Source: https://www.handbook.fca.org.uk/handbook?related-provisions-for-provision=SUP%207.1.1&date=2018-04-01
Timestamp: 2020-07-07 13:49:00
Document Index: 359923482

Matched Legal Cases: ['art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4', 'art 4']

In applying for a variation of Part 4A permission,25 a branch of a firm from outside the EEA should be mindful of any continuing requirements referred to in the rest of the Handbook.102510
In determining the activities and specified investments for which a Part 4A permission25 is required, and whether to apply for a variation of that permission, a firm may need to take professional advice and may also wish to discuss this with its appropriate supervisory contact.252525
If a firm is seeking a variation of Part 4A permission25 to add categories of regulated activities, it should be mindful of the directive requirements referred to at SUP 6.3.42 G relating to the need to commence new activities within 12 months.25
If a firm wishes to cease carrying on an activity for which it has Part 4A permission,25 it will usually apply to vary its Part 4A permission25 to remove that activity. If a firm wishes to cease carrying on an activity in relation to any specified investment, it will usually apply to vary its Part 4A permission25 to remove that specified investment from the relevant activity.252525
In applying to vary its Part 4A permission25 to add categories of specified investments, in relation to insurance business, a firm carrying on insurance business will need to determine the classes of specified investments relating to effecting and carrying out contracts of insurance for which variation of Part 4A permission25 will be necessary, having regard to whether certain classes of contract may qualify to be effected or carried out on an ancillary or supplementary basis
When a firm commences new regulated activities following a variation of a Part 4A permission,25 it should have particular regard to the requirements of Principle 11 (Relations with regulators) (see SUP 15.3.8 G (1)(c)).25
(1) A firm may apply to the relevant regulator to cancel its Part 4A permission22 before it has ceased carrying on all regulated activities. However, where a firm makes a formal application for cancellation of its permission when it has not yet ceased carrying on regulated activities, the relevant regulator22 will expect the firm:2222(a) to cease those regulated activities within the short term (normally no more than six months from the date of application for cancellation);
Additional guidance for a firm carrying on insurance business, accepting deposits, operating a dormant account fund8 or which holds client money or customer's assets is given in SUP 6 Annex 4. As noted in SUP 6.2.9 G, it will usually be appropriate for a firm to apply for variation of its Part 4A permission and/or the imposition, variation or cancellation of a requirement22 while winding down (running off) its regulated activities and before applying to cancel its Part 4A per
(1) Subject to (1A), a 11firm other than a credit union wishing to cancel its Part 4A permission, must apply online at the appropriate regulator website using the form specified on the online notification and application system16.9112212129(1A) An FCA-authorised person wishing to cancel its Part 4A permission which covers only credit-related regulated activities must submit any form, notice or application by using the form in SUP 6 Annex 6 and submitting it in the way set out
(1) In addition to applying for cancellation of Part 4A permission22 in accordance with SUP 6.4.5 D, a firm may discuss prospective cancellations with its supervisory contact at the appropriate regulator.224 Alternatively a firm can contact the Contact Centre on 0300 500 0597.1422422221414(2) To contact the Cancellations Team: 422(a) write to: Cancellations Team, The Financial Conduct22Authority, 25 The North Colonnade, Canary Wharf, London, E14 5HS; or22; or2222(b) email cancellation.team@fca.org.uk22(3)
When an 4application is received4, the relevant regulator22 will send the firm a written acknowledgement. The firm will be required to provide information which, in the opinion of the relevant regulator,22 is necessary for it to determine whether to grant or refuse the application for cancellation of Part 4A permission.224422422422
The information which the relevant regulator22 may request on the circumstances of the application for cancellation and the confirmations which the relevant regulator22 may require a firm to provide will differ according to the nature of the firm and the activities it has Part 4A permission22 to carry on.222222
The relevant regulator22 will usually require the report in SUP 6.4.9 G to be signed by a director or other officer with authority to bind the firm. It may include confirmations from the firm that, in relation to business carried on under its Part 4A permission, it has:22(1) ceased carrying on all regulated activities;(2) properly disbursed funds in its client bank accounts and closed those accounts;(3) discharged all insurance or deposit liabilities; and(4) properly transferred
The relevant regulator22 will usually not cancel a firm'sPart 4A permission22 until the firm can demonstrate that, in relation to business carried on under that permission, it has, as appropriate:2222(1) ceased carrying on regulated activities or fully run off or transferred all insurance liabilities;(2) repaid all client money and client deposits;(3) discharged custody assets and any other property belonging to clients; and(4) discharged, satisfied or resolved complaints against
Before the relevant regulator22 cancels a firm'sPart 4A permission,22 the firm will be expected to be able to demonstrate that it has ceased or transferred all regulated activities under that permission. For example, the firm may be asked to provide evidence that a transfer of business (including, where relevant, any client money, customer assets or deposits or insurance liabilities) is complete. As noted in SUP 6.4.9 G, the relevant regulator22 may require the firm to confirm
In deciding whether to cancel a firm'sPart 4A permission, the relevant regulator22 will take into account all relevant factors in relation to business carried on under that permission, including whether:22(1) there are unresolved, unsatisfied or undischarged complaints against the firm from any of its customers;(2) the firm has complied with CASS 5.5.80 R and CASS 7.11.34R 13 (Client money: discharge of fiduciary duty)22 and CASS 7.11.50 R135(Client money: allocated but unclaimed
If an application for cancellation of a firm'sPart 4A permission has been granted and a firm's status as an authorised person has been withdrawn (see SUP 6.5) it will remain subject to certain investigative and enforcement powers as a former authorised person. These include:2222(1) information gathering and investigation powers in Part XI of the Act (Investigation gathering and investigations) (seeEG 3 (Use of information gathering and investigation powers)6);6(2) powers to apply
A decision to grant an application for cancellation of permission will be taken by appropriately experienced staff at the relevant regulator.22 Where, however, the staff dealing with the application recommend that a firm's application for cancellation of Part 4A permission22 be refused, the decision will be subject to the regulator's formal decision making process.22222222322
As this chapter applies only to a firm with Part 4A permission, it does not apply to an incoming EEA firm (unless it has a top-up permission). An incoming EEA firm includes a firm which is passporting into the United Kingdom under the Insurance Mediation Directive3. 3