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  • Notification Requirements

    • C4-5.2.1 C4-5.2.1

      Category 4 investment firms must notify the CBB if any of the following has occurred, may have occurred or may occur in the near future:

      (a) Any matter which could have a significant adverse impact on the licensee’s reputation;
      (b) Any matter which could affect the licensee’s ability to continue to provide adequate services to its customers and which could result in serious detriment to a customer;
      (c) Any matter in respect of the licensee that could result in material financial consequences to the financial system or to other licensees;
      (d) A breach of any provision of the CBB laws and regulations;
      (e) If the licensee becomes aware, or has information that reasonably suggests that it has or may have provided the CBB with information that was or may have been false, misleading, incomplete or inaccurate, or has or may have changed in a material way;
      (f) Any legal, professional, administrative or other proceedings instituted against the licensee, controller or a parent undertaking of the licensee that is significant in relation to the licensee’s financial resources or its reputation;
      (g) The bringing of a prosecution for, or conviction of, any material offence under any relevant law against the licensee or against any of its approved persons; and
      (h) It becomes aware that an employee, or another person, may have committed a fraud, it suspects fraud and identifies irregularities in its accounting or other records, or that one of its employees may be guilty of serious misconduct concerning his honesty or integrity.

       

      Added: January 2022

      • C4-5.2.2

        Except in instances where the CBB has initiated the following actions, category 4 investment firms must notify the CBB immediately of any of the following events:

        (a) The calling of a meeting to consider a resolution for winding up the licensee, a controller or a parent undertaking of the licensee;
        (b) An application to dissolve a controller or a parent undertaking of the licensee;
        (c) The presentation of a petition for the winding up of a controller or a parent undertaking of the licensee;
        (d) The making of any proposals, or the making of, a composition or arrangement with any one or more of the licensee’s creditors, for material amounts of debt;
        (e) An application for the appointment of an administrator or trustee in bankruptcy to a controller or a parent undertaking of the licensee;
        (f) The appointment of a receiver to a controller or a parent undertaking of the investment firm licensee (whether an administrative receiver or a receiver appointed over particular property); or
        (g) An application for an interim order against the licensee, a controller or a parent undertaking of the licensee under the Reorganization and Bankruptcy Law or similar legislation in another jurisdiction.

         

        Added: January 2022

      • C4-5.2.3

        Category 4 investment firms must notify the CBB immediately if it becomes subject to or ceases to be subject to the supervision of any overseas supervisor (including a home supervisor).

         

        Added: January 2022

      • C4-5.2.4

        Where conduct of business standards applied by overseas branches and subsidiaries of a category 4 investment firm falls below the standards set out in this Module, the licensee must notify the CBB of the fact.

         

        Added: January 2022