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6.—(1) In the event of a breach of a condition in regulation 4, the Scottish Ministers may, after giving notice in writing to the person specified in paragraph (5) of this regulation, recover from that person as a debt—
(a)a sum calculated in accordance with paragraph (2) of this regulation; and
(b)interest on that sum at the rate of 8 per cent per annum above the Bank of England base rate, calculated on a daily basis, from the date on which payment of the grant was made until the date of repayment.
(2) The sum is a sum bearing the same proportion to the grant as the period between the date of the breach of the condition referred to in paragraph (1) of this regulation and the expiration of the period specified in regulation 3 bears to the whole of that period.
(3) In any legal proceedings brought pursuant to paragraph (1), a certificate of the Scottish Ministers which—
(a)sets out the Bank of England base rate applicable during a specified period; and
(b)includes a statement that the Bank of England notified the Scottish Ministers of that rate for that period,
is evidence of the rate applicable during that period.
(4) In this regulation, “the Bank of England base rate” means—
(a)except where sub-paragraph (b) applies, the rate announced from time to time by the Monetary Policy Committee of the Bank of England as the official dealing rate being the rate at which the Bank is willing to enter into transactions for providing short-term liquidity in the markets; or
(b)if an order under section 19 (reserve powers) of the Bank of England Act 1998(1) is in force, an equivalent determined by the Treasury under that section.
(5) The person is—
(a)where the breach is a breach of a condition in regulation 4(4), the person who by virtue of regulation 4(6) was required to comply with that condition;
(b)where the dwelling-house in respect of which a grant has been provided becomes vacant on the death of the person mentioned in regulation 4(6), the executor of the deceased in that person’s capacity as executor;
(c)where the tenancy of—
(i)the croft; or
(ii)the holding occupied by a cottar,
relating to the dwelling-house in respect of which a grant has been provided terminates otherwise than on the death of the tenant and the dwelling-house is unlet, the person who was the last tenant of that croft or holding; and
(d)in any other case, the person mentioned in regulation 4(6).
(6) The Crofting Commission may act on behalf of the Scottish Ministers for the purpose of exercising functions under this regulation.
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Policy Note sets out a brief statement of the purpose of a Scottish Statutory Instrument and provides information about its policy objective and policy implications. They aim to make the Scottish Statutory Instrument accessible to readers who are not legally qualified and accompany any Scottish Statutory Instrument or Draft Scottish Statutory Instrument laid before the Scottish Parliament from July 2012 onwards. Prior to this date these type of notes existed as ‘Executive Notes’ and accompanied Scottish Statutory Instruments from July 2005 until July 2012.
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