Section 3: Approval of financial holding companies, mixed financial holding companies and parent companies of finance companies

The financial holding companies referred to in the fourth and fifth paragraphs of Article L. 517-1, the parent undertakings of finance companies referred to in the sixth and seventh paragraphs of Article L. 517-1 and the mixed financial holding companies referred to in the fourth and fifth paragraphs of Article L. 517-4-1 seek the approval of the Autorité de contrôle prudentiel et de résolution when the latter is responsible for…

Before granting approval to a financial holding company, a parent undertaking of a finance company or a mixed financial holding company, the Autorité de contrôle prudentiel et de résolution shall verify that the following conditions are met: 1° The internal arrangements and allocation of tasks within the group are appropriate to the objective of complying with prudential requirements on a consolidated or sub-consolidated basis and, in particular, are effective in…

The approval of the Autorité de contrôle prudentiel et de résolution is not required when all the following conditions are met: 1° The principal activity of the financial holding company or the parent undertaking of a finance company is to acquire interests in subsidiaries or, in the case of a mixed financial holding company, its principal activity as regards financial institutions or undertakings is to acquire interests in subsidiaries ;…

The Autorité de contrôle prudentiel et de résolution, where it is the authority responsible for supervision on a consolidated basis, continuously monitors compliance with the conditions set out in Article L. 517-13 or, where applicable, Article L. 517-14. Financial holding companies, parent undertakings of finance companies and mixed financial holding companies shall provide the Autorité de contrôle prudentiel et de résolution with the information required to ensure ongoing monitoring of…

Where the Autorité de contrôle prudentiel et de résolution has determined that the conditions set out in Article L. 517-13 are not fulfilled or have ceased to be fulfilled in order to ensure or restore, depending on the situation, the continuity and integrity of supervision on a consolidated basis, as well as to ensure compliance with the requirements set out in a provision of Titles I and III of Book…

When the Autorité de contrôle prudentiel et de résolution has established that the conditions set out in Article L. 517-14 are no longer met, the financial holding company, the parent undertaking of a finance company or the mixed financial holding company shall apply for approval in accordance with Article L. 517-12.

In the case of mixed financial holding companies, decisions regarding approval and exemption from approval and the supervisory measures referred to in Article L. 612-33 are subject to the agreement of the coordinator designated in Article L. 633-2. Refusal decisions are sent to the European Banking Authority or the European Insurance and Occupational Pensions Authority as appropriate.

When the Autorité de contrôle prudentiel et de résolution refuses to approve a financial holding company, a parent undertaking of a finance company or a mixed financial holding company, it may attach to its decision one of the measures provided for in Article L. 517-16.

A decree in the Conseil d’Etat will specify the information that must be provided to the Autorité de contrôle prudentiel et de résolution so that it can decide on an application for approval, as well as the deadlines for making its decision and notifying a refusal.