SG-2.5 SG-2.5 Independence of SSB Members
SG-2.5.1
The SSB must play a strong and independent oversight role, with adequate capability to exercise objective judgement on Shari'a-related matters. No individual or group of individuals must be allowed to dominate the SSB's decision-making.
August 2017SG-2.5.2
The SSB members must be truly independent and must be able to exercise independent judgement without undue influence or duress, especially from the board of directors and/or management of the
Bahraini Islamic bank licensee. In this respect, aBahraini Islamic bank licensee must formalise the independence of the SSB and its members.August 2017SG-2.5.3
The SSB must not include members of the executive/ management team, directors or
controllers of theBahraini Islamic bank licensee .August 2017SG-2.5.4
One SSB member should be a member of the corporate governance committee of the
Bahraini Islamic bank licensee to provide guidance and advice on Shari'a related matters and also to coordinate and link complementary roles and functions of the corporate governance committee and the SSB.Amended: January 2024
August 2017SG-2.5.5
Bahraini Islamic bank licensees must have in place a board approved policy on the employment ofapproved persons who are relatives of SSB members and a summary of such policy must be disclosed in the annual report of the Bahraini Islamic bank licensee.August 2017SG-2.5.6
In case of a conflict of interest, the member of the SSB must declare it in writing to the SSB of the
Bahraini Islamic bank licensee . He must similarly report any such conflict in regard to members of his family, business associates or companies in which he has an interest. Where there is such a conflict of interest, or a duty to another party, then he must abstain from participating in the relevant discussion, decision or action. Where a notification is made of a conflict, it must be recorded and retained by a designated officer.August 2017
