Articles

Consultation of the AFM's draft policy regulation on incidents

Consultation of the AFM's draft policy regulation on incidents

Consultation of the AFM's draft policy regulation on incidents

08.10.2015 NL law

On 30 July 2015, the Netherlands Authority for the Financial Markets started a public consultation on its draft Policy rule on incidents (Beleidsregel incidenten). The consultation deals with how the concept of an 'incident' should be interpreted.

Dutch financial supervision law defines an 'incident' as a certain behaviour or an event which represents a serious risks to a financial institution's integrity or reputation. Incidents must be notified to the Netherlands Authority for the Financial Markets (Autoriteit Financëele Markten, the "AFM").

In its draft policy rule, the AFM shares its view on the interpretation of this concept. The draft policy rule contains a non-exhaustive list of examples of incidents. Examples include:

  • becoming aware of a potential breach of the Dutch Financial Supervision Act (Wet op het financieel toezicht);
  • a client has filed a complaint with the financial institution that one or more of its employees have displayed unethical behavior;
  • the Dutch Tax Authority (Belastingdienst) has imposed a fine on the undertaking;
  • a board member of the undertaking has entered into a private securities transaction without obtaining a required permission from the Compliance Officer under the company's insider trading policy; and
  • the undertaking has been held liable by a client for a considerable amount of money and such claim could impose serious danger for the undertaking.

The draft policy rule appears to adopt a broader interpretation of the concept of incidents than the Dutch legislator did when the current definition was enacted in 2007. At that time, the legislator took the position that an event only qualifies as an incident if a certain conduct forms a serious threat to the controlled and sound business operations of the financial undertaking, and expected a decrease in the number of notifiable incidents. The current proposal may in contrary thereto lead to an increase of notifiable incidents.

The policy rule is expected to enter into force once the consultation has been finalised.

Related news

17.01.2020 LU law
Stibbe boosts service offering in Luxembourg with new partners and counsel for asset management/funds and corporate & finance

Inside Stibbe - Luxembourg, 17 January 2020 – Stibbe reinforces its corporate & finance and asset management/funds practices in Luxembourg with the hire of Bernard Beerens (corporate partner), Audrey Jarreton (banking and finance counsel), Edouard d’Anterroches (investment funds partner), Victorien Hémery (investment funds partner), and Dayana Bert (investment funds counsel). Their arrival comes after the recent hire of tax partner Johan Léonard. All of these new additions demonstrate the firm’s commitment to expanding Stibbe’s service offering in Luxembourg.

Read more

15.01.2020 NL law
The Dutch scheme - a summary of the upcoming new restructuring tool

Short Reads - As mentioned in our earlier blog, the Dutch legislator has prepared a bill – the Act on confirmation of private restructuring plans (Wet homologatie onderhands akkoord) – introducing a framework that allows debtors to restructure their debts outside formal insolvency proceedings (the “Dutch Scheme“). We expect this highly-anticipated bill to enter into force by this summer. The Dutch Scheme combines features from the UK Scheme of Arrangement and the US Chapter 11 proceedings. Below, we summarize certain key aspects of the Dutch Scheme.

Read more

17.01.2020 LU law
Stibbe Luxembourg étend son offre de services par la venue de nouveaux associés et counsels au sein des pratiques spécialisées en gestion d’actifs/fonds d’investissement, en droit des sociétés ainsi qu’en droit financier

Inside Stibbe - Luxembourg, le 17 janvier 2020 – Stibbe renforce ses pratiques spécialisées en droit des sociétés, en droit financier ainsi qu’en gestion d’actifs/fonds d’investissement par la venue de Bernard Beerens (associé, droit des sociétés), Audrey Jarreton (counsel, droit bancaire et financier), Edouard d’Anterroches (associé, fonds d’investissement), Victorien Hémery (associé, fonds d’investissement) et Dayana Bert (counsel, fonds d’investissement).

Read more

15.01.2020 NL law
Consultatiereactie 'Wet plan van aanpak witwassen'

Short Reads - Soeradj Ramsanjhal, Karlijn van den Heuvel, Djoe Kuils, Rogier Raas, Judica Krikke en Muriël Rosing hebben een reactie ingediend op het concept wetsvoorstel ‘Wet plan van aanpak witwassen’. Dit wetsvoorstel is 2 december 2019 in consultatie gegaan en bevat verschillende voorgestelde wijzigingen van de Wet ter voorkoming van witwassen en financieren van terrorisme en de Wet op de economische delicten. 

Read more

Our website uses functional cookies for the functioning of the website and analytic cookies that enable us to generate aggregated visitor data. We also use other cookies, such as third party tracking cookies - please indicate whether you agree to the use of these other cookies:

Privacy – en cookieverklaring