Top German court limits euro panel's powers

AP News
Posted: Feb 28, 2012 4:31 AM
Top German court limits euro panel's powers

Germany's highest court has limited the powers of a special parliamentary panel set up to make quick decisions on the use of the eurozone rescue fund.

The Federal Constitutional Court ruled Tuesday the nine-lawmaker committee can decide only on purchases of government bonds on the secondary market.

Chief Justice Andreas Vosskuhle said the ruling was justified because if word got out "even of plans for such an emergency measure, that would be liable to thwart its success."

The panel, which was set up to expedite decision-making in urgent cases, hasn't started work because the court issued an injunction blocking it last October following a complaint from two lawmakers.

Germany's Parliament has to endorse all decisions on using the euro440 billion ($590 billion) European Financial Stability Facility.