Dubai’s Financial Markets Tribunal Revises Rules of Procedure
The Financial Markets Tribunal (FMT) in Dubai has issued revised Rules of Procedure that came into effect on May 2, introducing several updates and expansions to existing rules governing its operations.
The amendments cover a range of areas. According to a statement by the Dubai Financial Services Authority (DFSA), the FMT Rules have been revised to include, among other things, new rules, clarifications, and the expansion of existing rules concerning:
- The form and content of pleadings;
- Disclosure by the Dubai Financial Services Authority (DFSA) of documents which might reasonably be expected to assist an applicant’s case;
- The procedure if an applicant seeks to prevent publication of a decision and/or for the hearing to be in private;
- The suspension of a referred decision, which may be subject to the applicant complying with conditions including, for example, paying the disputed penalty to the order of the FMT pending the determination of the proceedings;
- Hearings taking place in the absence of a party in certain circumstances; and
- The striking out of the whole or part of proceedings if an applicant fails to comply with the FMT’s directions, including an automatic strike out where there is a failure to comply with an “unless” direction by the FMT.
Established under the 2004 Regulatory Law, the Financial Markets Tribunal conducts full merits reviews of DFSA decisions referred to it, possessing the power to uphold, vary, or set aside the regulator’s original rulings. It can consider new evidence and remit matters with directives on how the DFSA should re-evaluate its decision.
The tribunal also presides over regulatory proceedings between parties on matters prescribed by DIFC laws and rules, such as securities offerings, mergers and acquisitions, and supervision disputes. Potential remedies include fines, censures, orders, and prohibitions on holding certain positions.
While the FMT’s decisions can be appealed to the DIFC Courts, appeals are limited solely to points of law if permission is granted.
