ArabFinance: The Financial Regulatory Authority (FRA) has issued a new regulation requiring non-banking financial institutions to obtain the FRA’s prior approval before conducting due diligences, according to a statement published on February 20th.

The new regulation dictates investors seeking to acquire stakes in a non-banking financial services company to obtain an approval from the FRA before having access to the company’s internal documents or data, the statement revealed.

The FRA will set up two new dispute resolution committees for non-bank financial services companies.

The new committees will settle conflicts between companies and their clients, including complaints within companies working in securities and issues occurred in companies working in the non-banking financial sector.

Moreover, the FRA’s new regulation stipulates that the new committees shall make a decision regarding disputes referred to them within one month and notify the concerned parties within 15 days of issuing their decision.

Copyright 2022 Arab Finance Brokerage Company All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an as is and as available basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.