Financial Services and Markets Bill - continued        House of Lords
PART IV, PERMISSION TO CARRY ON REGULATED ACTIVITIES - continued
Procedure - continued

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Determination of applications.     50. - (1) An application under this Part must be determined by the Authority before the end of the period of six months beginning with the date on which it received the completed application.
 
      (2) The Authority may determine an incomplete application if it considers it appropriate to do so; and it must in any event determine such an application within twelve months beginning with the date on which it received the application.
 
      (3) The applicant may withdraw his application, by giving the Authority written notice, at any time before the Authority determines it.
 
      (4) When the Authority determines an application it must give the applicant written notice-
 
 
    (a) of its determination; and
 
    (b) if the application is granted, of the date on which the determination takes effect.
Refusal of application for permission.     51. - (1) If the Authority proposes to refuse an application under this Part it must (unless subsection (3) applies) give the applicant a warning notice.
 
      (2) If the Authority refuses the application it must give the applicant a decision notice.
 
      (3) This subsection applies if it appears to the Authority that-
 
 
    (a) the applicant qualifies for authorisation under Schedule 3; and
 
    (b) the application is made with a view to carrying on a regulated activity for which the applicant is entitled to permission as a result of that Schedule.
Procedure on exercise of the Authority's own-initiative power.     52. - (1) This section applies if the Authority proposes to exercise its own-initiative power in relation to an authorised person and section 53 does not apply.
 
      (2) The Authority must give the authorised person written notice of its intention to exercise the power.
 
      (3) The notice must-
 
 
    (a) give details of the action which the Authority proposes to take;
 
    (b) state its reasons for proposing to take that action; and
 
    (c) inform the authorised person that representations may be made to the Authority about its proposal before the end of the period specified in the notice.
      (4) If, after considering any representations made to it before the end of the specified period, the Authority decides to take the proposed action, it must give the authorised person written notice-
 
 
    (a) specifying the date on which it will take effect;
 
    (b) giving its reasons for taking the action; and
 
    (c) informing him of his right to refer the matter to the Tribunal.
Exercise of own-initiative power with immediate effect.     53. - (1) The Authority may exercise its own-initiative power without first complying with the requirements of section 52 if it appears to it-
 
 
    (a) that there is a threat to persons using, or likely to use, a service provided by the authorised person in carrying on a regulated activity; and
 
    (b) that it is desirable, in the interests of those persons, for it to exercise its power without delay.
      (2) If the Authority proceeds under this section it must give written notice to the authorised person concerned-
 
 
    (a) specifying the date on which the action which it is taking will take effect;
 
    (b) giving its reasons for taking that action; and
 
    (c) stating that the authorised person may make representations to the Authority before the end of the period specified in the notice.
      (3) The action taken by the Authority may not have effect before the date specified in the notice under subsection (2)(a).
 
      (4) The Authority must-
 
 
    (a) in the light of any representations made to it before the end of the specified period, consider whether to take any further action in the matter; and
 
    (b) give the authorised person written notice of the decision which it takes under paragraph (a).
      (5) Notice under subsection (4)(b) must inform the authorised person of his right to refer the matter to the Tribunal.
 
 
References to the Tribunal
Right to refer matters to the Tribunal.     54. - (1) An applicant who is aggrieved by the determination of an application made under this Part may refer the matter to the Tribunal.
 
      (2) An authorised person who is aggrieved by the exercise of the Authority's own-initiative power may refer the matter to the Tribunal.
 
 
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