The powers vested in the Autorité des
marchés financiers (AMF) are exercised by a Board of sixteen members, all of whom are nominated by public authorities.
- a chairman appointed by decree of the president of the Republic for a non-renewable five-year term. The Chairman is empowered to act on behalf of the AMF before any court. He or she is subject to the rules of disqualification for public office;
- a councillor of the Conseil d’Etat designated by the vice-president of that body;
- a justice of the Court of Cassation designated by the chief justice of that court;
- a senior member of the Court of Auditors (Cour des comptes) designated by the auditor general;
- a representative of the Banque de France designated the governor of that bank;
- the chairman of the French Accounting Standard Authority (Autorité des normes comptables);
- three members with legal and financial expertise and experience in securities issuance and financial-instrument investments,designated by the presidents of the Senate, the National Assembly and the Economic and Social Council respectively;
- six members with legal and financial expertise and experience in securities issuance and financial-instrument investments, designated by the finance minister after consultation with organisations representing securities-issuing industrial and commercial companies, fund management companies and other investors, investment services providers, market undertakings, clearing houses, operators of clearing and settlement systems and central securities depositaries;
- a representative of employee shareholders designated by the finance minister after consultation with representative labour unions and employee associations.
The term of office of Board members, except for the representative of the Banque de France and the chairman of the National Accounting Board, is five years, renewable once.
One-half the Board is renewed every thirty months.
Members of the Board are subject to ethical and conflict-of-interest rules.
The Director General of the Treasury or his representative has a seat on all of the AMF's bodies (Board, Enforcement Committee and Specialised Commissions) but is not entitled to vote. He may request a second deliberation, however.
Decisions of the Board are taken by majority vote. In the event of a tie, the chairman has the casting vote.
The Board may delegate some of its powers to Specialised Commissions of its members chaired by the AMF chairman. The Board may also delegate authority to its chairman.
In addition, the Board may set up Consultative Commissions of experts to assist it in preparing decisions.
The Board is the decision-making body of the AMF. The Board:
- adopts the AMF's budget on the recommendation of the secretary general and approves the AMF's financial statements
- sets bylaws and rules of conduct for staff, as well as the general conditions of recruitment, employment and remuneration
- adopts the General Regulation of the AMF
- takes individual decisions (statements of compliance, authorisations, etc.)
- may issue cease and desist orders regarding practices contrary to law or regulation when such practices impair investors' rights or manipulate the market.
The Board may also initiate a sanction
proceedings, but exercise of disciplinary power is reserved for the
Enforcement Committee, which is entirely separate from the Board.
- It examines reports of inspections and investigations and, if it decides to open a sanction proceedings, notifies the persons concerned of the causes of action;
- Having examined the investigation or inspection report and participated in the decision to initiate sanction proceedings, a member of the Board is called to the hearing. The Board member is present but is not entitled to vote and may be accompanied or represented by the AMF's staff. He/she may submit observations in support of the complaint and propose a sanction;
- may in urgent cases suspend the activity of professionals subject to AMF supervision when sanction proceedings
have been initiated against them;
- may transmit reports of audits and investigations to the public prosecutor.