EUROPEAN COMMISSION Brussels, XXX COM(2012) 360 ... - BVVM

Administrative sanctions and measures must apply to those natural or legal persons
which, under national law, are responsible for a breach.
Competent authorities must be given all necessary investigatory powers, and must
co-operate on cross-border cases.
Article 27 requires publication of the sanctions or measures imposed for breaches.
Article 28 specifies certain breaches and sets out the administrative sanctions which
apply to the intermediaries including withdrawal of registration, bans against persons
responsible for the exercise of management functions, and pecuniary sanctions of up
to twice as much as the benefit derived from the breach if that benefit can be
determined.
Criminal sanctions are not covered by this proposal.
Article 29 sets out the factors to take into account in imposing sanctions and
measures, including benefits derived from the breach; losses caused to third parties,
and the level of cooperation of the responsible person, and requires EIOPA to issue
guidelines in respect of the sanctions. It also requires communication of any sanction
or measures to the intermediary or undertaking, together with justification of that
sanction.
Article 30 requires effective mechanisms to encourage reporting of breaches and an
appropriate protection for whistle-blowers and their personal data, as well as the
protection of data of natural persons allegedly responsible for breaches.
Article 31 requires annual reporting of aggregate information regarding breaches to
EIOPA as well as publication of that information by EIOPA. The Commission is
empowered to adopt implementing technical standards in this respect, which EIOPA
is to develop and submit to the Commission [6] months after the publication of the
Directive.
Chapter IX – Final provisions
Articles 32 to 39 restate (updated where relevant) the final provisions in IMD1
concerning the right to apply to the courts, transposition and entry into force, repeal
of prior legislation and addressees. In addition, Articles 33 and 34 set out conditions
applying to the Commission's power to adopt delegated acts as specified in the
Directive, and Article 35 provides a process for review and evaluation by the
Commission of the Directive after its entry into force. This review shall in particular
consider the impact of the disclosure rules in Article 17(2) on non-life insurance
intermediaries that are small and medium-sized undertakings.
4. BUDGETARY IMPLICATION
Specific budget implications for the Commission are also assessed in the financial
statement accompanying this proposal. The specific budget implications of the
proposal relate to tasks allocated to EIOPA as specified in the legislative financial
statement accompanying this proposal.
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