Article 28B Real time communications: introductions...F9

United Kingdom

(1)

If the requirements of paragraph (2) are met, the financial promotion restriction does not apply to any real time communication which—

(a)

relates to a controlled activity falling within F1paragraph F24B, 4C, 5A, 5B, 10, 10A, 10B, F310BA, 10BB, 10C, 10D, 10E, 10F, F410G, 10H, 10I, 10J or 10K of Schedule 1; and

(b)

is made for the purpose of, or with a view to, introducing the recipient to a person (“N”) who is—

(i)

an authorised person who carries on the controlled activity to which the communication relates,

(ii)

an appointed representative, where the controlled activity to which the communication relates is also a regulated activity in respect of which he is exempt from the general prohibition F5or in relation to which sections 20(1) and (1A) and 23(1A) of the Act do not apply by virtue of section 39(1D) F6or in relation to which sections 20(1) and (1A) and 23(1A) of the Act do not apply, or

(iii)

an overseas person who carries on the controlled activity to which the communication relates.

(2)

The requirements of this paragraph are that the maker of the communication (“M”)—

(a)

does not receive any money, other than money payable to M on his own account, paid by the recipient for or in connection with any transaction which the recipient enters into with or through N as a result of the introduction; and

(b)

before making the introduction, discloses to the recipient such of the information mentioned in paragraph (3) as applies to M.

(3)

That information is—

(a)

that M is a member of the same group as N;

(b)

details of any payment which M will receive from N, by way of fee or commission, for introducing the recipient to N;

(c)

an indication of any other reward or advantage received or to be received by M that arises out of his making introductions to N.

(4)

In this article, “overseas person” means a person who carries on controlled activities which fall within paragraph F74B, 4C, 5A, 5B, 10, 10A, F810B, 10BA or 10BB of Schedule 1, but who does not carry on any such activity, or offer to do so, from a permanent place of business maintained by him in the United Kingdom.

Annotations

Textual amendments

F1: Words in art. 28B(1)(a) substituted (6.11.2006 for specified purposes, 6.4.2007 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) (No.2) Order 2006 (S.I. 2006/2383), arts. 1(2), 35(3)
F2: Words in art. 28B(1)(a) inserted (26.7.2013 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) (No.2) Order 2013 (S.I. 2013/1881), arts. 1(2)(6), 17(2)(a)
F3: Words in art. 28B(1)(a) inserted (26.7.2013 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) (No.2) Order 2013 (S.I. 2013/1881), arts. 1(2)(6), 17(2)(b)
F4: Words in art. 28B(1)(a) substituted (1.7.2009 for specified purposes, 30.6.2010 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2009 (S.I. 2009/1342), arts. 1(2), 30(2)
F5: Words in art. 28B(1)(b)(ii) inserted (14.2.2014 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2014 (S.I. 2014/366), arts. 1(3)(4), 10(4)(a)
F6: Words in art. 28B(1)(b)(ii) inserted (1.9.2013) by The Financial Services Act 2012 (Consequential Amendments and Transitional Provisions) (No. 3) Order 2013 (S.I. 2013/1765), arts. 1, 6(3)
F7: Words in art. 28B(4) inserted (14.2.2014 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2014 (S.I. 2014/366), arts. 1(3)(4), 10(4)(b)(i)
F8: Words in art. 28B(4) substituted (14.2.2014 for specified purposes, 1.4.2014 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2014 (S.I. 2014/366), arts. 1(3)(4), 10(4)(b)(ii)
F9: Words in art. 28B title deleted (6.11.2006 for specified purposes, 6.4.2007 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) (No.2) Order 2006 (S.I. 2006/2383), arts. 1(2), 35(2)