Banking Regulations Compliance in Seychelles: FSA Takes Action to Ensure Sector Integrity
===========================================================
The Financial Services Authority (FSA) has emphasized its commitment to ensuring the integrity and effectiveness of Seychelles’ financial sector, as well as protecting the public and investors from financial crime. As mandated by the Financial Services Authority Act 2013, the FSA supervises and regulates non-bank financial services businesses operating in or from within Seychelles.
Powers and Enforcement Actions
The FSA has been empowered to take various compliance and enforcement actions against licensees who fail to comply with regulations. These measures include:
- Conducting compliance inspections
- Appointing examiners to investigate breaches
- Issuing directives and suspending fit and proper status of individuals
- Issuing public statements
- Revoking or suspending licenses
- Requesting information from licensees
The Authority can also initiate legal action against licensees who commit offenses under financial services legislation.
Preventing Unauthorized Financial Services Businesses
The FSA has taken steps to prevent unauthorized financial services businesses from operating in Seychelles. Any individual found carrying out unlicensed business activities will be subject to punitive measures under relevant financial services legislation.
Public Statements and Revocation/Suspension of Licenses
The Authority is also equipped with powers to issue public statements regarding enforcement actions taken against licensees or former licensees, as well as individuals who engage in unauthorized financial services activities. In extreme cases, the FSA can revoke or suspend licenses if a licensee fails to comply with regulations or engages in business practices detrimental to the public interest.
License Surrender
Licensees may also choose to surrender their licenses by providing prior written notice to the Authority, which must be accompanied by a true and full disclosure of reasons for the surrender.
Goal: Maintaining Seychelles’ Reputation
The FSA’s efforts are aimed at maintaining Seychelles’ reputation as a financial services center while reducing crime and other unlawful activities related to financial services business. By taking decisive action against non-compliant licensees, the Authority aims to ensure that the sector remains stable, efficient, and trustworthy.