SCHEDULES

[F1SCHEDULE 19CU.K.Civil sanctions

Part 2U.K.Discretionary requirements

Imposition of discretionary requirementsU.K.

5(1)The Commission may impose one or more discretionary requirements on a person if satisfied beyond reasonable doubt that the person—U.K.

(a)has committed a prescribed offence under this Act, or

(b)has (otherwise than by committing an offence under this Act) contravened a prescribed restriction or requirement imposed by or by virtue of this Act.

(2)The Commission may impose one or more discretionary requirements on a registered party if satisfied beyond reasonable doubt that a person holding an office within that party—

(a)has committed a prescribed offence under this Act, or

(b)has (otherwise than by committing an offence under this Act) contravened a prescribed restriction or requirement imposed by or by virtue of this Act.

(3)The Commission may impose one or more discretionary requirements on a recognised third party if satisfied beyond reasonable doubt that the responsible person—

(a)has committed a prescribed offence under this Act, or

(b)has (otherwise than by committing an offence under this Act) contravened a prescribed restriction or requirement imposed by or by virtue of this Act.

(4)The Commission may impose one or more discretionary requirements on a permitted participant if satisfied beyond reasonable doubt that the responsible person—

(a)has committed a prescribed offence under this Act, or

(b)has (otherwise than by committing an offence under this Act) contravened a prescribed restriction or requirement imposed by or by virtue of this Act.

(5)For the purposes of this Schedule a “discretionary requirement” is—

(a)a requirement to pay a monetary penalty to the Commission of such amount as the Commission may determine,

(b)a requirement to take such steps as the Commission may specify, within such period as they may specify, to secure that the offence or contravention does not continue or recur, or

(c)a requirement to take such steps as the Commission may specify, within such period as they may specify, to secure that the position is, so far as possible, restored to what it would have been if the offence or contravention had not happened.

(6)Discretionary requirements may not be imposed on the same person on more than one occasion in relation to the same act or omission.

(7)In this Schedule—

• “variable monetary penalty” means such a requirement as is referred to in sub-paragraph (5)(a);

• “non-monetary discretionary requirement” means such a requirement as is referred to in sub-paragraph (5)(b) or (c).

(8)In the case of a variable monetary penalty imposed under sub-paragraph (1)(a), (2)(a), (3)(a) or (4)(a), where the offence in question is—

(a)triable summarily only, and

(b)punishable on summary conviction by a fine (whether or not it is also punishable by a term of imprisonment),

the amount of the penalty may not exceed the maximum amount of that fine.

Representations and appeals etcU.K.

6(1)Where the Commission propose to impose a discretionary requirement on a person, they shall serve on the person a notice of what is proposed.U.K.

(2)A person served with a notice under sub-paragraph (1) may make written representations and objections to the Commission in relation to the proposed imposition of the discretionary requirement.

(3)After the end of the period for making such representations and objections (see paragraph 7(2)) the Commission shall decide whether—

(a)to impose the discretionary requirement, with or without modifications, or

(b)to impose any other discretionary requirement that the Commission have power to impose under paragraph 5.

(4)The Commission may not impose a discretionary requirement on a person—

(a)if, taking into account (in particular) any matter raised by the person, the Commission are no longer satisfied as mentioned in paragraph 5(1), (2), (3) or (4) (as applicable);

(b)in such other circumstances as may be prescribed.

(5)Where the Commission decide to impose a discretionary requirement on a person, they shall serve on the person a notice specifying what the requirement is.

(6)A person on whom a discretionary requirement is imposed may appeal against the decision to impose the requirement on the ground—

(a)that the decision was based on an error of fact,

(b)that the decision was wrong in law,

(c)in the case of a variable monetary penalty, that the amount of the penalty is unreasonable,

(d)in the case of a non-monetary discretionary requirement, that the nature of the requirement is unreasonable, or

(e)that the decision is unreasonable for any other reason,

or on such other grounds as may be prescribed.

(7)An appeal under sub-paragraph (6) is to [F2(in England and Wales) the county court or (in Northern Ireland)] a county court or (in Scotland) the sheriff.

Information to be included in notices under paragraph 6U.K.

7(1)A notice under paragraph 6(1) must include information as to—U.K.

(a)the grounds for the proposal to impose the discretionary requirement;

(b)the right to make representations and objections;

(c)the circumstances in which the Commission may not impose the discretionary requirement.

(2)Such a notice must also specify the period within which representations and objections may be made.

That period may not be less than 28 days beginning with the day on which the notice is received.

(3)A notice under paragraph 6(5) must include information as to—

(a)the grounds for imposing the discretionary requirement;

(b)where the discretionary requirement is a variable monetary penalty—

(i)how payment may be made,

(ii)the period within which payment must be made, and

(iii)any early payment discounts or late payment penalties;

(c)rights of appeal;

(d)the consequences of non-compliance.

Discretionary requirements: criminal convictionU.K.

8(1)A person on whom a discretionary requirement is imposed may not at any time be convicted of an offence under this Act in respect of the act or omission giving rise to the requirement.U.K.

(2)Sub-paragraph (1) does not apply where—

(a)a non-monetary discretionary requirement is imposed on the person,

(b)no variable monetary penalty is imposed on the person, and

(c)the person fails to comply with the non-monetary discretionary requirement.

Failure to comply with discretionary requirementsU.K.

9(1)The Commission may by notice impose a monetary penalty (a “non-compliance penalty”) on a person for failing to comply with a non-monetary discretionary requirement imposed on the person.U.K.

(2)Subject to any prescribed criteria, or any prescribed maximum or minimum amounts, the amount of a non-compliance penalty is to be such as the Commission may determine.

(3)A person served with a notice imposing a non-compliance penalty may appeal against the notice on the ground that the decision to serve the notice—

(a)was based on an error of fact,

(b)was wrong in law, or

(c)was unfair or unreasonable for any reason (for example because the amount is unreasonable),

or on such other grounds as may be prescribed.

(4)An appeal under sub-paragraph (3) is to [F3(in England and Wales) the county court or (in Northern Ireland)] a county court or (in Scotland) the sheriff.]