CTRL 9.3.8 Islamic financial institution’s obligations to Shari’a supervisory board

(1) An Islamic financial institution must take reasonable steps to ensure that the members of its Shari’a supervisory board are independent of the institution, and not subject to any conflict of interest with it.
Guidance
An Islamic financial institution’s Shari’a supervisory board can be considered independent only if none of its members has a blood or close relationship with the institution, the institution’s officers or related parties, that could interfere (or be reasonably perceived as interfering) with the exercise by the board of independent judgment.
(2) The institution and its employees:
(a) must give the Shari’a supervisory board any assistance that it reasonably requires to perform its duties;
(b) must give the board right of access at all reasonable times to relevant records and information;
(c) must not interfere with the board’s ability to perform its duties; and
(d) must not provide false or misleading information to the board.

 

Derived from QFCRA RM/2020-4 (as from 1st July 2021)