S.L. 330.9 Art. 91Group resolution involving a subsidiary of the group.

(1) Where the Resolution Committee decides that an institution or any entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1) that is a subsidiary in a group meets the conditions referred to in regulations 32 or 33, the Resolution Committee shall notify the following information without delay to the group-level resolution authority, if different, to the consolidating supervisor, and to the members of the resolution college for the group in question:

(a) the decision that the institution or entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1) meets the conditions referred to in regulations 32 or 33;

(b) the resolution actions or insolvency measures that the Resolution Committee considers to be appropriate for that institution or that entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1).

(2) Where the Resolution Committee, in its capacity as the group-level resolution authority, receives a notification in accordance with Article 91(1) of the BRRD, after consulting the other members of the relevant resolution college, it shall assess the likely impact of the resolution actions or other measures notified in accordance with paragraph (b) of Article 91(1) of the BRRD, on the group and on group entities in other Member States, and, in particular, whether the resolution actions or other measures would make it likely that the conditions for resolution would be satisfied in relation to a group entity in another Member State.

(3) If the Resolution Committee, in its capacity as the group-level resolution authority, after consulting the other members of the resolution college, assesses that the resolution actions or other measures notified in accordance with paragraph (b) of Article 91(1) of the BRRD, would not make it likely that the conditions laid down in regulations 32 or 33 would be satisfied in relation to a group entity in another Member State, the European resolution authority responsible for that institution or that entity referred to in paragraphs (b), (c) or (d) of the definition "entity" in regulation 2(1), may take the resolution actions or other measures that it notified in accordance with paragraph (b) of Article 91(1) of the BRRD.

(4) If the Resolution Committee, in its capacity as the group-level resolution authority, after consulting the other members of the resolution college, assesses that the resolution actions or other measures notified in accordance with paragraph (b) of Article 91(1) of the BRRD, would make it likely that the conditions laid down in regulations 32 or 33 would be satisfied in relation to a group entity in another Member State, the Resolution Committee in its capacity as the group-level resolution authority shall, no later than 24 hours after receiving the notification under Article 91(1) of the BRRD, propose a group resolution scheme and submit it to the resolution college: Provided that the 24-hour period may be extended with the consent of the European resolution authority which made the notification referred to in Article 91(1) of the BRRD:

Provided further that in the absence of an assessment by the Resolution Committee in its capacity as the group-level resolution authority within 24 hours, or a longer period that has been agreed, after receiving the notification under Article 91(1) of the BRRD, the European resolution authority which made the notification referred to in Article 91(1) of the BRRD may take the resolution actions or other measures that it notified in accordance with paragraph (b) of Article 91(1) of the BRRD.

(5) Where the Resolution Committee makes a notification in accordance with sub-regulation (1), if the European resolution authority acting as the group-level resolution authority, after consulting the other members of the resolution college, assesses that the resolution actions or other measures notified in accordance with sub-regulation (1)(b), would not make it likely that the conditions laid down in regulation 32 or 33 would be satisfied in relation to a group entity in another Member State, the Resolution Committee may take the resolution actions or other measures that it notified in accordance with sub-regulation (1)(b): Provided that in the absence of an assessment by the European resolution authority acting as the group-level resolution authority within twenty-four hours, or a longer period that has been agreed in accordance with Article 91(4) of the BRRD, after receiving the notification under sub-regulation (1), the Resolution Committee may take the resolution actions or other measures that it notified in accordance with sub-regulation (1)(b).

(6) A group resolution scheme required under sub-regulation

(4) shall:

(a) take into account and follow the resolution plans as referred to in regulation 13 unless the Resolution Committee and the relevant European resolution authorities assess, taking into account circumstances of the case, that resolution objectives will be achieved more effectively by taking actions which are not provided for in the resolution plans;

(b) outline the resolution actions that should be taken by the Resolution Committee and the relevant European resolution authorities in relation to the Union parent undertaking or particular group entities with the aim of meeting the resolution objectives and principles referred to in regulations 31 and 34;

(c) specify how those resolution actions should be coordinated;

(d) establish a financing plan which takes into account the group resolution plan, principles for sharing responsibility as established in accordance with regulation 12(3)(f) and the mutualisation as referred to in regulation 107.

(7) Subject to sub-regulation (8), the group resolution scheme shall, where the Resolution Committee is the group-level resolution authority, take the form of a joint decision of the Resolution Committee and the European resolution authorities responsible for the subsidiaries that are covered by the group resolution scheme, and where the Resolution Committee is responsible for a subsidiary that is covered by the group resolution scheme, take the form of a joint decision of the Resolution Committee, the European resolution authority acting as the group-level resolution authority and the relevant European resolution authorities responsible for other subsidiaries that are covered by the group resolution scheme, if any: Provided that the Resolution Committee may request the EBA to assist the authorities mentioned in this sub-regulation in reaching a joint decision in accordance with Article 31(c) of Regulation (EU No 1093/2010.

(8) If the Resolution Committee disagrees with or departs from the group resolution scheme proposed by the group-level resolution authority or considers that it needs to take independent resolution actions or measures other than those proposed in the scheme in relation to an institution or an entity referred to in paragraphs (b),

(c) or (d) of the definition "entity" in regulation 2(1) for reasons of financial stability, it shall set out in detail the reasons for the disagreement or the reasons to depart from the group resolution scheme, notify the group-level resolution authority and the other European resolution authorities that are covered by the group resolution scheme of the reasons and inform them about the actions or measures it will take. When setting out the reasons for its disagreement, the Resolution Committee shall take into consideration the resolution plans as referred to in regulation 13, the potential impact on financial stability in the Member States concerned as well as the potential effect of the actions or measures on other parts of the group.

(9) If the Resolution Committee does not disagree in accordance with sub-regulation (8), it may, together with any relevant European resolution authorities which do not disagree in accordance with Article 91(8) of the BRRD, reach a joint decision on a group resolution scheme covering group entities in Malta and in the relevant Member States.

(10) The joint decision referred to in sub-regulations (7) or (9) and any decisions taken by the European resolution authorities in the absence of a joint decision referred to in Article 91(8) of the BRRD shall be recognised as conclusive and applied by the Resolution Committee in Malta.

(11) The Resolution Committee shall perform all actions under this regulation without delay, and with due regard to the urgency of the situation.

(12) In any case where a group resolution scheme is not implemented and the Resolution Committee takes resolution actions in relation to any group entity, the Resolution Committee shall cooperate closely with the relevant European resolution authorities within the resolution college with a view to achieving a coordinated resolution strategy for all the group entities that are failing or likely to fail.

(13) If the Resolution Committee takes any resolution action in relation to any group entity, it shall inform the members of the resolution college regularly and fully about those actions or measures and their on-going progress.