The Central Bank published its statement of enforcement priorities for 2015. The Central Bank’s enforcement strategy is focused on deterring breaches of requirements, securing compliance and promoting the behaviours and high standards expected from regulated firms, in order to protect consumers and safeguard the stability of the wider financial system and the economy.
Director of Enforcement, Derville Rowland, said:
“The Central Bank’s statement of enforcement priorities focuses on areas of particular importance in support of our overarching objective of safeguarding stability and protecting consumers. In addition, the publication of this statement reflects our commitment to being open and transparent in the work we do.
These priorities build on our enforcement work and experience to date and that of our supervisory colleagues. They enable us to target our resources in the right places to help deliver the best regulatory outcomes across all sectors of the Irish financial system and within the prudential, conduct of business and consumer protection areas of the Central Bank’s work.
The publication of our enforcement priorities highlights for firms the need for them to review their business practices and to ensure that they can at all times demonstrate the highest standards of compliance.
While we have identified our planned priorities it should be noted that our enforcement activity will not be confined solely to these pre-defined areas. We will continue to review our enforcement work in the context of the changing regulatory environment throughout the year. Our priorities will be delivered alongside our reactive enforcement activity when serious issues emerge as a result of the Central Bank’s supervisory work or other sources such as through whistleblowers.”
Enforcement priority areas include;
- Prudential requirements,
- Systems and controls,
- Provision of timely, complete and accurate information to the Central Bank,
- Appropriate governance and oversight of outsourced activities,
- Anti-Money Laundering / Counter Terrorism Financing compliance, and
- Fitness and probity obligations.
Low impact firms: The Central Bank has specifically allocated resources for enforcement actions against firms with a low impact PRISM rating on the Bank’s risk assessment framework