PART 2Money Laundering and Terrorist Financing
CHAPTER 1Application
Credit institutions and financial institutions10
1
In these Regulations, “credit institution” means—
a
a credit institution as defined in Article 4.1(1) of the capital requirements regulation; or
b
a branch (as defined by Article 4.1(17) of that regulation) located in F1the United Kingdom of an institution falling within sub-paragraph (a) (or an equivalent institution whose head office is located in a third country) wherever the institution's head office is located,
when it accepts deposits or other repayable funds from the public or grants credits for its own account (within the meaning of the capital requirements regulation), or when it bids directly in auctions in accordance with the emission allowance auctioning regulation F9or the UK auctioning regulations on behalf of its clients.
2
In these Regulations, “financial institution” means—
a
an undertaking, including a money service business, other than an institution referred to in paragraph (3), when the undertaking carries out one or more listed activity;
F2b
an authorised person (within the meaning of section 31 of FSMA), who has permission under Part 4A of FSMA to carry out or effect contracts of insurance, when carrying out or effecting any contract of long-term insurance (an “insurance undertaking”);
c
a person (other than F3a person falling within one of the exclusions to the definition of “investment firm” in article 3(1) of the Regulated Activities Order), whose regular occupation or business is the provision to other persons of an investment service or the performance of an investment activity on a professional basis, when—
i
providing investment services or performing investment activities (F4within the meaning of that article); or
ii
bidding directly in auctions in accordance with the emission allowance auctioning regulation F10or the UK auctioning regulations on behalf of its clients;
d
e
a collective investment undertaking, when marketing or otherwise offering its units or shares;
f
an insurance intermediary as defined in Article 2.5 of Directive 2002/92/EC of the European Parliament and of the Council of 9th December 2002 on insurance mediation M1, with the exception of a tied insurance intermediary as mentioned in Article 2.7 of that Directive F5(and for this purpose, Article 2.7 is to be read as if “insurance undertaking” has the meaning given in sub-paragraph (b)), when it acts in respect of contracts of long-term insurance;
g
a branch located in F6the United Kingdom of a person referred to in sub-paragraphs (a) to (f) (or an equivalent person whose head office is located in a third country), wherever the person's head office is located, when carrying out any activity mentioned in sub-paragraphs (a) to (f);
h
the National Savings Bank;
i
the Director of Savings, when money is raised under the auspices of the Director under the National Loans Act 1968 M2.
3
For the purposes of paragraph (2)(a), the institutions referred to are—
a
a credit institution;
b
an undertaking whose only listed activity is as a creditor under an agreement which—
i
falls within section 12(a) of the Consumer Credit Act 1974 M3 (debtor-creditor-supplier agreements);
ii
provides fixed sum credit (within the meaning given in section 10(1)(b) of the Consumer Credit Act 1974 (running-account credit and fixed-sum credit)) in relation to the provision of services; and
iii
provides financial accommodation by way of deferred payment or payment by instalments over a period not exceeding 12 months;
c
an undertaking whose only listed activity is trading for its own account in one or more of the products listed in point 7 of F13...F7 Schedule 2 where the undertaking does not have a customer (and, for this purpose, “customer” means a person other than the undertaking which is not a member of the same group as the undertaking).