SCHEDULE 2Amendments to the Financial Services and Markets Act 2000
Amendments to Part 23 (public record, disclosure of information and co-operation)44
1
Section 347 (the record of authorised persons etc) is amended as follows.
2
In subsection (1)(a) for the “and” after paragraph (hb) M1 insert—
hc
appointed representative to whom subsection (2C) applies; and
3
In subsection (2A) M2—
a
in paragraph (a) after “subsection (1A)” insert “
or (1AA)
”
; and
b
in paragraph (c) M3 for “23.3” substitute “
29.3
”
.
4
After subsection (2B) M4 insert—
2C
This subsection applies to an appointed representative of an authorised person who has a Part 4A permission by virtue of regulation 4 or 7 of the Financial Services and Markets Act 2000 (Markets in Financial Instruments) Regulations 2017 (S.I. 2017/XXXX).
5
After subsection (3) insert—
3A
But if a person ceases to be a person to whom one of the paragraphs of subsection (1) applies as a result of—
a
a cancellation of that person's Part 4A permission under section 55J(6) M5 because one or more of the conditions in 55K(1)(b) to (d) was met; or
b
a cancellation of that person's Part 4A permission to carry on regulated activities as an exempt investment firm under section 55J(1) to (3) because—
i
the person has contravened a requirement imposed on that person by or under the Act for the purposes of Article 3.2(a) of the markets in financial instruments directive; and
ii
one or more of the conditions mentioned in Article 8(b) to (d) of the directive was met;
the power conferred by subsection (3) is not exercisable for a period of five years from the date on which the person ceased to be a person to whom subsection (1) applied.
3B
Where the power conferred by subsection (3) is not exercisable in respect of an entry in the record as a result of subsection (3A) the FCA must—
a
make a note in the record that it considers the person to whom the entry relates has ceased to be person to whom one of the paragraphs of subsection (1) applies as a result of a cancellation of that person's Part 4A permission for a reason mentioned in subsection (3A)(a) or (b); and
b
state why it considers that is the case.
6
At the end of subsection (4)(b) insert “
in any case where it has not already done so under subsection (3B)
”
.
7
In subsection (8A) M6 at the appropriate place insert—
“exempt investment firm” means an authorised person who—
a
is an investment firm; and
b
has a Part 4A permission;
but to whom Title II of the markets in financial instruments directive does not apply by virtue of Article 3 of the directive..