News

JFSC say Jersey businesses' are not adhering to compliance monitoring guidance

18/12/2020

The JFSC is reminding (today 17 Dec 2020) regulated businesses to make sure they have adequate and effective compliance monitoring in place after the JFSC identified several repeat findings during examinations.

The JFSC conducted a thematic examination on compliance monitoring, which resulted in 41 findings where businesses were not meeting their statutory obligations and regulatory requirements.

The JFSC assessed whether compliance monitoring plans and activities enabled firms to demonstrate that the effectively managed compliance risk.

Some of the key findings related to

  1. policies and procedures,
  2. record-keeping,
  3. corporate governance, and
  4. risk assessments.

Only one of the 11 regulated businesses the JFSC reviewed could demonstrate compliance with the regulatory framework; this included banks, fund services businesses, investment businesses and trust company businesses.

Many of the findings were similar to those the JFSC has identified in previous examinations on this subject.  And the JFSC suggest that a number of the businesses are not adhering to the guidance the JFSC published in December 2013.

  1. https://www.jerseyfsc.org/news-and-events/dear-ceo-compliance-monitoring/
  2. https://www.jerseyfsc.org/industry/guidance-and-policy/compliance-monitoring/

the JFSC say as part of its ongoing examination programmes for 2021, the JFSC will continue to review the adequacy and effectiveness of compliance monitoring plans and activities.

The JFSC is sharing its feedback and encouraging all businesses to review it to assess their compliance monitoring arrangements.

Feedback on compliance monitoring thematic examination

  1. https://www.jerseyfsc.org/media/4008/e-thematic-feedback-complaince-monitoring-december-2020.pdf
  2. https://www.jerseyfsc.org/industry/on-site-visits/compliance-monitoring-examination-feedback/
JERSEY