Related provisions for DEPP 6A.3.4
1 - 15 of 15 items.
The FCA1 will consider the full circumstances of each case and determine whether it is appropriate to impose a suspension, restriction, condition or limitation.2 The FCA1 will usually make this decision at the same time as it determines whether or not to impose a financial penalty or a public censure.11
The FCA1 will consider it appropriate to impose a suspension, restriction, condition or limitation.2 where it believes that such action will be a more effective and persuasive deterrent than the imposition of a financial penalty alone. This is likely to be the case where the FCA1 considers that direct and visible action in relation to a particular breach is necessary. Examples of circumstances where the FCA1 may consider it appropriate to take such action2 include:111(1) where
Some of the distinguishing features of notices given under enactments other than the Act are as follows: (1) [deleted]66(2) [deleted]66(3) Friendly Societies Act 1992, section 58A1: The warning notice and decision notice must set out the terms of the direction which the FCA6 proposes or has decided to give and any specification of when the friendly society is to comply with it. A decision notice given under section 58A(3) must give an indication of the society's right, given by
The FCA2 will consider all the relevant circumstances of a case when it determines the length of the period of suspension, restriction or condition3 (if any) that is appropriate for the breach concerned, and is also a sufficient deterrent. Set out below is a list of factors that may be relevant for this purpose. The list is not exhaustive: not all of these factors may be applicable in a particular case, and there may be other factors, not listed, that are relevant.2
The following factors may be relevant to determining the appropriate length of the period of suspension, restriction or condition3 to be imposed on a person under the Act:(1) DeterrenceWhen determining the appropriate length of the period of suspension, restriction or condition3 the FCA2 will have regard to the principal purpose for which it imposes sanctions, namely to promote high standards of regulatory and/or market conduct by deterring persons who have committed breaches
The FCA2 may delay the commencement of the period of suspension or restriction. In deciding whether this is appropriate, the FCA2 will take into account all the circumstances of a case. Considerations that may be relevant in respect of an authorised person, sponsor or primary information provider2 include:22(1) the impact of the suspension or restriction on consumers;(2) any practical measures the authorised person, sponsor or primary information provider2 needs to take before
The deterrent effect and impact on a person of a suspension, restriction, condition or limitation2, by itself or in combination with a financial penalty, may be greater than where only a financial penalty is imposed. The FCA1 will consider the overall impact and deterrent effect of the sanctions it imposes when determining the level of penalty and the length of suspension, restriction, condition or limitation2. 1
The FCA1 expects usually to take the following approach in respect of the interaction between a suspension, restriction, condition or limitation2 and a financial penalty or public censure:1(1) The FCA1 will determine which sanction, or combination of sanctions, is appropriate for the breach.1(2) If the FCA1, following the approach set out in DEPP 6.2, considers it appropriate to impose a financial penalty, it will calculate the appropriate level of the financial penalty, following
The FCA1 may depart from the approach set out in DEPP 6A.4.2 G. For example, the FCA1 may at the outset consider that a financial penalty is the only appropriate sanction for a breach but, having determined the appropriate level of financial penalty, may consider it appropriate to reduce the amount of the financial penalty for serious financial hardship reasons. In such a situation, the FCA1 may consider it appropriate to impose a suspension, restriction, condition or limitation2
1DEPP 6A sets out the FCA's2 statement of policy with respect to the imposition of suspensions or restrictions under sections 88A, 89Q and 206A of the Act3, and the period for which those suspensions or restrictions are to have effect, as required by sections3 88C(1), 89S(1)2 and 210(1) of the Act. It also sets out the FCA's statement of policy on the imposition of suspensions, conditions or limitations under section 66 of the Act, the period for which suspensions or conditions
The power to impose a suspension, restriction, condition or limitation3 is a disciplinary measure which the FCA2 may use in addition to, or instead of, imposing a financial penalty or issuing a public censure. The principal purpose of imposing such a measure3 is to promote high standards of regulatory and/or market conduct by deterring persons who have committed breaches from committing further breaches, helping to deter other persons from committing similar breaches, and demonstrating
The powers to impose a suspension, restriction, condition or limitation3 in relation to authorised persons and approved persons are disciplinary measures;2 where the FCA2 considers it necessary to take action, for example, to protect consumers from an authorised person, the FCA2 will seek to cancel or vary the authorised person'spermissions. If the FCA2 has concerns with a person's fitness to be approved, and considers it necessary to take action, the FCA2 will seek to prohibit
1As with cases under the Act, the FCA may settle or mediate appropriate cases involving civil breaches of the Money Laundering Regulations to assist it to exercise its functions under the Regulations in the most efficient and economic way. The settlement discount scheme set out in DEPP 6.7 applies to penalties imposed under the Money Laundering Regulations.
Persons subject to enforcement action may be prepared to agree the amount of any financial penalty, or the length of any period of suspension, restriction, condition or limitation (see DEPP 6A)4, and other conditions which the FCA seeks to impose by way of such action. These4 conditions might include, for example, the amount or mechanism for the payment of compensation to consumers. The FCA recognises the benefits of such agreements, as4 they offer the potential for securing earlier
2The settlement discount scheme which applies to the amount of a financial penalty, described in DEPP 6.7.2 G to DEPP 6.7.5 G, also applies to the length of the period of a suspension, restriction or condition4, having regard to the FCA's3 statement of policy as set out in DEPP 6A.3. The settlement discount scheme does not apply to the length of the period for which approvals under section 59 of the Act have effect as a result of a limitation, as different considerations apply
3The FCA may publish information about warning notices which fall within section 391(1ZB) of the Act. These are essentially disciplinary warning notices, for example, where the FCA is proposing to censure, fine, or impose a suspension, restriction, condition or limitation on1 a firm or individual. The power to publish information does not apply, for example, to warning notices which only propose to prohibit an individual, withdraw the approval of an individual or cancel the permission
1In recognition of the value of early settlement, the FCA operates a scheme to award explicit discounts for early settlement of cases involving financial penalties. Details of the scheme, which applies only to settlement of cases where investigators were appointed on or after 20 October 2005, are set out in DEPP 6.7. This chapter provides some commentary on certain practical aspects of the operation of the scheme.
3The FCA has the power to take the following enforcement action: discipline authorised firms under Part XIV of the 2000 Act and approved persons and other individuals1under s.66 of the 2000 Act;impose penalties on persons that perform controlled functions without approval under s.63A of the 2000 Act;impose civil penalties in cases of market abuse under s.123 of the 2000 Act;prohibit an individual from being employed in connection with a regulated activity, under s.56 of the 2000
1This manual (DEPP) is relevant to firms, approved persons and other persons, whether or not they are regulated by the FCA.5 It sets out:5(1) the FCA's5 decision-making procedure for giving statutory notices. These are warning notices, decision notices and supervisory notices (DEPP 1.2 to DEPP 5);5(1A) the FCA's decision-making procedure in cases where the PRA is required to seek the FCA's consent before approving an application (a) for Part 4A permission; (b) for the variation