An exposure draft was issued by Bank Negara Malaysia on 29 July 2022 for public feedback by 1 September 2022 on enhanced registration requirements for a person intending to carry on adjusting business, as well as prudential and conduct requirements which registered adjusters must always comply with.
Paragraph 1.2 of the proposed policy document provides that the policy document is intended to set out the registration requirements applicable to a person intending to carry on adjusting business as defined in subsection 2(1) of the Financial Services Act 2013, the fees payable and its ongoing obligations once registered by Bank Negara Malaysia as a registered adjuster.
Amongst the proposed requirements that Bank Negara Malaysia intends to introduce are:
- new obligations on meeting minimum continuous professional development (“CPD”) requirements annually to ensure adjusting employees of the registered adjuster keep abreast with relevant market and industry development.
- additional requirements imposed on the board of directors of a registered adjuster and senior management to ensure effective implementation of proper governance and control measures.
- imposition of rigorous fit and proper requirements on shareholders and key responsible person (i.e., a director and chief executive officer) of a registered adjuster.
