Second-tier managers subject to screening and expansion bankers’ oath
Second-tier managers of banks and insurers are subject to integrity and suitability requirements as of 1 April 2015. Also the circle of persons who are obliged to take the oath or make the affirmation is expanded. These new rules are laid down in the Dutch Financial Markets Amendment Act 2015.
As of 1 April 2015 the requirements regarding the screening of (co-)policymakers on suitability and integrity will also apply to managers of the second echelon of banks and insurers, who perform directly under the policymakers and who can exert significant influence on the risk profile of Dutch banks or insurers. Since there is no transitional regime, banks and insurers had until 1 April 2015 to test the current employees of the second echelon for their suitability and to investigate their integrity. The Dutch Central Bank (‘DNB’) will perform a complementary integrity test of the persons involved. DNB published a Q&A on its website (link, in Dutch), stating DNB’s response to questions from market parties.
The expansion of the circle of persons who are obliged to take the oath or make the affirmation concerns the employees of financial institutions, who work in the Netherlands and whose activities can substantially affect the risk profile of said financial institutions or who have direct customer contact. For Dutch banks, the expansion of the bankers’ oath applies to all employees working in the Netherlands, regardless of the nature of their contract. The obligation to take the bankers’ oath also applies to employees of Dutch branches of banks not having a seat in a EU member state. There is a transitional regime for those already working for a financial institution prior to 1 April 2015.