In assessing the suitability and the appropriateness of new/prospective controllers (and existing controllers proposing to increase their shareholdings) who are natural persons, the CBB considers their professional and personal conduct, including, but not limited to, the following:

(a) The propriety of a person's conduct, whether or not such conduct resulted in conviction for a criminal offence, the contravention of a law or regulation, or the institution of legal or disciplinary proceedings;
(b) A conviction or finding of guilt in respect of any offence, other than a minor traffic offence, by any court or competent jurisdiction;
(c) Any adverse finding in a civil action by any court or competent jurisdiction, relating to fraud, misfeasance or other misconduct in connection with the formation or management of a corporation or partnership;
(d) Whether the person has been the subject of any disciplinary proceeding by any government authority, regulatory agency or professional body or association;
(e) The contravention of any financial services legislation or regulation;
(f) Whether the person has ever been refused a license, authorisation, registration or other authority;
(g) Dismissal or a request to resign from any office or employment;
(h) Disqualification by a court, regulator or other competent body, as a director or as a manager of a corporation;
(i) Whether the person has been a director, partner or manager of a corporation or partnership which has gone into liquidation or administration or where one or more partners or managers have been declared bankrupt whilst the person was connected with that partnership or corporation;
(j) The extent to which the person has been truthful and open with regulators;
(k) Whether the person has ever been adjudged bankrupt, entered into any arrangement with creditors in relation to the inability to pay due debts, or failed to satisfy a judgement debt under a court order or has defaulted on any debts;
(l) The person's track record as a controller of, or investor in financial institutions;
(m) The financial resources of the person and the likely stability of their shareholding;
(n) Existing directorships or ownership of more than 20% of the capital or voting rights of any financial institution in the Kingdom of Bahrain or elsewhere, and the potential for conflicts of interest that such directorships or ownership may imply;
(o) The legitimate interests of creditors and minority shareholders of the licensee;
(p) If the approval of a person as a controller is or could be detrimental to the subject licensee, Bahrain's banking and financial sector or the national interests of the Kingdom of Bahrain; and
(q) Whether the person is able to deal with existing shareholders and the board in a constructive and co-operative manner.
January 2014