AU-1.1 AU-1.1 Ancillary Service Provider Licensees
General Prohibitions
AU-1.1.1
No person may:
(a) Undertake (or hold themselves out to undertake) regulated ancillary services, by way of business within or from the Kingdom of Bahrain unless duly licensed by the CBB;(b) Hold themselves out to be licensed by the CBB unless they have as a matter of fact been so licensed; or(c) Market anyfinancial services in the Kingdom of Bahrain unless:(i) Allowed to do so by the terms of a license issued by the CBB;(ii) The activities come within the terms of an exemption granted by the CBB by way of a Directive; or(iii) Has obtained the express written permission of the CBB to offerfinancial services .April 2016AU-1.1.2
In accordance with Resolution No.(16) for the year 2012 and for the purpose of Subparagraph AU-1.1.1(c), the word 'market' refers to any promotion, offering, announcement, advertising, broadcast or any other means of communication made for the purpose of inducing recipients to purchase or otherwise acquire
financial services in return for monetary payment or some other form of valuable consideration.April 2016AU-1.1.3
Persons in breach of Subparagraph AU-1.1.1(c) are considered in breach of Resolution No.(16) for the year 2012 and are subject to penalties under Articles 129 and 161 of the CBB Law (see also Section EN-9.3).
April 2016Licensing
AU-1.1.4
Persons wishing to be licensed to undertake any of the regulated ancillary services within or from the Kingdom of Bahrain must apply in writing to the CBB. An application for a license must be in the form prescribed by the CBB as indicated in Chapter AU-4.
April 2016AU-1.1.5
An application for a license must be in the form prescribed by the CBB (Form 1) and must contain:
(a) A business plan specifying the type of business to be conducted;(b) Application forms (Form 2) for allcontrollers ; and(c) Application forms (Form 3) for allcontrolled functions .April 2016AU-1.1.6
The CBB will review the application and duly advise the applicant in writing when it has:
(a) Granted the application without conditions;(b) Granted the application subject to conditions specified by the CBB; or(c) Refused the application, stating the grounds on which the application has been refused and the process for appealing against that decision.April 2016AU-1.1.7
Detailed rules and guidance regarding information requirements and processes for license applications can be found in Section AU-4.1. As specified in Paragraph AU-4.1.14, the CBB will provide a formal decision on license application within 60 calendar days of all required documentation having been submitted in a form acceptable to the CBB.
April 2016AU-1.1.8
In granting new licenses, the CBB will specify the specific categories of regulated ancillary service for which a license has been granted.
April 2016AU-1.1.9
All applicants for
ancillary service provider license must satisfy the CBB that they meet, by the date of their license, the minimum conditions for licensing, as specified in Chapter AU-2. Once licensed,licensees must be in compliance with these criteria on an on-going basis.April 2016