Entire Section

  • GEN 7.4 GEN 7.4 Licensed Functions and Authorised individuals

    • GEN 7.4.1

      (1) Pursuant to Article 43 of the Regulatory Law 2004, the functions specified in Rules 7.4.2 to 7.4.9 are Licensed Functions.
      (2) A Licensed Function shall not include a function performed by a registered insolvency practitioner (subject to the restrictions defined within Article 88 of the Insolvency Law 2009) if the practitioner is:
      (a) acting as a nominee in relation to a company voluntary arrangement within the meaning of Article 8 of the Insolvency Law 2009;
      (b) appointed as a receiver or administrative receiver within the meaning of Article 14 of the Insolvency Law 2009;
      (c) appointed as a liquidator in relation to a members' voluntary winding up within the meaning of Article 32 of the Insolvency Law 2009;
      (d) appointed as a liquidator in relation to a creditors' voluntary winding up within the meaning of Article 32 of the Insolvency Law 2009; or
      (e) appointed as a liquidator or provisional liquidator in relation to a compulsory winding up within the meanings of Article 58 and 59 of the Insolvency Law 2009.
      (3) A Licensed Function shall not include a function performed by an individual appointed to act as manager of the business of an Authorised Firm or Authorised Market Institution as directed by the DFSA under Article 88 of the Regulatory Law 2004.
      Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
      [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]
      [Amended] DFSA RM131/2014 (Made 21st August 2014). [VER34/06-14]

    • Senior Executive Officer

      • GEN 7.4.2

        The Senior Executive Officer function is carried out by an individual who:

        (a) has, either alone or jointly with other Authorised Individuals, ultimate responsibility for the day-to-day management, supervision and control of one or more (or all) parts of an Authorised Firm's Financial Services carried on in or from the DIFC; and
        (b) is a Director, Partner or Senior Manager of the Authorised Firm.

    • Senior Manager

      • GEN 7.4.7 GEN 7.4.7

        The Senior Manager function is carried out by an individual who is responsible either alone or jointly with other individuals for the management, supervision or control of one or more parts of an Authorised Firm's Financial Services who is:

        (a) an Employee of the Authorised Firm; and
        (b) not a Director or Partner of the Authorised Firm.

        • GEN 7.4.7 Guidance

          In respect of a Fund, the DFSA would expect the Fund Manager to appoint at least one individual other than the Senior Executive Officer to carry out Senior Manager functions in relation to the Fund such as managing operational risk and other internal controls.

    • Money Laundering Reporting Officer

      • GEN 7.4.8

        The Money Laundering Reporting Officer function is carried out by an individual who is a Director, Partner or Senior Manager of an Authorised Firm and who has responsibility for the implementation of an Authorised Firm's anti money laundering policies, procedures, systems and controls and day to day oversight of its compliance with the Rules in AML and any relevant anti money laundering legislation applicable in the DIFC.

        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM119/2013 (Made 14th July 2013). [VER33/07-13]

    • Responsible Officer

      • GEN 7.4.9 GEN 7.4.9

        The Responsible Officer function is carried out by an individual who:

        (a) has significant responsibility for the management of one or more aspects of an Authorised Firm's affairs;
        (b) exercises a significant influence on the firm as a result of (a); and
        (c) is not an Employee of the Authorised Firm.

        • GEN 7.4.9 Guidance

          1. The Licensed Function of Responsible Officer applies to an individual employed by a Controller or other Group company who is not an Employee of the Authorised Firm, but who has significant responsibility for, or for exercising a significant influence on, the management of one or more aspects of the Authorised Firm's business.
          2. Examples of a Responsible Officer might include an individual responsible for the overall strategic direction of an Authorised Firm or a regional manager to whom a Senior Executive Officer reports and from whom he takes direction.

      • GEN 7.4.10 GEN 7.4.10

        An Authorised Individual may perform one or more Licensed Functions for one or more Authorised Firms.

        • GEN 7.4.10 Guidance

          1. In considering whether to grant an individual Authorised Individual status with respect to more than one Authorised Firm, the DFSA will consider each Licensed Function to be carried out and the allocation of responsibility for that individual among the Authorised Firms.
          2. In the above situation the DFSA will need to be satisfied that the individual will be able to carry out his role effectively, is fit and proper to do so, and that there are no conflicts of interest or that any actual or potential conflicts of interest are appropriately managed.