Financial Services Commission Act with amendments to 2016

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

FINANCLAL SERVICES COhfMSSION (4) The Governor-General may, subject to such conditions as he may impose, approve the appointment of any ofticer in the service of the Government to any ofice with the Commission and any officer so appointed &a4 while so employed, in relation to other rights as a public officer be treated as continuing in the service of the Government. (5) It shall be lawful for the Commission, with the approval of the Minister- (a) to enter into arrangements respecting schemes whether (b) to make regulations, by way of insurance policies or not; or for pensions, gratuities and other retiriig or disability or death benefits relating to members and employees of the Commission and such arrangements or regulations may include provisions for the grant of benefits to the dependents and legal personal representatives of such members or employees. Delegatlonaf power by Exealiie DwFtor 5.41) The Executive Director may in writing, with the approval of the Commission, delegate any of his powers or the performance of any duties conferred on him by or under this Act to a person specified in the instrument of delegation. (2) A delegation under subsection (1) shall not prevent the exercise of the powers or the performance of the duties by the Executive Director. 5 General Duties and Powers -.nct,onsof 6.41) For the purpose of protecting customers of financial (a) supervise and regulate prescribed financial institutions; (b) promote the adoption of procedures designed to control and manage risk, for use by the management, boards of directors and trustees of such institutions; Corn- services, the Commission shall- DUSEIOR

6 FINANCIAL SERVICES COMIWSSION (c) promote stability and public confidence in the operations of such institutions; (d) promote public understanding of the operation of prescribed financial institutions; (e) promote the modernization of financial services with a view to the adoption and maintenance of international standards of competence, efficiency and competitiveness. (2) For the purpose of the discharge of its duty under (a) take such steps as are necessary to ensure that appropriate standards of conduct and performance are maintained in prescribed financial institutions in accordance with this Act, any rules or regulations made hereunder or any relevant Act; (b) at such times as it may determine but at least once in each year- (i) examine, in such manner as it thinks fit, the affairs or business of every prescribed financial institution carrying on business in Jamaica or elsewhere for the purpose of being satisfied that the provisions of this and any relevant Act are being complied with and that the institution is in a sound financial condition; and (ii) within ninety days after the completion of the examination, report to the Minister the results of every such examination and any such report many contain such recommendations as the Commission considers necessary or desirable to correct any malpractices or deficiencies discovered in the examination; (c) in accordance with the provisions of any relevant Act￾subsection (l), the Commission shall-

FIiVANCM SER nCES COMMTSSION (a) require the institutions to take certain steps or to refrain from adopting or pursuing a particular course of action or to restrict the scope of its business in a particular way; (b) impose limitations on- (i) the acceptance of new business; (ii) the granting of credit; (iii) the making of investments; (iv) dealing in securities; or (v) any other activity that may be carried out by a prescribed financial institution; (c) prohibit the institution from- (i) soliciting business generally or from persons who are not already investors or policy holders; or (ii) entering into any other transaction or class of transactions; (d) require the removal of any director or manager. (3) A prescribed financial institution which fails to comply with any requirement or contravenes any prohibition imposed by any direction or cease and desist order under this section shall be guilty of an offence. (4) A contravention of any direction or prohibition imposed under this section shall not invalidate any transaction. (5) Where the Commission believes that any of the conditions specified in paragraph 4, 5, 6, 7, 8, 9 or 10 of Part A of the Third Schedule exists in relation to a prescribed financial 9 3012004 s. 2. Third Schedule. institution, the Commission may- (a) take such action as it considers appropriate under subsection (1) (a), (b), (c) or (4; 1 I lThe lncluslon of this page Is authorized by L.N. 180Al20061 I- - -

10 FINANCIAL SER VZES COMSSION (b) assume the temporary management of the institution in accordance with Part C of that Schedule; (c) suspend, cancel or revoke the licence or registration of that institution in accordance with the procedure specified in the relevant Act; or (6) present to the court a petition for the winding up of the institution or an application regarding reconstruction thereof. (6) The provisions to the Companies Act relating to the mode of winding up by the court and to arrangements for reconstruction shall, with such modifications and adaptations as may be necessary, apply to a petition or application made by virtue of subsection (5) (6). Compensation funds. 9. The Commission may, after consultation with such providers of financial services and such other persons as it thinks fit, make regulations regarding the establishment, maintenance and use of compensation funds for the benefit of customers of the financial services provided by such institutions, who have suffered pecuniary loss as a result of the operations of any such institutions. Financial Provisions Funds and 10. The hnds and resources of the Commission shall consist resources of of￾the Commis￾sion. (a) such sums as may be provided by Parliament for the Commission in the Estimates of Revenue and Expenditure; (b) revenues from charges imposed by the Commission for use of any facility or services provided by it; (c) revenue from fees charged in respect of licences or registration under any relevant Act; (6) such sums as may be allocated from time to time to the Commission from loan funds; [The lnclusion of thla page is authorized by L.N. 180A/2006]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

FhVANCL4L SERVICES COA~MSSIOIV 19 0 0 FIRST SCHEDULE (Section 3) The Financial Sen,ice.i Commission Appammenr

1. The Commission shall consist of- of members. (a) the Executive Director who shall be a member ex oflcio; and (h) nd less than wen nor more than nine other rntmters (haeinafta referred to as appointed members) as the Minisia may appoint king pawns who appear to the Minister to be qualified as having had experience of and show 0P.miy in, matters relating to indusby, finance. eranomics, amtanq, canmerce, law or sud, other matters as the Minister considas appropriate for appointment mda this pragcaph.
2. No person shall be qualified for appointment as a member of the DjPqualitica. appotntrnent (a) is a member ofthe Same or the House of Represgltatives; 10 Commission. (b) is a diredor, offiw, employee or audita of a prescaibed financial institution; has a direa a indirect proprim inter& in more dm five per cent oi any class of the shares of any mch institutim; a has been convided of an o&ce involving iiaud, di&m&y or maal turpitude. Commission wh- lion from (c) (4
3. The Minister may appoint MY person to act temporarily in the place of T~~~~~~ any member of the Commission in the case of the absence or inability to act appoinl￾of such member IIlBllE. 4.41) The Minister shall appoint one ofthe members of the Commission chLmn. to be the Chairman thereof. (2) In the case of the absence or inability of the Chairman to act at any meeting, members of the Commission prwt at such meeting shall elect one of their number to act as chairman at that meeting.
4. The appointment of every member of the Commission shall be :;::Of evidenced by an instrument in writing, which shall state the period of office of the member not exceeding five years, as the Minister may specify in the inshument and each member shall be eligible for reappointment. Resignanon 6.+1) The Chairman may at any time resign his office by instrument in witing addressed to the Minister and such resignation shall take effect as 60m the date of receipt by the Minister of the instrument.

20 Reroution ofappoinl￾ment. Publiwiion or naInC6 of membership. Sal and execui1on of doolmenis. Procedure and meeting (2) Any member other than the Chairman may at any time resign his office by instrmmlt in writing addressed to the Chairman who shall forthwith cause it to be forwarded to the Minister and that member shall cease to hold office as from the date of receipt of the instrument by the Ministw. 7. The Ministm may terminate the appointment of any member if such meniber- (0) kcomes of unsound mind or becomes permanentIy unable to perform his functions by reason of ill health: (h) becomes hkrupt or compounds with, or suspends payment to, his creditors; (c) is convicted and sentenced to a term of imprisonment or to death; (4 is convicted of an offence involving fraud dishonesty or moral turpitude; (e) becomes disqualified for appointment by virtue ofparagraph 2; v) fails to cany out any of the functions conferred or imposed on him under this Act. 8. The names of all members of the Commission as first constituted and of 0 every change in the membership thereof shall be published in Gmerre 9.-4 1) The seal of the Commission shall be authenticated by the signatures of the Chairman or any member of the Commission arrthorized to act in that behalfandthe Secretary oftheCommission. (2) All documents other than those required by law to be under seal and all decisions of the Commission may be signified under the hand of the Chairman or any member authorized to ad in that behalf or the Secretary of the Commission. 1 O.+ I) The Commission shall meet at such times as may be necessary or expedient for the transaction of business and such meetings shall be held at such places and times and on such &ys as the Commission shall determine. (2) The Chairman may at any time call a special meeting of the Commission and shall call a special meeting to be held within seven days of a witten request for that puspose addressed to him by any two members of the Commission. (3) The Chairman 01 in the case of the absence or inability to act of the Chairman the person appointed in accordance with paragraph 4 (2) shall preside at the meetings of the Commission and when Y) presiding the Chairman or the person appointed as aforesaid, as the case may be, shall have an original and a casting vote in any case in which the voting is equal. (4) The quorum of the Commission shall be four or such higher numb as the Commission shall determine. iTlw inclui#i>l# ~11118~ rp~g~ il it~8ll1u1vd hr I N I13:200: 1

FINANCIAL SERVICES COMMISSON 21 0 0 (5) Subject to the provisions of this Schedule. the Commission may regulate its own proceedings. (6) The validity of my proceeding of the Commission shall not be aRected by any vacancy amongst the members thereof or by any defect in the appointment of a member thereof I 1 .+ 1) The Commission may, either generally or as othenvise specified in the instrument of delegation, delegate to any of its ofiicers so specified, any of its functions under this Act or any relevant Act, other than the power of delegation. (2) A delegation under subsection (1) shall be revocable by the Commission and no delegation shall prevent the exercise of a power by the Commission. 12. There shall be paid to the Chairman and other members of the Remunera￾Commission such remuneration, if any (whether by way of salaries or $c"?!c5, travelling OT other allowances), as the Minister may determine. contract made or proposed to be made by the Commission, or in any other ~tercEl. matter whatsoever which falls to be considered by the Commission, shall disclose the name of his interest at a meeting of the Commission and the disclosure shall be recorded in the minutes of the meeting; and the member shall not￾in the case ofa contract, take part in any deliberation or decision of the Commission with respect to the contract; and in the case of any other matter, take part in any deliberation or decision of the Commission with respect to the matter if the Commission decides that the interest in question might affect prejudicially the member's consideration of the matta. (2) A notice given by a member at a meeting of the Commission to the effect that he is a member of a specific company or firm and is to be regarded as interested in any contract which is made aller the date of the notice with the ooolpany or firm shall, for the purposes of sut-paragraph (I), be a sufficient disclosure of his interest in relation to any conbact so made. A member need not attend in person at a meeting of the Commission in order to make a disclosure which he is required to make under this paragraph if he takes reasonable steps to secure that the disclosure is made by notice which is taken into consideration and read at such a meeting. 14. No action, suit, prosecution or other proceedings shall be brought or instituted personally against any member of the Commission m respect of any act done bonufide in pursuance or execution of or intended execution of this Act 13.+1) A member who is in any way directly or indirectly interested in a Olsclosure o, (U) (6) (3)

22 Conaitution procedure. Chain. FINANCIAL SERVICES COMMISSION SECOND SCHEDULE (Section 19) Cornsifusion and Procedure of Appeal Tribunal 1.41) The Appeal Tribunal shall consist of at least three members (a) at least one member &all be an Attorney-at-law who has practised for at least ten years; and (6) the other members shall be selected fiom among persons who appear to the Minister to be qualified as having had experience of and shorn capacity in, matters relating to industry, finance, economics, accountancy, commerce or law. (2) If there are fewer than three members, but at least two members in office, the Tribunal shall be deemed to he properly constituted for a period not exceeding ninety days afler the deficiency in the number of members first occurs. (3) During any period in which there is a deficiency in number, the Minister may appoint additional members to the Tribunal for a limited period and purpose and the order appointing the member shall provide that the member's participation is limited to specified mattas or classes of matters within the jurisdiction ofthe Tribunal. appointed by the Minister as follows (4) The Tribunal shall meet at such times as may be necessary for 2. No person shall be qualified for appointment as a member of the hearing of appeals under this Act. Tribunal whe (U) (6) (c) is a member of the Senate or the House of Representatives; is a director. officer, employee or auditor of a prescribed financial institution; and has a direct or indirect proprietary interest in more than five per cent of any class of the shares of any such institution. 3.41) The Minister shall appoint one of the mwbers of the Tribunal to be the Chairman thereof 0 sitting, (2) members In me case of the of the Tribunal present absence or inability at such ofthe meeting Chairman shall elm to ad one at any of 0 their number to act as Chaii at that siaing. 4.+1) A matter refd to the Tribunal shall be heard and determined by a panel consisting ofthree members ofthe Tribunal, one of whom shall be an Attorney-at-law, as assigned by the Chairman of the Tribunal.

FlNA.VCI.4 I. SERVICES COMMISSION (2) In assigning members of the Tribunal to a panel, the Chairman shall take inro consideration the requirements, if any. for experience and expertise to enable the panel to decide the issues raised in any matter before the Tribunal. (3) The Tribunal may co-opt to a panel such persons as. in its opinion. have the requisite expertise in any matter before that panel for the purpose of advising the panel on that matter. 23 0 0 5.+1) A member of the Tribunal who has any interest, directly or D~~~I~~~~~~~ inicrerr. (U) shall disclose the nature of the interest at a sitting of the Tribunal; and (h) shall not take part in any deliberation or decision of the Tribunal with respect to that matter (2) A notice given by a member at a sitting of the Tribunal to the effect that he is interested in any appeal before the Tribunal shall, for the purposes of subparagraph (I), be a sufficient disclosure of his interest in relation to any appeal. (3) A member need not attend in person at a sitting of the Tribunal in order to make a disclosure which he is required to make under this paragraph if he takes reasonable steps to secure that the disclosure is made by notice which is taken into consideration and read at such a sitting. 6. The members of the Tribunal shall, subject to the provisions of the Schedule, hold ofice for such period not exceeding two years as the Minister may determine and shall be eligible for reappoinment. the Tribunal if such membe￾indirectly, in any matter brought before the Tribunal-- office Revocation ment. 7. The Minister may at any time revoke the appointment ofany member of ofappa,n,. (a) becomes of unsound mind or becomes permanently unable to perform his functions by reason of ill health, (b) becomes bankrupt OT compounds with, or suspends payment to. his creditors; (c) is convicted and sentenced to a term of imprisonment or to death; (d) is convicted of an offence involving hu4 dishonesty M moral turpitude; (e) becomes disqualified for appointment by virtue of paragraph 2; v) fails to cany out any of the functions conferred or imposed ~1 him under this Act; or (g) engage in such activities as are reasonably considered prejudicial to the interest of the Tribunal. inlc IIIclllsl~,~ offdtir pab 1s aulbmzed by !..N. I11:?001 I

24 FINANCUL SERVICES COMMIssloN 8. If any vacancy occurs in the membership of the Tribunal, such vacancy shall be filled by the appointment of anotha member thereof. 9. The names of all members of the Tribunal as first constituted and every change in the membership thereof shall be published in the Guzerre. 10. There shall be paid to the Chairman and other members of the Tribunal in respect of each appeal, such remuneration, whether by way of honorarium, salary or fees, and such allowances as the Minista may determine. I I. Expenses, accommodations and other facilities of the Tribunal shall be included in the budget of the Financial Services Commission and shall be reimbursable or OM to the extent that certain expenses are itemized in the Tribunal’s award of costs on particular matters. 12. The decisions of the Tribunal shall be by majority of votes of the members. 13.41) The Tribunal shall determine matters before it by order. (2) The Tribunal may make an orda subject to the conditions that are set out in the order. 14.+1) The Tribunal shall have the power to summon and enforce the attendance of witnesses and to compel them to give evidence on oath or otherwise and to produce documents, mds and things. (2) The Tribunal may require or permit pasons to give evidence before it by affidavit. 15.41) The Tribunal may order that a party to a proceeding before it py the costs of anolha party and the Tribunal’s costs of the proceeding. (2) The Tribunal’s costs of a proceeding cansist of the expenses, including the costs of investigations that the Tribunal and the Commission have incurred in connection with the proceeding. (3) The Tribunal shall determine the amount of an order for costs in (4) Any costs ordered by the Tribunal to be paid pursuant to sub￾paragraph (1) may be recovered in a Resident Magistrate’s Court by or on behalf of the Commission as a civil debt due to the Crown notwithstanding any limitation as to amounts recoverable under the Judicature (Resident Magistrate’s) Act 16. Subject to the provisions ofthis Act, theTribunal may regulate its own proceedings. accordance with the rules of the Tribunal. 0 [rhe illltuTilll, “i this page IS ;nlrilarind by L K. I 12:?002 J Filling of vacancy. Publication of mcmhcrship Keniuncrnrion of members. Expcnsrs Voting Order power ovn wibleives and widen=. COSIS. Regulation afpro￾wedmg,.

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]

[The inclusion of this page is authorized by L.N. 143A/2021]