L 96/16 Official Journal of the European Union 12.4.2003 DIRECTIVE 2003/6/EC OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 28 January 2003 on insider dealing and market manipulation (market abuse) THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, and in particular Article 95 thereof, Having regard to the proposal from the Commission (!), Having regard to the opinion of the European Economic and Social Committee (), Having regard to the opinion of the European Central Bank (), Acting in accordance with the procedure laid down in Article 251 (%, Whereas: (1) A genuine Single Market for financial services is crucial for economic growth and job creation in the Commu- nity. (2)  An integrated and efficient financial market requires market integrity. The smooth functioning of securities markets and public confidence in markets are prerequi- sites for economic growth and wealth. Market abuse harms the integrity of financial markets and public confidence in securities and derivatives. (3)  The Commission Communication of 11 May 1999 entitled ‘Tmplementing the framework for financial markets: action plan’ identifies a series of actions that are needed in order to complete the single market for financial services. The Lisbon European Council of April 2000 called for the implementation of that action plan by 2005. The action plan stresses the need to draw up a Directive against market manipulation. (4) At its meeting on 17 July 2000, the Council set up the Committee of Wise Men on the Regulation of European Securities Markets. In its final report, the Committee of Wise Men proposed the introduction of new legislative techniques based on a four-level approach, namely framework principles, implementing measures, coopera- tion and enforcement. Level 1, the Directive, should confine itself to broad general ‘framework’ principles while Level 2 should contain technical implementing measures to be adopted by the Commission with the assistance of a committee. () O] C 240 E, 28.8.2001, p. 265. () O] C 80, 3.4.2002, p. 61. () O] C 24, 26.1.2002, p. 8. (*) Opinion of the European Parliament of 14 March 2002 (not yet published in the Official Journal), Council Common Position of 19 July 2002 (O] C 228 E, 25.9.2002, p. 19) and Decision of the European Parliament of 24 October 2002 (not yet published in the Official Journal). (5)  The Resolution adopted by the Stockholm European Council of March 2001 endorsed the final report of the Committee of Wise Men and the proposed four-level approach to make the regulatory process for Community securities legislation more efficient and transparent. (6)  The Resolution of the European Parliament of 5 February 2002 on the implementation of financial services legislation also endorsed the Committee of Wise Men's report, on the basis of the solemn declaration made before Parliament the same day by the Commis- sion and the letter of 2 October 2001 addressed by the Internal Market Commissioner to the chairman of Parlia- ment's Committee on Economic and Monetary Affairs with regard to the safeguards for the European Parlia- ment's role in this process. (7)  The measures necessary for the implementation of this Directive should be adopted in accordance with Council Decision 1999/468/EC of 28 June 1999 laying down the procedures for the exercise of implementing powers conferred on the Commission (°). (8)  According to the Stockholm European Council, Level 2 implementing measures should be used more frequently, to ensure that technical provisions can be kept up to date with market and supervisory developments, and deadlines should be set for all stages of Level 2 work. (9)  The European Parliament should be given a period of three months from the first transmission of draft imple- menting measures to allow it to examine them and to give its opinion. However, in urgent and duly justified cases, this period may be shortened. If, within that period, a resolution is passed by the European Parlia- ment, the Commission should re-examine the draft measures. (10) New financial and technical developments enhance the incentives, means and opportunities for market abuse: through new products, new technologies, increasing cross-border activities and the Internet. (11)  The existing Community legal framework to protect market integrity is incomplete. Legal requirements vary from one Member State to another, leaving economic actors often uncertain over concepts, definitions and enforcement. In some Member States there is no legisla- tion addressing the issues of price manipulation and the dissemination of misleading information. () OJ L 184, 17.7.1999, p. 23.