On-site Inspection and Off-site Monitoring

On-site inspections are conducted to ascertain that licensees are compliant with the regulatory and supervisory framework.

Key objectives of on-site inspections include:

• assessing the market conduct of licensees for fairness and transparency;
• checking adherence of licensees to AML/CFT legislation;
• ensuring soundness of corporate governance of licensees;
• evaluating risk management processes established by licensees;
• evaluating the internal control procedures established by licensees; and
• maintaining the sound repute of the Mauritius jurisdiction.

Off-site supervision is also fundamental in monitoring the conduct of business activities of licensees. It entails reviewing and analysing of the audited financial statements, statutory returns and any other reports submitted by licensees. The review allows the FSC to ascertain inter alia the:

• compliance status of licensees with relevant laws;
• financial soundness and solvency position of licensees, and
• ongoing assessment of licensees.

Obligations of Licensees

Once licensed, it is the responsibility of a licensee to ensure inter alia:

• adherence to the legal framework and licensing conditions;
• filing of audited financial statements within the prescribed time frame;
• submission of undertakings by management companies;
• necessary approvals are sought from the FSC;
• necessary notifications are sent to the FSC (including but not limited to a change in the shareholding structure, directorship and names of the licensees);
• timely settlement of the FSC fees, and
• adherence to Corporate Governance best practices.