On 6 February 2014, the ECB published its decision on the credit institutions that will be subject to comprehensive assessment by the ECB (as set out in the Annex to the decision).
The ECB will carry out a comprehensive assessment of large banks before 3 November 2014 (before taking on the role as supervisor under SSM on 4 November 2014). In accordance with Article 33(4) of the Regulation establishing the SSM (Regulation 1024/2013), the decision provides that national competent authorities ("NCAs") responsible for supervising the listed credit institutions must submit "all information of relevance to the comprehensive assessment that the ECB requests."
The NCAs may use on-site inspections or involve third parties to verify the information requested by the ECB. The NCA responsible for supervision of subsidiaries in a group that is subject to consolidated supervision within the SSM will also be responsible for the verification for the subsidiaries authorised in its member state.
The SSM Regulation will give the ECB investigatory and enforcement powers, including powers to request all relevant information from credit institutions and persons involved in their activities (Article 10), powers to conduct all necessary investigations, including onsite inspections (Articles 11 and 12) and powers to impose pecuniary sanctions and periodic penalty payments (Article 18).
The ECB's decision is available at:
http://www.ecb.europa.eu/pub/pdf/other/en_dec_2014_03_fen.pdf
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