# Regulation (EU) No 346/2013 of the European Parliament and of the Council of 17 April 2013 on European social entrepreneurship funds (Text with EEA relevance), Article 22

Extent: E+W+S+N.I.

1. While respecting the principle of proportionality, the FCA shall take the appropriate measures referred to in paragraph 2, as applicable, where the manager of the qualifying social entrepreneurship fund:
(a) fails to comply with the requirements that apply to the portfolio composition, in breach of Article 5;
(b) markets, in breach of Article 6, the units and shares of a qualifying social entrepreneurship fund to non-eligible investors;
(c) uses the designation ‘SEF’ but is not registered in accordance with Article 15, or the qualifying social entrepreneurship fund is not registered in accordance with Article 15a;
(d) uses the designation ‘SEF’ for the marketing of funds which are not established in accordance with point (b)(iii) of Article 3(1);
(e) has obtained registration through false statements or any other irregular means, in breach of Article 15 or Article 15a;
(f) fails to act honestly, fairly or with due skill, care or diligence, in conducting their business, in breach of point (a) of Article 7;
(g) fails to apply appropriate policies and procedures for preventing malpractices, in breach of point (b) of Article 7;
(h) repeatedly fails to comply with the requirements under Article 13 regarding the annual report;
(i) repeatedly fails to comply with the obligation to inform investors in accordance with Article 14.
2. In the cases referred to in paragraph 1, the FCA shall, as appropriate:
(a) take measures to ensure that the manager of a qualifying social entrepreneurship fund concerned complies with Articles 5 and 6, points (a) and (b) of Article 7, and Articles 13 to 15a, as applicable;
(b) prohibit the manager of the qualifying social entrepreneurship fund concerned from using the designation ‘SEF’ and remove that manager, or the qualifying social entrepreneurship fund concerned, from the register.
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4. The right to market one or more qualifying social entrepreneurship funds under the designation ‘SEF’ in the United Kingdom shall expire with immediate effect from the date of the decision of the FCA referred to in point (b) of paragraph 2.
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

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Source: https://www.legislation.gov.uk/eur/2013/346/article/22 (the official version)
Page: https://openlegislation.uk/eu-regulation-2013-346/article-22
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.