AU-A.1 AU-A.1 Purpose
Executive Summary
AU-A.1.1
The executive summary only provides an overview. For detailed rules, reference must be made to the individual Rules outlined in the remainder of this Module.
January 2013AU-A.1.2
Module AU (Authorisation) sets out the Central Bank of Bahrain's ('CBB's) approach to licensing providers of
regulated financing company services in the Kingdom of Bahrain. It also sets out CBB requirements for approving persons undertaking key functions in those providers.January 2013AU-A.1.3
Persons undertaking certain functions in relation to
licensees require prior CBB approval. These functions (calledcontrolled functions ) includeDirectors and members of senior management. Thecontrolled functions regime supplements the licensing regime by ensuring that key persons involved in the running oflicensees are fit and proper. Those authorised by the CBB to undertakecontrolled functions are calledapproved persons .January 2013Retaining Authorised Status
AU-A.1.4
The requirements set out in Chapters AU-2 and AU-3 represent the minimum conditions that have to be met in each case, both at the point of authorisation and on an on-going basis thereafter, in order for authorised status to be retained.
January 2013Legal Basis
AU-A.1.5
This Module contains the CBB's Directive, Regulations and Resolutions (as amended from time to time) regarding authorisation under Volume 5 of the CBB Rulebook. It is applicable to all
licensees (as well as toapproved persons ), and is issued under the powers available to the CBB under Articles 37 to 42, 44 to 48 and 180 of the Central Bank of Bahrain and Financial Institutions Law 2006 ('CBB Law'). It also includes the requirements contained in Resolution No (1) of 2007 with respect to determining fees categories due for licenses and services provided by the CBB. It contains requirements under Regulation No (1) of 2007 pertaining to the CBB's regulated services issued under Article 39 of the CBB Law and those conditions of granting a license for the provision of regulated services as prescribed under Resolution No (43) of 2011 and is issued under the powers available to the CBB under Article 44(c). The Module contains requirements under Resolution No.(16) for the year 2012 including the prohibition of marketing financial services pursuant to Article 42 of the CBB Law. This Module contains the prior approval requirements for approved persons under Resolution No (23) of 2015. The Directive, Resolutions and Regulations in this Module are applicable to allfinancing company licensees (including theirapproved persons ).Amended: July 2015
January 2013AU-A.1.6
For an explanation of the CBB's rule-making powers and different regulatory instruments, see Section UG-1.1.
January 2013AU-A.1.7
Persons wishing to undertake
regulated financing company services are required to be licensed by the CBB as afinancing company licensee .January 2013Licensing Conditions
AU-A.1.8
Financing company licensees are subject to 8 licensing conditions, mostly specified at a high-level in Module AU, and further expanded in underlying subject Modules (such as Module CA). These licensing conditions are broadly equivalent to the standards applied in other Volumes of the CBB Rulebook, to other license categories, and are consistent with international good practice.January 2013Information Requirements and Processes
AU-A.1.9
Chapter AU-3 specifies the processes and information requirements that have to be followed for applicants seeking a
financing company license , as well as existing licensees seeking to vary the scope of their license, by adding new regulated activities. It also covers the voluntary surrender of a license, or its cancellation by the CBB.January 2013
