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Erscheinung:01.05.2002, Stand:updated on 02.08.2021 | Topic BaFin Statutes of the Federal Financial Supervisory Authority (Satzung der Bundesanstalt für Finanzdienstleistungsaufsicht)

Last amended by the regulation of 30 June 2021 (Federal Gazette, Official Section, 30 June 2021 V1)

Part I
Structure and management

Section 1
Name, structure and organisation of the Supervisory Authority

(1) The full name of the Supervisory Authority is “Bundesanstalt für Finanzdienstleistungsaufsicht” (Federal Financial Supervisory Authority). The abbreviation “BaFin” may also be used in the course of business.

(2) Sectors are established to perform the Supervisory Authority’s statutory functions. The Sectors consist of Directorates and Divisions. Divisions may be combined to form Groups. In addition, units for cross-sector duties may be set up to report directly to the President. The resultant organisational structure is laid down by the President with the approval of the Federal Ministry of Finance (Bundesministerium der Finanzen – Federal Ministry).

Section 1a
Resolution Sector

(1) The duties of the resolution authority within the meaning of section 3 (1) of the Recovery and Resolution Act (Sanierungs- und Abwicklungsgesetz) are performed in a manner that is operationally independent of the ongoing supervisory duties of the Supervisory Authority. If the Sector for Resolution also performs duties other than those of the resolution authority within the meaning of the Recovery and Resolution Act, such duties are performed in a manner that keeps them organisationally separate from the resolution duties

(2) The Supervisory Authority ensures that the employees of the organisational unit that is entrusted with resolution activities do not also perform functions or duties as part of the Supervisory Authority’s other activities and that the employees of the organisational units that are entrusted with supervisory activities do not also perform functions or duties as part of the Supervisory Authority’s activities as resolution authority. This does not hinder the close cooperation between all employees of the Supervisory Authority in cross-sector or organisation-wide working groups or projects.

(3) The organisational unit entrusted with resolution activities is located in Frankfurt am Main.

(4) The Supervisory Authority ensures there is close cooperation and a mutual exchange of information between the Sector for Resolution and all other Sectors for the purpose of effectively and efficiently preparing and implementing resolution decisions and measures. The Supervisory Authority ensures in particular that the organisational unit entrusted with resolution activities has access to all information that is available to those entrusted with supervisory activities..

Section 2
Rights and duties of the bodies of the Supervisory Authority

(1) The Executive Board has overall responsibility for managing the Supervisory Authority, without prejudice to the Federal Ministry’s right to issue instructions.

(2) The President represents the Supervisory Authority before the courts and out of court. The President’s permanent deputy is a Chief Executive Director who acts as Deputy President. The permanent deputy is appointed by the Federal Ministry on the recommendation of the President.

(3) The President

  1. decides on the strategic orientation of the Supervisory Authority as an integrated financial services supervisor at a national and international level;
  2. is responsible for preparing BaFin’s budget and defining BaFin’s organisational structure;
  3. is responsible for central management and
  4. can issue instructions on an individual basis or take charge of matters.

(4) The Chief Executive Directors are each individually and operationally responsible for one Sector of the Supervisory Authority. They participate in the bodies of the European System of Financial Supervision in matters pertaining to their Sector.

(5) In accordance with section 6 (1) sentence 3 and (2) sentence 5 of the Act Establishing the Federal Financial Supervisory Authority (Finanzdienstleistungsaufsichtsgesetz), the Executive Board adopts an organisational statute and unanimously adopts rules of procedure. The organisational statute and the rules of procedure require the approval of the Federal Ministry, as do amendments thereto. The Administrative Council is to be heard if provisions that are to be adopted for the rules of procedure with regard to specific Sectors will result in additional cost burdens on one of the sectors of the financial services industry – namely banking, insurance or securities trading.

(6) The President regularly informs the public of the work being carried out by the Supervisory Authority.

Section 2a

Investor and Consumer Protection Officer

(1) The Director-General for Consumer Protection acts as the Investor and Consumer Protection Officer.

(2) The Investor and Consumer Protection Officer advises the Executive Board in matters regarding investor and consumer protection. He or she participates in Executive Board meetings in an advisory capacity whenever such meetings deal with these topics. He or she can recommend that the Executive Board should look into matters of investor and consumer protection.

(3) The Investor and Consumer Protection Officer provides guidance and advice to the Chief Executive Directors in the context of their participation in the bodies of the European financial system wherever investor and consumer protection interests are to be discussed.

Part II
Administrative Council

Section 3
Appointment and dismissal of members of the Administrative Council

(1) Only those persons in possession of the necessary expert knowledge required to perform the relevant duties may become members of the Administrative Council. Members are appointed and dismissed by the Federal Ministry in accordance with section 7 of the Act Establishing the Federal Financial Supervisory Authority. The associations of the banking and insurance industries and of the asset management companies (Kapitalverwaltungsgesellschaften) specified in (6) are to be heard prior to the appointment of members under section 7 (3) sentence 1 no. 2 (d) of the Act Establishing the Federal Financial Supervisory Authority. The Chairperson of the Administrative Council and his or her deputy are appointed for a term of five years. Other members and their deputies are appointed for a term of four years, unless otherwise specified in section 7 (6) of the Act Establishing the Federal Financial Supervisory Authority; reappointment is possible in both cases. Appointments and dismissals are reported in the publications of the Supervisory Authority.

(2) Prior to any appointment, a curriculum vitae of the prospective member must be submitted to the Federal Ministry. A simultaneous membership, or function as a deputy, in an authorised representative body or a position as a member or deputy member of a supervisory board, administrative board or equivalent body of a company subject to financial supervision or any other commercial company must be disclosed to the Federal Ministry. Persons with functions in an authorised representative body of a company subject to financial supervision are not to be appointed as members. This rule does not affect section 6 (5).

(3) Membership in the Administrative Council lapses if the member relinquishes his or her membership by written declaration to the Federal Government or if the Federal Ministry informs the Administrative Council that the prerequisites for the member’s appointment are no longer fulfilled. A member is to be dismissed on exceptional grounds if the Federal Ministry, after hearing the Administrative Council, ascertains that in the case of such member there is a compelling reason specific to the member that justifies his or her dismissal. In particular, such compelling reasons include those that would bar public officials from performing their duties (section 66 of the Federal Civil Service Act (Bundesbeamtengesetz)) or which would justify suspension from public office (section 38 of the Federal Disciplinary Act (Bundesdisziplinargesetz)), or a breach of the obligation of confidentiality specified in section 11 of the Act Establishing the Federal Financial Supervisory Authority. The member must first be given an opportunity to state his or her position.

(4) The Federal Ministry appoints two deputy Administrative Council members for the Administrative Council members specified in section 7 (3) sentence 1 no. 1 of the Act Establishing the Federal Financial Supervisory Authority. In the event that one or more of the members of the Administrative Council delegated by the Federal Ministry are unable to perform their duties, these deputies act as Administrative Council members in accordance with the number of seats held by the Federal Ministry. A deputy is nominated, and appointed by the Federal Ministry, for each member of the Administrative Council specified in section 7 (3) sentence 1 no. 2 (a) to (c) of the Act Establishing the Federal Financial Supervisory Authority. The Deputy Chairperson acts as Chairperson of the Administrative Council in the latter’s absence. If both the Chairperson and Deputy Chairperson are unable to perform their duties, another Administrative Council member or deputy member from the Federal Ministry takes the chair. In this case, additional representatives of the Federal Ministry may act as deputy members of the Administrative Council in accordance with the number of seats held by the Federal Ministry. If a member of the Administrative Council leaves before the end of the period for which he or she has been appointed, the Federal Ministry appoints a replacement member without undue delay. The same applies to a deputy.

(5) The members of the Administrative Council serve in an honorary capacity. They are reimbursed for travel expenses in accordance with the regulations of the Federal Travel Expenses Act (Bundesreisekostengesetz). A daily allowance is not granted.

(6) Prior to the appointment of the persons specified in section 7 (3) sentence 1 no. 2 (d) of the Act Establishing the Federal Financial Supervisory Authority, the following associations must be heard, and each has the right to nominate one person by name:

  1. the German Banking Industry Committee (Deutsche Kreditwirtschaft);
  2. the German Insurance Association (Gesamtverband der Deutschen Versicherungswirtschaft e.V.) and
  3. the German Investment Funds Association (Bundesverband Investment und Asset Management e.V.).

The right to be heard and the right of nomination apply as long as the statutory distribution of seats in the Administrative Council remains unchanged.

Section 4
Powers of the Administrative Council

(1) The Administrative Council monitors and supports the management of the Supervisory Authority. Its duties comprise in particular:

  1. adopting the budget (section 12 (2) of the Act Establishing the Federal Financial Supervisory Authority) presented by the President;
  2. approving the annual accounts and formally approving the actions of the President in accordance with section 12 (3) and (5) of the Act Establishing the Federal Financial Supervisory Authority, taking into account the auditor’s report and any findings of the Federal Court of Audit (Bundesrechnungshof) of which the Administrative Council has gained knowledge;
  3. conducting a hearing prior to mandating the auditor for the Supervisory Authority;
  4. conducting a hearing prior to mandating the auditor for the restructuring fund;
  5. issuing rules of procedure for the Administrative Council (section 7 (2) of the Act Establishing the Federal Financial Supervisory Authority);
  6. establishing agreement on amendments to the Statutes of the Supervisory Authority (section 5 (3) of the Act Establishing the Federal Financial Supervisory Authority);
  7. conducting a hearing in case of formal agreements relating to cooperation between the Supervisory Authority and other institutions; agreements relating to cooperation and the exchange of information with other supervisory authorities remain unaffected.

(2) In addition to the regular reporting, the Administrative Council is supported in performing its duties by the President’s reports on the management activities of the Supervisory Authority and by the other Executive Board members’ reports on the activities of their Sectors. In this regard, the Administrative Council has a right to be informed and to be heard by every member of the Executive Board.

(3) The Administrative Council or an individual member of the Administrative Council may demand that the President should report to the Administrative Council on the affairs of the Supervisory Authority. If the President refuses to report as demanded by one individual Administrative Council member, such report can only be demanded if two other Administrative Council members are in support of the demand.

Section 5
Representation and deputisation of the Administrative Council

The Administrative Council is represented by the Chairperson or, if the Chairperson is unable to perform his or her duties, by the Deputy Chairperson. Furthermore, only the deputy appointed under section 3 (4) sentence 5 may serve as deputy.

Section 6
Meetings of the Administrative Council

(1) The Administrative Council meets as the need arises, but at least once a year. The meetings are not public.

(2) The meetings of the Administrative Council are convened by the Chairperson or, if the Chairperson is unable to perform his or her duties, by the Deputy Chairperson. The Administrative Council is to be convened on the request of the Federal Ministry, the Executive Board or at least three members of the Administrative Council.

(3) As a matter of principle, the President and the Chief Executive Directors take part in the meeting of the Administrative Council. In the event that the President is unable to attend the meeting, he or she is deputised by the Deputy President; if a Chief Executive Director is unable to attend, he or she is deputised by a Director-General from the respective Sector. Without prejudice to the provision in sentence 5, the Chairperson of the Staff Council or, if he or she is unable to attend, his or her deputy as well as a representative of the Deutsche Bundesbank have the right to attend the meetings. The Chairperson may invite other employees of the Supervisory Authority, external experts and other persons providing information if their attendance is appropriate. Employees of the Supervisory Authority and third parties may be barred from attending the meeting for individual items on the agenda.

(4) The Administrative Council has a quorum if at least half its members are present, including at least one member of the Bundestag and at least one of the persons listed in section 7 (3) sentence 1 no. 2 (d) of the Act Establishing the Federal Financial Supervisory Authority. The Administrative Council’s resolutions require a simple majority of the votes cast. In case of a tie, the Chairperson or his or her deputy has the casting vote. The details are governed by the rules of procedure. The rules of procedure contain in particular provisions relating to the convening of the Administrative Council, deliberations and the final adoption of resolutions.

(5) A member is not entitled to vote if the resolution to be taken directly concerns the interests of a company to which the respective member maintains a legal relationship of the nature set out in section 3 (2) sentence 2. In cases of doubt, the Administrative Council confers and decides whether this is the case, in the absence of the respective member.

(6) Records are prepared concerning the results of the meetings and the course of the deliberations and are then signed by the Chairperson or his or her deputy. The details are governed by the rules of procedure.

(7) In the case of section 4 (1) sentence 2 no. 1, the Administrative Council adopts a resolution within a period of two months after presentation. If no resolution is adopted within this period, then the budget presented by the Executive Board is deemed to have been adopted.

Section 7
Procedures

The Administrative Council may adopt resolutions in writing or by way of telecommunications. The details are governed by the rules of procedure.

Section 8
Advisory Board

(1) The Advisory Board elects a Chairperson from among its members and establishes rules of procedure for the conduct of its meetings. The Advisory Board is convened as the need arises, at least once a year, by the Chairperson of the Advisory Board or, if the Chairperson is unable to perform his or her duties, by a deputy. In the event that they are both unable to perform their duties or have not yet been elected, the Advisory Board is convened by the President. The Advisory Board is to be convened on the request of the Federal Ministry or the President. It is also to be convened on the request of one quarter of its members. Each member of the Advisory Board has the right to submit proposals for deliberation. These are to be communicated to the members of the Advisory Board before the agenda is decided, and they are to be deliberated if supported by four Advisory Board members. The President, the Chief Executive Directors, the Investor and Consumer Protection Officer and a representative of the Federal Ministry participate in the meetings of the Advisory Board. In the event that the President or any of the Chief Executive Directors are unable to attend, section 6 (3) sentence 2 applies mutatis mutandis. The meetings are not public. The Chairperson of the Advisory Board may invite external advisors to attend the meetings.

(2) The members are appointed by the Federal Ministry for a term of five years; they may be reappointed. The regulations of section 3 (3), (4) sentence 7 and (5) apply mutatis mutandis to the members of the Advisory Board. In the event that members are unable to attend, they may appoint deputies in compliance with the right of nomination under (4). The Federal Ministry and the Chairperson of the Advisory Board are to be informed of such deputisation prior to the meeting.

(3) The President or, if the President is unable to perform his or her duties, the Deputy President obtains oral commitments from the Advisory Board members and their deputies as well as external advisors that they will perform their duties conscientiously and maintain confidentiality. This commitment is to be recorded in writing. On reappointment, reference to the previous commitment suffices.

(4) For the appointment of the members from the groups of companies specified in section 8 (2) sentence 3 of the Act Establishing the Federal Financial Supervisory Authority, the following associations have a right of nomination by name:

  1. the Association of German Banks (Bundesverband deutscher Banken e.V.) for one representative from the banking industry;
  2. the German Savings Banks Association (Deutscher Sparkassen- und Giroverband e.V.) for one representative from the banking industry;
  3. the Association of German Cooperative Banks (Bundesverband der Volks- und Raiffeisenbanken e.V.) for one representative from the banking industry;
  4. the Association of Foreign Banks in Germany (Verband der Auslandsbanken e.V.) for one representative of the banking industry;
  5. the Association of German Public Sector Banks (Bundesverband Öffentlicher Banken Deutschlands e.V.) for one representative of the banking industry;
  6. the Association of German Pfandbrief Banks (Verband deutscher Pfandbriefbanken e.V.) in consultation with the Association of Private Bausparkassen (Verband der Privaten Bausparkassen e.V.) and the Association of Public German Bausparkassen (Bundesgeschäftsstelle der Landesbausparkassen) for one representative of the banking industry;
  7. the German Investment Funds Association (Bundesverband Investment und Asset Management e.V.) for one representative of the asset management companies and the financial services institutions;
  8. the German Insurance Association (Gesamtverband der Deutschen Versicherungswirtschaft e.V.) for four representatives of the insurance industry;
  9. the Association of Private Health Insurance Companies (Verband der privaten Krankenversicherung e.V.) for one representative;
  10. the Association of Company Pension Funds (Arbeitsgemeinschaft für betriebliche Altersversorgung e.V.) for one representative.

In addition, the Advisory Board comprises three members from academia, in particular from the fields of banking management and insurance business management, as well as academic associations; three representatives of consumer protection organisations; one representative of the Deutsche Bundesbank; one representative each from the independent professions, the associations of small and medium-sized companies and the trade unions; and one representative of industry. A simultaneous membership in other boards of the Supervisory Authority is possible.

(5) The President of the Supervisory Authority informs the Advisory Board by way of regular reports, at least once a year, about current supervisory issues.

(6) On the request of a member of the Executive Board, the Investor and Consumer Protection Officer, the Federal Ministry, or at least one quarter of the members of the Advisory Board, the Advisory Board may make recommendations to the Supervisory Authority on matters relating to operational tasks. This requires that more than half of the members of the Advisory Board support such recommendation. In deliberations about aspects of cooperation between the Supervisory Authority and the Deutsche Bundesbank, the representative of the Bundesbank does not have a voting right.

(7) Minutes are prepared on the results of the meeting and the course of the deliberations and are signed by the Chairperson or the Chairperson’s deputy. The details are governed by the rules of procedure.

Section 8a
Consumer Advisory Board

(1) The Federal Ministry appoints the following members of the Consumer Advisory Council:

  1. three representatives from academia who are engaged to a significant extent in research in the field of consumer or investor protection;
  2. four representatives from consumer and investor protection organisations;
  3. three representatives from out-of-court dispute resolution entities;
  4. one representative from the Federal Ministry of Justice and Consumer Protection (Bundesministeriums der Justiz und für Verbraucherschutz); and
  5. one representative from trade unions.

A simultaneous membership in other boards of the Supervisory Authority is possible.

(2) The President of the Supervisory Authority informs the Consumer Advisory Council by way of regular reports, at least once a year, about current consumer and investor protection matters related to financial services.

(3) On the request of the Investor and Consumer Protection Officer, a member of the Executive Board, the Federal Ministry of Finance, or at least one quarter of the members of the Consumer Advisory Council, the Consumer Advisory Council may make recommendations to the Supervisory Authority on consumer or investor protection matters. This requires that more than half of the members of the Consumer Advisory Council support such recommendation.

(4) The provisions of section 8 (1) to (3) and (7) apply mutatis mutandis.

Part III
Budgetary management

Section 9
Budget

(1) The budget is to be prepared in accordance with the principles of sections 105 to 112 of the Federal Budget Code (Bundeshaushaltsordnung).

(2) The President submits the following to the Administrative Council:

  1. as of 31 March each year, supporting documents for the funds actually utilised in the past financial year;
  2. as of 1 September each year at the latest, the draft budget for the following financial year.

Each of these deadlines may be prolonged at the President’s request by up to one month. The Federal Ministry determines the time when the budget is to be prepared and presented, subject to statutory requirements.

(3) Measures of material or substantial financial importance as well as decisions to enter into liabilities for which the budget contains no authorisation require the approval of the Administrative Council.

Section 10
Budgetary management

((1) The financial year of the Supervisory Authority corresponds to the calendar year.

(2) Budgetary management and the rendering of accounts are subject to the regulations of the Federal Budget Code. The accounts are set up and kept in compliance with the principles of the Federal Budget Code. Payments in the administrative sector are made via the bank account of the Supervisory Authority. Within three months of the end of the financial year, the President drafts annual accounts of actual revenues and expenses in compliance with the federal provisions governing the rendering of accounts; these annual accounts are presented to the Administrative Council.

(3) The annual accounts are audited – without prejudice to the audit carried out by the Federal Court of Audit under section 111 of the Federal Budget Code – by a statutory auditor; a different statutory auditor is to be mandated by invitation to tender by the President in consultation with the Federal Ministry at least every four years. The Federal Ministry acts in agreement with the Federal Court of Audit. Auditors may be public accountants or accountancy firms. The President presents the annual accounts and the auditor’s report to the Federal Court of Audit. The Federal Court of Audit informs the Administrative Council of any findings that are of relevance to the decision on the formal approval of the actions of the President. the annual accounts and the auditor’s report to the Federal Court of Audit. The Federal Court of Audit informs the Administrative Council on any findings that are of relevance to the decision on the formal approval of the actions of the Executive Board.

Part IV
Transfer of rights and duties, publication

Section 11
Transfer of rights and duties

The administrative agreements entered into by the Federal Ministry with the Federal Banking and Insurance Supervisory Offices, in particular relating to property management, the IT Service Centre and the exchange of staff, are transferred to the Supervisory Authority with the same rights and duties unless specified otherwise. The Administrative Council is to be informed of these administrative agreements.

Section 12
Publication of the Statutes

These Statutes and any amendments thereto are to be announced in the publications of the Supervisory Authority.

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