Guidelines and Operating Procedures of the LSC (Amendment) 2014

Summary

This is an internal Financial Services Commission (FSC) document amending the Guidelines and Operating Procedures of the Licensing and Supervisory Committee (LSC). It updates Schedule 3, the delegation of authority table, specifying which FSC officer or body (Director of Division, Managing Director, or Board) is authorised to make particular regulatory decisions under various pieces of financial services legislation.

• Banking and Fiduciary Services: Adds delegated authority to approve any change in undertaking under section 10(5) of the Banks and Trust Companies Act / Company Management Act.
• Insurance Division: Adds delegated authority over distribution of dividends within five years of licensing (section 13(4)) and approval to vary a licensee's financial year (section 54(4)) under the Insurance Act, 2008.
• Investment Business Division: Adds delegated authority for appointment of functionaries for public funds (section 54) under the Securities and Investment Business Act, and creates a new Part III(d) covering extension of time to operate without a licence under the Investment Business (Approved Managers) Regulations, 2012 (section 4(3)(4)).
• Regulatory Code, 2009: Adds delegated authority for approval of a reinsurer with less than an A- rating (section 138) and approval of certain allowable assets deferred acquisition costs, prepaid reinsurance and letters of credit (Schedule 5).
• Financial Services Commission Act, 2001: Adds delegated authority for variation of a condition on a licence under section 40B(5).
• New Part VI - BVI Business Companies Act, 2004: Adds delegated authority (for divisions responsible for segregated portfolio companies) to approve incorporation or registration of an SPC (section 135) and approval of liquidation or liquidators (section 200).

The amendment is purely an internal governance and delegation instrument for the FSC's Licensing and Supervisory Committee. It does not itself create new compliance obligations for licensees, but clarifies which internal decision-maker handles specific statutory approvals affecting banks, trust companies, insurers, and investment business licensees.

Applies to

banks, trust companies, insurance licensees, investment business licensees, approved managers under the Investment Business (Approved Managers) Regulations, 2012, segregated portfolio companies