Regulatory Alerts2015-08-31
Decision No. 18 Concerning Supervisory Commissioners
The Chairman of the Financial Markets Authority and Governor of the Central Bank of Lebanon issued Decision No. 18, requiring financial brokers in Lebanon to appoint supervisory commissioners who must submit comprehensive annual financial disclosures, conduct additional audits upon request, and ensure strict compliance with applicable regulations. The Decision mandates detailed reporting on balance sheet items, customer account segregation, materiality thresholds, and internal control weaknesses, while establishing clear procedures for documenting qualifications, management responses, and information technology risk assessments. Furthermore, it obligates supervisory commissioners to retain all audit documentation, promptly report violations or operational pressures, and align their audit scope with the full financial year rather than solely the annual account audit date.