BackText onlyPrint

You need the Flash plugin.

Download Macromedia Flash Player

Location: Central Bank of Bahrain Volume 5—Specialised Licensees > Specific Modules (By Type of Licensee) > Type 3: Financing Companies > Part A > High Level Standards > HC Financing Companies High-level Controls Module > HC-2 Approved Persons Loyalty > HC-2.4 Disclosure of Conflicts of Interest
  • HC-2.4 Disclosure of Conflicts of Interest

    • HC-2.4.1

      Each approved personG must inform the entire board of (potential) conflicts of interest in their activities with, and commitments to other organisations as they arise. Board members must abstain from voting on the matter in accordance with the relevant provisions of the Company Law. This disclosure must include all material facts in the case of a contract or transaction involving the approved personG . The approved personsG must understand that any approval of a conflicted transaction is effective only if all material facts are known to the authorising persons and the conflicted person did not participate in the decision. In any case, all approved personsG must declare in writing all of their other interests in other enterprises or activities (whether as a shareholder of above 5% of the voting capital of a licenseeG , a manager, or other form of significant participation) to the Board (or the Nominations or Audit Committees) on an annual basis.

      January 2013

    • HC-2.4.1A

      The chief executive/general manager of the licenseeG must disclose to the board of directors on an annual basis relatives of any approved personsG occupying controlled functionsG within the licenseeG .

      April 2016

    • HC-2.4.2

      The board should establish formal procedures for:

      (a) Periodic disclosure and updating of information by each approved personG on his actual and potential conflicts of interest; and
      (b) Advance approval by directorsG or shareholders who do not have an interest in the transactions in which a licensee'sG approved personG has a personal interest. The board should require such advance approval in every case.
      January 2013

Back to top