Brussels, 23/11/2006 (Agence Europe) - On Thursday the European Commission indicated that the European authorities in charge of data protection believe that Swift has infringed European law on private life by providing the US authorities with access to certain personal information.
The American company SWIFT (Society for Worldwide Interbank Financial Telecommunications) based in Brussels, routes about 11 million financial transactions daily between 7,800 banks and other financial institutions in 200 countries. In the wake of the attacks of 11 September, Swift was obliged to provide the US Treasury with data in its possession on financial transfers.
In a draft opinion unanimously adopted, the experts' group in charge or ensuring respect for data protection (Article 29 group) observed “violations” of the 1995 directive, which involved the way Swift transferred information to the United States. The experts note that banking data had been used to a different end, namely, in the fight against the funding of terrorism. The group is accusing the financial institutions of EU Member States, as Swift service users of being “jointly responsible”. It is also asking Swift and the financial institutions to take immediate measures to rectify this illegal situation and requests clarification about the ECB's role as European controller (EUROPE 9280).
A copy of this opinion will be sent to Swift, the president of the European Commission, José Manuel Barroso, vice president, Franco Frattini, Commissioners Charlie McCreevy and Joaquin Almunia and the European Parliament and Council. A European source explained that the national authorities would “analyse this opinion and then follow implementation of the conclusions. It will then decide on a possible launch of an infringement procedure against Belgium”. (bc)