General rules
1. For the purpose of separate accounting for cash balances, revenues and net profits set out in Article 5a(8) of Regulation (EU) No 833/2014, the central securities depositories’ standard reports shall be used to the extent possible.
2. The reports to be submitted to the Commission shall be prepared on the basis of the accounting rules applied by the central securities depositories.
3. Reports to be submitted to the Commission shall be expressed in euro. These reports may be drawn from financial statements denominated in other currencies as per the central securities depositories’ requirements. Where necessary, amounts shall be converted into euro. In this case the reports should indicate the foreign exchange rates used.
4. The reports, forecasts and information referred to in Articles 4 to 6 shall be submitted to the Commission electronically signed with qualified electronic signature as defined in Regulation (EU) No 910/2014 of the European Parliament and of the Council ( 6 ) to the addresses communicated by the Commission.
5. The central securities depositories shall keep financial and accounting documents concerning the financial contribution for a term of five years following the final approval of the accounts. Records and documents pertaining to audits, appeals, litigation, the pursuit of claims relating to legal commitments or pertaining to investigations shall be retained until such audits, appeals, litigation, pursuit of claims or investigations have been closed.
Interim financial report
1. The central securities depositories shall submit to the Commission and to the national supervisory authorities the interim financial report in respect of the period from 1 January to 30 June, at the latest on the first working day after 25 July of the same year and in respect of the period from 1 July to 31 December at the latest on the first working day after 25 March of the following year. The interim financial report for the period from 1 January to 30 June 2024 shall be submitted at the latest on the first working day after 19 July 2024 and shall reflect the fact that the rules in paragraphs 8 to 14 of Article 5a of Regulation (EU) No 833/2014 apply from 15 February 2024.
2. The interim financial report shall disclose:
(a)
the cash balances, revenues and expenses referred to in points (a), (b) and (c) of Article 5a(8) of Regulation (EU) No 833/2014, as well as accruals for corporate tax under the general regime of the Member State concerned for the respective semester;
(b)
the net profits referred to in point (c) of Article 5a(8) of Regulation (EU) No 833/2014.
3. The central securities depositories shall determine in the interim financial report the financial contribution, reduced by the amounts provisionally retained pursuant to points (a), (b) and (c) of Article 5a(10) of that Regulation and, where appropriate increased by the amounts to be transferred to the Union pursuant to Article 9.
4. The central securities depositories shall submit to the Commission an indicative, non-binding forecast of the amounts of the financial contribution due to the Union at the latest on the first working day after the 25th day of the month following each quarter.
Audited financial statements and reports
1. The central securities depositories shall submit to the Commission and to national supervisory authorities the statutory annual financial statements, established in accordance with the applicable national standards and audited by a statutory auditor in line with Directive 2006/43/EC, by 31 May of the year n+1 in respect of the year n.
2. The statutory audited annual financial statements shall separately disclose the total amount of cash balances, revenues, net profits referred to in points (a), (b) and (c) of Article 5a(8) of Regulation (EU) No 833/2014 respectively.
3. The central securities depositories shall submit to the Commission and to the national supervisory authorities, together with the statutory audited annual financial statements, a separate report setting out:
(a)
the annual amounts provisionally retained by the central securities depositories, which constitute liabilities towards the Union pursuant to point (a) of Article 5a(10) of Regulation (EU) No 833/2014 unless they are used in accordance with point (d) of Article 5a(10) of that Regulation;
(b)
the cumulated total amounts remaining provisionally retained according to Article 5a(10) of Regulation (EU) No 833/2014;
(c)
the amounts which ceased to be due to the Union pursuant to point (d) of Article 5a(10) of Regulation (EU) No 833/2014;
(d)
the total financial contribution in respect of the year n:
(i)
reduced by the amount provisionally retained pursuant to points (a), (b) and (c) of Article 5a(10) of Regulation (EU) No 833/2014;
(ii)
increased by the amounts to be transferred to the Union pursuant to points (e) and (f) of Article 5a(10) of Regulation (EU) No 833/2014.
(e)
the breakdown by currency of denomination of the cash balances and revenues referred to in the previous paragraph and in point (a) of Article 4(2).
This report should be accompanied by an assurance report from the central securities depositories’ statutory auditor and reconciled with the annual statutory financial statements.
4. The central securities depositories shall, upon request of the Commission, submit to it any additional information related to the financial statements or reporting referred to in this Article.
Reporting by central securities depositories and national supervisory authorities on the amounts provisionally retained
1. The central securities depositories shall submit to the Commission and national supervisory authorities, together with each of the interim financial reports referred to in Article 4 and the audited financial statements and reports referred to in Article 5, a separate document setting out:
(a)
the assumptions and any other necessary information used to determine the amount of the financial contribution provisionally retained pursuant to points (a), (b) and (c) of Article 5a(10) of Regulation (EU) No 833/2014;
(b)
information on the use of the amounts provisionally retained in accordance with point (d) of Article 5a(10) of Regulation (EU) No 833/2014.
The information referred to in point (b) of the first subparagraph of this Article shall comprise a detailed quantification of the expenses, risks and losses incurred or provisioned due to the war in Ukraine with regard to the assets held by these central securities depositories, and of the amounts thereof which can be covered by the internal resources of the central securities depositories at the time of their occurrence.
2. The information by the national supervisory authorities about its decision pursuant to point (e) of Article 5a(10) of Regulation (EU) No 833/2014 that amounts provisionally retained or part of those amounts are still needed to meet risk management requirements in view of the impact due to the war in Ukraine with regard to the assets held by central securities depositories, shall comprise a detailed description of those needs and their estimate and assumptions used for the estimate, together with any additional information that the national supervisory authorities may deem relevant. The national supervisory authorities shall immediately notify the Commission of any supervisory or other measure it adopts in respect of the central securities depositories which may affect the amounts retained pursuant to Article 5a(10) of Regulation (EU) No 833/2014.
3. The national supervisory authorities shall, upon request of the Commission, submit to it without any delay any additional information related to the quantification of the expenses, risks and losses incurred or provisioned due to the war in Ukraine with regard to the assets held by the central securities depositories, or to the quantification of internal resources used to cover these risks.
The central securities depositories and the national supervisory authorities shall cooperate with the Commission in respect of the exchange of information used for the decision on the retained amounts.
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.
