EU opens 2nd stage infraction vs Italy

(ANSA) - Brussels, May 28- The EU Commission has started second phase infraction proceedings against Italy for not having implemented a European directive on BRRD bank resolution mechanisms, EU sources said Thursday.
    The directive, which sets out the rules of the so-called "bail-in," that is the participation of private investors in rescue operations, should have become law in Italy by Dec. 31.
    If legislation is not passed within two months the EU could refer Italy for trial at the Court of Justice.
    Meanwhile after a long night of negotiations the so-called EU trilogy, an organ that groups representatives of the EU Commission, the Council and the European Parliament reached an agreement on EFSI, the European Fund for Strategic Investments, which is the main policy instrument for the Juncker Plan.
    The agreement is to undergo a vote of approval by the European Parliament June 24.
    Under the agreement the European parliament managed to save 1 billion euros for growth, innovation and infrastructure that some officials had wanted re-directed to help finance the Juncker Plan's investment Fund.
    The 1 billion allocation was saved by fishing out 543 million euros and 457 million euros not spent from the EU budgets for 2014 and 2015 respectively, ending a major objection to the EFSI scheme.