Entire Section

  • GEN 6 GEN 6 General Provisions

    • GEN 6.1 GEN 6.1 Application

      • GEN 6.1.1

        (1) Sections GEN 6.1, GEN 6.2, GEN 6.3, GEN 6.9 and GEN 6.10 apply to every Person to whom any provision in the Rulebook applies.
        (2) GEN Section 6.4 applies to every Authorised Person.
        (3) Sections GEN 6.5 and GEN 6.6 apply to every Authorised Firm, Authorised Market Institution and Person who has submitted an application for authorisation to carry on one or more Financial Services.
        (4) GEN Section 6.7 applies to any Person who has been affected by the activities of the DFSA.
        (5) GEN Section 6.8 applies to the DFSA.
        (6) Only sections 6.9 and 6.10 of this chapter apply to a Representative Office.

        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]
        [Amended] DFSA RM19/2005 (as from 19th April 2005). [VER3/04-05]
        [Amended] DFSA RM68/2009 (Made 3rd January 2010). [VER24/01-10]
        [Amended] DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]

    • GEN 6.2 GEN 6.2 Interpreting the rulebook

      • GEN 6.2 Guidance

        Interpretation

        1. Every provision in the Rulebook must be interpreted in the light of its purpose. The purpose of any provision is to be gathered first and foremost from the text of the provision in question and its context among other relevant provisions.
        2. When this section refers to a provision, this means every type of provision, including Rules and Guidance.
        3. Where reference is made in the Rulebook to another provision of the Rulebook or other DIFC legislation, it is a reference to that provision as amended from time to time.
        4. Unless the contrary intention appears:
        a. words in the Rulebook importing the masculine gender include the feminine gender and words importing the feminine gender include the masculine; and
        b. words in the Rulebook in the singular include the plural and words in the plural include the singular.
        5. If a provision in the Rulebook refers to a communication, notice, agreement, or other document 'in writing' then, unless the contrary intention appears, it means in legible form and capable of being reproduced on paper, irrespective of the medium used. Expressions related to writing must be interpreted accordingly.
        6. Any reference to 'dollars' or '$' is a reference to United States Dollars unless the contrary intention appears.
        7. References to Articles made throughout the Rulebook are references to Articles in the Regulatory Law 2004 unless otherwise stated.
        8. Unless stated otherwise, a day means a calendar day. If an obligation falls on a calendar day which is either a Friday or Saturday or an official State holiday in the DIFC, the obligation must take place on the next calendar day which is a business day.

        Defined Terms

        9. Defined terms are identified throughout the Rulebook by the capitalisation of the initial letter of a word or of each word in a phrase and are defined in the Glossary (GLO), however, where a word or phrase is used only, for example, in a prudential context in PIB then for convenience purposes it is only defined under PIB Rule 1.2.1 rather than in GLO. Similarly, in AML Rule 3.2.1 and in FPR section 1.3 there are a number of specific definitions. Unless the context otherwise requires, where capitalisation of the initial letter is not used, an expression has its natural meaning.

        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]
        [Amended][VER9/05-06]
        [Amended] DFSA RM42/2007 (Made 15th February 2007). [VER13/02-07]
        [Amended] DFSA RM112/2012 (Made 15th October 2012). [VER31/12-12]
        [Amended] DFSA RM234/2019 (Made 20th February 2019). [VER43/02-19]

    • GEN 6.3 GEN 6.3 Emergency

      • GEN 6.3.1 GEN 6.3.1

        (1) If an Authorised Person is unable to comply with a particular Rule due to an emergency which is outside its or its Employees' control and could not have been avoided by taking all reasonable steps, the Authorised Person will not be in contravention of that Rule to the extent that, in consequence of the emergency, compliance with that Rule is impractical.
        (2) This Rule applies only for so long as the consequences of the emergency continue and the Authorised Person is able demonstrate that it is taking all practical steps to deal with those consequences, to comply with the Rule, and to mitigate losses and potential losses to its customers or users.
        (3) An Authorised Person must notify the DFSA as soon as practical of the emergency and of the steps it is taking and proposes to take to deal with the consequences of the emergency.
        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]

    • GEN 6.4 GEN 6.4 Disclosure of regulatory status

      • GEN 6.4.1

        An Authorised Person must not misrepresent its status expressly or by implication.


        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]

      • GEN 6.4.2

        (1) An Authorised Person must take reasonable care to ensure that every key business document which is in connection with the Authorised Person carrying on a Financial Service in or from the DIFC includes one of the disclosures under this Rule.
        (2) A key business document includes letterhead whether issued by post, fax or electronic means, terms of business, client agreements, written promotional materials, business cards, prospectuses and websites but does not include compliment slips, account statements or text messages.
        (3) The disclosure required under this Rule is:
        (a) 'Regulated by the Dubai Financial Services Authority'; or
        (b) 'Regulated by the DFSA'.
        (4) The DFSA logo must not be reproduced without express written permission from the DFSA and in accordance with any conditions for use.
        (5) Rules GEN 6.4.2(1) to (4) also apply to the operation and administration of an Official List of Securities by an Authorised Market Institution.
        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]
        [Amended] DFSA RM19/2005 (as from 19th April 2005). [VER3/04-05]
        Amended in accordance with Notice of Amendments to Legislation April 2011 [VER27/02-11]

    • GEN 6.5 GEN 6.5 Location of offices

      • GEN 6.5.1 GEN 6.5.1

        (1) Where an Authorised Person is a Body Corporate incorporated in the DIFC, its head office and registered office must be in the DIFC.
        (2) Where an Authorised Person is a partnership established under the Limited Partnership Law 2004 or the General Partnership Law 2006, its head office and registered office must be in the DIFC.
        (3) Where an Authorised Person operates in the DIFC through a Branch:
        (a) it must have a place of business in the DIFC that is the principal place where it carries on the activities for which it is authorised by the DFSA; and
        (b) that place of business must be its address in the DIFC to which communications and notices may be addressed.
        (4) An applicant for authorisation to carry on one or more Financial Services must satisfy the DFSA that it will meet the requirements in this Rule when the authorisation is granted.
        (5) In this Rule:
        (a) "head office" means the principal place where an Authorised Person carries on:
        (i) the day-to-day management and control of its business, wherever that business may be conducted; and
        (ii) the activities for which it is authorised by the DFSA; and
        (b) "registered office" has the meaning given in the Companies Law, Limited Partnership Law 2004 or General Partnership Law 2006, as applicable.
        Derived from DFSA RM01/2004 (Made 16th September 2004) [VER1/09-04]
        [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]
        [Amended] DFSA RM155/2015 (Made 9th December 2015) [VER35/02-16]
        [Amended] DFSA RMI266/2020 (Made 26th February 2020). [VER48/04-20]

        • GEN 6.5.1 Guidance

          1. In considering the location of an Authorised Firm's or Authorised Market Institution's head office, the DFSA will have regard to the location of its directors, partners and senior management and to the main location of its day-to-day operational, control, management and administrative arrangements and will judge matters on a case by case basis.
          2. An Authorised Firm, Authorised Market Institution or an applicant for authorisation which does not satisfy the DFSA with respect to the location of its offices will, on this point alone not be considered fit and proper or able to satisfy the Licensing Requirements.
          3. The DFSA expects all Authorised Persons to have a physical presence, including Employees, in the DIFC. The DFSA does not permit 'brass plate' operations i.e. offices with the name of the entity but with no staff or where no meaningful activity takes place.
          4. The Companies Law, Limited Partnership Law and General Partnership Law of the DIFC also require entities to which they apply, to have a registered office in the DIFC, and to carry on their principal business activity in the DIFC.
          Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]
          [Amended] DFSA RM155/2015 (Made 9th December 2015) [VER35/02-16]

    • GEN 6.6 GEN 6.6 Close links

      • GEN 6.6.1 GEN 6.6.1

        (1) Where an Authorised Person or a Person who has submitted an application for authorisation to carry on one or more Financial Services has Close Links with another Person, the DFSA must be satisfied that those Close Links are not likely to prevent the effective supervision by the DFSA of the Authorised Person.
        (2) If requested by the DFSA the Authorised Person must submit a Close Links report or notification, in a form specified by the DFSA. This may be requested on an ad hoc or periodic basis.
        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]

        • GEN 6.6.1 Guidance

          1. Procedures for notification to the DFSA are set out in GEN section 6.10.
          2. Under the fit and proper test for Authorised Firms and the Licensing Requirements for Authorised Market Institutions, an Authorised Firm or Authorised Market Institution which does not satisfy the DFSA with respect of its Close Links will, on this point alone, not be considered fit and proper or able to satisfy the Licensing Requirements.

          Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]
          Amended in accordance with Notice of Amendments to Legislation April 2011 [VER27/02-11]
          [Amended] DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]

    • GEN 6.7 GEN 6.7 Complaints against the DFSA

      • GEN 6.7 Guidance

        1. A Person who feels he has been adversely affected by the manner in which the DFSA has carried out its functions may make a complaint to the DFSA about its conduct or the conduct of its Employees.
        2. A complaint must be in writing and should be addressed to the Chief Executive of the DFSA. The complaint will be dealt with by the DFSA in a timely manner.

        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]

    • GEN 6.8 GEN 6.8 Public register

      • Maintenance and publication

        • GEN 6.8.1

          The registers required to be maintained and published by the DFSA pursuant to Article 62 shall be published and maintained in either or both of the following manners:

          (a) by maintaining hard copy registers which are made available for inspection at the premises of the DFSA during normal business hours; or
          (b) by maintaining an electronic version of the registers and making the information from those registers available through the DFSA website.

          Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]

    • GEN 6.9 GEN 6.9 Communication with the DFSA

      • GEN 6.9.1

        An Authorised Person must ensure that any communication with the DFSA is conducted in the English language.


        Derived from DFSA RM01/2004 (Made 16th September 2004). [VER1/09-04]

    • GEN 6.10 GEN 6.10 Provision of information to the DFSA

      • GEN 6.10 Guidance

        1. This section sets out how certain information must be provided to the DFSA. It applies to information in an AFN form and in any other application, notification, report or return that must be provided to the DFSA under a Rule. It does not apply to PIB or PIN returns, which are subject to a special system: the DFSA Electronic Prudential Reporting System (EPRS).
        2. The DFSA has enabled certain information to be submitted online using the electronic system on its website. If information can be submitted online, that online electronic system is to be used — see GEN Rule 6.10.2. In other cases, information must be provided to the DFSA in accordance with GEN Rule 6.10.3.

        Derived from DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]

      • GEN 6.10.1

        (1) This section applies to a Person providing information to the DFSA in:
        (a) an AFN form; or
        (b) any other application, notification, report or return required to be provided or submitted to the DFSA under a Rule.
        (2) This section does not apply to an Authorised Person providing a return under PIB or PIN.
        (3) In this section, a reference to information that can be submitted online is a reference to information that can be submitted to the DFSA online using the appropriate electronic system on the DFSA website.

        Derived from DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]

      • Method of Providing Information

        • GEN 6.10.2

          If information can be submitted online, a Person must submit the information to the DFSA using the online system.


          Derived from DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]

        • GEN 6.10.3

          If information cannot be submitted online then, unless a Rule states otherwise, a Person must ensure that information it provides to the DFSA:

          (a) is provided to the DFSA in writing;
          (b) sets out the Person's full name and, if applicable, its authorisation or registration number;
          (c) is addressed to the attention of:
          (i) the Markets Department if the information is being provided under AMI, REC, MKT, PRS or TKO; or
          (ii) the Supervision Department in any other case; and
          (d) is delivered to the DFSA:
          (i) by post to the current address of the DFSA;
          (ii) by hand to the current address of the DFSA; or
          (iii) by electronic mail to an address provided by the DFSA.

          Derived from DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]

      • Evidence that Information was Provided

        • GEN 6.10.4

          A Person who provides information to the DFSA must retain sufficient evidence to be able to demonstrate to the DFSA, upon request, that the information was submitted or delivered.


          Derived from DFSA RM176/2016 (Made 19th June 2016) [VER37/08-16]