Compliance Officer for Legal Practice Checklist

Transcription

1 Compliance Officer for Legal Practice Checklist Compliance Manager UK Limited. Unit 26 Potts Marsh Industrial Estate, Westham, East Sussex BN24 5NH. Offices also in London and Windsor. Tel: Web:

2 COMPLIANCE OFFICER FOR LEGAL PRACTICE Period (A / H / Q / M) Y / N / NA Action Required / Comments Initials Due Dates Actual Date Section 1 - Client Care 1 Check that all processes and client care letters, terms of business etc are in accordance with our client care policy 2 Check that systems include the identification of client vulnerabilities 3 Check that systems properly identify actual and potential conflicts of interest 4 Check that policies include a complaints handling policy 5 Check reporting systems to ensure they include systems through which staff can report any acts, omissions or indications that a client may bring a negligence claim against the firm 6 Check that systems include a proper process for accepting and refusing instructions 7 Check that systems include adequate arrangements for the proper supervision of client matters and staff

3 8 Check that systems include procedures to protect client confidentiality 9 Check that procedures are in place to ensure compliance with the equality and diversity requirements 10 Check that our client care policy properly reflects all of the requirements set out in the SRA Code of Conduct Check that all staff have been properly trained on the firm's client care policy 12 Check that arrangements are in place for the regular review of the firm's client care policies and procedures Section 2 - Anti - Money Laundering and Counter Terrorist Financing Risk assessment 1 Check that a proper assessment of the risk of money laundering and terrorist financing has been undertaken and recorded

4 2 Check that the firm has a proper procedure for identifying, analysing and managing matters that present a higher risk of money laundering or terrorist financing through the file opening and file management systems Reporting suspicions 3 Check that the firm has a proper process through which staff can report knowledge or suspicion of money laundering or terrorist financing 4 Check that the Nominated Officer has been appointed and properly trained to receive suspicious activity reports (SARs) from staff and make external reports to the Serious Organised Crime Agency (SOCA)? 5 Review the process through which the Nominated Officer makes SARs to SOCA 6 Review the register of SARs 7 Ensure that any recommendations arising from the firm's ML & TRF risk assessment have been implemented Client due diligence 8 Review the procedure for conducting client due diligence and that it is in accordance with the firm's AML and CTF policy

5 9 Check the process for identifying and managing higher risk clients for which enhanced due diligence must be applied 10 Review the system for on-going monitoring of clients' matters as set out in the firm's AML and CTF policy 11 Check the procedures in relation to the reliance upon third parties to conduct the client due diligence process Other systems and controls 12 Review the system for training staff on the law relating to anti-money laundering and counter-terrorist financing as set out in the firm's AML and CTF policy? 13 Review the firm's records relating to anti-money laundering and counterterrorist financing and identify any trends or areas in which further training or changes to the firm's processes may be required 14 Review the firm's policy for accepting funds from the client, third parties in cash Policy 15 Review the firm's AML and CTF policy and that it properly reflects the firm's obligations as set out in statute and the regulations

6 16 Ensure that all staff have received training on the firm's AML and CTF policy 17 Review the firm's processes and systems for monitoring compliance with the firm's AML and CTF policy Section 3 - COLP Compliance Failures 1 Review the systems enabling staff to report internally on suspected compliance failures (including anonymous reporting) and that it is in accordance with the firm's compliance failure policy 2 Review the firm's register of compliance failures to ensure that it is accurate and up to date 3 Review the compliance failure register and identify any pattern or trend that may constitute a material compliance failure 4 Review the status and position of the COLP to ensure that you have the authority to report material compliance failures to the SRA 5 Check that the compliance failure register allows you to identify which failures have been reported to the SRA and when

7 6 Review the firm's compliance failure policy 7 Check that all staff have been trained on the firm's compliance failure policy 8 Ensure that you have a process for the regular review of the firm's compliance failure policy and procedures Section 4 - Complaints 1 Review the firm's client care letter and terms of business to ensure that they include proper details informing clients at the outset of their matter of their right to complain 2 Review the firm's external client-facing written complaints policy 3 Review the firm's register of complaints, identify any trends and prepare a report of recommendations to the Compliance Management Team ('CMT') 4 Check that the register of complaints is up to date

8 5 Ensure that you have a system for analysing and reporting upon the firm's complaints register on a regular basis 6 Review and check that the firm's internal complaints handling policy mirrors your external internal complaints handling policy 7 Ensure that all staff have been properly trained on the firm's complaints policies 8 Review the firm's complaints policies and procedures Section 5 - Conflicts of Interest 1 Review the firm's system for identifying and assessing conflicts and that it is in accordance with the Conflicts policy 2 Review the firm's Register of interests held by the firm members of staff and that it is included in the process for identifying own interest conflicts 3 Check that the Register of interests is accurate and up to date

9 4 Check that fee earners understand the requirement to record and refer instructions where: a. there is a clear-cut own interest conflict b. there is a clear-cut client conflict and it is obvious that no exception applies 5 Review the process for deciding whether the firm can act where a member of staff suspects: a. an own interest conflict b. a client conflict c. that the firm or a member of staff may hold material confidential information about an existing or former client 6 Where it is decided that the firm should act in a client conflict situation, review the processes in place to ensure that a properly authorised person is consulted to: a. consider whether material confidential information can be safeguarded

10 b. advise the fee earner how to obtain relevant client consents c. review the file at regular intervals d. refer the matter to the COLP to record in the Conflicts register 7 Review the processes in place for situations where the firm decides to act but where, technically there is no client conflict but the firm holds material confidential information about another client who has an adverse interest including former clients 8 Review the processes in place for considering whether confidential information can be safeguarded where the firm holds material confidential information about an existing or former client, but there is no suggestion of a conflict or adverse interest and that such incidents are properly referred and recorded in the Conflicts register 9 Review the firm's Conflicts Register to ensure that it includes a record of all decisions made by supervisors about whether to act where a member of staff suspects: a. an own interest conflict b. a client conflict c. that the firm may hold material confidential information about an existing or former client (distinguishing between situations that do and do not involve an adverse interest)

11 10 Review the Conflicts register at regular intervals to check the status of individual matters and to identify trends and any training needs or corrective actions required 11 Check that the firm's systems and controls are in accordance with the Conflicts Policy 12 Check to ensure that all staff have been properly trained on the firm's Conflicts policy 13 Ensure that there are systems in place for the regular review of the firm's conflicts policy and procedures Section 6 - Data Protection 1 Check the accuracy and validity of the firm's registration with the Information Commissioner's Office 2 Check that the firm's Terms of Business contains details for giving clients notice that you are processing personal data 3 Review the process for obtaining explicit consent where you process sensitive personal data

12 4 Review the process for responding to subject access requests 5 Review the process for managing data protection breaches 6 Review the firm's guidelines covering the length of time that the firm will retain data 7 Review the firm's Data protection policy 8 Check that all staff have been properly trained on the firm's Data protection policy 9 Ensure that you have arrangements for the regular review of the firm's Data protection policies and procedures Section 7 - Preliminary Checks, File Opening and File Management 1 Review the firm's process for identifying and managing conflicts of interest

13 2 Review the firm's processes for conducting client due diligence 3 Review the firm's File / Matter Management Form and check that it covers all relevant processes, systems and policies covering relating to: a. Preliminary Checks and Initial Risk Assessment b. File Opening Procedures c. Matter Management d. Interim Reviews and Risk Assessment e. File Closing Procedures 4 Review the File Audit Review Register and check for trends in matter management failures, prepare recommendations and report to the CMT accordingly 5 Check to ensure that the firm has policies covering all of the matters contained in the File / Matter Management Form

14 6 Check that all staff have been properly trained on all procedures covered by the File / Matter Management Form Section 8 - Referral and Fee Sharing 1 Check to ensure that the referral and fee sharing register is reviewed on a regular basis 2 Review the procedure for approving new referral and fee sharing arrangements 3 Review the procedure for checking that clients are correctly notified of any referral or fee sharing arrangement that is relevant to their matter 4 Review the firm's referral and fee sharing policy 5 Ensure that all staff have been properly trained on your referral and fee sharing policy

15 Section 9 - Supervision 1 Review and update the firm's supervision chart checking that all fee earners are properly supervised by supervisors who have the appropriate level of experience and competence 2 Review the staff training records and appraisal files to ensure that the training needs of all fee earners have been met and that levels of competence are appropriate to their work and level of responsibility in accordance with the firm's supervision policy 3 Meet with employees who have joined since the last review date and check induction processes and compliance training records 4 Review the firm's system for file review audits and update where required 5 Review the file review audit register to ensure that all file reviews have been completed on time and identify training needs where required 6 Review the firm's supervision of outsourcing arrangements to ensure that it is in accordance with the firm's supervision policy 7 Review the firm's supervision policy and update where required 8 Ensure that all staff have been properly trained on the firm's supervision policy

16 Section 10 - Undertakings 1 Review the system for ensuring that undertakings are given only when intended and that, where necessary, they are properly authorised in accordance with the firm's Undertakings policy 2 Review the guidelines covering the giving of routine and non-routine undertakings to ensure that they are in accordance with the firm's Undertakings policy for property transactions 3 Review the system for recording routine undertakings on the client file, the case management system (where appropriate), fee earner and central diaries and in the firm's Undertakings register? 4 Review the firm's Undertakings register and related files to check the status of individual 'open' undertakings and the proper treatment of discharged undertakings 5 Review the firm's Undertakings policies and update where required 6 Ensure that all staff have received proper training on the firm's Undertakings policies

17 Section 11 - Lexcel v5 Self Assessment 1 See Separate Checklist Section 12 - Registers 1 Review all registers and check that they are up to date and properly maintained. 2 Check for emerging patterns and remedy as required. 3 Ensure that all material breaches have been reported and that non material breaches have been recorded and remedied. 4 Ensure that all staff have received proper training on the maintenance and policies relating to the upkeep of the firm's registers

18 Section 13 - Policies 1 Review all policies and prepare recommendations of any proposed changes for the consideration of the CMT 2 Ensure that all changes to policies have been properly recorded and communicated 3 Review updates to Law Society Practice Notes and SRA Regulations; issue briefing notes to staff; and recommend changes to policies, systems and procedures to the CMT where appropriate 4 Ensure that all staff have received proper training on all of the firm's policies and that copies of current policies are readily accessible to all staff Section 14 - Compliance Manuals 1 Review and update Compliance Manual 2 Review and update Risk Management Manual

19 3 Review and update Business Plan 4 Review and update Office Procedures Manual 5 Review and update Staff Handbook 6 Communicate details of all changes 7 Provide training on changes where required Section 15 - Strategic Risk 1 Review minutes of Risk Management Team meetings and ensure that all changes have been communicated and implemented and training provided as required 2 Ensure that all risk management issues arising as a result of your periodic reviews have been communicated to the CMT and the resultant changes in policies, systems or procedures have been implemented

20 Section 16 - Client Satisfaction 1 Review the firm's systems for assessing client satisfaction levels 2 Review client satisfaction records to identify trends and training needs 3 Prepare a report summarising feedback from clients and communicate internally Section 17 - PI Renewal, Renewal of Authorisation and Practising Certificates and Renewal of Panel Memberships 1 Review the firm's system and records for capturing and recording data required for the renewal of PI, Authorisation and PCs 2 Check that all SRA and other regulatory bodies' authorisation criteria and conditions have been properly met

21 3 Collate data as required in preparation for submission of PI Renewal, Firm Authorisation and Practising Certificates 4 Review staff CPD records to ensure compliance with regulatory training requirements, competency and levels of responsibility within the firm 5 Collate and review staff periodic certification reports confirming their individual compliance with the firm's policies, systems and procedures and entry in the Staff Annual Certification Register 6 Obtain quotes for PI Renewal 7 Submit applications to PI Brokers and insurers 8 Submit applications to SRA 9 Review system for updating panel membership records Section 18 - Annual Compliance Report

22 1 Prepare detailed report covering all Sections above for review and consideration by the CMT 2 Arrange Annual CMT Compliance Review Meeting and review minutes of previous meeting to ensure implementation of decisions 3 Oversee the implementation of all recommendations approved by the CMT in its Annual Compliance Review meeting Section 19 - Review of SRA Code of Conduct Chapter 1 - Client Care O(1.1) you treat your clients fairly O(1.2) you provide services to your clients in a manner which protects their interests in their matter, subject to the proper administration of justice; O(1.3) when deciding whether to act, or terminate your instructions, you comply with the law and the Code

23 O(1.4) O(1.5) O(1.6) O(1.7) O(1.8) O(1.9) O(1.10) O(1.11) you have the resources, skills and procedures to carry out your clients' instructions the service you provide to clients is competent, delivered in a timely manner and takes account of your clients' needs and circumstances you only enter into fee agreements with your clients that are legal, and which you consider are suitable for the client's needs and take account of the client's best interests you inform clients whether and how the services you provide are regulated and how this affects the protections available to the client clients have the benefit of your compulsory professional indemnity insurance and you do not exclude or attempt to exclude liability below the minimum level of cover required by the SRA Indemnity Insurance Rules clients are informed in writing at the outset of their matter of their right to complain and how complaints can be made clients are informed in writing, both at the time of engagement and at the conclusion of your complaints procedure, of their right to complain to the Legal Ombudsman, the time frame for doing so and full details of how to contact the Legal ombudsman clients' complaints are dealt with promptly, fairly, openly and effectively; O(1.12) clients are in a position to make informed decisions about the services they need, how their matter will be handled and the options available to them;

24 O(1.13) O(1.14) O(1.15) O(1.16) clients receive the best possible information, both at the time of engagement and when appropriate as their matter progresses, about the likely overall cost of their matter; clients are informed of their right to challenge or complain about your bill and the circumstances in which they may be liable to pay interest on an unpaid bill; you properly account to clients for any financial benefit you receive as a result of your instructions; you inform current clients if you discover any act or omission which could give rise to a claim by them against you. Chapter 2 - Equality and diversity O(2.1) O(2.2) you do not discriminate unlawfully, or victimise or harass anyone, in the course of your professional dealings; you provide services to clients in a way that respects diversity; O(2.3) you make reasonable adjustments to ensure that disabled clients, employees or managers are not placed at a substantial disadvantage compared to those who are not disabled, and you do not pass on the costs of these adjustments to these disabled clients, employees or managers;

25 O(2.4) O(2.5) your approach to recruitment and employment encourages equality of opportunity and respect for diversity; complaints of discrimination are dealt with promptly, fairly, openly, and effectively. Chapter 3 - Conflicts of interest O(3.1) O(3.2) you have effective systems and controls in place to enable you to identify and assess potential conflicts of interests; your systems and controls for identifying own interest conflicts are appropriate to the size and complexity of the firm and the nature of the work undertaken, and enable you to assess all the relevant circumstances, including whether your ability as an individual, or that of anyone within your firm, to act in the best interests of the client(s), is impaired by: (a) any financial interest; (b) a personal relationship; (c) the appointment of you, or a member of your firm or family, to public office; (d) commercial relationships; or

26 (e) your employment; O(3.3) your systems and controls for identifying client conflicts are appropriate to the size and complexity of the firm and the nature of the work undertaken, and enable you to assess all relevant circumstances, including whether: (a) the clients' interests are different; (b) your ability to give independent advice to the clients may be fettered; (c) there is a need to negotiate between the clients; (d) there is an imbalance in bargaining power between the clients; or O(3.4) (e) any client is vulnerable; you do not act if there is an own interest conflict or a significant risk of an own interest conflict;

27 O(3.5) O(3.6) you do not act if there is a client conflict, or a significant risk of a client conflict, unless the circumstances set out in Outcomes 3.6 or 3.7 apply; where there is a client conflict and the clients have a substantially common interest in relation to a matter or a particular aspect of it, you only act if: (a) you have explained the relevant issues and risks to the clients and you have a reasonable belief that they understand those issues and risks; (b) all the clients have given informed consent in writing to you acting; (c) you are satisfied that it is reasonable for you to act for all the clients and that it is in their best interests; and (d) you are satisfied that the benefits to the clients of you doing so outweigh the risks;

28 O(3.7) where there is a client conflict and the clients are competing for the same objective, you onlyact if:(a) you have explained the relevant issues and risks to the clients and you have areasonable belief that they understand those issues and risks;(b) the clients have confirmed in writing that they want you to act, in the knowledge thatyou act, or may act, for one or more other clients who are competing for the sameobjective;(c) there is no other client conflict in relation to that matter;(d) unless the clients specifically agree, no individual acts for, or is responsible for thesupervision of work done for, more than one of the clients in that matter; and(e) you are satisfied that it is reasonable for you to act for all the clients and that thebenefits to the clients of you doing so outweigh the risks. Chapter 4 - Confidentiality and disclosure O(4.1) O(4.2) O(4.3) you keep the affairs of clients confidential unless disclosure is required or permitted by law or the client consents; any individual who is advising a client makes that client aware of all information material to that retainer of which the individual has personal knowledge; you ensure that where your duty of confidentiality to one client comes into conflict with your duty of disclosure to another client, your duty of confidentiality takes precedence;

29 O(4.4) you do not act for A in a matter where A has an interest adverse to B, and B is a client for whom you hold confidential information which is material to A in that matter, unless the confidential information can be protected by the use of safeguards, and: (a) you reasonably believe that A is aware of, and understands, the relevant issues and gives informed consent; (b) either: (i) B gives informed consent and you agree with B the safeguards to protect B's information; or (ii) where this is not possible, you put in place effective safeguards including information barriers which comply with the common law; and O(4.5) (c) it is reasonable in all the circumstances to act for A with such safeguards in place; you have effective systems and controls in place to enable you to identify risks to client confidentiality and to mitigate those risks. Chapter 5 - Your client and the court

30 O(5.1) you do not attempt to deceive or knowingly or recklessly mislead the court; O(5.2) you are not complicit in another person deceiving or misleading the court; O(5.3) you comply with court orders which place obligations on you; O(5.4) you do not place yourself in contempt of court; O(5.5) O(5.6) where relevant, clients are informed of the circumstances in which your duties to the court outweigh your obligations to your client; you comply with your duties to the court; O(5.7) you ensure that evidence relating to sensitive issues is not misused; O(5.8) you do not make or offer to make payments to witnesses dependent upon their evidence or the outcome of the case. Chapter 6 - Your client and introductions to third parties

31 O(6.1) O(6.2) O(6.3) whenever you recommend that a client uses a particular person or business, your recommendation is in the best interests of the client and does not compromise your independence; clients are fully informed of any financial or other interest which you have in referring the client to another person or business; if a client is likely to need advice on investments, such as life insurance with an investment element or pension policies, you refer them only to an independent intermediary. Chapter 7 - Management of your business O(7.1) you have a clear and effective governance structure and reporting lines; O(7.2) O(7.3) O(7.4) O(7.5) you have effective systems and controls in place to achieve and comply with all the Principles, rules and outcomes and other requirements of the Handbook, where applicable; you identify, monitor and manage risks to compliance with all the Principles, rules and outcomes and other requirements of the Handbook, if applicable to you, and take steps to address issues identified you maintain systems and controls for monitoring the financial stability of your firm and risks to money and assets entrusted to you by clients and others, and you take steps to address issues identified; you comply with legislation applicable to your business, including anti-money laundering and data protection legislation;

32 O(7.6) O(7.7) O(7.8) O(7.9) O(7.10) you train individuals working in the firm to maintain a level of competence appropriate to their work and level of responsibility; you comply with the statutory requirements for the direction and supervision of reserved legal activities and immigration work; you have a system for supervising clients' matters, to include the regular checking of the quality of work by suitably competent and experienced people; you do not outsource reserved legal activities to a person who is not authorised to conduct such activities; subject to Outcome 7.9, where you outsource legal activities or any operational functions that are critical to the delivery of any legal activities, you ensure such outsourcing (a) does not adversely affect your ability to comply with, or the SRA's ability to monitor your compliance with, your obligations in the Handbook; (b) is subject to contractual arrangements that enable the SRA or its agent to obtain information from, inspect the records (including electronic records) of, or enter the premises of, the third party, in relation to the outsourced activities or functions; (c) does not alter your obligations towards your clients; and (d) does not cause you to breach the conditions with which you must comply in order to be authorised and to remain so.

33 Chapter 8 - Publicity O(8.1) O(8.2) your publicity in relation to your firm or in-house practice or for any other business is accurate and not misleading, and is not likely to diminish the trust the public places in you and in the provision of legal services; your publicity relating to charges is clearly expressed and identifies whether VAT and disbursements are included; O(8.3) O(8.4) O(8.5) you do not make unsolicited approaches in person or by telephone to members of the public in order to publicise your firm or in-house practice or another business; clients and the public have appropriate information about you, your firm and how you are regulated; your letterhead, website and s show the words "authorised and regulated by the Solicitors Regulation Authority" and either the firm's registered name and number if it is an LLP or company or, if the firm is a partnership or sole practitioner, the name under which it is licensed/authorised by the SRA and the number allocated to it by the SRA. Chapter 9 - Fee sharing and referrals O(9.1) O(9.2) your independence and your professional judgement are not prejudiced by virtue of any arrangement with another person; your clients' interests are protected regardless of the interests of an introducer or fee sharer or your interest in receiving referrals;

34 O(9.3) O(9.4) O(9.5) O(9.6) O(9.7) clients are in a position to make informed decisions about how to pursue their matter; clients are informed of any financial or other interest which an introducer has in referring the client to you; clients are informed of any fee sharing arrangement that is relevant to their matter; you do not make payments to an introducer in respect of clients who are the subject of criminal proceedings or who have the benefit of public funding; where you enter into a financial arrangement with an introducer you ensure that the agreement is in writing. Chapter 10 - You and your regulator O(10.1) O(10.2) you ensure that you comply with all the reporting and notification requirements in the Handbook that apply to you; you provide the SRA with information to enable the SRA to decide upon any application you make, such as for a practising certificate, registration, recognition or a licence and whether any conditions should apply;

35 O(10.3) you notify the SRA promptly of any material changes to relevant information about you including serious financial difficulty, action taken against you by another regulator and serious failure to O(10.4) comply with or achieve the Principles, rules, outcomes and other requirements of the Handbook; you report to the SRA promptly, serious misconduct by any person or firm authorised by the SRA, or any employee, manager or owner of any such firm (taking into account, where necessary, your duty O(10.5) O(10.6) O(10.7) O(10.8) of confidentiality to your client); you ensure that the SRA is in a position to assess whether any persons requiring prior approval are fit and proper at the point of approval and remain so; you co-operate fully with the SRA and the Legal Ombudsman at all times including in relation to any investigation about a claim for redress against you; you do not attempt to prevent anyone from providing information to the SRA or the Legal Ombudsman; you comply promptly with any written notice from the SRA;

36 O(10.9) pursuant to a notice under Outcome 10.8, you: (a) produce for inspection by the SRA documents held by you, or held under your control; (b) provide all information and explanations requested; and (c) comply with all requests from the SRA as to the form in which you produce any documents you hold electronically, and for photocopies of any documents to take away; in connection with your practice or in connection with any trust of which you are, or formerly were, a O(10.10) trustee; you provide any necessary permissions for information to be given, so as to enable the SRA to:(a) prepare a report on any documents produced; and(b) seek verification from clients, staff and the banks, building societies or other financialinstitutions used by you; O(10.11) when required by the SRA in relation to a matter specified by the SRA, you: (a) act promptly to investigate whether any person may have a claim for redress against you; (b) provide the SRA with a report on the outcome of such an investigation, identifying persons who may have such a claim; (c) notify persons that they may have a right of redress against you, providing

37 them with information as to the nature of the possible claim, about the firm's complaints procedure and about the Legal Ombudsman; and (d) ensure, where you have identified a person who may have a claim for redress, that the matter is dealt with under the firm's complaints procedure as if that person had made a O(10.12) complaint; you do not attempt to abrogate to any third party your regulatory responsibilities in the Handbook, including the role of Compliance Officer for Legal Practice (COLP) or Compliance Officer for O(10.13) Finance and Administration (COFA); once you are aware that your firm will cease to practise, you effect the orderly and transparent winddown of activities, including informing the SRA before the firm closes. Chapter 11 - Relations with third parties O(11.1) you do not take unfair advantage of third parties in either your professional or personal capacity.

38 O(11.2) O(11.3) O(11.4) you perform all undertakings given by you within an agreed timescale or within a reasonable amount of time; where you act for a seller of land, you inform all buyers immediately of the seller's intention to deal with more than one buyer; you properly administer oaths, affirmations or declarations where you are authorised to do so. Chapter 12 - Separate businesses O(12.1) you do not: (a) own; or (b) actively participate in, O(12.2) a separate business which conducts prohibited separate business activities; if you are a firm: (a) you are not owned by; or (b) connected with, a separate business which conducts prohibited separate business activities;

39 O(12.3) where you:(a) actively participate in;(b) own; or(c) are a firm and owned by or connected with,a permitted separate business, you have safeguards in place to ensure that clients are not misledabout the extent to which the services that you and the separate business offer are regulated; O(12.4) O(12.5) you do not represent any permitted separate business as being regulated by the SRA or any of its activities as being provided by an individual who is regulated by the SRA; you are only connected with reputable separate businesses; O(12.6) you are only connected with a permitted separate business which is an appointed representative if it is an appointed representative of an independent financial adviser.