The Financial Services Commission (FSC) issued a communique in August 2019, in relation to the Administrative Penalties Regulatory Framework (the “Framework") which comes into effect as from the same month.

The Framework sets out the general principles and approach adopted by the FSC regarding the imposition of APs on a licensee. APs will be applied by the FSC to sanction its licensees for instances of regulatory breaches other than specific breaches mentioned in the Schedule of the Financial Services (Administrative Penalties) Rules 2013 (non-filing of statutory documents and statistical information).

In contrast to other sanctions, such as revocation and disqualification, this type of AP will enable viable businesses to maintain their business activities and officers to continue holding their positions, even where they are sanctioned for any statutory breaches that they may have engaged in.

To access the Framework, please click here here