Article 19
Entities excluded from the scope of prudential consolidation
1. An institution, financial institution or an ancillary services undertaking which is a subsidiary or an undertaking in which a participation is held, need not to be included in the consolidation where the total amount of assets and off-balance sheet items of the undertaking concerned is less than the smaller of the following two amounts:
|
(a) |
EUR 10 million; |
|
(b) |
1 % of the total amount of assets and off-balance sheet items of the parent undertaking or the undertaking that holds the participation. |
2. The competent authorities responsible for exercising supervision on a consolidated basis pursuant to Article 111 of Directive 2013/36/EU may on a case-by-case basis decide in the following cases that an institution, financial institution or ancillary services undertaking which is a subsidiary or in which a participation is held need not be included in the consolidation:
|
(a) |
where the undertaking concerned is situated in a third country where there are legal impediments to the transfer of the necessary information; |
|
(b) |
where the undertaking concerned is of negligible interest only with respect to the objectives of monitoring credit institutions; |
|
(c) |
where, in the opinion of the competent authorities responsible for exercising supervision on a consolidated basis, the consolidation of the financial situation of the undertaking concerned would be inappropriate or misleading as far as the objectives of the supervision of credit institutions are concerned. |
3. Where, in the cases referred to in paragraph 1 and point (b) of paragraph 2, several undertakings meet the criteria set out therein, they shall nevertheless be included in the consolidation where collectively they are of non-negligible interest with respect to the specified objectives.