Application for a Change of Scope of Licence
Authorised Firmapplies to change the scope of its Licence, it should provide the following information:(a) a revised business plan as appropriate, describing the basis of, and rationale for, the proposed change;(b) details of the extent to which existing documentation, procedures, systems and controls will be amended to take into account any additional activities, and how the Authorised Firmwill be able to comply with any additional regulatory requirements; and(c) descriptions of the Authorised Firm'ssenior management responsibilities (see GEN chapter 5) where these have changed from those previously disclosed, including any up-dated staff organisation charts and internal and external reporting lines.(d) details of any transitional arrangements where the Authorised Firmis reducing its activities and where it has existing customers who may be affected by the cessation of a Financial Service;(e) the appropriate financial reporting statement where the variation may result in a change to the Authorised Firm'sprudential category or the application of additional or different financial rules. If a capital increase is required in order to demonstrate compliance with additional financial rules but such capital is not paid up or available at the time of application, proposed or forecast figures may be used;(f) details of the effect of the proposed variation on the Authorised Individualsincluding, where applicable, submitting any application forms for individuals to perform additional or new Licensed Functions, or to remove existing Licensed Functions; and(g) revised pro forma financial statements.
Insurerwhich wishes to vary its Licenceto remove the Financial Serviceof Effecting Contracts of Insuranceor to reduce the classes of insurance should refer to the run-off provisions in PIN chapter 9.
In considering whether an
Authorised Firmis fit and proper with respect to a change in the scope of its Licence, the DFSAmay take into account those matters in Chapter 2 of the RPP Sourcebook, which provides Guidanceon fitness and propriety for Authorised Firms.