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
Personto whom any provision in the Rulebookapplies.(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 Institutionand Personwho has submitted an application for authorisation to carry on one or more Financial Services.(4) GEN Section 6.7 applies to any Personwho has been affected by the activities of the DFSA.(5) GEN Section 6.8 applies to the DFSA.
GEN 6.2 GEN 6.2 Interpreting the rulebook
GEN 6.2 Guidance
Interpretation1. Every provision in the
Rulebookmust 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 Rulesand Guidance.3. Where reference is made in the Rulebookto another provision of the Rulebookor other DIFClegislation, it is a reference to that provision as amended from time to time.4. Unless the contrary intention appears:a. words in the Rulebookimporting the masculine gender include the feminine gender and words importing the feminine gender include the masculine; andb. words in the Rulebookin the singular include the plural and words in the plural include the singular.5. If a provision in the Rulebookrefers 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 Rulebookare 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 Terms9. Defined terms are identified throughout the
Rulebookby 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.
GEN 6.3 GEN 6.3 Emergency
GEN 6.3.1 GEN 6.3.1(1) If an
Authorised Personis unable to comply with a particular Ruledue to an emergency which is outside its or its Employees'control and could not have been avoided by taking all reasonable steps, the Authorised Personwill not be in contravention of that Ruleto the extent that, in consequence of the emergency, compliance with that Ruleis impractical.(2) This Ruleapplies only for so long as the consequences of the emergency continue and the Authorised Personis 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 Personmust notify the DFSAas 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.
GEN 6.4 GEN 6.4 Disclosure of regulatory status
Authorised Personmust not misrepresent its status expressly or by implication.
GEN 6.4.2(1) An
Authorised Personmust take reasonable care to ensure that every key business document which is in connection with the Authorised Personcarrying on a Financial Servicein or from the DIFCincludes 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 Ruleis:(a) 'Regulated by the Dubai Financial Services Authority'; or(b) 'Regulated by the DFSA'.(4) The DFSAlogo must not be reproduced without express written permission from the DFSAand 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 Securitiesby an Authorised Market Institution.
GEN 6.5 GEN 6.5 Location of offices
GEN 6.5.1 GEN 6.5.1(1) Where an
Authorised Personis a Body Corporateincorporated in the DIFC, its head office and registered office must be in the DIFC.(2) Where an Authorised Personis 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 Personoperates in the DIFCthrough a Branch:(a) it must have a place of business in the DIFCthat 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 DIFCto which communications and notices may be addressed.(4) An applicant for authorisation to carry on one or more Financial Servicesmust satisfy the DFSAthat 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 Personcarries 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.
GEN 6.5.1 Guidance1. In considering the location of an
Authorised Firm'sor Authorised Market Institution'shead office, the DFSAwill 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 Institutionor an applicant for authorisation which does not satisfy the DFSAwith 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 DFSAexpects all Authorised Personsto have a physical presence, including Employees, in the DIFC. The DFSAdoes 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 DIFCalso 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.
GEN 6.6 GEN 6.6 Close links
GEN 6.6.1 GEN 6.6.1(1) Where an
Authorised Personor a Personwho has submitted an application for authorisation to carry on one or more Financial Serviceshas Close Linkswith another Person, the DFSAmust be satisfied that those Close Linksare not likely to prevent the effective supervision by the DFSAof the Authorised Person.(2) If requested by the DFSAthe Authorised Personmust submit a Close Linksreport or notification, in a form specified by the DFSA. This may be requested on an ad hoc or periodic basis.
GEN 6.6.1 Guidance1. Procedures for notification to the
DFSAare set out in GEN section 6.10.2. Under the fit and proper test for Authorised Firmsand the Licensing Requirementsfor Authorised Market Institutions, an Authorised Firmor Authorised Market Institutionwhich does not satisfy the DFSAwith respect of its Close Linkswill, on this point alone, not be considered fit and proper or able to satisfy the Licensing Requirements.
GEN 6.7 GEN 6.7 Complaints against the DFSA
GEN 6.7 Guidance1. A
Personwho feels he has been adversely affected by the manner in which the DFSAhas carried out its functions may make a complaint to the DFSAabout its conduct or the conduct of its Employees.2. A complaint must be in writing and should be addressed to the Chief Executiveof the DFSA. The complaint will be dealt with by the DFSAin a timely manner.
GEN 6.8 GEN 6.8 Public register
Maintenance and publication
The registers required to be maintained and published by the
DFSApursuant 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 DFSAduring normal business hours; or(b) by maintaining an electronic version of the registers and making the information from those registers available through the DFSAwebsite.
GEN 6.9 GEN 6.9 Communication with the DFSA
Authorised Personmust ensure that any communication with the DFSAis conducted in the English language.
GEN 6.10 GEN 6.10 Provision of information to the DFSA
GEN 6.10 Guidance1. This section sets out how certain information must be provided to the
DFSA. It applies to information in an AFNform and in any other application, notification, report or return that must be provided to the DFSAunder a Rule. It does not apply to PIBor PINreturns, which are subject to a special system: the DFSAElectronic Prudential Reporting System (EPRS).2. The DFSAhas 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 DFSAin accordance with GEN Rule 6.10.3.
GEN 6.10.1(1) This section applies to a
Personproviding information to the DFSAin:(a) an AFNform; or(b) any other application, notification, report or return required to be provided or submitted to the DFSAunder a Rule.(2) This section does not apply to an Authorised Personproviding a return under PIBor 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 DFSAonline using the appropriate electronic system on the DFSAwebsite.
Method of Providing Information
If information can be submitted online, a
Personmust submit the information to the DFSA using the online system.
If information cannot be submitted online then, unless a Rule states otherwise, a
Personmust ensure that information it provides to the DFSA:(a) is provided to the DFSAin writing;(b) sets out the Person'sfull 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, PRSor 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.
Evidence that Information was Provided
Personwho provides information to the DFSAmust retain sufficient evidence to be able to demonstrate to the DFSA, upon request, that the information was submitted or delivered.