BASED ON THE JAMAICAN BANKING SYSTEM

1. Ms. Pleasant is desirous of establishing a commercial bank in Jamaica.

Advise her on the requirements that have to be met in order for the Supervisory Committee to grant a license to operate a commercial bank. In your advice you are to define the meanings of 'fit and proper' and 'connected persons'. (20 marks)

2. The Proceeds of Crime Act and Proceeds of Crime (Money Laundering Prevention) Regulations impose duties on financial institutions.

(1) Define what is a financial institution under the Act. (2) explain the duties which are imposed on a financial institution under the act and regulations. (3) State what are business in the regulated sector

3. The Banking Services Act 2014 states that every director, officer, substantial shareholder and key employee of an applicant for a license to operate a commercial bank in Jamaica must be a fit and proper person

Explain the term fit & proper person and include in your answer the meaning of substantial shareholder and key employee (20 marks)

4. There are different schools of thought concerning the establishment of a single regulatory agency for the full range of financial services.

Give 5 arguments in favor of a country having a single (mega) regulator for financial services and 5 arguments against having a single (mega) regulator. (20 marks)