Documentation required to substantiate that a business unit is not material
Article 4
1. When filing a notification pursuant to Article 4(4) or applying for prior approval pursuant to Article 4(5) of Delegated Regulation (EU) No 604/2014, supervised credit institutions shall submit to the ECB the following documentation in order to substantiate that a staff member, or the category of staff to which the staff member belongs, only carries out professional activities in a business unit which is not a material business unit as referred to in Article 4(2)(a) of Delegated Regulation (EU) No 604/2014: (a) a detailed and comprehensive description of the duties and responsibilities of the relevant staff member or the category of staff to which the staff member belongs; (b) an organisational chart of the relevant business unit that shows the hierarchical structure and reporting lines, including the relevant staff member or category of staff to which the staff member belongs; (c) a detailed description of the internal capital allocation to the relevant business unit according to Article 73 of Directive 2013/36/EU for the current and the 2 preceding financial years; (d) an overview of the internal capital allocation to all business units in accordance with Article 73 of Directive 2013/36/EU for the current and the 2 preceding financial years; (e) a statement explaining why the supervised credit institution awarded the staff member, or category of staff to which the staff member belongs, a remuneration that meets the criteria stipulated in Article 4(1) of Delegated Regulation (EU) No 604/2014 even though the staff member carries out professional activities in a non-material business unit; (f) a reasoned statement explaining why the staff member, or category of staff to which the staff member belongs, does not meet the qualitative criteria referred to in Article 3 of Delegated Regulation (EU) No 604/2014. 2. If the definition of business units within the supervised credit institution has changed within the current and the 2 preceding financial years, the supervised credit institution shall provide the reasons for this change. 3. The ECB may require the supervised credit institution to submit further information to substantiate the application.