Founding documents
Caisse des Dépôts' governance rules were set by Law when it was created in 1816. They respond to two principles The Supervisory board's independence and the Chairman and Chief Executive officer's autonomy.
Since then, the legislator only modified the founding document on three occasions. This stability is the foundation for Caisse des Dépôts' actions and has allowed it to adapt to the changes in its environment and the significant enlargement of its tasks.
Re-establishing confidence
1816: After the failure of the "Cents Jours" and the fall of the Empire, the monarchy was re-established. France was ruined and occupied. Louis XVIII assigned the government three objectives: to rapidly rebuild the economy, liquidate the public debt arrears accumulated after the Revolution and settle the indemnity payable on the war debt. Taxation would not be enough: It was necessary to borrow. To do this, it was first necessary to re-establish citizen's confidence in State credit, which had been damaged by repeated financial crisis.
Protecting private funds
On 28th April 1816, the first Finance Law in the history of France was voted in. It created "a special establishment": Caisse des Dépôts et Consignations. This legislative document (section X of the law) is still in force today.
Caisse des Dépôts was, at that time, put in charge of providing a trusted place for the deposit of private funds. It would contribute to re-establishing citizens' trust in the State.
Under Parliament's guarantee and protection
Article 115 of section X of the law protected Caisse des Dépôts against any eventual arbitrary action by the executive powers. How? By placing it under Parliamentary guarantee, emanating from the Nation, and under the seal of Public Faith (or public "trust"). "Its provisions cannot be undermined in any circumstances or under any pretext, as this establishment has been placed, under the most special surveillance and guarantee of the legislative authorities".
The Supervisory Board reports to Parliament
Caisse des Dépôts' has a clear given governance objective. Parliament, representing the Nation, exercises control over its activities and guarantees its autonomy.
It exercises this dual mission through the Supervisory Board. Individuals of note who sit on this comission include a Peer of France (today, a senator) and two deputies.
"The Supervisory Board monitors the management of Caisse des Dépôts et Consignations, making comments to the Chairman and Chief Executive Officer to inspire his management, without him being obliged to apply them." Once a year, its Chairman gives a solemn report to Parliament. An annual report to Parliament is drawn up: it is approved by the representatives of the Nation.
Public faith: Fides publica
Fides is the Roman goddess guaranteeing private deposits. Her temple is next to that of Jupiter, the god of war and contracts. This symbolism confers a sacred character upon deposits. Offerings and deposits placed in the temple of Fides were guarded by the Plebeian Tribune and, indirectly, under the Senate's guarantee.
Fide's protection was extended to all the economic and political activities of the Roman people, heightening the role allotted to the Senate. This evolution was extended to the concept of Fides which became fides publica : public faith.
An autonomous Chairman and Chief Executive Officer, managing the inviolability of the conferred funds
The 1816 law also stipulates the rights, obligations and status of the general manager, assistant manager and general financial officer. The Chairman and chief Executive Officer has wide reaching management powers and great autonomy with regard to the body of executives who cannot relieve him of his duties in an authoritarian manner.
He takes an oath "to defend the establishment's autonomy and to guarantee the inviolability of the funds entrusted to it". The law also stipulates that he is personally and financially responsible for the management of funds conferred upon Caisse des Dépôts.
