Which is the applicability of Article 22 CRR for successive subsidiaries of a Significant Institution (SI) in the SSM and rest of EU, when the subsidiary in a third country as referred in Article 22 CRR is held by the subsidiary in the SSM or rest of the EU that is the last in the chain of the successive subsidiaries of the SI?
The case described in the background is the following:
1. A significant institution (SI) has a direct subsidiary institution (S1) in the same Member State.
2. S1 has a second Subsidiary institution (S2) in the same Member State.
3. S2 has a subsidiary (S3) in another EU Member State that is an institution
4. S3 has a subsidiary in a Third Country that is an institution. The participation in such a subsidiary is the main asset on the balance sheet of S3.