HC Deb 09 February 2000 vol 344 cc299-300

Amendment made: No. 270, in page 31, line 5, leave out from "and" to end of line 11 and insert— issue a statement of its policy with respect to—

  1. (a) the imposition of penalties under section 63; and
  2. (b) the amount of penalties under that section.".—[Miss Melanie Johnson.]

Mr. Timms

I beg to move amendment No. 271, in page 31, line 11, at end insert— ( ) The Authority's policy in determining what the amount of a penalty should be must include having regard to—

  1. (a) the seriousness of the misconduct in question in relation to the nature of the principle or requirement concerned;
  2. (b) the extent to which that misconduct was deliberate or reckless; and
  3. (c) whether the person on whom the penalty is to be imposed is an individual.".

Mr. Deputy Speaker

With this it will be convenient to discuss Government amendment No. 278.

Mr. Timms

Amendment No. 271 is a response to the committee chaired by Lord Burns. In the Standing Committee, we introduced amendments to equivalent provisions in clause 67 in order to set out several specific factors that the FSA should take into account when deciding on the level of penalty to be imposed. Amendment No. 271 sets out those factors for clause 67, and they mirror those in clause 185.

Briefly, those factors are: the seriousness of the misconduct in question; the extent to which the misconduct was deliberate or reckless; and whether the person on whom the penalty is to be imposed is an individual.

6.15 pm

Amendment No. 278 introduces consistency with the equivalent provisions for discipline under part VI on official listing, part VII on market abuse and part XIII on disciplinary measures for authorised persons. The amendment imposes an obligation on the FSA to have regard to published policy in force at the time when the misconduct took place. These are points of consistency to standardise clause 67 with equivalent provisions elsewhere in the Bill.

Amendment agreed to.

Amendments made: No. 272, in page 31, line 12, leave out "any material published" and insert—

or replace a statement issued". No. 273, in page 31, line 14, leave out from "If' to end of line and insert—

a statement issued under this section is altered or replaced, the Authority must issue the altered or replacement statement.". No. 274, in page 31, line 15, leave out subsection (5) and insert—

(5) The Authority must, without delay, give the Treasury a copy of any statement which it publishes under this section.". No. 275, in page 31, line 17, leave out subsection (6) and insert—

(6) A statement issued under this section must be published by the Authority in the way appearing to the Authority to be best calculated to bring it to the attention of the public.". No. 276, in page 31, line 19, at end insert—

( ) The Authority may charge a reasonable fee for providing a person with a copy of the statement.". No. 277, in page 31, line 20, leave out subsection (7).

No. 278, in page 31, line 25, leave out subsection (8) and insert—

(8) In exercising, or deciding whether to exercise, its power under section 63 in the case of any particular misconduct, the Authority must have regard to any statement of policy published under this section and in force at the time when the misconduct in question occurred.". No. 279, in page 31, line 28, leave out subsection (9).—[Miss Melanie Johnson.]

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