|Financial Services and Markets Bill - continued||House of Commons|
|PART XVII, RECOGNISED INVESTMENT EXCHANGES AND CLEARING HOUSES - continued|
|Other matters - continued|
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|Interpretation.|| 272. - (1) In this Chapter and Chapter III- |
| (2) For the purposes of this Chapter, any regulatory provision, practice or trading practice has a significant anti-competitive effect if it has, or is intended or likely to have, to any significant extent, the effect of preventing, restricting or distorting competition.|
| (3) For the purposes of this Chapter the following are permitted purposes- |
| (4) In determining under this Chapter whether any guidance has, or is likely to have, a particular effect, it may be assumed that persons to whom it is addressed will act in accordance with it.|
|Examination of rules and guidance.|| 273. - (1) The Authority may not make a recognition order without the approval of the Treasury.|
| (2) The Treasury may not give their approval unless they are satisfied that- |
| (3) In deciding whether to give their approval, the Treasury must have regard to any report prepared by the Director under section 275.|
| (4) If the Director reports that the regulatory provisions in question do not have a significant anti-competitive effect, the Treasury may not withhold their approval under this section.|
|Continuing scrutiny.|| 274. - (1) The Treasury may give a remedial direction in relation to a recognised body if it appears to them that- |
have a significant anti-competitive effect which is greater than is necessary for a permitted purpose.
| (2) The Treasury may also give a remedial direction in relation to a recognised body if it appears to them that- |
amount to an abuse of a dominant position.
| (3) A "remedial direction" is a direction requiring the Authority- |
| (4) The Treasury may give a remedial direction only if they have received a report from the Director under subsection (3), (4) or (7) of section 276.|
|Initial report by Director General of Fair Trading.|| 275. - (1) The Authority must send to the Treasury and to the Director- |
| (2) The Director must report to the Treasury on whether- |
| (3) If the Director's conclusion is that one or more provisions have a significant anti-competitive effect, he must give details of what the effect is, or is likely to be.|
| (4) If the Director's conclusion is that- |
he must state his reasons for that conclusion.
|Further reports by Director General of Fair Trading.|| 276. - (1) The Authority must send to the Treasury and to the Director copies of any notice received by it under section 264(5) together with such information as the Authority considers will assist the Director in carrying out his functions under subsections (2) to (4) of this section.|
| (2) The Director must keep under review- |
| (3) If at any time the Director considers that- |
have a significant anti-competitive effect, he must report that to the Treasury.
| (4) If at any time the Director considers that- |
amount to an abuse of a dominant position, he must report that to the Treasury.
| (5) The Director may report to the Treasury that a matter of the kind mentioned in subsection (2)(b) does not in his opinion have a significant anti-competitive effect or amount to an abuse of a dominant position.|
| (6) The Director may at any time consider whether any practices of a recognised body or trading practices of a person subject to the rules of such a body- |
| (7) If the Director considers that any such practices- |
he must make a report to the Treasury.
|Reports: supplementary.|| 277. - (1) A report under subsection (3) or (7)(a) of section 276 must give details of the anti-competitive effect or likely anti-competitive effect.|
| (2) A report under subsection (4) or (7)(b) of that section must state the reasons for the Director's conclusion that any of the matters mentioned in subsection (4) or (6) of that section amount to an abuse of a dominant position.|
| (3) If the Director thinks fit, he may publish any report made by him under section 276(5).|
| (4) The Treasury must publish any report made to them by the Director under section 276(3), (4) or (7).|
| (5) A report which is published under subsection (3) or (4) must, so far as is practicable, exclude any matter which relates to the affairs of a particular person (other than the investment exchange or clearing house concerned) the publication of which, in the opinion of the Director or the Treasury, would or might seriously and prejudicially affect the interests of that person.|
|Investigations by Director General of Fair Trading.|| 278. - (1) For the purpose of investigating any matter with a view to its consideration under section 275 or 276, the Director may exercise the powers conferred on him by this section.|
| (2) The Director may by notice in writing require any person to produce to him or to a person appointed by him for the purpose, at a time and place specified in the notice, any document which- |
| (3) The Director may by notice in writing- |
| (4) No person may be required under this section to produce or disclose a privileged communication.|
| (5) If a person ("the defaulter") refuses, or otherwise fails, to comply with a notice under this section, the Director may certify that fact in writing to the court and the court may enquire into the case.|
| (6) If, after hearing any witness who may be produced against or on behalf of the defaulter and any statement which may be offered in defence, the court is satisfied that the defaulter did not have a reasonable excuse for refusing or otherwise failing to comply with the notice, the court may punish the defaulter as if he had been in contempt of court.|
| (7) In this section, "the court" means- |
|Procedure on exercise of certain powers by Treasury.|| 279. The Treasury may not refuse their approval under section 273 or give a remedial direction unless they- |
|© Parliamentary copyright 1999||Prepared 18 November 1999|