Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Bill (HL Bill 50)

was attributable to an intention on the part of any person to conceal the
existence or true amount of the donation.

(2) The standard of proof in proceedings on an application under this
section is that applicable to civil proceedings.

(3) 5A forfeiture order may be made under this section whether or not
proceedings are brought against any person for an offence connected
with the donation.

(4) In this section “the court” means—

(a) in relation to England and Wales, a magistrates’ court;

(b) 10in relation to Scotland, the sheriff;

(c) in relation to Northern Ireland, a court of summary jurisdiction.

(5) Proceedings on an application under this section to the sheriff are civil
proceedings.

(6) Sections 59 and 60 (appeals etc against forfeiture orders) apply for the
15purposes, or in connection with the operation, of this section in relation
to a recognised third party as they apply for the purposes, or in
connection with the operation, of section 58 in relation to a registered
party.

(7) In this section “relevant donation” has the same meaning as in Schedule
2011.

Sections 95A to 95F: supplementary

95G (1) This section applies where the requirements in section 95A or 95C to
prepare quarterly or weekly reports in the case of a qualifying
regulated period or a general election period have effect in relation to a
25recognised third party.

(2) If the third party’s notification under section 88(1) lapses during the
qualifying regulated period or the general election period, the
requirements in section 95A or 95C (as the case may be) continue to
have effect in relation to the third party—

(a) 30in respect of the reporting period in which the notification
lapses, and

(b) in respect of each reporting period (if any) which preceded that
period and which falls within the qualifying regulated period or
the general election period.

(3) 35If the third party’s notification under section 88(1) lapses at or after the
end of the qualifying regulated period or the general election period,
the requirements in section 95A or 95C (as the case may be) continue to
have effect in relation to the third party in the case of that period.

(4) In a case where subsection (2) or (3) applies, references in sections 95A
40to 95F to the responsible person are to be read, for the purposes of, or
in connection with, the discharge of obligations of the responsible
person under those sections, as references to the person who was the
responsible person in relation to the recognised third party
immediately before the notification lapsed.

(5) 45In this section—

(a) “qualifying regulated period” and “reporting period”, in
relation to a quarterly report, have the same meaning as in
section 95A, and

(b) “general election period” and “reporting period”, in relation to
5a weekly report, have the same meaning as in section 95C.

Public inspection of reports

95H (1) Where the Commission receive a quarterly or weekly report under
section 95A or 95C, they must—

(a) as soon as reasonably practicable after receiving the report,
10make a copy of the report, and of any documents accompanying
it, available for public inspection, and

(b) keep any such copy available for public inspection for the
period for which the report or other document is kept by them.

(2) The Commission must secure that the copy of the report made available
15for public inspection does not include, in the case of any donation by an
individual, the donor’s address.

(3) At the end of the period of 2 years beginning with the date when any
report or other document mentioned in subsection (1) is received by the
Commission—

(a) 20they may cause the report or other document to be destroyed,
but

(b) if requested to do so by the responsible person in relation to the
third party concerned, they must arrange for the report or other
document to be returned to that person.”

(3) 25In section 96 (returns as to controlled expenditure)—

(a) in subsection (2)(d), for “either is not a registered party or is a minor
party” substitute “falls within subsection (2A)”;

(b) after subsection (2) insert—

“(2A) A recognised third party falls within this subsection if—

(a) 30it either is not a registered party or is a minor party, and

(b) no quarterly report was required to be prepared in
relation to it under section 95A in the case of the
regulated period in question.”

(4) In section 99(3) (declaration by responsible person as to section 96 return), for
35“third party either is not a registered party or is a minor party” substitute
“statement mentioned in section 96(2)(d) is required to be included in the
return”.

(5) In section 149(6) (inspection of Commission’s registers etc), after paragraph (b)
insert—

“(ba) 40section 95H,”.

(6) In section 155(3) (power to vary specified sums), after paragraph (c) insert—

“(ca) section 95C(6);

(cb) Schedule 11A;”.

(7) In Schedule 1 (the Commission), in paragraph 3(3)(c), for the words from “the

register” to the end substitute “—

(i) the register of donations reported under Chapter 3 or
5 of Part 4,

(ii)(ii) any quarterly or weekly report delivered to the
5Commission under section 95A or 95C, or

(iii) any statement of donations included in a return
delivered to the Commission under section 98 or
122;”.

(8) In Schedule 11 (control of donations to recognised third parties), in the heading
10to Part 3, after “reporting of donations” insert “in section 96 return”.

(9) Schedule 4 inserts a new Schedule 11A into that Act.

(10) In Schedule 20 (penalties) insert the following entries in the appropriate
places—

(11) If section 85(1) of the Legal Aid, Sentencing and Punishment of Offenders Act
2012 comes into force before the day on which this Act is passed—

(a) 35section 85 of that Act (removal of limit on certain fines on conviction by
magistrates’ court) applies in relation to the offences in section 95E(1)
and (2) of the Political Parties, Elections and Referendums Act 2000 (as
inserted by this section) on and after that day as if they were relevant
offences (as defined in section 85(3) of that Act), and

(b) 40regulations described in section 85(11) of that Act may amend, repeal
or otherwise modify amendments made by this section.

(12) The Minister may by order made by statutory instrument make, in relation to
the content of quarterly or weekly reports under section 95A or 95C of the
Political Parties, Elections and Referendums Act 2000 (as inserted by this
45section), such provision as the Minister thinks appropriate which corresponds

or is similar to any of the amendments made to Part 3 of Schedule 11 to that Act
by the Political Parties and Elections Act 2009.

(13) An order under subsection (12) may—

(a) make provision amending this section or the Political Parties, Elections
5and Referendums Act 2000;

(b) make such consequential, supplementary, incidental, transitional or
saving provision as the Minister thinks appropriate;

(c) make different provision for different purposes.

(14) A statutory instrument containing an order under subsection (12) may not be
10made unless a draft of the instrument has been laid before, and approved by a
resolution of, each House of Parliament.

(15) In subsection (12) “the Minister” means the Secretary of State or the Lord
President of the Council.

33 Statements of accounts by recognised third parties

(1) 15Part 6 of the Political Parties, Elections and Referendums Act 2000 (controls
relating to third party national election campaigns) is amended as follows.

(2) After section 96 (returns as to controlled expenditure) insert—

“96A Statement of accounts to accompany return

(1) Where—

(a) 20a return falls to be prepared under section 96 in respect of
controlled expenditure incurred by or on behalf of a recognised
third party during a regulated period, and

(b) the period is one in relation to which any limit is imposed by
paragraph 3, 9, 10 or 11 of Schedule 10 (periods involving
25parliamentary general elections),

the responsible person must, subject to subsections (8) and (9), also
prepare a statement of accounts in respect of the regulated period.

(2) A statement of accounts under this section must—

(a) give a true and fair view of the income and expenditure of the
30third party, and

(b) include a statement of its assets and liabilities.

(3) A statement of accounts under this section must comply with such
requirements as to the form and contents of the statement as may be
prescribed by regulations made by the Commission.

(4) 35Regulations under subsection (3) may in particular—

(a) require any statement of accounts to be prepared in accordance
with such methods and principles as are specified or referred to
in the regulations;

(b) specify information which is to be provided by way of notes to
40the accounts.

(5) Without prejudice to the generality of paragraph 22(7) of Schedule 1
(power to make different provision for different cases), regulations
under subsection (3) may impose different requirements according to
which of the following bands the gross income or total expenditure of
45a third party falls within—

(a) not exceeding £25,000;

(b) exceeding £25,000 but not £100,000;

(c) exceeding £100,000 but not £250,000;

(d) exceeding £250,000.

(6) 5The Secretary of State may by order amend subsection (5) by varying
the number of bands set out in it.

(7) The Secretary of State may not make an order under subsection (6)
except to give effect to a recommendation of the Commission.

(8) This section does not apply if the third party is—

(a) 10an individual, or

(b) a recognised Gibraltar third party.

(9) This section does not apply to a third party in relation to a regulated
period if the Commission are satisfied on an application by the third
party—

(a) 15that anything that subsection (2) would require to be included
in a statement of accounts in respect of the period is or will be
contained in a statement or statements published or to be
published by the third party under any enactment, and

(b) that the Commission are (or, on publication, will be) able to
20inspect that statement or those statements.

(10) Where section 96(7) (lapse of notification) applies to the preparation of
a return—

(a) the reference to the responsible person in subsection (1) of this
section is to be read as a reference to the person described in
25section 96(7)(b), and

(b) for the purposes of, or in connection with, the discharge of
obligations of the responsible person under sections 98 and 99A
in relation to a statement of accounts under this section,
references to the responsible person are to be read as references
30to that person.

(11) In this section and section 97 “gross income” means gross recorded
income from all sources.”

(3) In section 97 (auditor’s report on return)—

(a) after subsection (1) insert—

“(1A) 35A report must be prepared by a qualified auditor on any
statement of accounts prepared under section 96A in respect of
a regulated period, if—

(a) a report falls to be prepared under subsection (1) on the
return mentioned in section 96A(1)(a), or

(b) 40during the regulated period the gross income or total
expenditure of the third party exceeds £250,000.”;

(b) in subsection (2), after “subsection (1)” insert “or (1A)”;

(c) in the heading, at the end insert “or statement of accounts”.

(4) In section 98 (delivery of returns to the Commission), after subsection (2)
45insert—

“(2A) Where—

(a) subsection (2) applies,

(b) under section 96A a statement of accounts also falls to be
prepared, and

(c) an auditor’s report on that statement falls to be prepared under
5section 97(1A),

the responsible person must deliver a copy of the statement to the
Commission, together with a copy of the auditor’s report, within six
months of the end of the regulated period.

(2B) In the case of any other statement of accounts falling to be prepared
10under section 96A, the responsible person must, when delivering the
return to the Commission under subsection (1) or (2), deliver with it a
copy of the statement of accounts, and of any auditor’s report on it that
falls to be prepared under section 97(1A).”

(5) In section 98(4) (offences)—

(a) 15after paragraph (a) insert—

“(aa) fails to comply with the requirements of subsection (2A)
or (2B) in relation to any statement or report to which
that subsection applies; or”;

(b) after paragraph (b) insert—

“(ba) 20delivers a statement which does not comply with the
requirements of section 96A(2) or (3); or”.

(6) After section 99 (declaration by responsible person as to return under section
96) insert—

“99A Declaration by responsible person as to statement of accounts under
25section 96A

(1) Each statement of accounts prepared under section 96A must, when
delivered to the Commission, be accompanied by a declaration which
complies with subsection (2) and is signed by the responsible person.

(2) The declaration must state—

(a) 30that the responsible person has examined the statement in
question; and

(b) that to the best of that person’s knowledge and belief it is a
complete and correct statement of accounts as required by law.

(3) A person commits an offence if—

(a) 35that person knowingly or recklessly makes a false declaration
under this section; or

(b) subsection (1) is contravened without reasonable excuse at a
time when that person is the responsible person in the case of
the recognised third party to which the statement of accounts
40relates.”

(7) In section 100 (public inspection of returns under section 96), after subsection
(3) insert—

“(4) Where a return is delivered under section 98(2) and a statement of
accounts is delivered under section 98(2A), this section applies as if the
45statement and any documents accompanying it—

(a) were documents accompanying the return, and

(b) (for the purposes of subsection (3)) were received by the
Commission when the return was received.”

(8) In Schedule 20 (penalties) insert these entries in the appropriate places—

(9) 20If section 85(1) of the Legal Aid, Sentencing and Punishment of Offenders Act
2012 comes into force before the day on which this Act is passed—

(a) section 85 of that Act (removal of limit on certain fines on conviction by
magistrates’ court) applies in relation to the offences in section 98(4)(aa)
and (ba) and 99A(3) of the Political Parties, Elections and Referendums
25Act 2000 (as inserted by this section) on and after that day as if they
were relevant offences (as defined in section 85(3) of that Act), and

(b) regulations described in section 85(11) of that Act may amend, repeal
or otherwise modify amendments made by this section.

Miscellaneous

34 30Third party expenditure in respect of candidates

(1) In section 75 of the Representation of the People Act 1983 (prohibition of
expenses not authorised by election agent), in subsection (1ZA)(a) (limit on
third party expenditure on candidate at parliamentary election), for “£500”
substitute “£700”.

(2) 35After that section insert—

“75ZA Return of permitted expenditure: power to require return

(1) The returning officer or the Electoral Commission may, at any time
during the period of 6 months beginning with the date of the poll at a
parliamentary election, request a relevant person to deliver to the

officer or Commission a return of permitted expenditure in relation to
a candidate at the election who is specified in the request.

(2) “Relevant person” means a person who—

(a) is not required to deliver a return under section 75(2) in relation
5to the candidate, and

(b) is not the candidate, the candidate’s election agent, or a person
engaged or employed for payment or promise of payment by
the candidate or the candidate’s election agent.

(3) “Return of permitted expenditure” means a return—

(a) 10showing all permitted expenses incurred by the person in
relation to the candidate, or

(b) stating that the person incurred no such expenses or that the
total such expenses incurred by the person was £200 or less.

(4) “Permitted expense”, in relation to a candidate, means an expense
15incurred by the person in respect of the candidate which, if the person
had been required to deliver a return under section 75(2) in relation to
the candidate, would have been required to be included in that return.

75ZB Return of permitted expenditure: compliance and sanctions

(1) A person must comply with a request under section 75ZA(1) within the
20period of 21 days beginning with the day on which the request is
received.

(2) A return of permitted expenditure must be accompanied by a
declaration made by the person (or in the case of an association or body
of persons, by a director, general manager, secretary or other similar
25officer of the association or body)—

(a) verifying the return, and

(b) in the case of a return of the kind mentioned in section
75ZA(3)(a), giving particulars of the matters for which the
expenses were incurred.

(3) 30A person who fails to deliver a return or declaration in accordance with
this section is guilty of an illegal practice.

(4) A person who knowingly makes a false declaration under subsection
(2) is guilty of a corrupt practice.

(5) The court before whom a person is convicted under subsection (3) or (4)
35may, if they think it just in the special circumstances of the case,
mitigate or entirely remit any incapacity imposed by virtue of section
173.

(6) Where any act or omission of an association or body of persons,
corporate or unincorporate, is an offence declared to be a corrupt or
40illegal practice by this section, any person who at the time of the act or
omission was a director, general manager, secretary or other similar
officer of the association or body, or was purporting to act in any such
capacity, shall be deemed to be guilty of that offence, unless he
proves—

(a) 45that the act or omission took place without his consent or
connivance, and

(b) that he exercised all such diligence to prevent the commission
of the offence as he ought to have exercised having regard to the
nature of his functions in that capacity and to all the
circumstances.”

(3) 5If section 85(1) of the Legal Aid, Sentencing and Punishment of Offenders Act
2012 comes into force before the day on which this Act is passed—

(a) section 85 of that Act (removal of limit on certain fines on conviction by
magistrates’ court) applies in relation to the offences in section 75ZB(3)
and (4) of the Representation of the People Act 1983 (as inserted by this
10section) on and after that day as if they were relevant offences (as
defined in section 85(3) of that Act), and

(b) regulations described in section 85(11) of that Act may amend, repeal
or otherwise modify amendments made by this section.

35 Functions of Electoral Commission with respect to compliance

(1) 15Section 145 of Political Parties, Elections and Referendums Act 2000 (general
function of Commission with respect to compliance with controls imposed by
the Act etc) is amended in accordance with subsections (2) to (4).

(2) In the heading, for “General function” substitute “Duties”.

(3) In subsection (1)—

(a) 20for the words before paragraph (a) substitute “The Commission must
monitor, and take all reasonable steps to secure, compliance with—”;

(b) in paragraph (a), for “Parts III to VII” substitute “—

(i) sections 24, 31 and 34,

(ii) Parts 3 to 7, and

(iii) 25sections 143 and 148”.

(4) After subsection (6A) insert—

“(6B) Each report by the Commission under paragraph 20 of Schedule 1 shall
set out the steps the Commission have taken during the year in
question to secure compliance with the restrictions and other
30requirements mentioned in subsection (1).”

(5) In consequence of the amendment made by subsection (3)(a), omit section 1(2)
of the Political Parties and Elections Act 2009.

Part 3 Trade unions’ registers of members

36 35Duty to provide membership audit certificate

(1) The Trade Union and Labour Relations (Consolidation) Act 1992 is amended
as follows.

(2) After section 24 (duty to maintain register of members’ names and addresses),
insert—

“24ZA 40 Duty to provide membership audit certificate

(1) A trade union required to maintain a register of the names and
addresses of its members by section 24 must send to the Certification

Officer a membership audit certificate in relation to each reporting
period.

(2) In this section and in sections 24ZB to 24ZF, a “reporting period” means
a period in relation to which the union is required by section 32 to send
5an annual return to the Certification Officer.

(3) The union must send the membership audit certificate in relation to a
reporting period to the Certification Officer at the same time as it sends
to the Officer its annual return under section 32 in relation to that
period.

(4) 10In the case of a trade union required by section 24ZB to appoint an
assurer in relation to a reporting period, the “membership audit
certificate” in relation to that period is the certificate which the assurer
is required to provide to the union in relation to that period pursuant
to that appointment.

(5) 15In any other case, the “membership audit certificate” in relation to a
reporting period is a certificate which—

(a) must be signed by an officer of the trade union who is
authorised to sign on its behalf,

(b) must state the officer’s name, and

(c) 20must state whether, to the best of the officer’s knowledge and
belief, the union has complied with its duties under section
24(1) throughout the reporting period.

(6) A trade union must, at a person’s request, supply the person with a
copy of its most recent membership audit certificate either free of
25charge or on payment of a reasonable charge.

(7) The Certification Officer must at all reasonable hours keep available for
public inspection, either free of charge or on payment of a reasonable
charge, copies of all membership audit certificates sent to the Officer
under this section.”

(3) 30In section 44(4) (discharge of duties in case of union having branches or
sections), at the appropriate place in the list insert—

• “section 24ZA (duty to provide membership audit certificate),”.

(4) In section 118 (federated trade unions), after subsection (4) insert—

“(4A) In the case of a federated trade union which, by virtue of subsection (4),
35is not required to send an annual return to the Certification Officer
under section 32, section 24ZA (duty to provide membership audit
certificate) applies as if section 32 does apply to the union.”

37 Duty to appoint an assurer etc

(1) The Trade Union and Labour Relations (Consolidation) Act 1992 is amended
40as follows.

(2) After section 24ZA (which is inserted by section 36), insert—

“24ZB Duty to appoint an assurer

(1) A trade union required to maintain a register of the names and
addresses of its members by section 24 must, in relation to each