French Monetary and Financial Code
In forceI. - Changes in the ownership structure of a credit institution or finance company must be notified to the Autorité de contrôle prudentiel et de résolution.
Pursuant to Articles 4 and 15 of Council Regulation (EU) No 1024/2013 of 15 October 2013, the acquisition or extension of direct or indirect shareholdings in a credit institution shall be subject, on a proposal from the Autorité de contrôle prudentiel et de résolution, to an opposition or non-opposition decision by the European Central Bank. Direct or indirect acquisitions or extensions of shareholdings in a credit institution subject to one or more of the measures referred to in sub-sections 9 and 10 of Section 4 of Chapter III of Title I of Book VI or in a finance company must be authorised by the Autorité de contrôle prudentiel et de résolution.
When the Autorité de contrôle prudentiel et de résolution is notified of a direct or indirect reduction or disposal of a holding, it shall verify that this operation does not call into question the conditions to which the authorisation granted to the credit institution or finance company is subject.
When the Autorité de contrôle prudentiel et de résolution becomes aware that a person, acting alone or in concert with others, has failed to comply with the notification obligation provided for in the first paragraph, it may order that person to make the required notification without delay.
A decree of the Conseil d'Etat shall determine the conditions of application of this I, in particular the criteria for assessing the suitability of the proposed acquirer and the financial soundness of the acquisition, in the case of the transactions referred to in the second paragraph.
The terms and conditions of the procedures referred to in this I are specified by the order provided for in article L. 611-1. In particular, this order sets out the conditions under which changes in the distribution of the capital of a credit institution or finance company must be notified to the Autorité de contrôle prudentiel et de résolution.
The same order specifies the conditions under which, in the case of finance companies or credit institutions subject to one or more of the measures mentioned in sub-sections 9 and 10 of Section 4 of Chapter III of Title I of Book VI, these changes must be authorised by the Autorité de contrôle prudentiel et de résolution, the time limits set for the Autorité to reach a decision, the procedures by which interested parties are informed of the Autorité's decision or may rely on an implied decision, the conditions under which the Authority may set a maximum time limit for the completion of the proposed acquisition and the information that must be sent to the Authority, in particular on the identity and amount of the shareholding of the shareholders or members.</p><p>II. - Any other change in the conditions to which the authorisation granted to a credit institution or finance company was subject must be the subject of prior authorisation by the Autorité de contrôle prudentiel et de résolution or the European Central Bank, as the case may be, or of a declaration or notification, under the conditions set by an order of the Minister responsible for the economy.
Where authorisation is required, it may itself be subject to specific conditions meeting the purposes set out in the fifth paragraph of III of Article L. 511-10 or subject to compliance with commitments made by the company.
