• GEN 5.3.1 GEN 5.3.1

    (1) Pursuant to Part 5 of the FSMR, the functions specified in Rules 5.3.2 to 5.3.4 are Controlled Functions.
    (2) Performance of Controlled Functions are subject to approval by the Regulator.
    (3) Where an individual is approved pursuant to Rule 5.3.1(2) or has his Controlled Function withdrawn or varied, the Authorised Person must notify the Regulator in writing within 10 days of such approval, withdrawal or variation.
    (4) A Controlled Function shall not include a function performed by a registered insolvency practitioner (subject to the restrictions defined within section 289 of the Insolvency Regulations 2015) if the practitioner is:
    (a) appointed as a receiver or administrative receiver within the meaning of Part 2 of the Insolvency Regulations 2015;
    (b) appointed as a liquidator in relation to a members' voluntary Winding-Up within the meaning of Chapter 3 of Part 3 of the Insolvency Regulations 2015;
    (c) appointed as a liquidator in relation to a creditors' voluntary Winding-Up within the meaning of Chapter 4 of Part 3 of the Insolvency Regulations 2015; or
    (d) appointed as a liquidator or provisional liquidator in relation to a compulsory Winding-Up within the meanings of Chapter 6 of Part 3 of the Insolvency Regulations 2015.
    (5) A Controlled Function shall not include a function performed by an individual appointed to act as manager of the business of an Authorised Person or Recognised Body.

    • Guidance

      The Regulator will approve an Approved Person for the performance of Controlled Functions. However, the Regulator expects that the Authorised Person will carry out proper due diligence to satisfy itself that the individual will be able to carry out his role effectively, is fit and proper to do so, and that there are no conflicts of interest or that any actual or potential conflicts of interest are appropriately managed.