Statement of Policy on Interviews (June 2022)

Summary

This is the Guernsey Financial Services Commission's published policy on how it conducts interviews under section 11 of the Financial Services Business (Enforcement Powers) (Bailiwick of Guernsey) Law, 2020, when assisting overseas or other requesting authorities. It sets out how the Commission decides whether to help a requesting authority, how interviews (voluntary or statutory) are run, and what interviewees and requesting authorities can expect.

• Decision to assist: Before exercising section 11 powers, the Commission weighs factors such as reciprocity, seriousness of the matter, potential disproportionate harm, and the public interest, and may require the requesting authority to contribute to costs.
• Requesting authority attendance: A representative of the requesting authority may attend and, in some cases, ask questions, but only if confidentiality safeguards are met, and the Commission retains overall control of the interview at all times.
• Voluntary vs statutory interviews: Voluntary interviews are recorded and a copy given to the interviewee; statutory interviews require a written warning about use of answers in criminal or market abuse proceedings, and the interviewee must answer all questions put, including those from the requesting authority's representative.
• Interview conduct rules: Interviews are conducted in English (with translation arranged on request), limited to 90 minutes before a mandatory 15 minute break, and the interviewee may be accompanied by a legal adviser or other third party at their own cost.
• Notice to interviewee: The Commission must give advance written notice of the interview, provide a copy of this statement, explain the legal basis and general nature of the enquiry, and notify the venue and timing, unless doing so would risk frustrating the enquiry.
• Records and disclosure: The interviewee is entitled to a copy of any recording or transcript, and the controller decides what information or documents are put to the interviewee, with the requesting authority's representative able to request sight of these.

The statement itself must be published on the Commission's website under section 11(7) of the Law, and any interviewee or attendee may ask to read it before the interview begins.

Key obligations

• The Commission must publish this statement on its website under section 11(7) of the Law.
• The Commission must give the interviewee written notice in advance of the interview, including the legal basis, general nature of the enquiry, and identity of any appointed inspectors, unless notification would frustrate the enquiry.
• In statutory interviews, the Commission must give the interviewee a written warning in advance explaining how answers may be used in criminal or market abuse proceedings.
• The interviewee in a statutory interview is obliged to answer all questions put to them, including those posed by a representative of the requesting authority.
• The Commission must provide the interviewee (whether or not the subject of the enquiry) with a copy of any recording, transcript, or translation of the interview.
• Interviews (voluntary or statutory) must not exceed 90 minutes without at least a 15 minute break before continuing.
• The Commission will only permit a requesting authority's representative to attend if satisfied that information obtained will be subject to confidentiality obligations equivalent to section 21 of the Financial Services Commission (Bailiwick of Guernsey) Law, 1987.
• The Commission may require the requesting authority to undertake to contribute toward the cost of exercising section 11 powers before proceeding.

Applies to

financial services businesses, non-regulated financial services businesses, prescribed businesses, individuals interviewed under section 11, requesting authorities