Other Sections

Directions

In compliance with section 39 of the Financial Services Act, the Registrar holds the authority to issue directions to a licensed or registered financial institution. These directions, unlike those issued under section 75 of the Financial Services Act, are specifically limited to licensed and registered financial institutions. Notably, the application of these directions goes beyond addressing contraventions of financial services laws.

The Registrar may issue a written direction if it comes to the Registrar's attention that a licensed or registered financial institution:

  • Has contravened or is anticipated to contravene the Financial Services Act or any other financial services law.
  • Is managing its affairs in an improper or financially unsound manner.
  • Is contributing to or fostering instability in the financial system or is expected to do so.
  • Is presently or likely to become embroiled in financial crime.
  • A direction is deemed necessary to safeguard the interests of the clients of the financial institution.