Brussels, 26/06/2013 (Agence Europe) - On Wednesday 26 June, the member states' representatives to the EU (Coreper) approved the provisional inter-institutional agreement on a draft regulation to change the market abuse rules.
In September, the agreement will be voted upon by the EP plenary and transmitted to EU27 finance ministers so it can come into force in October or November. It gives national watchdogs greater powers of investigation and greater penalties, introducing “tough minimum sanctions and a permanent ban from working in the industry”, stated MEP Arlene McCarthy (S&D, United Kingdom), EP rapporteur on the issue.
Following the Libor scandal last year, the new rules now cover the fiddling of financial benchmarks like Libor and Euribor.
EU Internal Market Commissioner Michel Barnier welcomed the agreement: “In recent years financial markets have become increasingly global, giving rise to new trading platforms and technologies. This unfortunately has also led to new possibilities to manipulate these markets. The new market abuse rules adapt EU rules to this new market reality”. Irish Finance Minister Michael Noonan said: “These new measures will ensure better protection for investors and consumers and will ultimately provide for greater stability in financial markets”.
The agreed regulation paves the way for the opening of inter-institutional talks on the draft directive to change the market abuse rules. (EL/transl.fl)