Banking Act (Cap. 371), article 11C

11C. (1) Without prejudice to the derogation provided for in article 38(3), a credit institution licensed in terms of this A ct which is part of a third-country group having as part of the same group one or more other credit institution or one or more investment firm, l icensed in Malta or authorised in anothe r Member State, shall have a si ngle intermediate EU parent undertaking that is established either i n Malta or in another Member State. (2) The competent authority may allow a credit institution referred to in sub-article (1) to have two intermediate EU pare nt undertakings where it determines t hat the establishment of a si ngle intermediate EU parent undertaking: (a) would be incompatible with a mandatory requirement 34 CAP. 371.] BANKING for separation of activities imposed by the rules or the overseas regulatory aut hority of the third country where the ultimate parent undertaking of the third- country group has its head office; or (b) would render resolvability less efficient than in the case of two intermediate EU parent undertakings according to an assessment carried out by the relevant resolution authority of the intermediate EU parent undertaking. (3) An intermediate EU parent undertaking shall be a credit institution licensed in terms o f article 7 or authorised in acc ordance with Article 8 of the CRD, or a financial holding company or mixed financial holding company that has been granted approval in ter ms of article 11B and, or Article 21a of the CRD: Cap. 370. Provided that, where a second intermediate EU parent undertaking must be set up in connection with investment activi ties to comply with a mandatory requirement as referred to in sub-artic le (2), the second intermediate EU paren t undertaking may be an investm ent firm holding an investment services licence in terms of article 6 of the Investment Services Act or is au thorised in accordance with Art icle 5(1) of the MiFID , that is subject to the BRRD . (4) Sub-articles (1), (2) and (3) shall not apply where the tota l value of assets in the European Union of the third-country grou p is less than forty billion euro (€40,000,000,000). (5) For the purposes of this article: (a) the total value of assets in the European Union of the third- country group shall be the sum of the following: (i) the total value of assets of each institution in the European Union forming part of the third-country group, as resulting from its consolidated balance sheet or as resulting from their indivi dual balance sheet, where an institution's balance sheet is not consolidated (ii) the total value of assets of each branch of the third-country group authorised in the European Union in accordance with the CRD, MiFID or MiFIR ; (b) the term "institution" shall also include investment firms. (6) The competent authority shall notify the EBA w i t h t h e following information in respect of each third-country group op erating in Malta: (a) the names and the total value of assets of institutions belonging to a third-country group; (b) the names and the total value of assets corresponding BANKING [CAP. 371. 35 to branches authorised in Malta in accordance with the provisions of national law transposing the CRD, the MiFID or MiFIR , and the types of activities that they are licensed to carry out; (c) the name and the type as referred to in sub-article (3) of any intermediate EU par ent undertaking set up in M a l t a a n d t h e n a m e o f t h e t h i r d - c o u n t r y g r o u p o f which it is part. (7) A credit institution forming part of a third-country group shall meet at least one o f the following conditions: (a) it has an intermediate EU parent undertaking; (b) it is an intermediate EU parent undertaking; (c) it is the only institution in the European Union of the third-country group; or (d) it is part of a third-country group with a total value of assets in the European Union of less than forty billion euro (€40,000,000,000). Use of the word "bank". Amended by: XVII. 2002.168; XX. 2007.94; II. 2011.13.