EU's Top Regulator Under Fire Over Italy Bank Rescue Decision

The European Union’s top antitrust regulator is facing calls to resign after a “historic” court ruling involving a small Italian lender upended Brussels’ approach to bank rescues and prompted calls for compensation, Reuters reported. In a blow to EU competition commissioner Margrethe Vestager, EU judges ruled on Tuesday that Italy’s plan for the rescue of Tercas bank five years ago was legal, overturning the Commission’s earlier decision that had forced the recouping of financial aid to the lender. Vestager said she had not decided yet on whether Brussels will appeal the judgment and acknowledged the case could impact the way the EU antitrust regulator operates in future. Italy’s Foreign Minister Enzo Moavero Milanesi said Rome will consider seeking compensation from the Commission.. EU lawmakers said the ruling shows banking rules had been interpreted incorrectly and one of them called for Vestager’s resignation. Read more