Back Custom print Link Text Only Rich Text Print

  • AU-5.2 AU-5.2 Approved Persons

    • Prior Approval Requirements and Process

      • AU-5.2.1

        Investment firm licensees must obtain CBB's prior written approval before a person is formally appointed to a controlled function. The request for CBB approval must be made by submitting to the CBB a duly completed Form 3 (Application for Approved Person status) and Curriculum Vitae after verifying that all the information contained in the Form 3, including previous experience, is accurate. Form 3 is available under Volume 4 Part B Authorisation Forms of the CBB Rulebook.

        Amended: January 2016
        Amended: July 2015
        Amended: October 2009
        July 2007

      • AU-5.2.2

        When the request for approved person status forms part of a license application, the Form 3 must be marked for the attention of the Director, Licensing Directorate. When the submission to undertake a controlled function is in relation to an existing investment firm licensee, the Form 3, except if dealing with a MLRO, must be marked for the attention of the Director, Financial Institutions Supervision Directorate. In the case of the MLRO, Form 3 should be marked for the attention of the Director, Compliance Directorate.

        Amended: April 2018
        Amended: April 2008
        Amended: July 2007

      • AU-5.2.3

        When submitting Form 3, investment firm licensees must ensure that the Form 3 is:

        (a) Submitted to the CBB with a covering letter signed by an authorised representative of the investment firm licensee, seeking approval for the proposed controlled function;
        (b) Submitted in original form;
        (c) Submitted with a certified copy of the applicant's passport, original or certified copies of educational and professional qualification certificates (and translation if not in Arabic or English) and the Curriculum Vitae; and
        (d) Signed by an authorised representative of the licensee and all pages stamped with the licensee's seal.
        (e) Submitted with the existing organisation chart or a proposed organisation chart (if the existing organisation chart is to be amended) reflecting the reporting line of the applicant. This is for all controlled functions listed in Rule AU-1.2.2 except a & e.
        Amended: October 2016
        Amended: July 2015
        Amended: October 2009

      • AU-5.2.3A

        Investment firm licensees seeking to appoint Board Directors must seek CBB approval for all the candidates to be put forward for election/approval at a shareholders' meeting, in advance of the agenda being issued to shareholders. CBB approval of the candidates does not in any way limit shareholders' rights to refuse those put forward for election/approval.

        Added: July 2015

      • AU-5.2.4

        For existing licensees applying for the appointment of a Director or the Chief Executive/General Manager, the authorised representative should be the Chairman of the Board or a Director signing on behalf of the Board. For all other controlled functions, the authorised representative should be the Chief Executive/General Manager.

        Amended: July 2015
        Amended: October 2009

      • AU-5.2.5

        [This Paragraph was deleted in July 2015.]

        Deleted: July 2015

      • AU-5.2.6

        [This Paragraph was moved to Paragraph AU-5.2.3A in July 2015.]

        Amended: July 2015
        Amended: October 2009
        Amended: July 2007

    • Assessment of Application

      • AU-5.2.6A

        The CBB shall review and assess the application for approved person status to ensure that it satisfies all the conditions required in Paragraph AU-3.1.3 and the criteria outlined in Paragraph AU-3.1.5.

        Amended: January 2016
        Added: July 2015

      • AU-5.2.6B

        For purposes of Paragraph AU-5.2.6A, investment firm licensees should give the CBB a reasonable amount of notice in order for an application to be reviewed. The CBB shall respond within 15 business days from the date of meeting all regulatory requirements, including but not limited to receiving the application complete with all the required information and documents, as well as verifying references.

        Amended: January 2016
        Added: July 2015

      • AU-5.2.6C

        The CBB reserves the right to refuse an application for approved person status if it does not satisfy the conditions provided for in Paragraph AU-3.1.3 and does not satisfy the CBB criteria in Paragraph AU-3.1.5. A notice of such refusal is issued by registered mail to the licensee concerned, setting out the basis for the decision.

        Amended: January 2016
        Added: July 2015

      • AU-5.2.7

        [This Paragraph was deleted in January 2016.]

    • Appeal Process

      • AU-5.2.7A

        Investment firm licensees or the nominated approved persons may, within 30 calendar days of the notification, appeal against the CBB's decision to refuse the application for approved person status. The CBB shall decide on the appeal and notify the investment firm licensee of its decision within 30 calendar days from submitting the appeal.

        Added: July 2015

      • AU-5.2.7B

        Where notification of the CBB's decision to grant a person approved person status is not issued within 15 business days from the date of meeting all regulatory requirements, including but not limited to, receiving the application complete with all the required information and documents, investment firm licensees or the nominated approved persons may appeal to the Executive Director, Financial Institutions Supervision of the CBB provided that the appeal is justified with supporting documents. The CBB shall decide on the appeal and notify the investment firm licensee of its decision within 30 calendar days from the date of submitting the appeal.

        Amended: January 2016
        Added: July 2015

    • Notification Requirements and Process

      • AU-5.2.8

        Investment firm licensees must immediately notify the CBB when an approved person ceases to hold a controlled function together with an explanation as to the reasons why (see Paragraph AU-5.5.5). In such cases, their approved person status is automatically withdrawn by the CBB.

        Amended: October 2009
        Amended: July 2008
        Amended: April 2008
        Amended: July 2007

      • AU-5.2.9

        Investment firm licensees must immediately notify the CBB in case of any material change to the information provided in a Form 3 submitted for an approved person.

        Amended: October 2009

      • AU-5.2.10

        Investment firm licensees must immediately notify the CBB when they become aware of any of the events listed in Paragraph EN-8.2.3, affecting one of their approved persons.

        Amended: October 2009