Dáil Éireann debate -
Tuesday, 20 Feb 1990

Vol. 395 No. 9

Written Answers. - Council of Europe Conventions.

John Bruton

Question:

153 Mr. J. Bruton asked the Minister for Industry and Commerce the reason Ireland has not yet signed the Council of Europe Convention on Insider Trading; when the Convention was opened for signature; if he proposes to introduce legislation to ratify this Convention; the advantages of this Convention for Ireland and Europe; the countries which have ratified it; and if he will make a statement on any reservations Ireland has about the Convention from a cost or other point of view.

Minister for Industry and Commerce (Mr. O'Malley)

The European Convention on Insider Trading is designed to co-ordinate endeavours among the member states of the Council of Europe to tackle the problem of insider trading. The Convention was opened for signature on 20 April 1989, but as it has not, so far, been ratified by any member state, it has not yet come into force.

With regard to the question of Ireland's ratification, the problem of insider trading is being tackled in Part V of the Companies (No. 2) Bill, 1987, which as the Deputy is aware, is at present under consideration by a Special Committee of the House. The problem of insider trading is also being tackled at EC level and the Special Committee recently agreed amendments which I tabled to this Part of the Companies (No. 2) Bill to implement the EC Directive of 13 November 1989 Co-ordinating Regulations on Insider Dealing.

When this Bill is enacted, the necessity to pursue the question of ratification of the Convention will be considered. In this connection, it is of interest to note that a Protocol to the Convention was adopted in July 1989 at the request of the EC, which provides that, in their mutual relations, members of the EC shall apply Community Rules except in so far as there is no Community rule governing the particular subject concerned.

John Bruton

Question:

154 Mr. J. Bruton asked the Minister for Industry and Commerce the reason Ireland has not yet signed the Council of Europe Convention on the Restriction of the Use of Certain Detergents; when the Convention was opened for signature; if he proposes to introduce legislation to ratify this Convention; the advantages of this Convention for Ireland and Europe; the countries which have ratified it; and if he will make a statement on any reservations Ireland has about the Convention from a cost or other point of view.

Minister for Industry and Commerce (Mr. O'Malley)

In December 1985, the EC Council authorised the EC Commission to conduct negotiations to enable the Community to become a contracting party to the European Agreement limiting the use of certain detergents in washing and cleaning products and the Protocol amending that Agreement. Shortly afterwards, the Commission examined with the Secretariat of the Council of Europe what procedures would allow the Community to accede to these instruments.

As a result of these consultations, the Commission reached the conclusion that it was not advisable to continue these negotiations inasmuch as the member states of the Council of Europe which are not Community member states had not, with the exception of Switzerland, shown any interest in the Agreement or the Protocol.

Subsequently, the EC Council, on receipt of a recommendation from the Commission, agreed that (a) the negotiations should not be continued; (b) those member states which had not already signed the Council of Europe instruments would refrain from doing so; and (c) those member states which had signed the instruments would not deposit the ratification or approval instruments.

The Convention would appear to have been opened for signature around 1966. In view of the EC Council's aforementioned conclusions, there would appear to be little compelling reason to proceed to ratification at this stage.