update the resolution plans and consolidated resolution plans referred to in Chapter 3. 1 and 2 of the Act (2015:1016) if resolution annually and at any change in the Institute's and the Group's legal or organizational structure, business or financial position that could have a significant negative impact on the effectiveness of the plan or otherwise necessitate a change of plan.



Transmission of resolution and the consolidated resolution plans



section 8 of the Swedish national debt Office will send a copy of a resolution or consolidated resolution plan and any changes in the plan to the financial supervision authority. If the Swedish national debt Office is coordinating resolution authority, a copy of a consolidated resolution plan and any changes in the plan are also sent to the other competent authorities concerned by the plan.



The ability to reconstruct or to liquidate an institution or a group



§ 9 in the examination in accordance with Chapter 3. 10 and 11 of the Act (2015:1016) if resolution of the ability to reconstruct or liquidate an institution or a group, the Swedish national debt Office, consider the following:



1. The Institute's ability to identify business activities that are important for its earnings or profitability and critical activities in relation to the legal entities within the same group.



2. the degree of alignment between the legal structures and business structures in relation to business activities


important for earnings or profitability and critical operations.



3. The extent to which there are arrangements to provide the necessary personnel, infrastructure, funding, liquidity and capital to support and maintain business operations that are important to earnings or profitability and critical operations.



4. The extent to which the service agreement entered into by the institution could be argued if the institution put into resolution.



5. The extent to which the institution's governance structure is appropriate to manage and secure compliance with the institution's internal guidelines for service level agreements.



6. The extent to which the Institute has a procedure to transfer services provided to a third party under a service level agreement, if critical business or such business activities that are important for the institution's earnings or profitability would be separated.



7. The extent to which there are contingency plans and measures to guarantee continued access to the payment and settlement systems.



8. The extent to which management information system ensures that the debt Office can obtain accurate and complete information on the business activities that are important to earnings or profitability and critical activities in order to accelerate the decision-making process.



9. the management information system's capacity to provide information that is essential to effectively put the institution in the resolution.



10. The extent to which the Institute has been testing its management information system in the stress scenario established by the Swedish national debt Office.



11. The extent to which the institution can guarantee that its management information systems will continue to function for both the affected and the new Institute, about the critical operations and such business activities that are important to earnings or profitability is separated from the rest of the business and other commercial activities.



12. The extent to which the Institute has established adequate procedures to ensure that the national debt, the necessary data for identification of the depositor and the amount covered by the deposit guarantee scheme.



13. If the company uses intercompany securities, to what extent these securities is provided on market conditions and on risk management systems for these securities is stable.



14. If the group applies reciprocal transactions, the extent to which these transactions are made on market terms and on risk management systems for this transaction activity is stable.



15. The extent to which the use of intra-group securities or mutual posted transactions increasing spread effect within the group.



16. To what extent the Group's legal structure is a barrier to applying resolution tools because of the number of legal entities, corporate structure's complexity or problems with bringing business to group company.



17. How many and what type of qualified debts the institution has.



18. If the examination includes a mixed-activity holding company, the extent to which a resolution of Group companies, which are institutions or financial institutions would have a negative impact on the Group's non-financial part.



19. The presence and stability of service level agreements.



20. Whether or not the authorities of third countries have the necessary resolution tools to support resolution actions from resolution authorities in the EEA, and the scale of coordinated action between the EEA and the authorities of third countries.



21. The possibility of using the resolution tools in a way that meets the objectives of the resolution, taking into account the available tools and the institution's structure.



22. The extent to which the group structure allows the national debt, in order to maximize the value of the group as a whole, reconstructs the entire group or dismantle or one or more of its subsidiaries without causing a significant direct or indirect negative effect on the financial system market confidence or the economy.



23. The arrangements and measures by which resolution can be facilitated in cases where corporations have subsidiaries established in different jurisdictions.



24. The credibility of using resolution tools in a way that meets the objectives of the resolution, given the possible consequences for creditors, counterparties, customers and employees, and any measures taken by authorities in third countries can take.



25. To what extent the impact of the resolution on the financial system and financial market confidence can be evaluated sufficiently.



26. The extent to which the resolution of the Institute may have a material direct or indirect negative effect on the financial system market confidence or the economy.



27. The extent to which spread to other institutions or to the financial markets could be limited through the adoption of resolution action.



28. The extent to which the resolution of the Institute may have a material effect on payment and settlement systems.



Examination of possibility of reconstructing or liquidate a group should it listed if an institution in the first paragraph shall apply to all institutions or companies referred to in article 1 (1) (b), (c) or (d) of the directive in crisis management within the group.



Simplification of obligations



section 10 of the Swedish national debt Office, for an institution to derogate from the requirements of 3 to 5 and 7 sections of a resolution or a consolidated resolution plan content and update frequency, if the institution's failure, as a result of the circumstances referred to in the second subparagraph, and subsequent liquidation, bankruptcy or liquidation likely would not have a significant impact on the financial markets, other institutions, financing conditions or the economy at large.



When examining whether an institution is subject to simplified obligations under the first paragraph, the Swedish national debt Office take into account 1. the nature of the activities that the Institute conducts,



2. the institution's shareholder structure, 3. the Institute's corporate law form, 4. institution's risk profile, 5. the Institute's size and legal position, 6. the institution's degree of interconnection with other institutions or with the financial system in General, 7. scale and complexity of the institution's activities, 8. possible membership in an institutional protection system or any other system of joint and several liability under article 113(7) in prudential regulation, and 9. possibly, the provision of investment services or activities as defined in article 4.1.2 of European Parliament and Council Directive 65/EU of 15 may 2014 on markets for financial instruments and amending Directive 2002/92/EC and by Directive/61/EU, in the original wording.



If the Swedish national debt Office finds that an institution shall be subject to simplified obligations referred to in the first subparagraph, it may also restrict the level of detail of its review under Chapter 3. 10 and 11 of the Act (2015:1016) concerning resolution and article 9 of this regulation of the possibility to reconstruct or dismantle the institution or group to which the institution is a member.



section 11 examination of whether an institution is subject to simplified obligations according to section 10 of the first subparagraph shall, where appropriate, shall be made following consultation with the FSA.



section 12 of the Swedish national debt Office may, at any time, reconsider a decision to an institution shall be subject to simplified obligations according to section 10 of the first paragraph.



section 13, a decision that an institution shall be subject to simplified obligations according to section 10 of the first subparagraph do not affect the Swedish national debt Office and the FSA's powers to take krisavvärjande measures provided in Chapter 2. section 1 of the Act (2015:1016) if resolution nor the Swedish national debt Office's competence to carry out resolution measures under the Act.



section 14 of the Swedish national debt Office will inform the European banking authority, a decision that an institution shall be subject to simplified obligations according to section 10 of the first paragraph.



Notification and publication section 15 of the Swedish national debt Office shall, as soon as possible after deciding to put a company in a resolution in accordance with Chapter 8.

Act (2015:1016) if the resolution or resolutions to take action according to the law, inform the 1. company in the resolution,



2. The financial supervisory authority,



3. the competent authority of the local branches of the company in the resolution,



4. the Riksbank,



5. If the decision relates to a credit institution, the deposit insurance system to which the credit institution belongs,



6. where applicable, the coordinating the resolution authority, 7. The Ministry of finance,



8. in the case the company in the resolution are subject to supervision on a consolidated basis under Title VII, Chapter 3, of the directive, the consolidating supervisor shall,



9. The European systemic risk Board,



10. the European Commission, the European central bank, the European Securities and markets authority, the European insurance and occupational pensions authority and the European banking authority, and



11. If the entity resolution takes part in a reported settlement system, the operators of the system.



A notification referred to in the first subparagraph shall contain a copy of the order and when the decision is to be enforced.



section 16 of the Swedish national debt Office shall make the decision on the resolution in accordance with Chapter 8. section 13 of the Act (2015:1016) concerning resolution and decision


about resolution measures under Chapter 12. paragraph 5 of the same law by 1. provide a copy of the decision on its website and on the website of the company by resolution,



2. send a copy of the decision to the European banking authority and the financial supervision authority for publication on the authorities ' websites, and



3. If the shares, other ownership or debt instruments in the company of the resolution are admitted to trading on a regulated market, publish the required information about the company in a resolution in accordance with Chapter 4.

20 and 21 of the Act (1991:980) and/or the financial instruments trading act and chapter 17. 2 and 3 of the Act (2007:528) securities market, as well as regulations issued by virtue of section 4 of the 13 Ordinance (2007:375) the financial instruments trading act and Chapter 6. 1 § 59 and 60 Ordinance (2007:572) securities market.



If the shares, other ownership or debt instruments in the company of the resolution are not admitted to trading on a regulated market, the Swedish national debt Office will send a copy of the decision on the resolution and the decision on resolution actions to owners and creditors who are known by the company's registers or databases, if they are available for the Swedish national debt Office.



Cross-border cooperation



section 17 if the decision or action under the Act (2015:1016) if resolution can have effects in another country within the EEA, the Swedish national debt Office and, where applicable, the FSA and the Government offices (Ministry of Finance), consider



1. the requirement for effective decision making and keeping resolutions costs as low as possible when the resolution steps are taken,



2. the question of urgency,



3. the requirement of cooperation to ensure that decisions are taken and measures to be taken in a coordinated and effective manner,



4. the roles and responsibilities of the relevant authorities in each country within the EEA are clearly defined,



5. interests of the countries in which the parent company is established in the EEA, in particular the effect of decisions, actions or lack of action on financial stability, taxes, financing arrangements, deposit guarantee schemes or investor-compensation schemes in those countries.



6. interests in each country within the EEA where a subsidiary is established, in particular as regards the effects on financial stability, taxes, financing arrangements, deposit guarantee schemes or investor-compensation schemes in these countries,



7. the interests of the countries within the EEA where significant branches are established or located, especially when it comes to effects on financial stability in these countries,



8. the objectives of a balance between the different interests concerned, the EEA States and the need to avoid a certain EEA-country interests are compromised or protected unfairly, including avoidance of an unfair distribution of the burden between the EEA countries,



9. consultation obligations pursuant to the resolution, which at least implies a duty to consult on the elements of a decision or action that has or is likely to have an impact on



(a)) the parent undertaking in the EEA, subsidiary or branch, and



(b)) the stability of the country in which the parent company within the EEA, subsidiary or branch has been established or is,



10. the requirement of transparency when a decision or a measure proposed is likely to have implications for financial stability, financial resources, financial arrangements, deposit guarantee schemes or investor-compensation schemes in the countries concerned in the EEA, and



11. the principle of coordination and cooperation is likely to result in lower total cost of ownership for resolution.



section 18 of the motion for a resolution On participation in a College, the Swedish national debt Office, the financial supervisory authority and the Government offices (Ministry of Finance) to cooperate and exchange information with all members of the College to the extent arising out of that directive.



section 19 of the Swedish national debt Office's decisions as coordinating resolution authority under the Act (2015:1016) concerning resolution and regulations issued in connection with the law, shall be drawn up in English. A translation into Swedish of the decision, stating that the English wording of the decision, shall in such case be attached to the decision.



International agreements



section 20 of the Swedish national debt Office may conclude such international agreements as provided for in article 13.4, 13.7, 18(1), 18(4), 18.5, 33(4), second subparagraph, 45.9, 45.10, 89, 91.7, 91.9, 92.3, 92.5, 94(2), 106(4) and 106.5 in crisis management directive.

However, this does not apply if the agreement requires parliamentary participation or Utrikesnämndens.



List of section 21 of the financial supervision authority shall maintain a list of the undertakings referred to in Chapter 1. Article 1, first paragraph (2015:1016) for resolution. The list shall be kept up-to-date and available on the Inspectorate website.



Appropriations section 22 in the case law (2015:1016) concerning resolution, the Swedish national debt Office provide for 1. What are the eligible liabilities that are eligible for the purposes of calculating whether the minimum impairment only liabilities pursuant to Chapter 4. paragraph 1 is met, 2. the criteria should be the basis for a decision on the size of the minimum impairment only liabilities pursuant to Chapter 4. section 3,



3. what information about impairment only liabilities a company must provide to the national debt and when to leave, 4. derogation as referred to in Chapter 5. 3 § the obligation under Chapter 5.

2 § to bring in some conditions in the contracts of their debt,



5. the company shall establish registers referred to in Chapter 5.

§ 5, what registry should contain, and when companies must submit records of different types of agreements, 6. What a restructuring plan under Chapter 21. § 5; 7. how the amount of the liabilities attributable to derivative under Chapter 21. section 17 shall be calculated, 8. method for risk adjustment of resolution fee pursuant to Chapter 27. the third paragraph of section 13, 9. What are the functions of a liable shall provide to the national debt under Chapter 27. section 20, and 10. What information an institution or other group companies shall submit to the national debt Office for its activities under the Act.