Recently, a number of trust companies received the Notice of the General Office of China Banking Regulatory Commission (Draft for Comment) (hereinafter referred to as the Draft for Comment), which emphasized that the middle and back office departments of trust companies should move back to their registered places or merge with the registered departments. Some analysts said that this policy will profoundly affect the business model of the trust industry.
Restrict headquarters and departments from different places.
The Draft for Comment mainly involves two aspects. On the one hand, it is to rectify the management headquarters of trust companies in different places, which means that the previous "double headquarters" operation mode of trust companies will no longer apply; On the other hand, it is necessary to rectify the off-site departments of trust companies, requiring trust companies with off-site departments to meet relevant requirements in terms of category, quantity, establishment area and personnel scale.
With regard to the off-site management headquarters, a trust company may not establish or form the operation mode of off-site management headquarters outside its registered place. In the rectification work of the headquarters of off-site management, the middle and back office departments should move back to the place of registration or merge with the departments of the place of registration, and the front office departments should carry out rectification according to the relevant requirements of the Notice. The chairman (including vice chairman), management and supervisor (chairman of the board of supervisors) shall work in the registered place, and shall not set up offices elsewhere.
With regard to the departments in different places, the Notice has also made detailed provisions: the trust company shall rectify the departments in different places as required within 1 year from the date of issuance of the Notice, and the rectification methods are not limited to merger, division, relocation and cancellation. ; The front office (business, marketing) of a trust company can be set up in different places, and the middle and back office departments should be set up in the registered place. The front desk department in different places does not have business approval authority; Trust companies can set up off-site departments in seven provincial administrative regions: Beijing, Shanghai, Jiangsu, Zhejiang, Hubei, Guangdong and Sichuan, but each provincial administrative region can only choose one place to set up off-site departments (with the same address), and there must be regional leaders; The total number of off-site departments established by a single trust company in the seven provincial administrative regions specified in the preceding paragraph should be within 22, and the total number of off-site departments established by a single trust company should be within 5, of which the marketing department established by a single trust company should be within 1; A trust company shall reasonably arrange the personnel size of a single off-site department, and the proportion of the total number of employees of all off-site departments to the total number of employees of the trust company shall be less than 35%.