C2C3C4 Part XIII Incoming Firms: Intervention by F3FCA or PRA
Pt. 13 modified (1.12.2001) by S.I. 2001/3592, arts. 1(2), 114(3)(a) (with art. 23(2))
Pt. 13 extended (1.12.2001) by S.I. 2001/2636, arts. 1(2)(b), 32; S.I. 2001/3538, art. 2(1)
Pt. 13 extended (5.10.2001 for specified purposes otherwise 1.12.2001) by S.I. 2001/3084, art. 2(7); S.I. 2001/3538, art. 2(1)
Pt 13 excluded (1.12.2001) by S.I. 2001/3592, art. 107(2) (with art. 23(2))
Pt. 13 applied (with modifications) (26.7.2013 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services Act 2012 (Consumer Credit) Order 2013 (S.I. 2013/1882), arts. 1(1), 3(6)
Pt. 13 applied (with modifications) by S.I. 2011/99, Sch. 3 para. 4A (as inserted (13.8.2017 for specified purposes, 13.10.2017 for specified purposes) by The Payment Services Regulations 2017 (S.I. 2017/752), reg. 1(2)(c)(iii)(3)(f)(i)(6), Sch. 8 para. 5(31)(b) (with reg. 3))
Interpretation
C1I1194 General grounds on which power of intervention is exercisable.
1
The F4appropriate regulator may exercise its power of intervention in respect of an incoming firm if it appears to it that—
a
the firm has contravened, or is likely to contravene, a requirement which is imposed on it by or under this Act (in a case where the F4appropriate regulator is responsible for enforcing compliance in the United Kingdom);
b
the firm has, in purported compliance with any requirement imposed by or under this Act, knowingly or recklessly given the F4appropriate regulator information which is false or misleading in a material particular; or
i
in the case of the FCA, one or more of its operational objectives, and
ii
in the case of the PRA, any of its objectives.
F21A
For the purposes of subsection (1)(c) it does not matter whether there is a relationship between the incoming firm and the persons whose interests will be protected by the exercise of the power of intervention.
F121AA
Where an incoming firm is an EEA firm falling within paragraph 5(d) or (da) of Schedule 3, the appropriate regulator must not exercise its power of intervention under subsection (1)(c) in respect of that firm if doing so would, for the purposes of the Solvency 2 Directive, constitute financial supervision of that firm.
F61B
The “appropriate regulator” means—
a
where the incoming firm is a PRA-authorised person, the FCA or the PRA;
b
in any other case, the FCA.
F82
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F83
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F84
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
F75
The FCA may exercise its power of intervention in respect of an EEAAIFM if it appears to the FCA that the EEAAIFM has contravened, or is likely to contravene, a requirement imposed by—
a
the Alternative Investment Fund Managers Regulations 2013; F10...
b
any directly applicable EU regulation made under the alternative investment fund managers directive.F11; or
F9c
Regulation (EU) No 2015/760 of the European Parliament and of the Council of 29th April 2015 on European Long-term Investment Funds or any directly applicable regulation made under that Regulation.
Words in Pt. 13 heading substituted (27.2.2013 for specified purposes, 1.4.2013 in so far as not already in force) by Financial Services Act 2012 (c. 21), s. 122(3), Sch. 4 para. 30 (with Sch. 20); S.I. 2013/423, arts. 2, 3, Sch.