Supervisory Oversight & Risk-Based Supervision Act, 2025

(1) This Act may be cited as the Supervisory Oversight & Risk-Based Supervision Act, 2025.

(2) This Act shall come into operation on such date as may be appointed by Order of the Minister responsible for finance and financial services (“the Minister”) and published in the Official Gazette.

In this Act, unless the context otherwise requires—

1. “Authority” means the Neves Licensing Authority established under the Neves Licensing Authority Establishment Act, 2025;
2. “Board” means the Board of the Neves Licensing Authority;
3. “competent body” means the Authority, the Neves Financial Services Authority (NFSA), the Neves Gaming Authority (NGA), or any other body designated under sovereign Act to perform supervisory functions;
4. “licensee” has the meaning given in the Licensing & Authorisation Act, 2025;
5. “risk-based supervision” means the approach whereby supervisory intensity and tools are calibrated to the nature, scale and complexity of the risks posed by licensees and sectors;
6. “supervisory plan” means the structured programme of work, engagements and reviews for a given period, developed by a competent body under this Act;
7. “thematic work” means supervisory work which focuses on particular risks, products, sectors or behaviours across multiple licensees.

(1) This Act shall be read together with and in addition to the Neves Licensing Authority Establishment Act, 2025, the Licensing & Authorisation Act, 2025, the AML / CFT & Financial Crime Prevention Act, 2025, the Market Conduct & Consumer Protection Act, 2025, the Complaints, Investigations & Enforcement / Redress Act, 2025, the NFSA Act and the NGA Act.

(2) Where there is any inconsistency between this Act and another enactment which refers to it, this Act shall prevail to the extent of the inconsistency, unless expressly provided otherwise.

(1) The Authority, NFSA and NGA are responsible for oversight of licensees within their respective remits in accordance with sovereign Acts.

(2) In carrying out oversight, they shall act independently, impartially and in the public interest.

Supervisory objectives include—

1. promoting the soundness and integrity of licensed activities conducted in or from Neves;
2. protecting clients and counterparties, having regard to the Market Conduct & Consumer Protection Act, 2025;
3. supporting effective prevention of financial crime in line with the AML / CFT & Financial Crime Prevention Act, 2025; and
4. maintaining confidence in Neves as a well-run centre for financial and gaming services.

(1) Oversight shall be guided by principles of proportionality, consistency, transparency of expectations and focus on outcomes.

(2) In particular, supervisory work shall be:

1. Risk-based – attention concentrated where potential harm is greatest;
2. Forward-looking – addressing emerging risks, not only past failures; and
3. Coordinated – aligned among competent bodies and with international counterparts where appropriate.

(1) NFSA and NGA shall maintain structured frameworks to assess the risk profile of licensees and sectors.

(2) Risk assessments may consider, among other factors—

1. business model, size and complexity;
2. types of products and clients served, including cross-border activity;
3. governance, systems and controls, including AML / CFT controls;
4. complaint trends and client outcomes; and
5. findings from onsite and offsite work.

(1) Each licensee may be assigned a risk rating or category under the frameworks maintained by NFSA and NGA.

(2) Risk ratings shall influence the frequency, depth and nature of supervisory engagements, without limiting the discretion of competent bodies to act where required.

(1) The Authority, NFSA and NGA may maintain sectoral and thematic risk views across groups of licensees, activities or products.

(2) These views may inform the design of thematic work, the prioritisation of policy initiatives and engagement with international partners.

(1) NFSA and NGA shall prepare periodic supervisory plans which set out—

1. key risks and priorities for the period;
2. planned onsite and offsite work on individual licensees; and
3. planned thematic or cross-sector work.

(2) Plans may be adjusted during the period in response to emerging risks or events.

(1) Offsite supervision may include analysis of data, returns and other information submitted by licensees, supplemented by meetings and correspondence.

(2) Licensees shall cooperate with offsite work and respond in a timely manner to reasonable requests for information made by competent bodies.

(1) NFSA and NGA may carry out onsite inspections or reviews of licensees’ premises, systems and records to assess compliance with applicable enactments.

(2) Onsite work shall be planned and conducted in a manner consistent with the risk-based approach and respect for due process.

(1) NFSA and NGA may conduct thematic work on specific risks, products, controls or behaviours across multiple licensees.

(2) Findings from thematic work may be used to provide feedback, publish good practice, and support the use of measures under other sovereign Acts where appropriate.

(1) Licensees shall submit such periodic and ad hoc information as may be required under this Act or under other sovereign Acts overseen by the Authority, NFSA or NGA.

(2) Information may include, among other items—

1. financial and capital data;
2. client and transaction metrics in aggregated form;
3. compliance reports and internal audit summaries; and
4. specific responses to supervisory questionnaires.

(1) Licensees shall take reasonable steps to ensure that supervisory information submitted under this Act is accurate, complete and timely.

(2) Where material errors are identified, licensees shall notify the relevant competent body and submit corrected data without undue delay.

(1) The Authority, NFSA and NGA may use analytical tools and dashboards to support risk-based supervision, including trend analysis and peer comparison.

(2) Data used for such purposes shall be handled in accordance with applicable confidentiality and data protection requirements.

(1) The Authority, NFSA and NGA shall coordinate supervisory work where licensees conduct activities across multiple license families or sectors.

(2) Coordination may include joint planning, joint inspections, shared findings and aligned follow-up actions.

(1) Subject to confidentiality requirements, the Authority, NFSA and NGA may cooperate with domestic and foreign authorities, including law enforcement and international standard-setting bodies, for supervisory purposes.

(2) Cooperation may include information sharing, participation in colleges or working groups, and coordinated actions in respect of cross-border groups.

(1) Where appropriate, NFSA or NGA may participate in or host supervisory colleges or similar structures for cross-border groups with significant operations in Neves.

(2) Participation shall be consistent with the objectives of this Act and other applicable enactments.

(1) The Authority, NFSA and NGA shall maintain internal governance arrangements to support consistent oversight decisions, including committees or forums for significant matters.

(2) Internal governance structures shall promote clear escalation, challenge and documentation of key supervisory judgements.

(1) Following material supervisory work, the relevant competent body may provide feedback to the licensee, including any findings, expectations and timelines for remedial action.

(2) Feedback may be provided through letters, meetings or other written communications.

(1) Supervisory findings may be taken into account when—

1. considering applications, variations or revocations under the Licensing & Authorisation Act, 2025; and
2. deciding on actions under the Complaints, Investigations & Enforcement / Redress Act, 2025.

(2) The Authority shall ensure that key linkages between supervision, licensing and enforcement are documented in internal procedures.

(1) NFSA and NGA shall, within the transitional periods set out by the Authority, align their existing supervisory processes with the risk-based approach set out in this Act.

(2) During the transitional period, priority may be given to higher-risk sectors and licensees for alignment with new frameworks and tools.

(1) The Authority, NFSA and NGA may issue guidance, supervisory handbooks or other documents explaining how this Act is applied in practice.

(2) Such documents may be taken into account when assessing whether supervisory work and interactions are aligned with this Act.

(1) The Minister may, on the recommendation of the Authority, make Rules or Orders for the better carrying out of the purposes of this Act, including but not limited to—

1. specifying categories of risk and corresponding supervisory responses;
2. defining minimum content of supervisory information and returns; and
3. setting transitional milestones for the implementation of new supervisory frameworks.

Nothing in this Act shall limit any powers or obligations arising under the Neves Licensing Authority Establishment Act, 2025, the Licensing & Authorisation Act, 2025, the AML / CFT & Financial Crime Prevention Act, 2025, the Market Conduct & Consumer Protection Act, 2025, the Complaints, Investigations & Enforcement / Redress Act, 2025, the NFSA Act, the NGA Act or any other sovereign Act overseen by the Neves Licensing Authority.

This Act shall bind the State.