Restitution by the Authority
3.—(1) Paragraph (2) applies if—
(a)an authorised person (within the meaning of the Act) was, immediately before commencement, a member of a recognised self-regulating organisation or a recognised self-regulating organisation for friendly societies;
(b) the Authority is satisfied that before commencement he contravened a requirement imposed by a rule of that organisation which regulated the carrying on by him of investment business;
(c)that organisation had, immediately before commencement, a power that corresponded to the power of the Authority under section 384(5) (power to order restitution) in relation to that contravention (or would have had such a power had an application been made to it by or on behalf of a person who had suffered loss or been otherwise adversely affected as a result of the contravention) but had not exercised that power in relation to that contravention; and
(d) the Authority is satisfied that section 384(1)(b) is met in relation to that contravention.
(2) The Authority may, subject to paragraph (3), exercise the power in section 384(5).
(3) The Authority may exercise the power in section 384(5) in relation to a contravention of a requirement imposed by a rule of The Securities and Futures Authority Limited only on the application by or on behalf of a person who has suffered loss or been otherwise adversely affected as a result of the contravention.