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CS Professional · IFSCA - Regulations, Listing and Compliances · International Financial Services Centres: An Introduction

IFSCA passes a general order delegating powers to a committee of its Members and to an officer. A challenger argues the order may also delegate its power to make regulations. Which position matches the IFSCA Act, 2019?

Delegation to a Member or officer cannot include the regulation-making power under section 28. Committees of Members may receive powers and functions only as specified by regulations, so the challenger's claim fails for the officer.

  1. AValid, as any power may be delegated to an officer by general order
  2. BInvalid for an officer, because the delegation to officers excludes the powers under section 28; committees of Members may receive only such powers and functions as specified by regulationsCorrect
  3. CValid only if the Central Government gives prior approval
  4. DInvalid, because the Authority cannot delegate any power at all

Explanation

Section 23(1) allows delegation to a Member or officer of powers and functions under the Act except the powers under section 28, which is the regulation-making power. Section 23(2) allows committees of Members to be formed and given powers and functions as specified by regulations. The regulation-making power therefore cannot be delegated to the officer.

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