Successful Appeal of ESMA CRAR Decision

Nordic banks successfully appeal credit rating decision…but there are implications for the production of fixed income research. 

A group of Nordic banks who were fined by ESMA last year for negligently breaching the Credit Rating Agencies Regulation (CRAR) had their appeal upheld by the Board of Appeal of the European Supervisory Authorities (the Board of Appeal) on 13 March 2019.

This is the first successful appeal of a decision made by ESMA under either the CRAR or EMIR and the Board of Appeal’s decision provides interesting reading for the issuers of fixed income research as well as for credit rating agencies and trade repositories who are subject to direct supervision by ESMA.

Linklaters LLP acted for Nordea in relation to the appeal and, accordingly, has unique insight into the process and procedure surrounding the decision, as well as the context and background to the Board of Appeal’s findings.

Read our note for a discussion of the decision and an analysis of the additional questions and further implications for the publication of fixed income research raised in the case.

To mark this significant decision, we will also be hosting a webinar on the topic.