Performance of regulated activities Flashcards
Regulatory Decisions Committee
Decision making powers on behalf of FCA
Appointed by FCA Board
Accountable to FCA Board
Only Chairman RDC is an FCA employee
FCA give firm at least 28 days to respond to warning notice
Upper Tribunal
Tax and Chancery Chamber of Upper Tribunal
Provides independent review of FCA decision
Outside management of FCA
Forms part of Ministry of Justice tribunal service
Operated by government department
Regulatory Enforcement process (few points)
Decision and Supervisory notice go to upper tribunal
FCA take on lesser regulatory matters - Significant decisions passes to RDC
Court restitution order = sum paid regulator and then distributed
No consent receiving party ;
Final Decision Notice
Final Supervisory notice
Written notices (statutory)
Warning notice = (can be published ) action proposed
Supervisory notice = preventative rather than disciplinary e.g.rule change
Decision notice = RDC reviewed found guilty, details of action
Written notices (Secondary statutory)
Final notice
Date and action takes effect
Further decision notice
Follows decision notice - joining 2 issues (different action )
Notice of Discontinuance
No further investigation
Cost of Non- Compliance
five step penalty settling framework
Disgorgement - removes profit
Setting figure seriousness of breach
Discipline - Aggravating and mitigating factors
Deterrence - Achieve appropriate deterrent effect
Settlement Discount
Capital Requirements Directive
Implements Basel Framework
Pillar 1
Minimum capital requirements
Pillar 2 Supervisory Review
Discussion with regulator
Pillar 3
Market Disclosure - Public Disclosure
GENPRU sourcebook
Banking
Investments
Insurance
BIPRU sourcebook
Banks
Building societies
Investment firms
Credit Institutions
IFPRU sourcebook
Investment firms
Remuneration code
Sustain market confidence
Promote financial stability
by removing incentives for inappropriate risk taking
