kaal:claim:2061166-013

The German voluntary reorganization procedure has a structural gap: groups of financial institutions, financial holding groups and conglomerates cannot petition for protection under it, even though these are precisely the entities that qualify as systemically important and pose the highest risk to market stability on failure.

Unlike the involuntary reorganization procedure initiated by the Supervisory Authority under the German Banking Act,333 groups of financial institutions, financial holding groups, or conglomerates are not eligible to petition for protection under the voluntary reorganization procedure.

Christoph K. Henkel, Wulf A. Kaal, Contingent Capital in European Union Bank Restructuring (2012), (ii) Reorganization Procedure, p. 39
https://ssrn.com/abstract=2061166 · source PDF

Christoph K. Henkel, Wulf A. Kaal, Contingent Capital in European Union Bank Restructuring (2012). SSRN: https://ssrn.com/abstract=2061166

• voluntary reorganization procedure under the German Financial Institution Reorganization Act
• not applicable to the involuntary procedure initiated by the supervisor under the German Banking Act

failuresupport: arguedfailure: Group structures excluded from voluntary reorganizationfamily: enforcement-gapsystemic-risk

The quote above is an exact substring of the source PDF, whose sha256 is 43625ea260d0fc045e86d3435df50c9d0ca4abf8542e6085a6165be6653b4a7b. Extraction method: pdf-text-layer.
Attestation record: colloquium/attestations/6d662376789f30b4...json
Verify the binding yourself: curl -s https://wulfkaal.github.io/claims/2061166-013.md | sha256sum