EU Directives

Dáil Éireann Debate, Tuesday - 28 February 2017

Tuesday, 28 February 2017

Ceisteanna (793)

Catherine Murphy

Ceist:

793. Deputy Catherine Murphy asked the Minister for Jobs, Enterprise and Innovation if Article 1(9) of Directive 51/2003 only permits the delayed recognition of potential losses as opposed to actual losses in view of the fact this would lead to excessive provisioning; if Article 1(9) still retains the requirement to make a provision for liabilities in order that net assets, that is to say, assets net of liabilities, are not overestimated which would be contrary to the concept of prudence and the true and fair view as outlined in a case (details supplied); and if she will make a statement on the matter. [9698/17]

Freagraí scríofa

Minister for Jobs, Enterprise and Innovation

Article 1(9) of Directive 2003/51/EC of 18 June 2003 amended Article 31(1)(c)(bb) of Directive 1978/660/EEC of 25 July 1978.  The amended provision is now in Article 6(1)(c)(ii) of Directive 2013/34/EU of 26 June 2013.  Article 31(1)(c)(bb), in its original form, was cited in the Judgement given by the General Court (Fifth Chamber) on 14 September 1999 in the case (details of which were supplied by the Deputy).  The interpretation of the amended provision is ultimately a matter for the European Court of Justice.