Reduction of administrative burden of companies by way of limiting publication of mandatory data18/12/08 / cata_european-union-news
The European Parliament considered a draft directive on 19 November 2008 that amends existing obligations of companies with regard to mandatory publication of certain data (Draft Directive of the European Parliament and Council amending Directives of the Council Nos. 68/151/EHS and 89/666/EHS as concerns obligations of certain forms of companies in the field of publication and translations).
This is one of two proposals resolving similar issues presented by the European Commission in April 2008 with the aim of restricting administrative obstacles for operation of companies; the second proposal that has not yet been considered by the Parliament amends the so-called Fourth and Seventh Directive with the aim of removing unnecessary obligations of enterprise connected with annual financial statements.
The European Parliament in its resolution also extended and supplemented the original proposal of the Commission. In particular it requested cancellation of the companies’ obligation to publish their business data in national official bulletins as a uselessly costly measure in view of the concurrent obligation to make the necessary data available through the Internet. The Parliament agreed with the possibility to use all other own methods of publication of business data provided such methods are well defined and based on arm’s length conditions.
There is also a new proposal that companies should share the costs of establishment and operation of a web platform by including such costs into registration fees or in the form of a mandatory regular contribution.
Another proposal is aimed at regulation of the so-called Second Directive (No. 1977/91) on protection of interests of participants and third parties; companies with registered shares would not be obliged to publish offers for preferential share subscription in the bulletin.
The Council will consider the proposal and the legislative procedure should be terminated in the event of its consent. The Directive should be implemented into national regulations by the end of April 2010.