GUERNSEY: New Discretionary Financial Penalties Consultation Published

Monday June 20 2016

Guernsey’s financial services regulator has published a consultation paper following a decision made by the States of Guernsey in January 2016 to increase the discretionary financial penalties which the Commission is able to apply in cases where there have been serious regulatory shortcomings (Billet d’Etat V of 2016).

The legislation which will underpin the new penalties has not yet been implemented. However, in light of the States’ decision to increase them, the opportunity is being taken to consult early with industry on how the Commission proposes to apply the new levels. In general terms and as a guide, the Commission is intending to publish a schedule of bandings as set out in the Consultation Paper to provide guidance on the range of penalties and how they might be applied depending on the characteristics of any serious regulatory failings for which firms and individuals are found responsible.

Guernsey has chosen to increase penalties to bring Guernsey into line with international expectations following Guernsey’s Moneyval report which was published in January of this year.

The closing date for submissions is Friday 17th June.

Please click on the above link for further information and a link to the consultation document.