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  • MIR-3.1 MIR-3.1 Authorisation of Approved Persons

    • MIR-3.1.1

      Members must obtain the CBB's prior written approval for any person wishing to undertake a controlled function in a member and be registered with the SRO, as the case may be, prior to their final appointment.

      Amended: July 2016
      Amended: April 2016
      Amended: April 2013
      Adopted January 2010

    • MIR-3.1.2

      Controlled functions are those functions occupied by board members and persons in executive positions and include:

      (a) Board member;
      (b) Chief Executive or General Manager;
      (c) Registered representative;
      (d) Head of function;
      (e) Compliance Officer; and
      (f) Money Laundering Reporting Officer (MLRO).
      Amended: July 2016
      Amended: April 2016
      Amended: April 2013
      Adopted January 2010

    • MIR-3.1.2A

      For the purpose of this Module, the following positions are considered as head of function:

      (a) Chief operating officer;
      (b) Head of dealing;
      (c) Head of risk management;
      (d) Head of market research;
      (e) Head of client services; and
      (f) Head of reconciliation (back office).
      Added: July 2016

    • MIR-3.1.2B

      Whether a person is a head of function will depend on the nature, scale and complexity of the function and is not determined by the presence or absence of the word in their job title.

      Added: July 2016

    • MIR-3.1.3

      The licensed member must maintain adequate segregation of responsibilities in their staffing arrangements, to protect against the misuse of systems or errors. The segregation of responsibilities must also ensure avoidance of any conflict of interest and maintain a Chinese Wall between such critical controlled functions.

      Amended: July 2016
      Amended: April 2016
      Amended: July 2014
      Amended: April 2013
      Adopted January 2010

    • Fit and Proper Requirements

      • MIR-3.1.4

        Licensees seeking an approved person authorisation for an individual, must satisfy the CBB that the individual concerned is 'fit and proper' to undertake the controlled function in question.

        Amended: July 2016
        Amended: April 2013
        Adopted January 2010

      • MIR-3.1.5

        The CBB may, on being provided sufficient evidence of a member's risk management system and internal controls commensurate with its scale of operations and business plan, exempt a member from any of the requirements of rules MIR-3.1.2 and MIR-3.1.3.

        Amended: July 2016
        Adopted January 2010

      • MIR-3.1.6

        In accordance with Subparagraph MIR-3.1.2(e), every member must appoint a Compliance Officer. The Compliance Officer is responsible for discharging the legal and regulatory obligations of such member.

        Added: April 2013

      • MIR-3.1.7

        In accordance with Paragraph MIR-3.1.6:

        (a) The Compliance Officer should be competent and knowledgeable regarding the CBB Law, rules and regulations, as well as the business rules of the SRO and the various applicable Volume 6 Modules;
        (b) The Compliance Officer shall:
        (i) Monitor the transactions undertaken by the member, its representatives, or participants;
        (ii) Identify disorderly transactions or conduct that may involve market abuse or disruption;
        (iii) Identify and monitor transactions undertaken by insiders dealing through or with the member;
        (iv) Identify any breach of CBB Law, rules and regulations; and
        (v) Identify any breach of the rules of the SRO.
        Added: April 2013

      • MIR-3.1.8

        The Compliance Officer shall on the identification of any breach referred to in Paragraph MIR-3.1.7 (b), report such breach to the CBB without delay for the investigation and prosecution of market abuse and shall provide full assistance to the latter in investigating and prosecuting market abuse occurring on or through the member.

        Added: April 2013