BaFin and consumer protection. case study: Internet sweep 2011

Transcription

1 case study: Internet sweep 2011 Presentation title 11/4/2011 Page 1

2 Overview: BaFin and consumer protection I. BaFin has no general mandate for consumer protection but competencies in accordance with supervisory legislation I. Competencies in accordance with the Consumer Protection Implementing Act (Verbraucherschutzdurchsetzungsgesetz- VSchDG) - Internet sweeps definition and history -Sweep 2011 for consumer credits III. Conclusion Presentation title 11/4/2011 Page 2

3 I. Competencies in accordance with supervisory legislation Competencies are set out in particular by: Supervision of impropriety taking into account consumer interests The Supervisory Authority performs its functions and exercises its powers exclusively in the public interest. BaFin practices collective not individual consumer protection Presentation title 11/4/2011 Page 3

4 I. Competencies in accordance with supervisory legislation Examples: Processing complaints Consumer hotline Informational brochures Information on consumer issues at Presentation title 11/4/2011 Page 4

5 II. Competencies in accordance with the Consumer Protection Implementing Act (VSchDG): The following competencies for EU-wide cooperation in consumer protection have applied since the end of 2006: The Federal Office of Consumer Protection and Food Safety (Bundesamt für Verbraucherschutz und Lebensmittelsicherheit - BVL) + Presentation title 11/4/2011 Page 5

6 II. Competencies in accordance with the VSchDG Alongside the BVL there are two further competent authorities at federal level within the meaning of Regulation (EC) No 2006/2004. The Federal Financial Supervisory Authority (BaFin) The Federal Aviation Office (Luftfahrt-Bundesamt - LBA) Presentation title 11/4/2011 Page 6

7 II. Competencies in accordance with the VSchDG Powers of the competent authorities (section 5 VSchDG) regulates the investigatory and enforcement powers of the authorities when there are reasonable grounds for suspicion that consumer protection provisions have been infringed: can require the supplier to cease an identified intra- Community infringement and/or avoid infringements in future, demand all information required from the seller or service provider within an appropriate deadline to be decided, issue the orders required to exercise its powers. Presentation title 11/4/2011 Page 7

8 II. Competencies in accordance with the VSchDG Special feature: Commissioning third parties -section 7(1) VSchDG In accordance with this provision both competent authorities BVL and BaFin are to commission a qualified third party with the implementation. This ensures the integration of Germany's proven system of enforcing collective consumer interests through specific legitimised private organisations into the European system of cooperation between authorities. Presentation title 11/4/2011 Page 8

9 II. Competencies in accordance with the VSchDG The individual national authorities are integrated through the Consumer Protection Cooperation System (CPCS). This network organised by the European Commission carries out socalled Internet sweeps on an annual basis. These are described as follows: The EU sweep is an effective kind of enforcement action a systematic check carried out simultaneously in different Member States to investigate breaches of consumer protection law. Presentation title 11/4/2011 Page 9

10 II. Competencies in accordance with the VSchDG The following sweeps have been carried out so far: 2007: First sweep: In participating countries, national authorities scanned hundreds of airline ticket-selling websites, 2008: websites selling mobile phone services, 2009: websites selling electronic goods and 2010: websites selling tickets for sporting and cultural events Presentation title 11/4/2011 Page 10

11 II. Competencies in accordance with the VSchDG 2011: First sweep of financial services and first sweep involving BaFin participation. Special features: Webpageschecked EU-wide using a common set of questions Carried outacross EU in last week of September 2011 Cooperation in Germany between BaFin, BVL and WBZ (Centre for Protection against Unfair Competition) (as "private body" within the meaning of section 7 VSchDG) about 30 websites were examined, including several sites offering cross-border services Presentation title 11/4/2011 Page 11

12 III. Conclusion: Publishable results of the sweep are not yet available. The evaluation and completion is not expected until sweeps are helpful to uncover and pursue infringements of consumer rules Presentation title 11/4/2011 Page 12

13 Thank you for your attention Presentation title 11/4/2011 Page 13