If the Authority proposes to refuse approval of a proposal to replace the depositary, or any director, of an open-ended investment company, it must give a warning notice to the company.

If the Authority proposes to refuse approval of any other proposal falling within regulation 21, it must give separate warning notices to the company and its depositary.

To be valid the warning notice must be received by that person before the end of one month beginning with the date on which notice of the proposal was given.

If, having given a warning notice to a person, the Authority decides to approve the proposal, it must give him a F1written notice.