Recovery of Supervisory Costs: Request for Asset Information

CENTRAL BANK OF TRINIDAD & TOBAGO Eric Williams Plaza, Independence Square, Port-of-Spain, Trinidad, Trinidad and Tobago Postal Address: P.O. Box 1250 Telephone: (868) 625-4835; 4921; 5028; Fax: (868) 627-4696 E-Mail Address: info@central-bank.org.tt Website: www.central-bank.org.tt

August 20, 2014

CIRCULAR LETTER TO:

ALL INSTITUTIONS LICENSED UNDER THE FINANCIAL INSTITUTIONS ACT, 2008 ALL INSURANCE COMPANIES REGISTERED UNDER THE INSURANCE ACT ALL FINANCIAL HOLDING COMPANIES

REF: CB-OIFI-1904/2014

RECOVERY OF SUPERVISORY COSTS – REQUEST FOR ASSET INFORMATION

As you are aware, the Central Bank (Payment of Supervisory Fees and Charges) Regulations, 2011 (the Regulations) provide for the recovery of supervisory costs incurred by the Central Bank of Trinidad and Tobago (the Central Bank) in the supervision of regulated persons and prospective entrants.

In order to assess the supervisory fee payable, the total assets of institutions licensed under the Financial Institutions Act, 2008, insurance companies registered under the Insurance Act and Financial Holding Companies (FHCs) must be assessed.

You are therefore required to complete the worksheet accompanying the “Instructions for the Completion of the Template for Capturing Group Asset Data for Cost Recovery Purposes”, which can be viewed on the Central Bank’s website at http://www.central-bank.org.tt/content/legislation-guidelines-and-letters-0.

In determining the supervisory fee payable by a Licensed Financial Institution (LFI) or Registered Insurance Company (RIC) that is also a holding company, as well as a Financial Holding Company (FHC), certain deductions would be made from the total assets of these entities. These deductions, as stated in Section 10 of the Regulations, include:

• fifty (50%) of the assets of all foreign regulated subsidiaries: and
• one hundred per cent (100%) of the assets of the entities in the group regulated by the Central Bank.

These deductions would be made by the Central Bank and as such, LFIs, RICs or FHCs are required to record one hundred per cent (100%) of the assets of all its subsidiaries.

In addition to the worksheet, all institutions are required to deliver to the Central Bank, a current organizational chart which clearly delineates the subsidiaries in the group and the respective percentage shareholdings.

Please note that the data for the 2013 financial year-end is to be submitted by September 19, 2014.

---

Should you require any further clarification, you may contact Tellica Frederick at 625-4835 ext. 5196. Alternatively, queries can be submitted in writing to tfrederick@central-bank.org.tt.

Kindly acknowledge receipt of this letter by signing and returning the attached copy.

Yours sincerely

[Signature]

Carl Hiralal Inspector of Financial Institutions

2