6.1 Scope

6.1.1. The Licensed Financial Institutions and Insurance Companies shall pay an Annual Levy and Case Fee to the Ombudsman Unit. The amount of the Annual Levy shall not exceed those sums necessary to fund the operation of the Ombudsman Unit, having regard to the income and expenditure mentioned in Article 5.2. The Board of the Ombudsman Unit shall have the authority to determine and revise the Annual Levy and Case Fee.

6.1.2. The Licensed Financial Institutions and Insurance Companies may be required to pay a Supplementary Levy to supplement the costs of establishing and the continued operation of Ombudsman Unit in the event the Annual Levy and Case Fee are insufficient to meet the objectives of Ombudsman Unit. The Supplementary Levy shall be determined by the Board of the Ombudsman Unit and approved by the Central Bank.

6.1.3. For the manner of calculating the funding requirements, as well as the manner and times of payment, the following criteria shall be taken into consideration:

1. the Ombudsman Unit’s need for stability of funding;
    
2. the overall administrative costs of the Ombudsman Unit’s operations, including those costs arising from services provided to those Licensed Financial Institutions or Insurance Companies that have ceased to pay fees to the Ombudsman Unit;
    
3. fairness to all Licensed Financial Institutions or Insurance Companies;
    
4. the desirability of accurately allocating expenses to the volume of Complaints received and the various Complaint resolution activities; and
    
5. administrative efficiency and ease.
    

6.1.4. Any party to a Complaint who seeks an appeal of the Ombudsman Unit Determination may also be required to deposit an Appeals Fee with the Ombudsman Unit which may be refundable in case of a Determination in the favor of the appellant. The Chief Ombudsman shall have the power to waive the Appeals Fee if necessary, given the circumstances for the Complainant.

6.1.5. A Licensed Financial Institution or Insurance Company may be exempted from paying the full quantum of the Annual Levy or may pay a lower Annual Levy upon approval by the Ombudsman Unit where a Licensed Financial Institution or Insurance Company submits an undertaking to the Central Bank that it currently does not serve and does not intend to serve Consumers defined within the scope of this Regulation. In the event that the Ombudsman Unit revokes its approval of the Annual Levy exemption, the Licensed Financial Institution or Insurance Company shall pay the Annual Levy on a pro-rata basis for the Financial Year in which the approval was revoked, and resume paying the full Annual Levy going forward.

6.1.6. Licensed Financial Institutions or Insurance Companies that come under the jurisdiction of the Ombudsman Unit part way through the Financial Year will be required to pay the Annual Levy on a pro-rata basis.

6.1.7. All Licensed Financial Institutions and Insurance Companies that cease to be under the jurisdiction of the Ombudsman Unit shall continue to remain liable for full Annual Levy and Case Fee incurred on Complaints brought to the Ombudsman Unit until all related Complaints are withdrawn or settled.

6.2 Collection by the Ombudsman Unit

6.2.1 All Licensed Financial Institutions and Insurance companies shall be required to pay the Annual Levy, Supplementary Levy (if any) and Case Fee to the Ombudsman Unit. The payment shall not be later than 30 calendar days after the date of assessment of payment by the Ombudsman Unit.

6.2.2 A Licensed Financial Institution or Insurance Company which fails to make payment of the Annual Levy or Supplementary Levy (if any) or Case Fee in full on or before the scheduled payment due date will be charged an administrative late payment charge as may be determined by the Ombudsman Unit. The Chief Ombudsman may refer the matter to the Central Bank to take any necessary action.

6.3 Annual Revenue Request

6.3.1 The Ombudsman Unit shall, when submitting the annual budget, also request from the Central Bank an approval of the following:

1. Annual Levy;
2. Supplementary Levy;
3. Case Fee;
4. Payment schedule;
5. Appeal fee;
6. Administrative charges for late payments;
7. A record of Licensed Financial Institutions and Insurance Companies who are liable to pay the Annual Levy;
8. A record of any general or special exemptions approved regarding the payment of the Annual Levy or Case Fees (wholly or partly).