Regulation 22 of the Nairobi International Financial Centre (NIFC) Regulations, 2021, empowers the Authority to appoint investigators to conduct inquiries when there is a suspicion of contravention of any law, regulation, or rule administered by the Authority.
This article delves into the provisions of Regulation 22, emphasizing the appointment process, the rights of the person under investigation, and the Authority’s authority to require cooperation from relevant parties.
Authority’s Investigative Powers
Appointment of Investigators:
The Authority has the discretion to appoint an employee, regulator, or competent person to conduct investigations and report back on potential or actual contraventions of laws, regulations, or rules administered by the Authority.
Notice to the Subject of Investigation
The Authority is mandated to provide written notice of the investigator’s appointment to the person under investigation. However, this notice may be omitted if the Authority believes that such notification could impede the investigation.
Purpose Specification
In cases where a notice is issued, it must clearly specify the purpose of the investigation, providing transparency regarding the focus and objectives of the inquiry.
Right to Legal Representation
Persons under investigation are entitled to legal representation throughout the investigative process. This provision ensures fairness and due process for the subjects of investigations.
Authority to Require Cooperation
The Authority, or the appointed investigator, can issue written notices requiring individuals to:
(a) Appear before the investigator at a specified time and place to respond to questions.
(b) Produce specified documents at a designated time and place.
(c) Provide information or assistance as deemed necessary for the investigation.
Implications for Parties Involved
Transparent and Fair Investigation
The notice provisions and the right to legal representation contribute to a transparent and fair investigative process, ensuring that subjects are informed and adequately represented during inquiries.
Cooperation with Investigators
Parties involved in the financial activities within the NIFC must cooperate with investigators, responding to inquiries, producing requested documents, and providing necessary information to facilitate a thorough investigation.
Enhanced Regulatory Oversight
Regulation 22 enhances the Authority’s ability to maintain effective regulatory oversight, swiftly addressing potential contraventions and ensuring compliance within the NIFC.
Conclusion
Regulation 22 of the NIFC Regulations, 2021, establishes a robust framework for investigations, allowing the Authority to appoint competent individuals to inquire into potential contraventions. The provisions emphasize transparency, fairness, and the right to legal representation, ensuring that investigative processes within the Nairobi International Financial Centre adhere to the principles of due process and regulatory integrity.
