Results 3,161-3,180 of 32,432 for speaker:Paschal Donohoe

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: That is the section that is amending the Act to which the Deputy refers.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: Absolutely. To answer the Deputy's question, the text of the Bill now reads: Section 48 of the Act of 2013 is amended— (a) in subsection (2), by the insertion of the following paragraphs after paragraph (b): “(ba) provision specifying the aspects of a regulated financial service provider’s affairs for which a PCF holder has inherent responsibility for the purposes...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: That is correct. The purpose of the prescribed responsibilities will be to provide clarity for a firm and the Central Bank as to who is responsible for the key activities of that firm. The Deputy is correct. That is what this section does.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: Yes. That is correct.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: Does the Deputy mean a list of institutions?

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: For now, the Central Bank is not looking to expand matters beyond the roles it has already indicated.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: Under the existing legislation, the bank has the ability to determine what the roles will be. I imagine that, if and when this legislation is enacted, the Central Bank will determine what the roles are and whether they should be expanded. However, I expect that there would be consultation with the Department of Finance on the matter. It is a role for the bank.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: This would be for the Central Bank to gain confidence that the person involved in performing a particular role has the experience and background that would qualify him or her to perform the role in the first place. This is laid out in section 53D (b) and (c). One of the areas that will no doubt flow from this is looking at whether the right level of training or support is in place for...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: Yes. The Central Bank has to be satisfied that the person being appointed - the head of risk is a great example - has the right level of knowledge and sufficient skills and experience to perform the very important roles in banks, roles that will be the subject of a lot more scrutiny and focus due to the enactment of this legislation.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: With respect, the majority of individuals who would be in those roles would be in roles that are already defined as controlled function 1 roles under the existing fitness and probity regime. These will be individuals who will hold senior executive roles in banks but they will already be deemed to hold these by virtue of the existing regulatory framework in place for them. They are referred...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: They are laid out in terms of the expectations that are there regarding the roles. The conduct standards, to which the Deputy referred include: the need to act honestly and with integrity; act with due skill; be co-operative with the Central Bank; act in the best interests of customers; and operate in compliance with standards of market conduct. In addition to these requirements,...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: They are broader.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: I do not think so. The reason for that is the caveat that is in here regarding the additional conduct standards, which refers to the delegation of tasks. It may need to be more precise, but I do not think so. My expectation is that somebody in a senior role, if they are subject to an additional conduct standard, would then be responsible for the performance of the individual who was...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: I would expect that would happen. The reason for that is not just what I said to the Deputy a moment ago regarding section 53F(c), which refers to delegated tasks. That is the issue he raises. In addition, if he looks at the senior role, whether it be the CEO or head of risk, he will see that section 53F(a) contains the phrase "that the business of the regulated financial services provider...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: The only positive consequence of the amount of effort involved in getting the legislation prepared and how long it has taken is that the training is already being provided in banks and companies involved, in particular legal firms, in implementing this legislation within banks. I am aware of many different seminars that have taken place already on how this will be implemented. This is work...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: I understand that the Central Bank will engage in consultation with the financial services sector to make sure there is clarity regarding key aspects of this legislation and the guidelines will be published six months after that consultation has concluded.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: I would expect that if we are successful in passing this legislation before the recess, the guidelines will be published before the middle of next year.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Central Bank (Individual Accountability Framework) Bill 2022: Committee Stage (30 Nov 2022)

Paschal Donohoe: As an act of courtesy we will make sure they are shared with this committee too.