Immigration Bill (HL Bill 96)

(b) each person on whom the illegal working closure notice was served
under paragraph 4,

(c) any other person who has an interest in the premises.

(3) On an application under this paragraph the court may make whatever order
5it thinks appropriate in relation to access to any part of the building or
structure mentioned in sub-paragraph (1).

(4) For the purposes of sub-paragraph (3), it does not matter whether provision
has been made under paragraph 5(10)(b).

Reimbursement of costs

13 (1) 10Where the Secretary of State incurs expenditure for the purpose of clearing,
securing or maintaining premises in respect of which an illegal working
compliance order is in force, the Secretary of State may apply to the court for
an order under this paragraph.

(2) On an application under this paragraph the court may make whatever order
15it thinks appropriate for the reimbursement (in full or in part) by the owner
or occupier of the premises of the expenditure mentioned in sub-paragraph
(1).

(3) An application for an order under this paragraph may not be heard unless it
is made before the end of the period of 3 months starting with the day on
20which the illegal working compliance order ceases to have effect.

(4) An order under this paragraph may be made only against a person who has
been served with the application for the order.

Exemption from liability

14 (1) Each of the following—

(a) 25the Secretary of State,

(b) an immigration officer,

(c) a police officer,

(d) the chief officer of police under whose direction or control a police
officer acts,

30is not liable for damages in proceedings for judicial review or the tort of
negligence or misfeasance in public office, arising out of anything done or
omitted to be done by the person in the exercise or purposed exercise of a
power under this Schedule.

(2) Sub-paragraph (1) does not apply to an act or omission shown to have been
35in bad faith.

(3) Sub-paragraph (1) does not apply so as to prevent an award of damages
made in respect of an act or omission on the ground that the act or omission
was unlawful by virtue of section 6(1) of the Human Rights Act 1998.

(4) This paragraph does not affect any other exemption from liability (whether
40at common law or otherwise).

Compensation

15 (1) A person who claims to have incurred financial loss in consequence of an
illegal working closure notice, other than one cancelled under paragraph
3(1)(b), may apply to the court for compensation.

(2) 5An application under this paragraph may not be heard unless it is made
before the end of the period of 3 months starting with the day on which the
notice ceases to have effect.

(3) On an application under this paragraph the court may order the payment of
compensation out of money provided by Parliament if it is satisfied—

(a) 10that at the time the notice was issued, the condition in paragraph 1(3)
or (6) was not met;

(b) that the applicant has incurred financial loss in consequence of the
notice; and

(c) that having regard to all the circumstances it is appropriate to order
15payment of compensation in respect of that loss.

Guidance

16 (1) The Secretary of State may issue guidance about the exercise of functions
under this Schedule.

(2) The Secretary of State may revise any guidance issued under this paragraph.

(3) 20Before issuing or revising guidance under this paragraph the Secretary of
State must consult—

(a) persons whom the Secretary of State considers to represent the views
of immigration officers and of chief officers of police, and

(b) such other persons as the Secretary of State considers appropriate.

(4) 25The Secretary of State must arrange for any guidance issued or revised
under this paragraph to be published.

Interpretation

17 (1) In this Schedule—

• “court”, except where the context otherwise requires, means—

  (a)

  30in relation to premises in England and Wales or Northern
  Ireland, the magistrates’ court;

  (b)

  in relation to premises in Scotland, the sheriff court;

• “owner” in relation to premises, means—

  (a)

  a person (other than a mortgagee not in possession) entitled
  35to dispose of the fee simple of the premises, whether in
  possession or in reversion;

  (b)

  a person who holds or is entitled to the rents and profits of
  the premises under a lease that (when granted) was for a term
  of not less than 3 years;

• 40“person who has an interest”, in relation to premises, includes—

  (a)

  the owner;

  (b)

  any person with control of or responsibility for the premises;

  (c)

  any person who otherwise occupies the premises;

• “premises” includes—

  Immigration BillPage 133

  (a)

  any land, vehicle, vessel or other place (whether enclosed or
  not);

  (b)

  any outbuildings that are, or are used as, part of premises;

• “premises licence” has the meaning given by section 11 of the Licensing
  5Act 2003;

• “relevant licensing authority” has the meaning given by section 12 of
  that Act.

(2) In this Schedule—

(a) a reference to employment is to employment under a contract of
10service or apprenticeship, whether express or implied and whether
oral or written;

(b) a person is subject to immigration control if under the Immigration
Act 1971 the person requires leave to enter or remain in the United
Kingdom.

15Amendment of Licensing Act 2003

18 After section 167(1) of the Licensing Act 2003 insert—

“(1A) This section also applies where a court has made an illegal working
compliance order under Schedule 5 to the Immigration Act 2016 and
the relevant licensing authority has accordingly received a notice
20under that Schedule.”

Section 43

SCHEDULE 6 Bank accounts

1 The Immigration Act 2014 is amended as follows.

2 After section 40 (prohibition on opening current accounts for disqualified
25persons) insert—

“40A Requirement to carry out immigration checks in relation to current
accounts

(1) A bank or building society must, at such times or with such
frequency as is specified in regulations made by the Treasury, carry
30out an immigration check in relation to each current account held
with it that is not an excluded account.

(2) For the purposes of this section carrying out an “immigration check”
in relation to a current account means checking whether, according
to information supplied by the Secretary of State to a specified anti-
35fraud organisation or a specified data-matching authority, the
account is operated by or for a disqualified person.

(3) A “disqualified person” is a person—

(a) who is in the United Kingdom,

(b) who requires leave to enter or remain in the United Kingdom
40but does not have it, and

(c) for whom the Secretary of State considers that a current
account should not be provided by a bank or building
society.

(4) A current account is an excluded account for the purposes of
5subsection (1) if the account is operated by or for a person or body of
a description specified in regulations made by the Treasury.

(5) An account is operated by or for a person or body if the person or
body is an account holder or a signatory or identified as a beneficiary
in relation to the account.

(6) 10A bank or building society must—

(a) make arrangements with a specified anti-fraud organisation
or a specified data-matching authority for the purpose of
enabling the bank or building society to carry out
immigration checks in relation to current accounts, and

(b) 15pay any reasonable fee required to be paid under those
arrangements.

(7) In this section “specified anti-fraud organisation” and “specified
data-matching authority” have the same meaning as in section
40(3)(a).

40B 20Requirement to notify existence of current accounts for disqualified
persons

(1) This section applies where, as a result of an immigration check
carried out under section 40A, a bank or building society identifies a
current account that is operated by or for a person who the bank or
25building society believes to be a disqualified person.

(2) Where this section applies, the bank or building society (as the case
may be) must as soon as reasonably practicable—

(a) notify the Secretary of State that a current account held with
it is operated by or for a person who it believes to be a
30disqualified person, and

(b) provide the Secretary of State with such other information as
may be prescribed.

(3) A notification made, or information provided, under subsection (2)
must be made or provided in the prescribed form and manner.

(4) 35In subsections (2) and (3) “prescribed” means prescribed in
regulations made by the Treasury.

(5) Regulations under subsection (2) may (in particular) require the
provision of information relating to any accounts held with the bank
or building society that are operated by or for the person who is
40believed to be a disqualified person.

40C Action to be taken by Secretary of State following section 40B
notification

(1) Where the Secretary of State receives a notification from a bank or
building society under section 40B(2) in relation to a person, the
45Secretary of State must check whether the person is a disqualified
person.

(2) If the Secretary of State determines that the person is a disqualified
person, the Secretary of State may apply under section 40D for a
freezing order in respect of one or more of the accounts held with the
bank or building society that are operated by or for the disqualified
5person.

(3) If the Secretary of State decides not to apply for a freezing order
under subsection (2), or decides to apply for a freezing order in
respect of one or more but not all of the accounts held with the bank
or building society that are operated by or for the disqualified
10person, the Secretary of State must notify the bank or building
society that it is subject to the duty in section 40G(2) in relation to the
disqualified person.

(4) A notification made under subsection (3) must contain the
prescribed information and be made in the prescribed form and
15manner.

(5) In subsection (4) “prescribed” means prescribed in regulations made
by the Treasury.

(6) If the Secretary of State determines that the person is not a
disqualified person, the Secretary of State must notify the bank or
20building society accordingly.

40D Freezing orders

(1) On an application by the Secretary of State under section 40C(2), the
court may make a freezing order in respect of any account specified
in the application.

(2) 25A freezing order in respect of an account is an order that prohibits
each person and body by or for whom the account is operated from
making withdrawals or payments from the account.

(3) A freezing order may be made subject to exceptions.

(4) An exception may (in particular)—

(a) 30make provision for the disqualified person to meet his or her
reasonable living expenses and reasonable legal expenses;

(b) allow another person or body by or for whom the account is
operated to make withdrawals or payments from the
account.

(5) 35An application for a freezing order may be made without notice.

(6) The court may vary or discharge a freezing order made in respect of
an account (whether made under this section or on an appeal under
section 40E) on an application made by—

(a) the Secretary of State, or

(b) 40a person or body by or for whom the account is operated.

(7) If the Secretary of State applies for a freezing order in respect of an
account and the order is not made, or the order is made but
subsequently discharged, the Secretary of State must notify the bank
or building society that it is subject to the duty in section 40G(2) in
45relation to the disqualified person.

(8) A notification made under subsection (7) must contain the
information and be in the form and manner prescribed in regulations
made under subsection (4) of section 40C for the purposes of
subsection (3) of that section.

(9) 5In this section—

• “the court” means—

  (a)

  in England and Wales, a magistrates’ court;

  (b)

  in Scotland, the sheriff;

  (c)

  in Northern Ireland, a court of summary jurisdiction;

• 10“the disqualified person” means the person who, following a
  check under section 40C(1), was determined to be a
  disqualified person, resulting in the application for the
  freezing order.

40E Freezing orders: appeals

(1) 15An appeal may be made to the relevant appeal court against a
decision of a court under section 40D.

(2) The right of appeal under subsection (1) is exercisable by—

(a) the Secretary of State, and

(b) if the decision relates to a freezing order that is in force in
20respect of an account, a person or body by or for whom the
account is operated.

(3) On an appeal under this section the relevant appeal court may
make—

(a) whatever orders are necessary to give effect to its
25determination of the appeal;

(b) whatever incidental or consequential orders appear to it to be
just.

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

(a) the Crown Court, where the decision appealed against is a
30decision of a magistrates’ court;

(b) the Sheriff Appeal Court, where the decision appealed
against is a decision of the sheriff;

(c) a county court, where the decision appealed against is a
decision of a court of summary jurisdiction.

40F 35Freezing orders: code of practice

(1) The Secretary of State must issue a code of practice—

(a) specifying the factors that the Secretary of State will consider
when deciding whether to apply for a freezing order under
section 40C(2),

(b) 40outlining the arrangements for keeping a freezing order
under review for the purpose of deciding whether to apply
under section 40D(6) for its variation or discharge, and

(c) specifying the factors that the Secretary of State will consider
when deciding whether to make such an application.

(2) 45The Secretary of State must from time to time review the code and
may revise and re-issue it following a review.

(3) The code (or revised code)—

(a) may not be issued unless a draft has been laid before
Parliament, and

(b) comes into force in accordance with provision contained in
5regulations made by the Secretary of State.

40G Closure of accounts not subject to freezing order

(1) This section applies where—

(a) a bank or building society makes a notification under section
40B(2) in relation to a person,

(b) 10the person is determined by the Secretary of State (following
a check under section 40C(1)) to be a disqualified person, and

(c) the bank or building society receives a notification under
section 40C(3) or 40D(7) in relation to the disqualified person.

(2) Where this section applies the bank or building society must as soon
15as reasonably practicable close each account held with it that—

(a) in the case of a notification under section 40C(3), is operated
by or for the disqualified person and is not the subject of an
application for a freezing order;

(b) in the case of a notification under section 40D(7), is operated
20by or for the disqualified person and in respect of which a
freezing order is not in force.

(3) The bank or building society may delay closing an account which it
would otherwise be required to close under subsection (2) if at the
time at which it would otherwise be required to close it—

(a) 25the account is overdrawn, or

(b) where the account is operated by or for the disqualified
person and one or more bodies or other persons, the bank or
building society considers that closing the account would
significantly adversely affect the interests of any of those
30other bodies or persons.

(4) Where subsection (3) applies, closure of the account may be delayed
for such period as is reasonable (but not indefinitely).

(5) If an account falling within subsection (2) is operated by or for the
disqualified person and one or more bodies or other persons, the
35bank or building society is to be treated as having complied with that
subsection in relation to that account if, as soon as reasonably
practicable, it takes all such steps as are necessary to prevent the
account from being operated by or for the disqualified person
(instead of closing the account).

(6) 40Where the bank or building society closes an account in compliance
with this section, it must tell each person or body by or for whom the
account is operated, if it may lawfully do so, why it has closed the
account.

(7) Where the bank or building society prevents an account from being
45operated by or for the disqualified person by virtue of subsection (5),
it must tell each person or body by or for whom the account is
operated, if it may lawfully do so, why it has prevented the account
from being operated by or for the disqualified person.

(8) The bank or building society must provide the Secretary of State with
information about the steps that it has taken to comply with this
section.

(9) Information provided under subsection (8) must be provided in the
5prescribed form and manner and at the prescribed times or with the
prescribed frequency.

(10) In subsection (9) “prescribed” means prescribed in regulations made
by the Treasury.

40H Sections 40A to 40G: interpretation

(1) 10This section applies for the purposes of sections 40A to 40G.

(2) “Account” includes a financial product by means of which a
payment may be made.

(3) “Freezing order” has the meaning given by section 40D(2).

(4) “Disqualified person” has the meaning given by section 40A(3).

(5) 15References to an account being operated by or for a person or body
are to be read in accordance with section 40A(5).”

3 (1) Section 41 (regulation by Financial Conduct Authority) is amended as
follows.

(2) In subsection (1), at the end insert “and the requirements imposed on them
20by sections 40A, 40B and 40G”.

(3) In subsection (2)(a), at the end insert “or immigration checks under section
40A”.

4 In section 42 (meaning of “bank” and “building society”), in subsections (1)
and (5), for “and 41” substitute “to 41”.

5 (1) 25Section 43 (power to amend) is amended as follows.

(2) In subsection (1)(b), after “40(1)” insert “or the requirement in section
40A(1)”.

(3) In subsection (1)(c), for “that section” substitute “section 40 or 40A”.

6 In section 74 (orders and regulations), in subsection (2) (statutory
30instruments to which the affirmative resolution procedure applies), after
paragraph (b) insert—

“(ba) regulations under section 40A(4);

(bb) regulations under section 40B;”.

7 (1) Section 18 of the Civil Jurisdiction and Judgments Act 1982 (enforcement of
35UK judgments in other parts of UK) is amended as follows.

(2) In subsection (3), for “subsection (4)” substitute “subsections (4) and (4ZA)”.

(3) After subsection (4) insert—

“(4ZA) This section applies to a freezing order made under section 40D of
the Immigration Act 2014 by a magistrates’ court in England and
40Wales or a court of summary jurisdiction in Northern Ireland.”

Section 52

SCHEDULE 7 Amendments to search warrant provisions

Immigration Act 1971 (c. 77)

1 The Immigration Act 1971 is amended as follows.

2 (1) 5Section 28D (entry and search of premises) is amended as follows.

(2) In subsection (1)—

(a) in paragraph (b) for “specified in the application” substitute
“mentioned in subsection (1A)”, and

(b) at the end of paragraph (e) insert “in relation to each set of premises
10specified in the application.”

(3) After subsection (1) insert—

“(1A) The premises referred to in subsection (1)(b) above are—

(a) one or more sets of premises specified in the application, or

(b) subject to subsection (2A), any premises occupied or
15controlled by a person specified in the application, including
such sets of premises as are so specified (in which case the
application is for an “all premises warrant”).

(1B) If the application is for an all premises warrant, the justice of the
peace must also be satisfied—

(a) 20that because of the particulars of the offence referred to in
paragraph (a) of subsection (1), there are reasonable grounds
for believing that it is necessary to search premises occupied
or controlled by the person in question which are not
specified in the application in order to find the material
25referred to in paragraph (b) of that subsection, and

(b) that it is not reasonably practicable to specify in the
application all the premises which the person occupies or
controls and which might need to be searched.

(1C) Subject to subsection (2A), the warrant may authorise entry to and
30search of premises on more than one occasion if, on the application,
the justice of the peace is satisfied that it is necessary to authorise
multiple entries in order to achieve the purpose for which the justice
issues the warrant.

(1D) If it authorises multiple entries, the number of entries authorised
35may be unlimited, or limited to a maximum.”

(4) In subsection (2) after “conditions” insert “referred to in subsection (1)(e)”.

(5) After subsection (2) insert—

“(2A) A justice of the peace in Scotland may not issue—

(a) an all premises warrant under this section, or

(b) 40a warrant under this section authorising multiple entries.”

(6) In subsection (7)—

(a) for “subsection (1)” substitute “this section”,

(b) in paragraph (a) for “the reference” substitute “references” and for “a
reference” substitute “references”, and

(c) in paragraph (b) for “paragraph (d)” substitute “subsection (1)(d)”.

3 (1) Section 28FB (search for personnel records with warrant) is amended as
5follows.

(2) In subsection (1)—

(a) after “business premises” insert “mentioned in subsection (1A)”, and

(b) at the end of paragraph (c) insert “in relation to each set of premises
specified in the application.”

(3) 10After subsection (1) insert—

“(1A) The premises referred to in subsection (1) above are—

(a) one or more sets of premises specified in the application, or

(b) subject to subsection (3C), any premises occupied or
controlled by a person specified in the application, including
15such sets of premises as are so specified (in which case the
application is for an “all premises warrant”).

(1B) If the application is for an all premises warrant, the justice of the
peace must also be satisfied—

(a) that there are reasonable grounds for believing that it is
20necessary to search premises occupied or controlled by the
person in question which are not specified in the application
in order to find the records referred to in subsection (1)(b),
and

(b) that it is not reasonably practicable to specify in the
25application all the premises which the person occupies or
controls and which might need to be searched.”

(4) After subsection (3) insert—

“(3A) Subject to subsection (3C), the warrant may authorise entry to and
search of premises on more than one occasion if, on the application,
30the justice of the peace is satisfied that it is necessary to authorise
multiple entries in order to achieve the purpose for which the justice
issues the warrant.

(3B) If it authorises multiple entries, the number of entries authorised
may be unlimited, or limited to a maximum.

(3C) 35A justice of the peace in Scotland may not issue—

(a) an all premises warrant under this section, or

(b) a warrant under this section authorising multiple entries.”

(5) In subsection (2) for “Those conditions are” substitute “The conditions
referred to in subsection (1)(c) are”.

4 (1) 40Section 28J (search warrants: safeguards) is amended as follows.

(2) In subsection (2)—

(a) after paragraph (a) insert—

“(aa) if the application is for a warrant authorising entry
and search on more than one occasion, state the
45ground on which the officer applies for such a