When evaluating a corporate licence application, past conduct may be considered for which groups?

• A. Officers
• B. Directors
• C. Any other individuals owning or in control of 10% or more of the equity shares
• D. All of the above

Answer: (D)

When a licensing authority evaluates a corporate licence, it looks at whether the people who can influence the company meet standards of honesty, integrity, and financial probity. Those in charge—officers and directors—have direct control over decisions and operations, so their past behavior is central to assessing fit. So too must be considered any individual who owns or controls a substantial stake (10% or more), because they can steer governance and risk exposure even if they aren’t in an executive role. Since all of these positions can meaningfully affect how the business operates and its risk to the public, the regulator evaluates past conduct for each group. That’s why the best answer is that past conduct may be considered for all of these groups.