Consultation on Miscellaneous Amendments to Regulatory Legislation (No. 11 2017)

Summary

This is a JFSC consultation paper proposing a package of miscellaneous maintenance amendments to Jersey's core financial services regulatory laws (AIF Regulations, BBJL, CIFJL, FSJL, IBJL, SBJL, the Commission Law and the Bankruptcy Law). The changes are set out in draft legislation (one Order, two sets of Regulations and one Law) attached as appendices, and the JFSC is seeking industry feedback before recommending the legislation to the Chief Minister.

• Information disclosure gateways: Would allow the JFSC to disclose restricted information to Lloyd's, professional bodies (e.g. accountancy and legal bodies) for any supervisory purpose (not just conduct failures), and to pension supervisors, which currently have no gateway at all.
• Principal person provisions: Would ensure the principal person concept in the regulatory laws consistently applies to liquidators of regulated businesses and administrators of bankrupt regulated businesses.
• Recognized Funds PCO update: Would update permit conditions so functionaries of recognized funds must remind complainants of their right to refer complaints to the Channel Islands (Jersey) Financial Services Ombudsman.
• Bank and insurer fee enforcement: Would amend the BBJL and IBJL so that a bank's registration or an insurer's permit can be revoked for failure to pay fees due to the JFSC, aligning them with other regulatory laws.
• AIF Regulations alignment: Would update provisions of the AIF Regulations to make them consistent with equivalent provisions in the CIFJL.
• Administrative amendments: A number of housekeeping amendments to the regulatory laws, the Commission Law and the Bankruptcy Law.

The paper poses specific consultation questions on each proposed change and invites written comments. As a draft consultation, none of the proposed amendments are yet in force; if adopted, the Regulations would come into force seven days after being made, the Law one month after registration, and the Order the day after it is made by the Chief Minister.

Key obligations

• Interested parties wishing to comment must submit written responses to Jersey Finance Limited by 9 February 2018, or send responses directly to the JFSC by 16 February 2018
• Once in force, functionaries of recognized funds (relevant holders) would be required to remind complainants that they may refer unresolved complaints to the Office of the Financial Services Ombudsman

Applies to

regulated businesses, banks, insurance companies, liquidators of regulated businesses, administrators of bankrupt regulated businesses, functionaries of recognized funds, fund service providers under the AIF Regulations and CIFJL

Deadlines

• 9 February 2018: Deadline for comments on the consultation to be sent to Jersey Finance Limited
• 16 February 2018: Deadline for comments to be sent directly to the JFSC
• 7 days after made: Proposed commencement of the AIF Amendment Regulations and Miscellaneous Provisions Regulations if adopted by the States Assembly
• one month after registration: Proposed commencement of the Miscellaneous Provisions Law if adopted by the States Assembly
• day after it is made: Proposed commencement of the Recognized Funds PCO Amendment Order