The Authority’s General Registration Policy ("the Registration Policy") sets out the criteria that applicants must satisfy to be successful in the registration of their business. The Authority will not register a business where it feels that the applicant, including the persons associated with it, are not fit and proper to undertake the designated business.
The fit and proper test is both an initial test at the time of registration and a continuing test in relation to the compliance with AML/CFT legislation of designated business.
It should be noted that the fit and proper test for designated businesses is much narrower than the test for the Authority’s licenceholders. Section 9 of the Act states that when assessing the fitness and propriety of an applicant the Authority would take into consideration whether the applicant:
- has been convicted of an offence —
- under AML/CFT legislation;
- under the law of a country or territory outside the Island if the conduct giving rise to the offence would constitute an offence under sub-paragraph (i) if it had occurred in the Island;
- involving dishonesty (whether under the law of the Island or elsewhere);
- under a relevant Act; or
- of perjury or conspiracy to pervert the course of justice (whether under the law of the Island or elsewhere);
- is or has been the subject of any action with respect to any breach of a relevant Act (as defined) or AML/CFT legislation;
- has knowingly or recklessly provided misleading or false information in the application for registration; or
- is otherwise considered by the Authority not to be fit and proper for reasons related to the risk of money laundering or the financing of terrorism.
If an applicant is aggrieved by a decision of the Authority, it may seek a review by the Financial Services Tribunal.
This Tribunal is set up on an ad hoc basis, and is made up of individuals who are independent of both the Authority and applicant. The Financial Services Tribunal cannot overturn the Authority’s decision but can refer the case back to the Authority for reconsideration based on its findings.
Further details of the procedures of the Financial Services Tribunal can be requested from the Chief Secretary's Office.
Any right of review (e.g. to the Financial Services Tribunal) will be explained to the applicant in the letter communicating the decision of the Board.
The Financial Services Tribunal Rules 2015 can be found here.