Cap. 370 Art. 17CInter-authority consultation prior to granting of a licence.

(1) Prior to granting a licence to an applicant which is -

(a) a subsidiary of a person holding an investment services licence or equivalent authorisation or of a market operator or of a credit institution authorised in another

Member State or EEA State; or

(b) a subsidiary of the parent undertaking of a person holding an investment services licence or an equivalent authorisation or of a credit institution authorised in another Member State or EEA State; or

(c) controlled by the same natural or legal persons which control a holder of an investment services licence or the holder of an equivalent authorisation or a credit institution authorised in another Member State or EEA State, the competent authority shall consult with the relevant European regulatory authorities.

(2) Prior to granting a licence to an applicant which is -

(a) a subsidiary of a credit institution or insurance undertaking authorised in another Member State or EEA State; or

(b) a subsidiary of the parent undertaking of a credit institution or insurance undertaking authorised in another Member State or EEA State; or

(c) controlled by the same person, whether natural or legal, who controls a credit institution or insurance undertaking authorised in another Member State or EEA State, the competent authority shall consult with the European regulatory authority responsible for the supervision of credit institutions or insurance undertakings.

(3) Consultation between the competent authority and the European regulatory authorities shall in particular take place when assessing the suitability of the shareholders or members and the reputation and experience of persons who effectively direct the business involved in the management of another entity of the same group. The competent authority shall exchange all information that is of relevance to the other European regulatory authorities involved regarding the suitability of shareholders or members and the reputation and experience of persons who effectively direct the business, both for the granting of a licence as well as for the ongoing assessment of compliance with operating conditions.