Part V Performance of Regulated Activities

Conduct of approved persons and others

66 Disciplinary powers.

(1)

F1A regulator may take action against a person under this section F2(whether or not it has given its approval in relation to the person) if—

(a)

it appears to the F3regulator that he is guilty of misconduct; and

(b)

the F4regulator is satisfied that it is appropriate in all the circumstances to take action against him.

F5(1A)

For provision about when a person is guilty of misconduct for the purposes of action by a regulator—

(a)

see section 66A, in the case of action by the FCA, and

(b)

see section 66B, in the case of action by the PRA.

F6(2)

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F7(2A)

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(3)

If the F8regulator is entitled to take action under this section against a person, F9it may do one or more of the following——

(a)

impose a penalty on him of such amount as it considers appropriate;

F10(aa)

suspend, for such period as it considers appropriate, any approval of the performance by him of any function to which the approval relates;

F11(ab)

impose, for such period as it considers appropriate, any conditions in relation to any such approval which it considers appropriate;

(ac)

limit the period for which any such approval is to have effect;

(b)

publish a statement of his misconduct.

F12(3A)

The period for which a suspension or F13condition is to have effect may not exceed two years.

(3B)

A suspension F14, condition or limitation may have effect in relation to part of a function.

(3C)

A F15condition may, in particular, be imposed so as to require any person to take, or refrain from taking, specified action.

(3D)

F16The regulator taking action under this section may—

(a)

withdraw a suspension F17, condition or limitation; F18...

(b)

vary a suspension or F19condition so as to reduce the period for which it has effect or otherwise to limit its effect.

F20(c)

vary a limitation so as to increase the period for which the approval is to have effect.

(4)

F21A regulator may not take action under this section after the end of the F22 relevant period beginning with the first day on which F23the regulator knew of the misconduct, unless proceedings in respect of it against the person concerned were begun before the end of that period.

(5)

For the purposes of subsection (4)—

(a)

F24a regulator is to be treated as knowing of misconduct if it has information from which the misconduct can reasonably be inferred; and

(b)

proceedings against a person in respect of misconduct are to be treated as begun when a warning notice is given to him under section 67(1).

F25(5ZA)

“The relevant period” is—

(a)

in relation to misconduct which occurs before the day on which this subsection comes into force, the period of 3 years, and

(b)

in relation to misconduct which occurs on or after that day, the period of 6 years.

F26(5A)

“Approval” means an approval given under section 59.

F27(6)

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F28(7)

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F29(8)

In relation to any time while a suspension is in force under subsection (3)(aa) in relation to part of a function, any reference in section 59 or 63A to the performance of a function includes the performance of part of a function.

(9)

If at any time a F30condition imposed under subsection (3)(ab) is contravened, the approval in relation to the person concerned is to be treated for the purposes of sections 59 and 63A as if it had been withdrawn at that time.