C1 Part VIIIF1Provisions relating to market abuse
Pt. 8 applied (with modifications) (18.6.2012) by The Recognised Auction Platforms Regulations 2011 (S.I. 2011/2699), regs. 1(2)(b), 6, Sch. 1 (as amended (3.1.2018) by The Financial Services and Markets Act 2000 (Markets in Financial Instruments) (No.2) Regulations 2017 (S.I. 2017/1255), regs. 2(b), 9)
F2Administrative sanctions
Ss. 123-123C and cross-heading substituted for s. 123 and cross-heading (3.7.2016) by The Financial Services and Markets Act 2000 (Market Abuse) Regulations 2016 (S.I. 2016/680), regs. 1, 9(5)
123AF2Power to prohibit individuals from managing or dealing
1
The FCA may exercise its power under subsection (2) if it is satisfied that an individual—
a
has contravened Article 14 (prohibition of insider dealing and of unlawful disclosure of inside information) or Article 15 (prohibition of market manipulation) of the market abuse regulation;
b
has contravened, or been knowingly concerned in the contravention of—
i
a provision of the market abuse regulation other than Article 14 or 15 of that regulation; or
ii
a provision of F8any supplementary market abuse legislation; or
2
The FCA’s power under this subsection is a power to impose F4one or more of the following—
a
a temporary prohibition on the individual holding an office or position involving responsibility for taking decisions about the management of an investment firm;
b
a temporary prohibition on the individual acquiring or disposing of financial instruments, whether on his or her own account or the account of a third party and whether directly or indirectly.
F5c
a temporary prohibition on the individual making a bid, on his or her own account or the account of a third party, directly or indirectly, at an auction conducted by a recognised auction platform.
3
If the FCA is satisfied that an individual has contravened Article 14 or 15 of the market abuse regulation the FCA may impose a permanent prohibition on the individual holding an office or position involving responsibility for taking decisions about the management of an investment firm.
4
A prohibition imposed under subsection (2) may be expressed to expire at the end of such period as the FCA may specify, but the imposition of a prohibition that expires at the end of a specified period does not affect the FCA’s power to impose a new prohibition under subsection (2).
5
A prohibition imposed under subsection (2)(a) or (3) may be expressed to prohibit an individual holding an office or position involving responsibility for taking decisions about the management of—
a
a named investment firm;
b
an investment firm of a specified description; or
c
any investment firm.
6
An investment firm must take reasonable care to ensure that no individual who is subject to a prohibition under subsection (2)(a) or (3) on the holding of an office or position involving responsibility for taking decisions about the management of the firm holds such an office or position.
7
The FCA may vary or revoke a prohibition imposed under this section.
F68
For the meaning of “recognised auction platform” in this Part, see section 131AB.
Pt. 8 heading substituted (3.7.2016) by The Financial Services and Markets Act 2000 (Market Abuse) Regulations 2016 (S.I. 2016/680), regs. 1, 9(2)