A consultation is held on a bill introducing special measures against financial undertakings (Intervention Act). The bill would amend the Financial Markets Supervision Act and the Bankruptcy Act in order to extend powers to intervene when financial undertakings find themselves in serious difficulties. The bill reflects developments within the European Union.
The bill enables DNB to force a transfer of financial undertakings experiencing irreversible problems, by drawing up a transfer plan. DNB can submit the transfer plan to the courts and ask for an order to implement the transfer scheme. The transfer can take the form of a deposit transfer, a transfer of assets and liabilities, or a share transfer.
A second category of measures under the bill focuses on the stability of the financial system. If a serious and immediate risk to the stability of the financial system is imminent, the bill gives the Minister of Finance the power to:
- intervene in the internal powers of a financial undertaking
- as a last resort, take over ownership of a financial undertaking.
The consultation will be open until 15 April 2011.