S.L. 330.9 · Recovery And Resolution Regulations (S.L. 330.9)

S.L. 330.9 Art. 74Valuation of difference in treatment.

Title III of the CRD.

In KraftAmtlicher Text

(1) For the purposes of assessing whether shareholders and creditors would have received better treatment if the institution under resolution had entered into normal insolvency proceedings, including but not limited to, for the purpose of regulation 73, a valuation shall be carried out by an independent person as soon as possible after the resolution action or actions have been effected. That valuation shall be distinct from the valuation carried out under regulation 36.

(2) The valuation in sub-regulation (1) shall determine:

(a) the treatment that shareholders and creditors, or the relevant deposit guarantee schemes, would have received if the institution under resolution with respect to which the resolution action or actions have been effected had entered normal insolvency proceedings at the time when the decision referred to in regulation 82 was taken;

(b) the actual treatment that shareholders and creditors have received, in the resolution of the institution under resolution; and

(c) if there is any difference between the treatment referred to in paragraph (a) and the treatment referred to in paragraph (b).

(3) The valuation shall:

(a) assume that the institution under resolution with respect to which the resolution action or actions have been effected, would have entered normal insolvency proceedings at the time when the decision referred to in regulation 82 was taken;

(b) assume that the resolution action or actions had not been effected;