Financial Supervisory Authority reminds supervised entities of their obligation to submit correct and checked supervisory data

The Financial Supervisory Authority (FIN-FSA) has recently identified a number of shortcomings in supervised entities’ compliance with their regulatory reporting obligations and in the quality of the reported supervisory data.

The utilisation of correct and accurate supervisory data is essential to support the fulfilment of the FIN-FSA’s tasks. Effective use of data in supervision and decision-making has also been one of the strategic objectives of the FIN-FSA’s current strategy period. Without up-to-date and reliable data, supervision and the assessment of compliance with regulatory requirements are adversely affected. Supervisory reporting data are also utilised in supervised entities’ internal reporting and external publications, and therefore the accuracy and good quality of supervisory data are also essential for supervised entities’ own decision-making and stakeholder confidence.

The FIN-FSA reminds supervised entities of their obligation to submit accurate and timely supervisory data. If a supervised entity detects errors or inaccuracies in data already reported, they must be corrected without undue delay. The passage of time does not remove a supervised entity’s obligation to correct data previously submitted and later found to be incorrect.

Automated quality assurance checks have been implemented for data collections reported to the FIN-FSA’s Reporting System for supervised entities. However, automated validations are far from covering all quality assurance needs and do not remove the supervised entity’s responsibility to provide correct and accurate data.

In a number of its regulations and guidelines regarding supervisory reporting, the FIN-FSA requires a declaration on the accuracy of reported data. The purpose of the procedure is to ensure that the data submitted by the supervised entity to the FIN-FSA are checked and accurate. The supervised entity must update the declaration whenever changes take place in the reporting process it describes. The declaration must be presented to the FIN-FSA on request. Accuracy of reported data - Reporting of financial standing and risks - www.finanssivalvonta.fi.

Pursuant to section 38, subsection 1, paragraph 1 of the Act on the Financial Supervisory Authority, the FIN-FSA may impose an administrative fine on a party that neglects or breaches its obligation to submit data to be regularly submitted to the FIN-FSA under provisions or regulations for the fulfilment of its statutory tasks.

For more information, please contact

• Mikael Lukjanov, Senior Specialist, mikael.lukjanov(at)fiva.fi
• Sinikka Taskinen, Senior Specialist, sinikka.taskinen(at)fiva.fi