Home / CY AIFM Law of 2013 / PART ΙΙ – AUTHORISATION OF AIFMs / Section 12 - Withdrawal of authorisation. 

Withdrawal of authorisation.

12.-(1) The Commission shall withdraw the authorisation of an AIFM of the Republic in any of the following cases:

(a) if the AIFM does not make use of the authorisation within 12 months, expressly renounces the authorisation or has ceased the activity covered by this Law for the preceding 6 months;

(b) if the AIFM obtained the authorisation by making false statements or by any irregular means;

(2) The Commission may withdraw the authorisation issued to an AIFM of the Republic in any of the following cases:

(a) if the AIFM no longer meets the conditions under which the authorisation was granted;

(b) if the AIFM no longer complies with the Directive DI144-2007-05 of the Commission on the capital adequacy of Investment Firms, if its authorisation also covers the discretionary portfolio management service referred to in paragraph (a) of subsection (6) of section 6 of this Law; (i)

(c) if the AIFM has seriously or systematically infringed the provisions of this Law;

(d) if this AIFM falls within any of the cases where national law, in respect of matters outside the scope of this Law, provides for withdrawal of authorisation.

(3)(a) The Commission may set a deadline to the AIFM of the Republic, according to the circumstances, to remedy the situation -

•  in case the own funds of the AIFM are reduced below the minimum limits of section 9; or

•  if the AIFM no longer complies with the capital adequacy requirements of the Investment Services and Activities and Regulated Markets Law, in case it is authorised to provide the service of management of portfolios of investments of paragraph (a) of subsection (6) of section 6.

(b) In case the AIFM does not proceed to any remedial action within the deadline of paragraph (a), the Commission shall withdraw the authorisation of the AIFM.

(i) Official Gazette of the Republic, 

Third Annex (Ι): 26.11.2012 (Κ.Δ.Π. 477/2012).