+Article 88 1.

Article 88 1.

Member States shall ensure that the management body defines, oversees and is accountable for the implementation of the governance arrangements that ensure effective and prudent management of an institution, including the segregation of duties in the organisation and the prevention of conflicts of interest.

Those arrangements shall comply with the following principles:

(a) 

the management body must have the overall responsibility for the institution and approve and oversee the implementation of the institution’s strategic objectives, risk strategy and internal governance;

(b) 

the management body must ensure the integrity of the accounting and financial reporting systems, including financial and operational controls and compliance with the law and relevant standards;

(c) 

the management body must oversee the process of disclosure and communications;

(d) 

the management body must be responsible for providing effective oversight of senior management;

(e) 

the Chair of the management body in its supervisory function of an institution shall not exercise simultaneously the functions of a chief executive officer within the same institution.

Member States shall ensure that the management body monitors and periodically assesses the effectiveness of the institution’s governance arrangements and takes appropriate steps to address any deficiencies.

Member States shall ensure that data on loans to members of the management body and their related parties are properly documented and made available to competent authorities upon request.

For the purposes of this Article, the term ‘related party’ means:

(a) 

a spouse, registered partner in accordance with national law, child or parent of a member of the management body;

(b) 

a commercial entity, in which a member of the management body or his or her close family member as referred to in point (a) has a qualifying holding of 10 % or more of capital or of voting rights in that entity, or in which those persons can exercise significant influence, or in which those persons hold senior management positions or are members of the management body.

1. Ħarsa ġenerali

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1.1 Referenzi

1.2 Rekwiżiti identifikati

1.3 Standards relatati

2. Rekwiżiti identifikati

Rekwiżiti

3. Standards relatati

Standards