42. Exercise of Own-Initiative Power: procedure

(1) This section applies to an exercise of the Regulator's Own-Initiative Variation Power or Own-Initiative Requirement Power in relation to an Authorised Person ("A").
(2) A variation of a Financial Services Permission or the imposition or variation of a requirement takes effect —
(a) immediately, if the notice given states that that is the case;
(b) on such date as may be specified in the notice; or
(c) if no date is specified in the notice, when the matter to which the notice relates is no longer open to review.
(3) A variation of a Financial Services Permission, or the imposition or variation of a requirement, may be expressed to take effect immediately (or on a specified date) only if the Regulator, having regard to the ground on which it is exercising its Own-Initiative Variation Power or Own-Initiative Requirement Power, reasonably considers that it is necessary for the variation, or the imposition or variation of the requirement, to take effect immediately (or on that date).
(4) If the Regulator proposes to vary a Financial Services Permission or to impose or vary a requirement, or varies a Financial Services Permission or imposes or varies a requirement, with immediate effect, it must give A written notice.
(5) The notice must —
(a) give details of the variation of the permission or the requirement or its variation;
(b) state the Regulator's reasons for the variation of the permission or the imposition or variation of the requirement;
(c) inform A that A may make representations to the Regulator within such period as may be specified in the notice (whether or not A has referred the matter to the Regulatory Committee);
(d) inform A of when the variation of the permission or the imposition or variation of the requirement takes effect; and
(e) inform A of A's right to refer the matter to the Regulatory Committee.
(6) The Regulator may extend the period allowed under the notice for making representations.
(7) If, having considered any representations made by A, the Regulator decides —
(a) to vary the permission, or impose or vary the requirement, in the way proposed; or
(b) if the permission has been varied or the requirement imposed or varied, not to rescind the variation of the permission or the imposition or variation of the requirement;
it must give A written notice.
(8) If, having considered any representations made by A, the Regulator decides —
(a) not to vary the permission, or impose or vary the requirement, in the way proposed;
(b) to vary the permission or requirement in a different way, or impose a different requirement; or
(c) to rescind a variation or requirement which has effect;
it must give A written notice.
(9) A notice under subsection (7) must inform A of A's right to refer the matter to the Regulatory Committee.
(10) A notice under subsection (8)(b) must comply with subsection (5).
(11) For the purposes of subsection (2)(c), whether a matter is open to review is to be determined in accordance with section 252(7).