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Fit & Proper FSP License (Fit & Proper/Operational Ability)
When applying to be a representative, Mpho leaves out the fact that a professional body sanctioned him for dishonesty twelve years ago. The FSP discovers the omission later. How do the Fit and Proper requirements treat this?
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) The omission matters only if the old sanction would, on its own, have been enough to disqualify him.
- b) The omission is cured once he discloses the sanction after being asked, because late disclosure counts as candour.
- c) The omission is irrelevant, because an incident more than ten years old need not be disclosed or considered.
- d) The concealment is itself evidence against his honesty, whatever weight the old sanction would have carried.Correct
Why this is the answer
A person must be candid and disclose all information relevant to honesty, integrity and good standing. The old sanction might have been outweighed by time and rehabilitation, but deliberately withholding it is fresh evidence of a lack of honesty. There is no age cut-off that removes the duty to disclose, and disclosure only after discovery does not undo the concealment.
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