Regulatory Authority Issues Directive on Services to Specific Customer Groups

In a move aimed at enhancing customer protection, the St Helena Regulatory Authority has issued a directive outlining the requirements for providing services to specific customer groups.

Key Requirements

Under the directive, any applicant seeking a licence to operate in St Helena must demonstrate that they have no close links with another person that could compromise the authority’s ability to supervise their activities. The authority must determine each application within six months of receipt or within an extended period if additional information is required.

Possible Outcomes

The directive provides for three possible outcomes:

• Granting a licence without conditions
• Subjecting it to conditions deemed appropriate by the authority
• Refusing to grant a licence

Power to Impose Restrictions

In addition, the authority has been granted the power to impose restrictions on licensed businesses that fail to comply with regulations. Such restrictions may include:

• Requirements for the removal of officers
• Divestiture of shareholdings
• Refraining from undertaking certain transactions

Review Process

The directive also provides for a review process, allowing parties aggrieved by a decision of the Regulatory Authority to seek a reconsideration of that decision.

Key Takeaways

• The St Helena Regulatory Authority has issued a directive outlining requirements for providing services to specific customer groups.
• Applicants must demonstrate no close links with another person that could compromise supervision.
• The authority must determine each application within six months or an extended period if additional information is required.
• Three possible outcomes: licence granted without conditions, subject to conditions, or refused.
• Restrictions may be imposed on licensed businesses for non-compliance.
• Review process available for parties aggrieved by a decision of the Regulatory Authority.

Industry Reaction

The directive has been welcomed by industry stakeholders as a necessary step in enhancing customer protection. “This is a positive move towards ensuring that customers are treated fairly and with integrity,” said Jane Doe, CEO of XYZ Financial Services. “We look forward to working with the Regulatory Authority to ensure compliance with these new requirements.”