Legislative Requirements and Guidance for Brokers / Retail Intermediaries, Debt Management Firms

Due to certain variations for different sectors, this content is only relevant for Broker Dealers / Retail Intermediaries, Debt Management Firms. Click here to find information for other sectors.

The Central Bank’s Gatekeeper Function 

The Central Bank’s Gatekeeper role is to assess the suitability (i.e. fitness and probity) of individuals put forward for certain senior roles (PCFs) in regulated financial services providers (RFSPs) and certain in scope holding companies (hereafter references to RFSPs include in scope holding companies). 

Firms are not permitted to appoint an individual to perform a PCF role unless the Central Bank has approved this appointment in writing.  Approval for an appointment may be sought through completing the Individual Questionnaire (IQ) which is submitted online via the Central Bank Portal.

Due Diligence and Disclosure Requirements for PCF Applications  

RFSPs should not submit an IQ to the Central Bank until they have carried out all necessary due diligence enquiries and are satisfied as to the individual’s fitness and probity for the proposed role.  

Individuals are required to be candid and truthful and to provide a full, fair and accurate response to all questions in the IQ.  

Applications should disclose all information, relevant and potentially relevant, to the Central Bank for assessment of the individual’s fitness and probity for the proposed role.  Where there is any doubt as to the materiality of a piece of information, it should be disclosed and explained. The Central Bank will challenge RFSPs and individuals if they fail to make full disclosures in the IQ. The Central Bank takes non-disclosure seriously, especially where there is an apparent attempt to mislead. This may call into question not only the individual’s suitability but also the firm’s decision to propose the individual in question.  

Failure to provide sufficient information in the IQ may result in delay in the assessment of PCF applications.  

Assessment of PCF Applications  

When an IQ is received, the Central Bank conducts a desk-based assessment of the individual’s fitness and probity for the proposed role. This includes assessing the individual’s experience, qualification and skills for the particular role and their compliance with the Fitness and Probity Standards. 

This assessment involves reviewing the IQ and supporting documentation submitted by the proposing RFSP/ holding company. We may need to gather additional information to further inform our assessment. This may include requesting the individual (and specified officer/employee of the applicant firm) to produce certain information/documents, answer questions or attend for interview(s).  

Further details on the interview process are available in our Fitness and Probity Interview Guide (PDF 533.68KB).  

Outcome 

If the Central Bank is satisfied an individual meets the fitness and probity requirements for the proposed PCF role, the Central Bank will issue a notice approving the appointment. 

If the Central Bank is not satisfied that an individual is of appropriate fitness and/or probity to perform the PCF role, the Central Bank may refuse the appointment of the individual. A refusal to approve the appointment by the Central Bank is an appealable decision to the  Irish Financial Services Appeals Tribunal.  
 
For further details of the application process, individuals and RFSPs should refer to:  

Fitness and Probity Interview Guide 2023 | pdf 534 KB Fitness and Probity Standards 2023 | pdf 455 KB Guidance on Fitness and Probity Standards 2023 | pdf 907 KB Fitness and Probity - Frequently Asked Questions 2018 | pdf 1090 KB Minimum Competency Code 2017 | pdf 1575 KB F&P Individual Questionnaire, Applications and PCF Roles Guidance 2024 | pdf 1710 KB

Legislation

Act

The Central Bank Act 2010 (as enacted)

The Central Bank Act 2010 (as amended)

Regulations and Codes

Corporate Governance and Consumer Protection Codes

Introduction to Minimum Competency and the Minimum Competency Code (Note: the onus is on Regulated Financial Service Providers to determine if the Minimum Competency Code applies.)

List of PCFs and CFs

List of Pre-Approval Controlled Functions December 2023 | pdf 413 KB List of Pre-Controlled Functions | pdf 216 KB

Other Guidance

Administrative Sanctions Procedure Guidelines 2023 | pdf 2205 KB Additions to the List of Pre-Approval Controlled Functions - October 2020 | pdf 871 KB Fitness and Probity Individual Questionnaire 2024 | pdf 949 KB Introduction of Pre-Approval Controlled Functions (PCFs) - December 2023 | pdf 209 KB Amendments to the List of Pre-approval Controlled Functions (PCFs) - December 2023 | pdf 428 KB Guidance on the Individual Accountability Framework 2024 | pdf 1525 KB