9.2.1The ultimate responsibility/accountability of an outsourced function remains with the Licensed Person and the Board of Directors (or with the Owner/Partners where there is no Board of Directors);
9.2.2The Licensed Person must:
a)ensure that it continues to satisfy all regulatory obligations with respect to an outsourced function;
b)ensure that a dedicated employee, who is a subject matter expert, is appointed to manage the relationship between the Licensed Person and the Outsourcing Service Provider (i.e. “the Service Provider”) in the case of functions which are outsourced as per the conditions of this Chapter. Such dedicated employee may be allowed to manage the relationships for multiple outsourced functions provided that such multiple roles handled by the dedicated employee remains free from any conflict of interest;
c)ensure that adequate mechanisms are implemented for monitoring the performance of the Service Provider;
d)immediately inform the Banking Supervision Department of any material problems encountered with an outsourced function or the Service Provider; and
e)continue to monitor the associated risks of outsourced functions and pay due attention to the security and effectiveness of internal controls implemented by the Service Provider to mitigate such risks.