Part I General Aspects, 3 Judicial Protection of Supervised Credit Institutions in the European Banking Union »
Tomas M C AronsFrom: European Banking Union (2nd Edition)
Edited By: Danny Busch, Guido Ferrarini
This chapter considers how legal and practical difficulties impede a full-fledged centralization of EU financial supervision and bank resolution. Under the European banking union regime, the ultimate policy- and decision-making powers in bank supervision and resolution lay with the European Central Bank and the Single Resolution Board (SRB) respectively. National competent authorities (NCAs) take, on the instruction of the European Central Bank and/or the SRB, decisions addressed to individual credit institutions. This system of two-level decision-making requires challenging both decisions with potentially conflicting court decisions. Ideally judicial review is centralized to mirror the centralized policy and decision-making powers. However, the Court of Justice of the European Union is overloaded with cases already. It is submitted that a specialized court, the Tribunal of Financial Supervisory and Resolution Affairs, attached to the General Court is established to hear and determine at first instance action or proceedings brought against the European Central Bank and/or the SRB in matters relating to decisions taken in exercising its supervisory and resolution powers.