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#FCPT1423259ANovember 3, 2014 Decree on Internal Control of Enterprises in the Banking, Payment Services, and Investment Services Sector Overseen by the Prudential Control and Resolution Authority

🇫🇷France··Other·High Impact·View source ↗

AI-generated summary for informational purposes only. Not legal advice. See the original source for the authoritative text.

🇬🇧 English

This law mandates that companies in the banking, payment services, and investment sectors implement robust internal control systems. It ensures these systems are adapted to the size and risk level of the businesses. Companies must comply with both national and applicable European regulations and report to the relevant financial authorities. The focus is to enhance governance and risk management across these sectors.

AI-generated summary. May contain errors. Refer to official sources for legal decisions.

Key Changes

  • Companies must implement robust internal controls.
  • Internal control systems must be tailored to the business's size and risk.
  • Compliance with national and European regulations is mandatory.

Obligations

What this law requires

high

Establish and maintain a robust governance system that includes an adequate internal control mechanism adapted to the size, volume of activities, locations, and nature, scale, and complexity of risks inherent to the business model and activities

Credit institutions, financing companies, investment firms, payment institutions, and electronic money institutions overseen by the ACPR
operational
high

Implement a system to control operations and internal procedures as part of internal control mechanisms

All regulated banking, payment services, and investment services entities
operational
high

Establish accounting organization and information processing systems that meet internal control requirements

All regulated banking, payment services, and investment services entities
operational
high

Implement systems to measure risks and results, and to monitor and manage risks

All regulated banking, payment services, and investment services entities
operational
medium

Establish a documentation and information system, and a cash and securities flow monitoring system

All regulated banking, payment services, and investment services entities
operational

Affected Parties

Banking sector companiesPayment services providers+1 more…

Tags

internal control,banking regulation,risk management