Hostname: page-component-7479d7b7d-rvbq7 Total loading time: 0 Render date: 2024-07-12T04:25:53.603Z Has data issue: false hasContentIssue false
  • English
  • Français

How Has the EU Protected Depositors in the Financial Crisis?

Published online by Cambridge University Press:  27 October 2017

Niall J Lenihan
Get access Rights & Permissions [Opens in a new window]

Abstract

This chapter addresses the question of how the EU has protected depositors in the financial crisis. The chapter will discuss (1) the impact in Europe of the US system for the protection of depositors, (2) the important changes made to the EU Deposit Guarantee Schemes Directive, first in 2009 in response to the 2007 deposit run on Northern Rock, and then again in 2014 in response to the financial crisis, (3) the decision of the EFTA Court regarding the scope of Iceland’s obligations under the EU Deposit Guarantee Schemes Directive, following the collapse of the Icelandic banking system in 2008, and (4) the introduction of a powerful depositor preference rule throughout the EU, in response to the resolution of the Cypriot banking system in 2013. This chapter argues that the EU has responded to the impact of the financial crisis on bank depositors by enhancing the legal protections available to depositors.

Type
Research Article
Information
Cambridge Yearbook of European Legal Studies , Volume 16 , 2014 , pp. 289 - 312
Copyright
Copyright © Centre for European Legal Studies, Faculty of Law, University of Cambridge 2014

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

1 Any views expressed in this chapter are those of the author, and may not be attributed to the European Central Bank (ECB). The author wishes to thank (in alphabetical order) Margarita Anastasiou, Legal Counsel, ECB Legal Services, Dr Phoebus Athanassiou, Senior Legal Counsel, and Prof Dr Hans-Georg Kamann, WilmerHale, for their comments. The author also wishes to thank the following colleagues in the ECB Legal Services for their input on specific references to certain legal source materials referenced in the chapter: Marcis Apinis, Elena Bodea, Erika Csongrádi, Maria da Graca Peres, Pascale Duparc Portier, Paul Hoyer, Asimina Koutsoukou, Esther Martínez de Bustos, and Anne Schillmöller.

2 See Lastra, RM, ‘Northern Rock, UK bank insolvency and cross-border bank insolvency’ (2008) 9 Journal of Banking Regulation 165, 166CrossRefGoogle Scholar.

3 See Eisenbeis, RA and Kaufman, GG, ‘Lessons from the Demise of the UK’s Northern Rock and the U.S.’s Countrywide and Indymac’ in Bruni, F and Llewellyn, DT (eds), The Failure of Northern Rock: A Multi-Dimensional Case Study (Vienna, SUERF—The European Money and Finance Forum, 2009) 75–76 Google Scholar; M Onado, ‘Northern Rock: Just the Tip of the Iceberg’ in F Bruni and DT Llewellyn (eds), above, at 101–6.

4 See British Broadcasting Corporation, Timeline: Northern Rock bank crisis, available at: http://news.bbc.co.uk/2/hi/business/7007076.stm.

5 See Memorandum of Understanding Between HM Treasury, the Bank of England and the Financial Services Authority, para 14, available at: www.bankofengland.co.uk/about/Documents/legislation/news/mo.pdf.

6 See Bank of England, News Release—Liquidity Support Facility for Northern Rock plc, Tripartite Statement by HM Treasury, Bank of England and Financial Services Authority, 14 September 2007, available at: www.bankofengland.co.uk/archive/Pages/digitalcontent/historicpubs/news/2007/090.aspx.

7 See British Broadcasting Corporation, Northern Rock deposits guaranteed, 17 September 2007, available at: http://news.bbc.co.uk/2/hi/business/6999615.stm; RM Lastra, above n 2, at 166.

8 See House of Commons Treasury Committee, The run on the Rock, Fifth Report of Session 2007–08, HC 56-I, 26 January 2008, para 221, available at: www.publications.parliament/pa/cm200708/cmselect/cmtreasy/56/5609.htm.

9 See Llewellyn, DT, ‘The Northern Rock Crisis: A Multi-Dimensional Problem’ in Bruni, F and Llewellyn, DT (eds), above n 3, at 21, 28Google Scholar; Mayes, DG and Wood, G, ‘The Northern Rock Crisis in the UK’ in Bruni, F and Llewellyn, DT (eds), above n 3, at 37 Google Scholar; Hamalainen, P, ‘Fallout from the Credit Squeeze and Northern Rock Crises: Incentives, Transparency and Implications for the Role of Market Discipline’ in Bruni, F and Llewellyn, DT (eds), above n 3, at 53–54 Google Scholar; RA Eisenbeis and GG Kaufman, above n 3, at 81.

10 See DT Llewellyn, above n 9, at 28; DG Mayes and G Wood, above n 9, at 38; P Hamalainen, above n 9, at 54; RA Eisenbeis and GG Kaufman, above n 3, at 81–83.

11 See DT Llewellyn, above n 9, at 28–29; DG Mayes and G Wood, above n 9, at 41–43; RA Eisenbeis and GG Kaufman, above n 9, at 83–84; RM Lastra, above n 2, at 169–73.

12 12 USC § 1821(a)(1)(A), (E); see also Federal Deposit Insurance Corporation, Press Releases: ‘Basic FDIC Insurance Coverage Permanently Increased to $250,000 Per Depositor’, 21 July 2010, available at: www.fdic.gov/news/news/press/2010/pr10161.html; Federal Deposit Insurance Corporation, Press Releases: ‘Emergency Economic Stabilization Act of 2008 Temporarily Increases Basic FDIC Insurance Coverage from $100,000 to $250,000 Per Depositor’, 7 October 2008, available at: www.fic.gov/news/news/press/2008/pr08093.html; RA Eisenbeis and GG Kaufman, above n 3, at 81.

13 12 USC § 1821(f)(1).

14 See FDIC Consumer News, Get a Good Night’s Sleep: Rest Assured—Your Money Is Safe in an FDIC-Insured Account, Summer 2008, available at: search.fdic.gov.

15 See generally Marino, JA and Bennett, RL, ‘The Consequences of National Depositor Preference’ (1999) 12 FDIC Banking Review 19–38 Google Scholar.

16 See Clifford Chance, Depositor Preference Issues, September 2011, available at: www.cliffordchance.com/briefings/2011/09/depositor_preferenceissues.html.

17 Ibid.

18 12 USC §§ 1813(l)(5)(A) and 1821(d)(11)(A).

19 12 USC § 1813(l)(5)(A); see JA Marino and RL Bennett, above n 15 at 20–21.

20 See generally 12 USC §§ 1821, 1823.

21 Directive 94/19/EC of the European Parliament and of the Council of 30 May 1994 on deposit-guarantee schemes, [1994] OJ L135/5.

22 Ibid, Arts 3(1), 7(1).

23 Ibid, Art 7(4).

24 Ibid, Art 10(1).

25 Ibid, Art 10(2).

26 See Directive 2009/14/EC of the European Parliament and of the Council of 11 March 2009 amending Directive 94/19/EC on deposit-guarantee schemes as regards the coverage level and the pay-out delay, [2009] OJ L68/3.

27 Ibid, Art 1(3)(a).

28 See European Commission, Proposal for a Directive of the European Parliament and of the Council amending Directive 94/19/EC on Deposit Guarantee Schemes as regards the coverage level and the pay-out delay, COM(2008) 0661 final—COD(2008) 0199, Explanatory Memorandum, para 5.3.

29 See Directive 2009/14/EC of the European Parliament and of the Council of 11 March 2009 amending Directive 94/19/EC on deposit-guarantee schemes as regards the coverage level and the pay-out delay, [2009] OJ L68/3, Art 1(3)(c).

30 Ibid, Art 1(6).

31 Case E-16/11 EFTA Surveillance Authority v Iceland [2013] EFTA Court Report 4.

32 Ibid, paras 28–54.

33 Ibid, para 27.

34 Ibid, para 26.

35 Directive 94/19/EC of the European Parliament and of the Council of 30 May 1994 on deposit-guarantee schemes, [1994] OJ L135/5, Art 4(1).

36 Case E-16/11 EFTA Surveillance Authority v Iceland [2013] EFTA Court Report 4, para 29.

37 Ibid, para 30.

38 Directive 94/19/EC of the European Parliament and of the Council of 30 May 1994 on deposit-guarantee schemes, [1994] OJ L135/5, Art 4(2).

39 Case E-16/11 EFTA Surveillance Authority v Iceland [2013] EFTA Court Report 4, para 30.

40 Ibid, paras 33–34, 36, 38.

41 Ibid, paras 37, 39.

42 Ibid, paras 42, 49–50, 55.

43 Ibid, paras 61, 64, 66, 68, 70.

44 See Agreement between the EFTA States on the establishment of a Surveillance Authority and a Court of Justice, [1994] OJ L344/3, Part IV, as amended.

45 Case E-16/11 EFTA Surveillance Authority v Iceland [2013] EFTA Court Report 4, paras 117–85.

46 Ibid, paras 150–53.

47 Ibid, paras 154–58.

48 Ibid, paras 167–68 (citing Stiglitz, JE, ‘Risk, Incentives and Insurance: The Pure Theory of Moral Hazard’ (1983) 8/26 The Geneva Papers on Risk and Insurance 4 at 6)CrossRefGoogle Scholar.

49 Ibid, para 160.

50 Ibid, para 161.

51 See Athanassiou, P, ‘The Icesave ruling: legally justified discriminatory treatment?’ (2013) 3 Journal of International Banking and Financial Law 141 Google Scholar; Hanten, M and Plaschke, M, ‘EU law impact on depositor protection in the financial crisis: Icesave’ (2014) 51 Common Market Law Review 295, 297–98Google Scholar.

52 Case E-16/11 EFTA Surveillance Authority v Iceland [2013] EFTA Court Report 4, para 124.

53 Ibid, paras 136–41; see also P Athanassiou, above n 51, at 141.

54 See Directive 2014/49/EU of the European Parliament and of the Council of 16 April 2014 on deposit guarantee schemes (recast), [2014] OJ L173/149.

55 Ibid, Recital 19.

56 Ibid, Recitals 19–21 and Art 6(1).

57 Ibid, Art 6(6).

58 Ibid, Recital 23 and Art 19(4).

59 Ibid, Art 8(1).

60 Ibid, Art 8(2).

61 Ibid, Art 8(4).

62 Ibid, Art 16 and Annex I.

63 Ibid, Recital 27.

64 Ibid, Art 10(2).

65 Ibid, Art 10(3).

66 Ibid, Art 10(6).

67 Ibid, Art 10(8).

68 Ibid, Art 10(9).

69 Ibid, Art 12(1).

70 Ibid, Art 14(1)–(2).

71 Ibid, Art 20(1).

72 See generally Basel Committee on Banking Supervision, Report and Recommendations of the Cross-border Bank Resolution Group, September 2009, available at: www.bis.org/publ; Financial Stability Board, Key Attributes of Effective Resolution Regimes for Financial Institutions, October 2011, available at: www.financialstabilityboard.org/publications; Attinger, BJ, ‘Crisis Management and Bank Resolution: Quo Vadis Europe?’ (2011) 13 ECB Legal Working Paper Series, available at: www.ecb.europa.eu/pub Google Scholar; Hüpkes, EH, The Legal Aspects of Bank Insolvency: A Comparative Analysis of Western Europe, the United States and Canada (The Hague, Kluwer Law International, 2000) 7–30Google Scholar.

73 Ibid.

74 Banking Act 2009, ch 1.

75 Kreditinstitute-Reorganisationsgesetz vom 9. Dezember 2010 (BGBl I S 1900), das durch Artikel 2 Absatz 75 des Gesetzes vom 22. Dezember 2011 (BGBl I S 3044) geändert worden ist (Credit Institution Reorganization Act, 2011).

76 Loi n° 2013-672 du 26 juillet 2013 de séparation et de régulation des activités bancaires (Law n° 2013-672 relating to the separation and regulation of banking activities), JORF n° 0173 du 27 juillet 2013, p 12530.

77 Wet bijzondere maatregelen financiële ondernemingen, 2012 (Financial Institutions (Special Measures) Act 2012).

78 Ο περί Εξυγίανσης Πιστωτικών και ′Αλλων Ιδρυµάτων Νόµος, 17(Ι)/2013 (The Resolution of Credit and Other Institutions Law of 2013, Law 17(I)/2013).

79 Νόμος 4021/2011 «Ενισχυµένα µέτρα εποπτείας και εξυγίανσης των πιστωτικών ιδρυμο των-Ρύθµιση θεμάτων χρηµατοπιστωτικού χαρακτηρα-Κυρωση της ΣύµβασηςΠλοµ σιο του Ευρωπαικο µ Ταµείου Χρηµατοπιστωτικης Σταθερότητας και των τροποποιήσεών της και άλλες διατάξεις», ΦΕΚ Α 218/3.10.2011) (Law 4021/2011 ‘Enhanced banking supervision and bank resolution measures—Regulation of financial sector issues—Ratification of the EFSF Framework Agreement and of its amendments and other provisions’, Government Gazette of the Hellenic Republic vol A 218/3.10.2011); Νό µος 3601/2007 «Ανάληψη και άσκηση δραστηριοτητων από τα πιστωτικά ιδρύµατα, επάρκεια ιδίων κεφαλαίων των πιστωτικών ιδρυµάτων και των επιχειρησεων παροχης επενδυτικών υπηρεσιών και λοιπές διατάξεις», ΦΕΚ Α 178/1.8.2007 (Law 4021/2011 amended Law 3601/2007 ‘Taking up and pursuit of the business of credit institutions, capital adequacy of credit institutions and investment firms, and other provisions’ (Banking Law), Government Gazette of the Hellenic Republic vol A 178/1.8.2007).

80 Credit Institutions (Stabilisation) Act, No 36 (2010), as amended; Central Bank and Credit Institutions (Resolution) Act, No 27 (2011).

81 Decreto-Lei nº 31-A/2012 (DR, I Série, nº 30, de 10 de fevereiro de 2012) (Decree-Law nº 31-A/2012 (DR nº 30, Series I, of 10 February 2012).

82 Ley 9/2012, de 14 de noviembre de 2012, de reestructuración y resolución de entidades de crédito (BOE 15-11-2012) (Law 9/2012, of 14 November 2012, on the restructuring and resolution of credit institutions).

83 See Directive 2014/59/EU of the European Parliament and of the Council of 15 May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms and amending Council Directive 82/891/EEC, and Directives 2001/24/ EC, 2002/47/EC, 2005/56/EC, 2007/36/EC, 2011/35/EU, 2012/30/EU and 2013/36/EU, and Regulations (EU) No 1093/2010 and (EU) No 648/2012, of the European Parliament and of the Council, [2014] OJ L173/190.

84 Ibid, Arts 38–41.

85 Ibid, Recitals 50-51, Arts 34(1)(g), 73-75.

86 Ibid, Art 44(2)(a).

87 Ibid, Art 44(3)(c).

88 Ibid, Art 31.

89 Ibid, Art 34(1)(h).

90 See Regulation (EU) No 806/2014 of the European Parliament and of the Council of 15 July 2014 establishing uniform rules and a uniform procedure for the resolution of credit institutions and certain investment firms in the framework of a Single Resolution Mechanism and a Single Resolution Fund and amending Regulation (EU) No 1093/2010, [2014] OJ L225/1.

91 See European Commission, The Economic Adjustment Programme for Cyprus (2013) Occasional Papers 149 11–16, 31–34, 38, 42.

92 Ibid, at 54–57.

93 See Eurogroup Statement on Cyprus, 16 March 2013, available at: http://eurozone.europa.eu/newsroom/news/2013.

94 See, eg, S Bowles, Chair, European Parliament Economic & Monetary Affairs Committee, ‘The Cyprus Bailout Deal is a Disaster for EU Rules and Single Market Principles’, 16 March 2013, available at: http://sharonbowles.org.uk/en/article/2013; see also M Draghi, President of the ECB, Introduction to the ECB Press Conference (with Q&A), 4 April 2013, available at: www.ecb.europa.eu/press/pressconf/2013.

95 See European Commission, The Economic Adjustment Programme for Cyprus (2013) Occasional Papers 149, 39.

96 Statement by the Eurogroup President on Cyprus, 18 March 2013, available at: www.eurozone.europa.eu/newsroom/news/2013.

97 ′Αρθρα 2 και 12(1) του περί Εξυγίανσης Πιστωτικών και ′Αλλων Ιδρυµάτων Νόµου, 17(Ι)/2013 (The Resolution of Credit and Other Institutions Law of 2013, Law 17(I)/2013, Arts 2 and 12(1)), in conjunction with the шερί Σύστασης και Λειτουργίας Σχεδίου Προστασίας Καταθέσεων και Εξυγίανσης Πιστωτικών και ′Αλλων Ιδρυµάτων Νόµος,16(Ι)/2013 (Law on the Establishment and Operation of the Deposit Protection and Resolution of Credit and Other Institutions Scheme of 2013, 16(I) of 2013).

98 See Eurogroup Statement on Cyprus, 25 March 2013, available at eurozone.europa.eu/newsroom/news/2013.

99 Το περί Πώλησης των εν Ελλάδι Εργασιών της Τράπεζας Κύπρου ∆ηµόσιας Εταιρίας Λτδ ∆ιάταγµα του 2013, ΕΕ. Παρ. ΙΙΙ(Ι), Αρ. 4640, 25.03.2013, σ. 745. Κ.∆.Π. 96/2013 (The Sale of Operations in Greece of the Bank of Cyprus Public Co Ltd, Decree of 2013, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Acts Issue No 4640, 25.03.2013/ p 745, Regulatory Administrative Act No 96/2013); το περί Πωληση των εν Ελλάδι Εργασιών της Cyprus Popular Bank Public Co Ltd ∆ιάταγµα του 2013, ΕΕ Παρ. ΙΙΙ(Ι), Αρ. 4640, 25.03.2013 σ. 749, Κ.∆.Π. 97/2013 (The Sale of Operations in Greece of Cyprus Popular Bank Public Co Ltd, Decree of 2013, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Acts Issue No 4640,/ 25.03.2013/ p 749, Regulatory Administrative Act No 97/2013).

100 Το περί της Πωλησης Ορισµένων Εργασιών της Cyprus Popular Bank Public Co Ltd ∆ιαταγµα του 2013, ΕΕ Παρ ΙΙΙ(Ι), Αρ. 4645, 29.03.2013. σ. 781 Κ.∆.Π. 104/2013 (Central Bank of Cyprus, ‘Sale of Certain Operations of Cyprus Popular Bank Public Co Ltd Decree of 2013’, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Acts Issue No 4645/ Friday 29 March 2013/ p 781, Regulatory Administrative Act No 104; το περί της έκδοσης Μετοχικού Κεφαλαίου της Τραπεζας Κύπρου προς Αποζηµίωση της Λαïκης Τράπεζας ∆ιαταγµα του 2013, ΕΕ Παρ. ΙΙΙ(Ι), Αρ. 4703, 30.07.2013 σ. 1772, Κ.∆.Π. 279/2013 (Central Bank of Cyprus, ‘Issuance of Share Capital of Bank of Cyprus for Compensation of Cyprus Popular Bank Decree of 2013’, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Act 279/2013 Issue No 4703/ Tuesday 30 July 2013/ p 1772, Regulatory Administrative Act No 279.

101 Το περί ∆ιασωσης µε ίδια Μέσα της Τραπεζας Κυπρου ∆ηµόσιας Εταιρείας Λτδ ∆ιάταγµα του 2013, ΕΕ, Παρ. ΙΙΙ(Ι), Αρ. 4645, 29.03.2013, σ. 769, Κ.∆.Π. 103/2013 (Central Bank of Cyprus, Bailing-in of Bank of Cyprus Public Company Limited Decree of 2013, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Acts Issue No 4645/ Friday 29 March 2013/ p 769, Regulatory Administrative Act No 103); το περί ∆ιασωσης µε ίδια Μέσα της Τράπεζας Κύπρου ∆ηµόσιας Εταιρείας Λτδ (Τροποποιητικό)(Αρ.3) ∆ιαταγµα του 2013, ΕΕ. Παρ. ΙΙΙ(Ι), Αρ. 4703, 30.07.2013, σ. 1767, Κ.∆.Π. 278/2013 (Central Bank of Cyprus, Bailing-in of Bank of Cyprus Public Company Limited Decree (Amended) (No 3) of 2013, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Acts Issue No 4703/ Tuesday 30 July 2013/ p 1767, Regulatory Administrative Act No 278); το περί της Επιβολης Προσωρινών Περιοριστικών Μετρων στις Συναλλαγές της Τράπεζας Κύπρου ∆ηµόσιας Εταιρείας Λτδ ∆ιάταγµα του 2013, ΕΕ Παρ. ΙΙΙ(Ι), Αρ. 4702, 30.07.2013, σ. 1763, Κ.∆.Π. 277/2013 (Minister of Finance of Cyprus, Decree under the Cypriot Enforcement of Restrictive Measures on Transactions in Case of Emergency Law of 2013, Official Gazette of the Republic of Cyprus, 3rd Annex, Part I, Regulatory Administrative Acts Issue No 4702/ Tuesday 30 July 2013/ p 1763, Regulatory Administrative Act No 277;) Joint Notice of the Ministry of Finance and the Central Bank of Cyprus, 30 July 2013.

102 Απόφαση του Ανωτάτου ∆ικαστηρίου Κυπρου, 7 Ιουνίου 2013, Υπόθεση αρ. 551/2013 Χριστοδο ο λου ν. Κεντρικης Τράπεζας της Κύπρου κ.α, σ. 41-42 (Judgment of the Supreme Court of Cyprus, 7 June 2013, Case 551/2013 Christodoulou and others v Central Bank of Cyprus and others [2013], pp 41-42); see also Giotaki, J, ‘The Cypriot bail-in litigation: A First Assessment of the Ruling of the Supreme Court of Cyprus’ (2013) 8 Journal of International Banking and Financial Law 485, 486Google Scholar.

103 Ibid.

104 See M Draghi, President of the ECB, Introduction to the ECB Press Conference (with Q&A), 4 April 2013, available at: www.ecb.europa.eu/press/pressconf/2013.

105 See Opinion of the European Central Bank of 29 November 2012 on a proposal for a directive establishing a framework for recovery and resolution of credit institutions and investment firms (CON(2012) 99), [2013] OJ C39/1, para 8.2 and Amendment 11.

106 See Clifford Chance, above n 16; G Turner, ‘Depositor Protection in Australia’ (2011) December Quarter Reserve Bank of Australia Bulletin 45, 54-55; 12 USC § 1821(d)(11)(A).

107 ′Αρθρο 4(3) του περί Εξυγίανσης Πιστωτικών και ′Αλλων Ιδρυµάτων Νόµου του 2013, 17(Ι)/2013 (The Resolution of Credit and Other Institutions Law of 2013, Law 17(I)/2013, Art 4(3)).

108 ρθρα 4 (16) και 13α (4) του νό µου 3746/2009 «Ταµείο Εγγύησης Καταθέσεων και Επενδ ′Α σεων (ΤΕΚΕ), ενσωµάτωση των Οδηγιών 2005/14/ΕΚ για την υποχρεωτικη ασφάλιση οχηµάτων και 2005/68/ΕΚ σχετικά µε τις αντασφαλίσεις και λοιπές διατάξεις», ΦΕΚ Α 27/16.2.2009 (Arts 4(16) and 13a(4) of Law 3746/2009 ‘Hellenic Deposit and Investment Guarantee Fund, incorporation of the Directive 2005/14/EC on insurance against civil liability in respect of the use of motor vehicles and Directive 2005/68/EC on reinsurance and other provisions’, Government Gazette of the Hellenic Republic Vol A 27/16.2.2009).

109 A hitelintézetekről és a pénzügyi vállalkozásokról szóló 1996. évi CXII. törvény (Law CXII of 1996 on credit institutions and financial undertakings (Magyar Közlöny 1996/109, 12.12.1996), Art 183(1), in effect until 31 December 2013), and a hitelintézetekről és a pénzügyi vállalkozásokról szóló 2013. évi CCXXXVII. törvény (Law CCXXXVII of 2013 on credit institutions and financial undertakings (Magyar Közlöny 2013/217, 23.12.2013), Art 57(1), in effect as of 1 January 2014).

110 Kredītiestāžu likums, LV, 163 (446), 24.10.1995 (Law of 5 October 1995 on credit institutions), Art 192(1).

111 Artigo 166º_A do Decreto-Lei nº 298/92 (DR No 301, Series I-A, of 31 December), na sua última redação (Art 166-A of Decree-Law No 298/9 (DR No 301, Series I-A, of 31 December), as last amended.

112 Ordonantţa Guvernului nr 10/2004 privind falimentul institutţiilor de credit, articolul 38 (Government Ordinance No 10/2004 on the proceedings for judicial reorganisation and bankruptcy of credit institutions, Art 38).

113 See Directive 2014/59/EU of the European Parliament and of the Council of 15 May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms and amending Council Directive 82/891/EEC, and Directives 2001/24/EC, 2002/47/EC, 2005/56/EC, 2007/36/EC, 2011/35/EU, 2012/30/EU and 2013/36/EU, and Regulations (EU) No 1093/2010 and (EU) No 648/2012, of the European Parliament and of the Council, [2014] OJ L173/190, Art 108.

114 See Clifford Chance, above n 16.

115 See Directive 2014/59/EU of the European Parliament and of the Council of 15 May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms and amending Council Directive 82/891/EEC, and Directives 2001/24/EC, 2002/47/EC, 2005/56/EC, 2007/36/EC, 2011/35/EU, 2012/30/EU and 2013/36/EU, and Regulations (EU) No 1093/2010 and (EU) No 648/2012, of the European Parliament and of the Council, [2014] OJ L173/190, Arts 33(1)(g), 73–75.

116 See DC Hardy, ‘Bank Resolution Costs, Depositor Preference, and Asset Encumbrance’ (2013) International Monetary Fund Working Paper WP/13/172 8, available at: www.imf.org/external/pubs/ft/wp/2013/wp13172.pdf.

117 See Clifford Chance, above n 16.

118 See DC Hardy, above n 116 at 8.

119 See Clifford Chance, above n 16.

120 See DC Hardy, above n 116 at 8–9.

121 See Directive 2014/59/EU of the European Parliament and of the Council of 15 May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms and amending Council Directive 82/891/EEC, and Directives 2001/24/EC, 2002/47/EC, 2005/56/EC, 2007/36/EC, 2011/35/EU, 2012/30/EU and 2013/36/EU, and Regulations (EU) No 1093/2010 and (EU) No 648/2012, of the European Parliament and of the Council, [2014] OJ L173/190, Art 130(1).