Principle of separation on reorganisation or restructuring of the Pfandbrief bank

(1) Where the resolution authority, on a transfer within the meaning of section 107 of the Recovery and Resolution Act, makes determinations for the partial or complete transfer of the Pfandbrief business, the transfer must, by way of derogation from section 114(2) of the Recovery and Resolution Act, be carried out under sections 30 to 36. The administrator, in performing the administrator's duties and exercising the administrator's rights, observes the provisions of the order within the meaning of the first sentence. By way of derogation from the first sentence, the order within the meaning of the first sentence may also order the direct passing of the assets entered in the cover registers, including the assets within the meaning of section 30(3), and the associated Pfandbrief liabilities. In the case of the third sentence, section 30(3) applies accordingly, with the proviso that the acquiring Pfandbrief bank takes the place of the administrator, and the obligation to pay over applies as against the transferring Pfandbrief bank regardless of its insolvency; where the granting of consideration is provided for, section 30(4), first and second sentences also apply accordingly. Where 1. claims against debtors that do not have their seat in a Member State of the European Union or another contracting state to the Agreement on the European Economic Area, or 2. security in land or rights equivalent to land, ships or aircraft that are themselves situated or registered outside the Member States of the European Union or the other contracting states to the Agreement on the European Economic Area, are entered in the cover register, the transfer under the third sentence may, however, take place only in such a way that the resolution authority simultaneously provisionally appoints an administrator ex officio, who administers the transferred assets in trust for the acquiring Pfandbrief bank under section 35. For the procedure of provisional appointment and the legal position of the administrator within the meaning of the fifth sentence, section 31 applies, with the proviso that BaFin takes the place of the court, as does section 31a accordingly. The court appointment must be made up without delay. Section 31(1) and (2) applies accordingly to the appointment procedure.
(2) On issuing the order within the meaning of subsection (1), first sentence, the resolution authority may provisionally appoint the administrator ex officio, unless a provisional appointment must be made under subsection (1), fifth sentence. Subsection (1), sixth to eighth sentences apply accordingly to this administrator.
(3) Subsections (1) and (2) apply accordingly on the application of an instrument under Articles 24 to 26 of Regulation (EU) No 806/2014.