Part VIIIProvisions relating to market abuse

Procedure

126 Warning notices.

F1(1)

If the FCA proposes—

(a)

to impose a penalty on a person under section 123(2);

(b)

to publish a statement censuring a person under section 123(3);

(c)

to impose a temporary prohibition on an individual under section 123A(2)(a);

(d)

to impose a temporary prohibition on an individual under section 123A(2)(b);

(e)

to impose a permanent prohibition on an individual under section 123A(3); or

(f)

to impose a suspension or restriction in relation to a person under section 123B;

it must give the person a warning notice.

(2)

A warning notice about a proposal to impose a penalty F2under section 123 must state the amount of the proposed penalty.

(3)

A warning notice about a proposal to publish a statement F3under section 123 must set out the terms of the proposed statement.

F4(4)

A warning notice about a proposal to impose a prohibition under section 123A must set out the terms of the proposed prohibition.

(5)

A warning notice about a proposal to impose a suspension or restriction under section 123B must state the period for which the suspension or restriction is to have effect.

127 Decision notices and right to refer to Tribunal.

F5(1)

If the FCA decides—

(a)

to impose a penalty on a person under section 123(2);

(b)

to publish a statement censuring a person under section 123(3);

(c)

to impose a temporary prohibition on an individual under section 123A(2)(a);

(d)

to impose a temporary prohibition on an individual under section 123A(2)(b);

(e)

to impose a permanent prohibition on an individual under section 123A(3);

(f)

to impose a suspension or restriction in relation to a person under section 123B;

it must give the person a decision notice.

(2)

A decision notice about the imposition of a penalty F6under section 123 must state the amount of the penalty.

(3)

A decision notice about the publication of a statement F7under section 123 must set out the terms of the statement.

F8(3A)

A decision notice about the imposition of a prohibition under section 123A must set out the terms of the prohibition.

(3B)

A decision notice about the imposition of a suspension or restriction under section 123B must state the period for which the suspension or restriction is to have effect.

F9(4)

If the FCA decides—

(a)

to impose a penalty on a person under section 123(2);

(b)

to publish a statement censuring a person under section 123(3);

(c)

to impose a prohibition on an individual under section 123A; or

(d)

to impose a suspension or restriction in relation to a person under section 123B;

that person may refer the matter to the Tribunal.

F10127A.Consultation with the PRA in relation to administrative sanctions

(1)

The FCA must consult the PRA before giving a warning notice under section 126(1)(a), (b), (d) or (f) or a decision notice under section 127(1)(a), (b), (d) or (f) in relation to a person who—

(a)

is a PRA-authorised person; or

(b)

is a member of a PRA-authorised person’s immediate group.

(2)

The FCA must consult the PRA before giving a warning notice under section 126(1)(c) or (e) or a decision notice under section 127(1)(c) or (e) if as a result of the prohibition in question an individual would be prohibited from holding an office or position involving responsibility for taking decisions about the management of a PRA-authorised investment firm.

(3)

The FCA must consult the PRA before varying or revoking a prohibition under section 123A(2)(a) or (3) if as a result of the proposed variation or revocation an individual would no longer be prohibited from holding an office or position involving responsibility for taking decisions about the management of a PRA-authorised investment firm.

(4)

In this section “PRA-authorised investment firm” means an investment firm which is a PRA-authorised person and carries on a regulated activity.