Executive Committees of the FSC

Chief Executive Officer’s Committee Meetings - Rules of Procedure.

1. The Committee shall consist of the Chief Executive Officer (appointed in accordance with section 8 of the Financial Services Commission Act 2007), the Head of Banking & Investment Services Supervision, the Head of Insurance Supervision, Head of Fiduciary Services Supervision together with the Chief Operations Officer, Financial Controller and Manager Fiduciary Services & Enforcement. The Chief Executive Officer shall be Chairman.
2. Meetings shall be called at a time and place determined by the Chief Executive Officer.
3. The Chief Executive Officer may invite from time to time any other person to attend any meeting of the Committee.
4. The purpose of the Committee shall be to discuss and advise the Chief Executive Officer on any major matter he may refer to the Committee which relates to his or the Commission’s functions under the Financial Services Commission Act, Financial Services (Banking) Act, the Financial Services (Insurance Companies) Act, the Financial Services (Investment Services & Fiduciary Services) Act 1989 and any other act under which the Commission exercises its functions.  These matters will include;
   • all licence applications,
   • proposals to establish a branch outside of Gibraltar,
   • extensions to the licence classes or permitted business,
   • any proposed major formal action under the Acts,
   • formal recommendations on matters of policy,
   • any imposition of a condition, direction or direction upon a licensee and any rejections of any type of authorisations or permissions or a firm or individual
5. A quorum shall be the Chief Executive Officer, the Head of Supervision or Heads of Supervision concerned with the business of the meeting, and one other Head of Supervision.  In the event of a Supervisor being unavailable or being appointed to act as Chief Executive Officer, another member of that supervisory team may, at the discretion of the Chief Executive Officer, act as alternate for the particular Head of Supervision
6. Briefing papers will be prepared on each matter to be discussed by the Committee and will be circulated to all those to be present at the meeting sufficiently long before the meeting for them to be able to read them fully.  If the briefing paper consists of a licence application, two individuals must be named from the division who have been involved in processing the application and who have reviewed the application documents and the summary.  Briefing papers must be circulated to all attendees at least 48 hours prior to the meeting.
7. Minutes of meetings shall be kept.  These shall be taken by a member of the Division concerned with the business of the meeting, and appointed as Secretary for the purposes of the meeting.   
8. The Chairman will ensure that the Secretary has fully understood the issues raised at the meeting and that all matters have been captured for the purposes of the minutes.   The Secretary shall request that comments be repeated if necessary or shall request clarification if any particular issue has not been fully understood.
9. Minutes shall be drafted in the form of bullet points below relevant headings,  using the standard template.  A first draft of the minutes will be reviewed by the relevant Head of Division (or other if applicable) and any feedback provided to the Secretary.
10. Minutes will then be circulated to all those present at the meeting so that they can comment before these are signed by the Chairman.  The final two recipients of the routed document shall be relevant Head of Division and Chairman, respectively.
11. Any dissension from a decision taken by the Chief Executive Officer at a meeting shall, at the request of anyone dissenting, be recorded with reasons.  Once signed, the minutes shall be passed to the Head of the Division to which the subject matter relates who will then be responsible for filing this in the Committee’s minute file together with all relevant papers considered by the Committee, and in the file relating to the subject matter.  If additional papers etc are available electronically, the minutes should refer to the papers attached to the minute.  Similarly, if no papers have been circulated prior to the meeting or considered by the Committee, this should also be stated.
12. Should the Chief Executive Officer not be available the Acting Chief Executive Officer will sit as the Chief Executive Officer and Chair the meeting. 
13. There may be occasions where a Head of Division is the Acting Chief Executive Officer – in the Chief Executive Officer’s absence from the office - when a licence application is presented for a decision to the Chief Executive Officer’s Committee.  In the first instance the Acting Chief Executive Officer concerned should take the opportunity to defer the licence application pending the return of the Chief Executive Officer.
14. If the issue cannot be deferred for sound prudential/commercial reasons the Head of Division (Acting as Chief Executive Officer) cannot present the paper to be discussed at the meeting.  Therefore arrangements need to be made for the paper to be presented by another member of that division who has been involved in the application – with the prior consent of the “individual concerned” i.e. a person from the division submitting the paper to the Chief Executive Officer’s Committee. 
15. The Acting Chief Executive Officer will need to take account of the views expressed by all members of the Chief Executive Officer’s Committee.  Should these views run contrary to those expressed in the paper being presented, the Acting Chief Executive Officer will have the option to either defer the matter upon the return of the Chief Executive Officer or alternatively contact the Chief Executive Officer for advice on this issue.  No decision, other than to defer the matter or refer to the Chief Executive Officer, should be reached in these circumstances.
16. An applicant should not be advised the exact date of a CeCom meeting.  An indication may be provided as to when an applicant will expect to hear the decision taken on an application, but this should take account of the process that is set out below that will lead to the final decision;

•  CeCom will meet to consider a recommendation and may require further conditions, an amendment to existing conditions or other requirements with which the applicant must comply before a licence may be issued;
•  Subsequent to the meeting the minutes will be circulated to all attendees for comment before ending with the CEO; and
• Unless the CEO determines otherwise it is only when the CEO has confirmed the minutes and his decision may the applicant be notified and this notification must be made in writing.

Regulatory Risk Committee - Terms of Reference

Composition
The Committee shall consist of the

• CEO
• at least two other regulatory Heads of Division
• The COO and Financial Controller may also attend the Committee but shall not form part of the quorum
• Other members of the Executive of the Commission who shall also not form part of the Quorum
• All members present at the committee shall have an equal say.

Meetings
The Committee will meet;

• At least on a quarterly basis
• Whenever the CEO considers that a matter has arisen which requires the views of the Committee
• At least 24 hours notice for meetings shall be given unless there are extraordinary circumstances requiring the committee to sit immediately
• All meetings shall be called by the CEO
• Submissions to the Committee may be verbal or through formal papers, as the CEO may consider appropriate

Terms of Reference
The Committee will consider the following issues;

• Macro economic matters which may affect a group, types or individual licensees or financial services providers
• Legislative or international standards developments which may require the risk scoring of firms to be reviewed
• The Committee may direct the regulatory divisions to amend or review the individual risk scores of a group of, types of or individual licensees or financial services providers in light of the matters discussed in the Committee.
• The Committee will review the regulatory risk issues of any firm that appears on the FSC’s Watch List.
• The Committee will review the regulatory risk issues of all firms whose risk score reflects “High Monitoring/High Remediation” group.

Enforcement Committee

Frequency
Monthly

Composition
Attendees Manager Enforcement, CEO, COO, HOD's (deputies permitted)
Chair Manager, Enforcement
Secretary TBA

Purpose

• To review progress in all enforcement cases and make recommendations to the CEO accordingly.
• To monitor costs of enforcement actions.
• To ensure Enforcement cases are being tracked and the tracking is complete and up to date.