Notice of the General Office of the Shanghai Office of the China Banking Regulatory Commission on Forwarding a Notice on Issues concerning Interview and Admonishment for Major Cases (Risks) in the Banking Sector

· Document Number：No. 124 [2015] of the General Office of the Shanghai Office of the China Banking Regulatory Commission

· Area of Law： Banking & Finance

· Level of Authority： Local Regulatory Documents

· Date issued：10-23-2015

· Effective Date：10-23-2015

· Status： Effective

· Issuing Authority： China Banking Regulatory Commission, Shanghai Bureau

Notice of the General Office of the Shanghai Office of the China Banking Regulatory Commission on Forwarding a Notice on Issues concerning Interview and Admonishment for Major Cases (Risks) in the Banking Sector
(No. 124 [2015] of the General Office of the Shanghai Office of the China Banking Regulatory Commission)
All banking financial institutions in Shanghai:
The Notice of the General Office of the China Banking Regulatory Commission on Issues concerning Interview and Admonishment for Major Cases (Risks) in the Banking Sector (No. 124 [2015], General Office of the China Banking Regulatory Commission) is hereby forwarded to you, with the following clarification, for your compliance and implementation.
I. After a case (risk) occurs, an institution shall, while properly handling the case (risk) as legally required, report the case (risk) information to the Shanghai Office of the China Banking Regulatory Commission (“CBRC”) in a timely and accurate manner and keep track of the follow-up information, in strict accordance with the requirements of the Notice of the General Office of the China Banking Regulatory Commission on Issues concerning the Strict Implementation of Case Risk Prevention and Control Rules and the Satisfaction of Claims Involved in Cases by Legal Means and other related rules. If any case (risk) information changes, such changes shall be reported to the Shanghai Office of the CBRC in a timely manner.
II. The Shanghai Office of the CBRC will interview and admonish an institution which is discovered to fall under any of the following major circumstances: any significant case (risk) occurs; the internal control is weak, and cases occur frequently; cases (risks) of the same nature or the same kind occur within one year; facts of violations of laws and regulations or important case clues are not reported, prevented, or handled in a timely manner, which causes a case or causes graver circumstances of the case; there is concealment or any intentional omission, delay, or error in reporting case (risk) information; case facts are withheld on purpose, evidence is concealed, forged, tampered with, or destroyed, or there is resistance to, obstruction of, or refusal to cooperate in case investigation and handling; the rights and interests of financial consumers are seriously damaged, with significantly adverse impact; the enforcement of accountability is ineffective, and the results of corrective action taken are not evident; and other circumstances under which the regulatory authority deems interview and admonishment necessary.
III. The form of meeting bulletin is generally adopted for interview and admonishment. For cases (risk events) only involving a single type of banking financial institutions, the leader in charge of such affairs of the Shanghai Office of the CBRC or the head of the relevant institutional supervision department will preside over the interview, and the head of the department leading case prevention and control will attend. For cases (risk events) involving mutiple types of banking financial institutions, the leader in charge of case prevention and control of the Shanghai Office of the CBRC or the head of the department leading case prevention and control will preside over the interview, and the head of the relevant institutional supervision department will attend.
IV. All institutions shall specify departments and personnel responsible for tracking, monitoring, and carrying out the supervisory opinions in the bulletin of interview and admonishment, and clarify the accountability mechanism and path. Meanwhile, the institutional supervision departments of the Shanghai Office of the CBRC will enhance follow-up supervision, and record relevant information in the correction action tracking and implementation ledger for supervisory opinions to ensure effective and satisfactory correction and accountability enforcement.
General Office of the Shanghai office of the China Banking Regulatory Commission
October 23, 2015