PR(08)46: Residence requirement in the Liechtenstein Banking Act is contrary to the EEA Agreement
The EFTA Surveillance Authority today delivered a reasoned opinion to Liechtenstein regarding the residence requirement laid down in Article 25 of the Liechtenstein Banking Act.
On 1 July 2005, the EFTA Court declared that the residence requirement in Liechtenstein on at least one member of the management board and one member of the executive management of a bank established on Liechtenstein territory where in breach of the EEA Agreement.
In order to implement the EFTA Court judgment, a new Act was adopted which entered into force on 26 July 2007. However, the new version of Article 25 of the Banking Actcontains, again, a residence clause, although different from the one declared by the EFTA Court to infringe Article 31 of the EEA Agreement.
Delivery of a reasoned opinion is the second stage in infringement proceedings. The EFTA Surveillance Authority may bring the matter before the EFTA Court if Liechtenstein fails to take the measures necessary to comply with the reasoned opinion.
For further information, please contact:
Mr. Niels Fenger
Director, Legal & Executive Affairs Directorate
tel. (+32)(0)2 286 18 30
Mr. Bernhard Zaglmeyer
Officer, Internal Market Affairs Directorate
tel. (+32)(0)2 286 18 85
16 July 2008
