The Board of Appeal of the ESAs has published its first decision, ruling in favour of an appeal against a decision by EBA not to allow a complaint on the grounds there was no breach of EU law. An Estonian court had found that two managers of a large branch in Estonia of a European bank had not given truthful evidence in the course of Estonian proceedings, but neither the Estonian nor the bank's home supervision authorities took action against the individuals for failure to be "fit and proper" persons. The appellant brought the complaint before EBA, which declared it inadmissible. The question was whether the fitness and properness of branch managers was a matter of local or EU law. The Board of Appeal of the ESAs found that the fit and proper requirements under the Capital Requirements Directive had to be read in the light of the EBA Guidelines on assessing suitability of management and key function holders, which extended the scope of the fit and proper requirements beyond those that direct the institution as a whole and therefore made the suitability of the governors of the Estonian branch a matter under EU law. The case has been remitted to EBA to decide whether it will exercise its discretion to investigate the breach. (Source: ESA Board of Appeal Publishes its First Decision)