Own-initiative power procedure
6.23 Where the Registration Authority decides to take own initiative action, it informs the licensed person of that action by written notice. That written notice is called a first supervisory notice.
6.24 The Registration Authority will also generally give a licensed person an opportunity to make representations before the action is taken.
6.25 The Registration Authority may extend the period allowed under the notice for making representations. After having considered any representations made by a licensed person, regardless of whether the Registration Authority decides to proceed or not proceed with the exercise of own-initiative power, it must give the licensed person a written notice. That written notice is called a second supervisory notice.
6.26 Details on the Registration Authority’s decision making process is set out in Chapter 3 of this Manual.
6.27 In some circumstances, a variation of a licence or the imposition or variation of a requirement, may be expressed to take effect immediately if the Registration Authority reasonably considers that it is necessary to do so. In these circumstances, the licensed person will not have the opportunity to make representations.
6.28 A decision to exercise own-initiative action on an immediate basis depends on the circumstances of the matter. However, examples of the circumstances where the Registration Authority may consider such action include:
a. where there is information to suggest that clients or customers of a licensed person have been harmed or are at significant risk of harm;
b. where there are serious problems regarding the licensed person and/or its controllers, which raise concerns about the licensed person’s ability to continue its operations or meet its conditions of licence; or
c. where a licensed person has provided false or misleading information to the Registration Authority in a material way.
6.29 Where the Registration Authority decides to take immediate own-initiative action, it provides an opportunity for the licensed person to make representations promptly after the power has been exercised.