# The Payment and Electronic Money Institution Insolvency Regulations 2021, Regulation 9: Grounds for applying


(1) In this regulation—
(a) Ground A is that the institution is, or is likely to become, unable to pay its debts,
(b) Ground B is that it is fair to put the institution into special administration, and
(c) Ground C is that it is expedient in the public interest to put the institution into special administration.
(2) For the meaning of “unable to pay its debts”, in paragraph (1)(a), see section 93(4) of the BA 2009 (as applied and modified by the EMR 2011 and the PSR 2017).
(3) The FCA or a person listed in regulation 8(1)(a) to (f) may apply for a special administration order only if they consider that Ground A or Ground B is met.
(4) The Secretary of State may apply for a special administration order only if it appears to the Secretary of State that Grounds B and C are met.
(5) The sources of information on the basis of which the Secretary of State may reach a decision on Ground C include those listed in section 124A(1) of the IA 1986 (petition for winding up on grounds of public interest).

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Source: https://www.legislation.gov.uk/ukdsi/2021/9780348222814/regulation/9 (the official version)
Page: https://openlegislation.uk/draft-payment-and-electronic-money-institution-insolvency-regulations-2021/regulation-9
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.