The Regulated Covered Bonds Regulations 2008

PART 7 U.K. ENFORCEMENT

Authority's power to give directions U.K.

30.—(1) If it appears to the Authority that a person has failed, or is likely to fail, to comply with any requirement imposed on it by or under these Regulations, the Authority may direct that person to take specified steps for the purpose of securing its compliance with any such requirement.

(2) If it appears to the Authority that an owner has failed, or is likely to fail, to comply with any requirement imposed on it by or under these Regulations, the Authority may direct the winding up of that person.

(3) A direction under this regulation is enforceable, on the application of the Authority, by an injunction or, in Scotland, by an order for specific performance under section 45 of the Court of Session Act 1988 M1 (restoration of possession and specific performance).

Marginal Citations

M1 1988 c.36.

Removal from the register U.K.

31.—(1) The Authority may remove an issuer from the register of issuers—

(a) at the issuer's request;

(b) with its consent; or

(c) if it appears to the Authority that the issuer is failing, or has failed, to comply with any requirement imposed on it by or under these Regulations.

(2) But these Regulations (apart from regulation 15(2)) apply to a person which has been removed from the register of issuers as if it were still a person which is admitted to the register.

Directions and revocation: procedure U.K.

32.—(1) Before—

(a) giving a direction under regulation 30; or

(b) removing an issuer from the register of issuers under regulation 31(1)(c),

the Authority must give a warning notice to the person concerned.

(2) If, having considered any representations, the Authority decides to—

(a) make the direction; or

(b) remove the issuer from the register of issuers,

the Authority must give that person a decision notice.

(3) If the Authority decides not to—

(a) make a direction; or

(b) remove the issuer from the register of issuers,

it must give that person written notice of its decision.

(4) If the Authority decides to—

(a) make a direction; or

(b) remove the issuer from the register of issuers,

the person concerned may refer the matter to the [F1 Upper Tribunal].

Textual Amendments

F1 Words in reg. 32(4) substituted (6.4.2010) by The Transfer of Tribunal Functions Order 2010 (S.I. 2010/22), art. 1(2)(f), Sch. 3 para. 153

Powers of the court U.K.

33.—(1) If, on the application of the Authority, the court is satisfied that—

(a) there is a reasonable likelihood that a person will contravene a requirement imposed on it by or under these Regulations; or

(b) a person has contravened any such requirement and there is a reasonable likelihood that the contravention will continue or be repeated,

the court may make an order restraining (or in Scotland an interdict prohibiting) the contravention.

(2) If, on the application of the Authority, the court is satisfied that—

(a) a person has contravened a requirement imposed on it by or under these Regulations; and

(b) there are steps which could be taken for remedying the contravention;

the court may make an order requiring that person, and any other person who appears to have been knowingly concerned in the contravention, to take such steps as the court may direct to remedy it.

(3) The jurisdiction conferred by this regulation is exercisable by the High Court, the Court of Session and the Northern Ireland High Court.

(4) In paragraph (2), references to remedying a contravention include references to mitigating its effect.

Financial penalties U.K.

34.—(1) The Authority may impose a penalty of such amount as it considers appropriate on a person which has contravened a requirement imposed on it by or under these Regulations.

(2) A penalty imposed under this regulation is payable to the Authority.

(3) The Authority may not take action against a person under this regulation after the end of the period of two years beginning with the first day on which it knew of the contravention unless proceedings against that person, in respect of the contravention, were begun before the end of that period.

(4) For the purposes of paragraph (3)—

(a) the Authority is to be treated as knowing of a contravention if it has information from which the contravention can reasonably be inferred; and

(b) proceedings against a person in respect of a contravention are to be treated as begun when a warning notice is given to it under regulation 35.

35.—(1) Where the Authority proposes to impose a penalty under regulation 34, it must give the person concerned a warning notice.

(2) The warning notice must state the amount of the proposed penalty and the Authority's reasons for imposing it.

(3) If, having considered any representations made in response to the warning notice, the Authority decides to impose a penalty under regulation 34, it must without delay give the person concerned a decision notice.

(4) The decision notice must state the amount of the penalty.

(5) If the Authority decides to impose a penalty on a person under regulation 34, that person may refer the matter to the [F2 Upper Tribunal].

Textual Amendments

F2 Words in reg. 35(5) substituted (6.4.2010) by The Transfer of Tribunal Functions Order 2010 (S.I. 2010/22), art. 1(2)(f), Sch. 3 para. 154

36.  Sections 210 (statements of policy) and 211 (statements of policy: procedure) of the Act are to apply in respect of the imposition of penalties under these Regulations and the amount of such penalties as they apply in respect of the imposition of penalties under Part 14 of the Act (disciplinary measures) and the amount of penalties under that Part of that Act.

[F3 36A.— (1) The Authority must in respect of each of its financial years pay to the Treasury any amounts received by it during the year by way of penalties imposed under regulation 34.

(2) The Treasury may give directions to the Authority as to how the Authority is to comply with its duty under paragraph (1).

(3) The directions may in particular—

(a) specify the time when any payment is required to be made to the Treasury, or

(b) require the Authority to provide the Treasury at specified times with information relating to penalties that the Authority has imposed under regulation 34.

(4) The Treasury must pay into the Consolidated Fund any sums received by them under this regulation.]

Textual Amendments

F3 Reg. 36A inserted (1.4.2013) by The Payment to Treasury of Penalties Regulations 2013 (S.I. 2013/429), regs. 1, 2(3)

[F4 37.   Paragraph 19 (penalties) of Schedule 1ZA applies for the purposes of these Regulations as it applies for the purposes of the Act but as if for “this Act” there were substituted “the Regulated Covered Bonds Regulations 2008.]

Textual Amendments

F4 Reg. 37 substituted (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) Order 2013 (S.I. 2013/472), Sch. 2 para. 134(b)

Offence of misleading the Authority U.K.

38.—(1) Subsections (1) and (3) of section 398 [F5 (misleading FCA or PRA)] of the Act are to apply in respect of requirements imposed by or under these Regulations as they apply in respect of requirements imposed by or under the Act.

[F6 (1A) For the purposes of section 398 of the Act, as applied to requirements imposed by or under these Regulations, information provided to the asset pool monitor in response to a requirement under regulation 17A(7) shall be treated as being given to the Authority.]

(2) Section 400 (offences by bodies corporate etc) and subsections (2), (3), (5) and (6) of section 401 (proceedings for offences) of the Act are to apply for the purposes of paragraph (1) as they apply for the purposes of the Act.

Textual Amendments

F5 Words in reg. 38(1) substituted (1.4.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) Order 2013 (S.I. 2013/472), Sch. 2 para. 134(c)

F6 Reg. 38(1A) inserted (1.1.2013) by The Regulated Covered Bonds (Amendment) Regulations 2011 (S.I. 2011/2859), regs. 1, 2(14)