Subject Title - INSETA

caused by or arose out of the carrying on of the business practiceconcerned 47 .5. The FSP who must rectify or reinstate must do so within 60 daysafter the direction was issued 48 .6. If the FSP does not adhere to the Registrar's directive, a fine notmore than R1 000 000 or imprisonment of not more than ten (10)years, or both, may be imposed in terms of Section 36 of the FAISAct.The key individual must ensure that the relevant areas and departments ofthe business are aware of a declared undesirable business practice.SummaryCommunication with the FAIS Registrar includes the following: Interaction with the Registration Department, which is responsible fornew licence, profile changes, the representative register, lapsing oflicences, queries on licences and collection of levies. Interaction with the Supervision Department, which is responsible forrisk management of FSPs, investigations, analysis of compliancereports and financial statements, on-site visits and liaison with theindustry on changes in subordinate legislation. Interaction with the Complaints Department responsible forcomplaints, investigations, regulatory action, updating debarmentsand reinstatement of debarred representatives. Interaction with the Enforcement Department responsible for theinteraction between the FAIS Division and the FSB EnforcementCommittee. This interaction includes the preparation of matters thatthe registrar of FSPs deems necessary to refer for possibleadministrative sanction. It is imperative that the business and key individuals are up-to-datewith the regulatory universe in which they operate. Key individuals must ensure that the relevant people in the businessare up to date with changes and developments in the financialservices environment. The Registrar may declare a business as undesirable. This has severeconsequences for the business.47 Section 34(5) of the Act48 Section 34(6) of the Act130 © INSETA - Section 1 12a