why?
The aim is to increase public confidence in the banking sector. The value of such a system has been emphasized several times in the past, particularly by the Congressional Commission of Inquiry tasked with investigating the causes of Optima Bank’s failure. This follows an initial attempt to introduce a partially self-regulatory disciplinary system through a law of April 22, 2019, which was never implemented. This kind of system already exists, for example in the Netherlands.
Who?
The obligation to take an oath and respect ethical rules does not apply to all employees in the banking sector.
The entities involved are credit institutions governed by Belgian law, the law of other Member States or the law of third countries with establishments (branches or affiliated agencies) on Belgian territory, as well as banks and investment services operating in Belgium. This is an agency. Name and on behalf of the latter.
Among these,Covered Entities“, only”banking service providerThe following two obligations apply to “.
- People who need continuous health maintenance requirements;
- senior management;
- Banks and investment services agents registered with FSMA as natural persons.and
- Any other person directly involved in banking activities or providing banking services within the territory of Belgium.
what?
The Act introduces two key obligations:
- Clear ethical rules based on the concepts of honesty, integrity, competence, professionalism and the obligation to act in the interests of customers and treat them fairly.
- An obligation for those involved to take an oath and undertake to respect the aforementioned ethical rules.
In support of these two new categories of obligations, the law provides FSMA with the power to impose disciplinary actions (warnings, reprimands, professional bans) if it determines that parties have not complied with the aforementioned ethical rules. I’m giving. A central register was also established to record disciplinary actions and professional bans.
In addition, anyone who believes that ethical rules have not been complied with may lodge a complaint with FSMA. FSMA has not yet regulated rules and procedures regarding the receipt, admissibility, and processing of complaints.
FSMA has published an FAQ on the practical implementation of the bank oath: https://www.fsma.be/fr/faq/questions-et-reponses-faq-relatives-au-serment-bancaire-et-au -regime -disciplinarian-death.
of FSMA Disciplinary Actions without prejudice the prudential supervisory powers of the ECB and NBB, particularly with regard to suitability and appropriateness requirements;
when?
The new system will be implemented in two phases:
- The above obligations are effective for the following persons: fit & proper Credit institution rating and senior manager January 15, 2025;
- In the second stage, from July 15, 2026the foregoing obligations shall be extended as appropriate and appropriate. Individuals and executives working in banking and investment services agencies, banking and investment services agencies who are natural persons, and working in credit institutions or banking and investment services agencies directly involved in banking activities or providing banking services on the territory of Belgium An individual who does.
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