Licenses
Voluntary Surrender
AU-4.4.1
According to Article 50 of the CBB Law, all requests for the voluntary surrender of a license are subject to CBB approval. Such requests must be made in writing and must set out in full the reasons for the request and how the voluntary surrender is to be carried out. Requests must be addressed to the concerned Executive Director at the CBB.
April 2016AU-4.4.2
Licensees must satisfy the CBB that theircustomers ' interests are to be safeguarded during and after the proposed voluntary surrender. The requirements contained in Chapter GR-9 regarding cessation of business must be satisfied.April 2016AU-4.4.3
Failure to comply with Rule AU-4.4.1 may constitute a breach of Article 50(a) of the CBB Law. The CBB will only approve a voluntary surrender where it has no outstanding regulatory concerns and any relevant
customers ' interests would not be prejudiced. A voluntary surrender will not be accepted where it is aimed at preempting supervisory actions by the CBB. Also, a voluntary surrender will only take effect once thelicensee , in the opinion of the CBB, has discharged all its regulatory responsibilities tocustomers .April 2016AU-4.4.4
In accordance with Articles 50(a) and 51(a) of the CBB Law, a
licensee wishing to cancel an authorisation for a service or a branch must obtain the CBB's prior written approval. The requirements contained in Chapter GR-9 regarding cessation of business must be satisfied.April 2016Cancellation
AU-4.4.5
As provided for under Article 48 of the CBB Law, the CBB may itself move to cancel a license, should the licensee fail to meet the conditions outlined in Paragraph AU-4.2.4.
April 2016AU-4.4.6
Cancellation of a license requires the CBB to issue a formal notice of cancellation to the person concerned. The notice of cancellation describes the CBB's rationale for the proposed cancellation, as specified in Article 48(d) of the CBB Law.
April 2016AU-4.4.7
The CBB generally views cancellation of a license as appropriate only in the most serious of circumstances, and generally tries to address supervisory concerns through other means beforehand. Further guidance is contained in Module EN (Enforcement), regarding CBB's approach to enforcement and on the process for issuing a notice of cancellation and the recipient's right to appeal the notice.
April 2016AU-4.4.8
Normally, where cancellation of a license has been confirmed by the CBB, the CBB will only effect the cancellation once a
licensee has discharged all its regulatory responsibilities tocustomers . Until such time, the CBB will retain all its regulatory powers with regards to thelicensee , and will direct thelicensee such that no new regulated activity may be undertaken whilst thelicensee discharges its obligations tocustomers .April 2016Cancellation of Approved Person Status
AU-4.4.9
In accordance with Paragraph AU-4.3.11,
licensees must promptly notify the CBB in writing when a person undertaking acontrolled function will no longer be carrying out that function. If acontrolled function falls vacant, thelicensee must appoint a permanent replacement (after obtaining CBB approval), within 120 calendar days of the vacancy occurring. Pending the appointment of a permanent replacement, thelicensee must make immediate interim arrangements to ensure continuity of the duties and responsibilities of thecontrolled function affected. These interim arrangements must be approved by the CBB.April 2016AU-4.4.10
The explanation given for any such changes should simply identify if the planned move was prompted by any concerns over the person concerned, or is due to a routine staff change, retirement or similar reason.
April 2016AU-4.4.11
The CBB may also move to declare someone as not 'fit and proper', in response to significant compliance failures or other improper behaviour by that person: see Chapter EN-8 regarding the cancellation of 'fit and proper' approval.
April 2016
