Fitness and Probity for Regulated Financial Service Providers  

Fitness and Probity - Regulated Financial Service Providers (other than credit unions)

A new Fitness and Probity Regime came into effect on 1 December 2011 for all regulated financial service providers other than credit unions.  This new regime was fully implemented by 1 December 2012. 

41 senior positions are prescribed as Pre-Approval Controlled Functions for regulated financial service providers other than credit unions.  The prior approval of the Central Bank of Ireland is required before an individual can be appointed to a Pre-Approval Controlled Function.  The individual must complete an online Individual Questionnaire which is endorsed by the proposing entity and then submitted electronically to the Central Bank of Ireland for assessment.

From 04 November 2014, the European Central Bank is exclusively the competent authority for the fitness and probity assessments of the following applicants:

        1.       The management board of significant credit institutions; and

        2.       The management board of all credit institutions applying for authorisation.

The individual applicant to the management board of significant credit institutions must complete the online Individual Questionnaire which is endorsed by the proposing entity and submitted to the Central Bank of Ireland. The Central Bank of Ireland will transmit the application onwards to the European Central Bank for assessment pursuant to Union Law (see links below). The Central Bank of Ireland will notify the entity in writing of the European Central Bank’s decision as soon as practicable after the receipt of the decision of the European Central Bank.

The individual application to the management board of any credit institution seeking authorisation must complete the online Individual Questionnaire and submit it to the Central Bank of Ireland to perform the fit and proper assessment. Once the fit and proper assessment has been completed, the outcome is part of the overall assessment of the application which will be determined by the European Central Bank.

The EBA Guidelines on the assessment of the suitability of members of the management body and key function holders can be found here.   The Capital Requirements Directive 2013/36/EU can be found here.

 

Further information on Fitness and Probity for regulated financial service providers other than credit unions can be accessed here, or from the link on the right hand side of this page.

 

Fitness and Probity - Credit Unions

A new Fitness and Probity Regime for credit unions comes into effect on 1 August 2013.

Two senior positions, Manager and Chair of the board of the credit union, are prescribed as Pre-Approval Controlled Functions for credit unions.  The prior approval of the Central Bank of Ireland is required before an individual can be appointed to a Pre-Approval Controlled Function.  The individual must complete an online Individual Questionnaire which is endorsed by the proposing credit union and then submitted electronically to the Central Bank of Ireland for assessment.

Further information on Fitness and Probity for credit unions can be accessed here, or from the link on the right hand side of this page.