Recital 49

(49) Due to the risks posed by large institutions resulting in particular from potential contagion effects, the competent authorities of Member States in which the supervisor’s suitability assessment is carried out after the member has taken up the position in the management body, in accordance with national law, should be notified without undue delay as soon as there is a clear intention to appoint a member of the management body in its management function or the chair of the management body in its supervisory function. Large institutions should in any event ensure that competent authorities receive an ex ante suitability application at the latest 30 working days before the prospective member takes up the position. The ex ante suitability application should be accompanied by all relevant documents and information that is necessary for the assessment, irrespective of whether the suitability assessment by the competent authorities is finalised before or after the person takes up the position. If criminal records or other documents required under national law or listed by competent authorities become available at a later stage, competent authorities should also receive those documents or information without undue delay. The ex ante suitability application should enable the competent authorities to start their analysis and take action in the context of the assessment. Such action can include preventing the prospective member from taking up the position as long as the competent authority does not receive sufficient information, or engaging in an enhanced dialogue in case the competent authority has concerns regarding the prospective member’s suitability with a view to ensuring that the prospective member is or becomes suitable when taking up the position. EBA should issue guidelines on the modalities of the focused and in-depth dialogue between the competent authority and the large institution with a view to removing any obstacles regarding the suitability of the prospective member in a spirit of cooperation. The ex ante suitability application should allow the competent authorities to engage in an early dialogue with large institutions on the suitability of members of the management body in its management function or the chair of the management body in its supervisory function before they take up their position. However, the ex ante suitability application should be without prejudice to the large institution’s prerogatives and responsibility when ensuring the suitability of the members of the management body, and to any ex post assessments conducted by the competent authorities, where permitted in accordance with national law.

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Source: EUR-Lex CELLAR · retrieved 2026-09-04 · Text as adopted (Official Journal); later amendments are not incorporated in this text.