Miss Melanie Johnson:
Amendment No. 76 seeks to maintain the status quo regarding the bankruptcy disqualification of Members. However, under the Bill it would not be possible to do so, because if a Member were subject to a bankruptcy restrictions order, he or she would not be disqualified. The hon. Member for Eastbourne (Mr. Waterson) does not appear to have realised the implications of his amendment, although it may be only a probing amendment. Those subject to BROs would not be disqualified, but they are exactly the people who we are saying are the most serious bankrupts and who will be subject to a much more rigorous regime under the Bill
17 Jun 2002 : Column 93
than under existing bankruptcy provisions. I hope that the hon. Gentleman will take that point to heart, because his allegations that our changes to the regime are always in favour of leniency are growing a little stale. In truth, the BRO provision will make bankruptcy a suitably serious matter in the appropriate cases.
The last bankruptcy disqualification of a sitting Member of Parliament was in the late 1920s, notwithstanding the more recent names that the hon. Gentleman mentioned. Such disqualification is unusual, but that is not to say that we should not have provision to cover it. Section 427 of the Insolvency Act 1986 currently provides that a person who becomes bankrupt in England and Wales, or Northern Ireland, or has his estate sequestered in Scotland, is disqualified from being elected to this House or sitting or voting in either House or Committee of either House.
7.45 pm
Mr. Waterson:
I appreciate the practical point that the Minister has just made, but she must also remember that we are talking about people who might wish to put themselves forward for election to Parliament who currently would not be allowed to do so. The issue would not arise for sitting Members, but would for those who wish to stand and would be allowed to do so, even though they were bankrupt.
Miss Johnson:
Former members of the Committee will remember that my hon. Friend the Member for North-East Derbyshire (Mr. Barnes) provided some illuminating insights as to the history of the disqualification of Members and, in particular, whether it is right that somebody who is bankrupt should be disqualified from standing for election to Parliament. I have written to my hon. Friend and other former Committee members confirming that the Bill as currently drafted will enable a person who becomes bankrupt but is not subject to a BRO to be elected to and to participate in this House, but that if a person subject to a BRO were to be elected, the return would be void. However, it is very unlikely that a person subject to a BRO would be chosen as a candidate.
Under section 427 of the 1986 Act, a Member of Parliament would be able to continue to undertake constituency work. However, if after six months he or she remained bankrupt or sequestrated, his or her seat would be vacated. We recognise that arrangements relating to the conduct of Members of Parliament are a matter for Parliament itself to determine and not the Government alone. Therefore, the proposals in the Bill were the result of discussion between the Lord President of the Council and the Chairman of the Standards and Privileges Committee.
The right hon. Member for North-West Hampshire (Sir George Young) confirmed that against the background of the Government's objectives it would no longer be appropriate for a Member who becomes bankrupt to be disqualified from sitting or voting, and nor would it be fair to the constituents. The Standards and Privileges Committee also felt that if a Member becomes subject to a bankruptcy restrictions order or an interim order, his or her seat should be vacated. By the same token, only bankrupts subject to a BRO or an interim BRO should be disqualified from election to the House.
The Government are grateful for the Committee's consideration of this matter and accept its advice, which is reflected in clause 259. That position was supported
17 Jun 2002 : Column 94
by some of my hon. Friends who spoke to the issue in Committee. The clause also disqualifies a member of the other place who is subject to a BRO, or interim order, from sitting and voting.
Initially, the proposals will apply only to those persons made bankrupt in England and Wales. That is because Scotland and Northern Ireland have their own devolved individual insolvency regimes and until such time as they are amended, Members sequestrated in Scotland or made bankrupt in Northern Ireland will continue to be subject to the current arrangements.
I do not need to go into more detail about the arrangements for the devolved Administrations, but we should recognise that we currently have a lower standard than some other areas because a Member is allowed a six-month period of grace to get either an annulment or a discharge before he or she has to vacate their seat. In other areas, there is no such grace period and disqualification has immediate effect. To leave things as they are, as the amendment advocates, and to take no action against Members who are subject to a BRO would widen that disparity even further. We would be faced with the perverse possibility that bankrupt Members could have to vacate their seats after six months, but could stand for election again and be returned even after their discharge even though they were subject to a BRO.
We should bring the provisions on Members into line with what will happen elsewhere. The order-making power in clause 261 will allow unnecessary bankruptcy disqualifications to be removed or amended. It is already clear that a number of restrictions on bankrupts will be replaced by restrictions on persons subject to a BRO. That is what we will be doing for Members in clause 259.
I will not be accepting amendment No. 76 which would have some, perhaps unintended, undesirable consequences. I believe that the moves that we are making are in the right direction, although the Government entirely accept that this is a matter for this House.
Mr. Waterson:
I was merely trying to put the principle before the House. The Minister referred to a probing amendment, and if ever there was one, this was it. I still believe that those outside the House will not look kindly on us giving ourselves this exemption. The Minister has rightly pointed out some practical difficulties and, given her full explanation on at least two occasions, I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Clause 263
Fees
Amendment made: No. 323, in page 181, line 10, leave out "or cancel recognition" and insert
'recognition, or revoke an order of recognition under section 391(1) by a further order,'.[Miss Melanie Johnson.]
Schedule 24
Transitional and transitory provisions and savings
Amendments made: No. 374, in page 304, line 10, at end insert
'Designation orders under Schedule 4 to the 1998 Act
' (1) Subject to sub-paragraph (2), the repeals made by section 200 do not affect
17 Jun 2002 : Column 95
(a) the operation of Schedule 4 to the 1998 Act in relation to any application for designation of a professional rule which is made before the commencement date;
(b) the operation of section 3(1)(d) of and Schedule 4 to the 1998 Act in relation to any designation effected by an order made before the commencement date or on an application mentioned in paragraph (a).
(2) No designation order (whenever made) shall have any effect in relation to any period of time after the end of the transitional period.
(3) Subject to sub-paragraph (2) a designation order may be made after the end of the transitional period on an application mentioned in sub-paragraph (1)(a).
(4) For the purposes of this paragraph
"commencement date" means the day on which section 200 comes into force;
"designation" means designation under paragraph 2 of Schedule 4 to the 1998 Act; and
"the transitional period" means the period of three months beginning with the commencement date.'.
No. 188, in page 304, line 6, at end insert
'8A Any person who is a member of the Competition Commission appeal panel (but not a member of the panel of chairmen) immediately before the commencement of section 12 is on that date to become a member of the Competition Appeal Tribunal, on such terms and for such a period as the Secretary of State may determine.
8B Any member of the Competition Commission appeal panel who is, immediately before the commencement of section 12, a member of the panel of chairmen under paragraph 26 of Schedule 7 to the 1998 Act is on that date to become a chairman of the Competition Appeal Tribunal, on such terms and for such a period as the Lord Chancellor may determine.
8C Nothing in paragraph 7, 8, 8A or 8B applies to any person who, before the commencement of section 12, gives notice to the Secretary of State stating that he does not wish that paragraph to apply to him.'.[Miss Melanie Johnson.]
Schedule 25
Minor and consequential amendments
Amendments made: No. 382, in page 304, line 17, at end insert
'Registered Designs Act 1949 (c. 88)
A1 (1) The Registered Designs Act 1949 is amended as follows.
(2) In section 11A(1) (powers exercisable in consequence of report of Competition Commission), paragraphs (a) and (b) shall cease to have effect.
(3) After section 11A there is inserted
"11AB Powers exercisable following merger and market investigations
(1) Subsection (2) below applies where
(a) section 40(2), 54(2), 65(6), 72(2), 80(2), 132(2), 141(2) or 154(2) of, or paragraph 5(2) or 10(2) of Schedule 7 to, the Enterprise Act 2002 (powers to take remedial action following merger or market investigations) applies;
(b) the Competition Commission or (as the case may be) the Secretary of State considers that it would be appropriate to make an application under this section for the purpose of remedying, mitigating or preventing a matter which cannot be dealt with under the enactment concerned; and
(c) the matter concerned involves conditions in licences granted in respect of a registered design by its proprietor restricting the use of the design by the licensee or the right of the proprietor to grant other licences.
17 Jun 2002 : Column 96
(2) The Competition Commission or (as the case may be) the Secretary of State may apply to the registrar to take action under this section.
(3) Before making an application the Competition Commission or (as the case may be) the Secretary of State shall publish, in such manner as it or he thinks appropriate, a notice describing the nature of the proposed application and shall consider any representations which may be made within 30 days of such publication by persons whose interests appear to it or him to be affected.
(4) The registrar may, if it appears to him on an application under this section that the application is made in accordance with this section, by order cancel or modify any condition concerned of the kind mentioned in subsection (1)(c) above.
(5) An appeal lies from any order of the registrar under this section.
(6) References in section 34, 35, 46, 62, 128 or 135 of the Enterprise Act 2002 (questions to be decided by the Competition Commission in its reports) to taking action under section 40(2), 54, 65, 132 or 141 shall include references to taking action under subsection (2) above.
(7) An order made by virtue of this section in consequence of action under subsection (2) above where an enactment mentioned in subsection (1)(a) above applies shall be treated, for the purposes of sections 88(3), 89(1)(a), 156(1) and 160(3) of the Enterprise Act 2002 (duties to register and keep under review enforcement orders etc.), as if it were made under the relevant power in Part 3 or (as the case may be) 4 of that Act to make an enforcement order (within the meaning of the Part concerned)."'.
No. 383, in page 304, line 19, at end insert
'(1A) In section 19A (action following report by Commission)
(a) for subsection (1) there is substituted
"(1) Subsection (2) applies in any of the following cases.
(1A) The first case is where section 132(2) of the Enterprise Act 2002 (duty to remedy adverse effects following market investigation reference) applies and whatever is to be remedied, mitigated or prevented relates to any provision of a scheme or any act or omission of a board administering a scheme.
(1B) The second case is where section 141(2) of the Enterprise Act 2002 (duty to remedy adverse effects in public interest cases) applies and whatever is to be remedied, mitigated or prevented relates to any provision of a scheme or any act or omission of a board administering a scheme.
(1C) The third case is where
(a) a report of the Competition Commission under section 11 of the Competition Act 1980 (c.21) (references of public bodies etc.), as laid before Parliament, contains conclusions to the effect that
(i) certain matters indicated in the report operate against the public interest, and
(ii) those matters consist of or include any provision of a scheme or any act or omission of a board administering a scheme, and
(b) none of the conclusions is to be disregarded by virtue of section 11C(3) of that Act (requirement for twothirds majority).";
(b) in subsection (2)
(i) the words from the beginning of the subsection to "this section" shall cease to have effect;
(ii) for the words from "those conclusions" to the end of the subsection there is substituted "a report of a committee of investigation had contained the conclusion that the provision of the scheme in question, or the act or omission in question, is contrary to the interests of consumers of the regulated product";
(c) after subsection (2) there is inserted
"(3) An order made by virtue of this section in a case mentioned in subsection (1A) or (1B) shall be treated, for the purposes of sections 156(1) and 160(3) of the Enterprise Act 2002 (duties to
17 Jun 2002 : Column 97
register and keep under review enforcement orders etc.), as if it were made under the relevant power in Part 4 of that Act to make an enforcement order (within the meaning of that Part).".
(1B) For the purposes of the Scotland Act 1998 (c. 46) the amendments made by sub-paragraph (1A) shall be taken to be precommencement enactments within the meaning of that Act.'.
No. 384, in page 308, line 44, at end insert
'Patents Act 1977 (c. 37)
6A (1) The Patents Act 1977 is amended as follows.
(2) After section 50 there is inserted
"50A Powers exercisable following merger and market investigations
(1) Subsection (2) below applies where
(a) section 40(2), 54(2), 65(6), 72(2), 80(2), 132(2), 141(2) or 154(2) of, or paragraph 5(2) or 10(2) of Schedule 7 to, the Enterprise Act 2002 (powers to take remedial action following merger or market investigations) applies;
(b) the Competition Commission or (as the case may be) the Secretary of State considers that it would be appropriate to make an application under this section for the purpose of remedying, mitigating or preventing a matter which cannot be dealt with under the enactment concerned; and
(c) the matter concerned involves
(i) conditions in licences granted under a patent by its proprietor restricting the use of the invention by the licensee or the right of the proprietor to grant other licences; or
(ii) a refusal by the proprietor of a patent to grant licences on reasonable terms.
(2) The Competition Commission or (as the case may be) the Secretary of State may apply to the comptroller to take action under this section.
(3) Before making an application the Competition Commission or (as the case may be) the Secretary of State shall publish, in such manner as it or he thinks appropriate, a notice describing the nature of the proposed application and shall consider any representations which may be made within 30 days of such publication by persons whose interests appear to it or him to be affected.
(4) The comptroller may, if it appears to him on an application under this section that the application is made in accordance with this section, by order cancel or modify any condition concerned of the kind mentioned in subsection (1)(c)(i) above or may, instead or in addition, make an entry in the register to the effect that licences under the patent are to be available as of right.
(5) References in section 34, 35, 46, 62, 128 or 135 of the Enterprise Act 2002 (questions to be decided by the Competition Commission in its reports) to taking action under section 40(2), 54, 65, 132 or 141 shall include references to taking action under subsection (2) above.
(6) Action taken by virtue of subsection (4) above in consequence of an application under subsection (2) above where an enactment mentioned in subsection (1)(a) above applies shall be treated, for the purposes of sections 88(3), 89(1)(a), 156(1) and 160(3) of the Enterprise Act 2002 (duties to register and keep under review enforcement orders etc.), as if it were the making of an enforcement order (within the meaning of the Part concerned) under the relevant power in Part 3 or (as the case may be) 4 of that Act."
(3) In section 51(1) (powers exercisable in consequence of report of Competition Commission), paragraphs (a) and (b) shall cease to have effect.
(4) In section 53(2) (statements in certain reports of the Competition Commission to be prima facie evidence of the matters stated) after "1980" there is inserted "or published under Part 3 or 4 of the Enterprise Act 2002".'.
No. 385, in page 314, line 6, leave out ", (4) and (5)" and insert "and (4)".
No. 386, in page 314, line 6, at end insert
17 Jun 2002 : Column 98
'(b) in subsection (4), for the words "against the public interest" there is substituted "inappropriate";
(c) for subsection (5) there is substituted
"(5) In deciding what is inappropriate for the purposes of subsection (4) the Secretary of State shall have regard to the considerations mentioned in section 238 of the Enterprise Act 2002."'.
No. 189, in page 314, line 16, after "(6)", insert "or 111(3)(b) or (4)(b)".
No. 190, in page 314, line 17, after "11B(1)(c)", insert "or (f)'.
No. 387, in page 314, line 38, at end insert
'(10) For the purposes of the Scotland Act 1998 (c. 46) the amendments made by this paragraph shall be taken to be pre-commencement enactments within the meaning of that Act.'.
No. 388, in page 314, line 42, at end insert
'Agricultural Marketing (Northern Ireland) Order 1982 (S.I. 1982/1080 (N.I. 12))
9A (1) The Agricultural Marketing (Northern Ireland) Order 1982 is amended as follows.
(2) For article 23 (action following report by Commission) there is substituted
"23 Action following report by Competition Commission
(1) Paragraph (5) applies in any of the following cases.
(2) The first case is where section 132(2) of the Enterprise Act 2002 (duty to remedy adverse effects following market investigation reference) applies and whatever is to be remedied, mitigated or prevented relates to any provision of a scheme or any act or omission of a board administering a scheme.
(3) The second case is where section 141(2) of the Enterprise Act 2002 (duty to remedy adverse effects in public interest cases) applies and whatever is to be remedied, mitigated or prevented relates to any provision of a scheme or any act or omission of a board administering a scheme.
(4) The third case is where
(a) a report of the Competition Commission under section 11 of the Competition Act 1980 (c. 21) (references of public bodies etc.), as laid before Parliament, contains conclusions to the effect that
(i) certain matters indicated in the report operate against the public interest, and
(ii) those matters consist of or include any provision of a scheme or any act or omission of a board administering a scheme, and
(b) none of the conclusions is to be disregarded by virtue of section 11C(3) of that Act (requirement for two-thirds majority).
(5) The Department shall have the like power to make orders under Article 22 as if a report of a committee of investigation had contained the conclusion that the provision of the scheme in question, or the act or omission in question, is contrary to the interests of consumers of the regulated product.
(6) An order made by virtue of this Article in a case falling within paragraph (2) or (3) shall be treated, for the purposes of sections 156(1) and 160(3) of the Enterprise Act 2002 (duties to register and keep under review enforcement orders etc.), as if it were made under the relevant power in Part 4 of that Act to make an enforcement order (within the meaning of that Part)."
17 Jun 2002 : Column 99
(3) In article 42 (action following report by Commission)
(a) for paragraph (1) there is substituted
"(1) Paragraph (1D) applies in any of the following cases.
(1A) The first case is where section 132(2) of the Enterprise Act 2002 (duty to remedy adverse effects following market investigation reference) applies and whatever is to be remedied, mitigated or prevented relates to any provision of a scheme or any act or omission of a board administering a scheme.
(1B) The second case is where section 141(2) of the Enterprise Act 2002 (duty to remedy adverse effects in public interest cases) applies and whatever is to be remedied, mitigated or prevented relates to any provision of a scheme or any act or omission of a board administering a scheme.
(1C) The third case is where
(a) a report of the Competition Commission under section 11 of the Competition Act 1980 (c. 21) (references of public bodies etc.), as laid before Parliament, contains conclusions to the effect that
(i) certain matters indicated in the report operate against the public interest, and
(ii) those matters consist of or include any provision of a scheme or any act or omission of a board administering a scheme, and
(b) none of the conclusions is to be disregarded by virtue of section 11C(3) of that Act (requirement for two-thirds majority).
(1D) The Department, if it thinks fit so to do
(a) may by order make such amendments in the scheme as it considers necessary or expedient for the purpose of rectifying the matter;
(b) may by order revoke the scheme;
(c) in the event of the matter being one which it is within the power of the board to rectify, may by order direct the board to take such steps to rectify the matter as may be specified in the order, and thereupon it shall be the duty of the board forthwith to comply with the order.";
(b) in paragraph (2) for "paragraph (1)" there is substituted "paragraph (1D)";
(c) in paragraph (3) for "paragraph (1)(b)(iii)" there is substituted "paragraph (1D)(c)";
(d) in paragraph (5)
(i) for "paragraph (1)(i) or (iii)" there is substituted "paragraph (1D)(a) or (c)";
(ii) for "paragraph (1)(ii)" there is substituted "paragraph (1D)(b)";
(e) after paragraph (5) there is inserted
"(5A) Any order made under this Article in a case falling within paragraph (1A) or (1B) shall be treated, for the purposes of sections 156(1) and 160(3) of the Enterprise Act 2002 (duties to register and keep under review enforcement orders etc.), as if it were made under the relevant power in Part 4 of that Act to make an enforcement order (within the meaning of that Part)."'.
No. 389, in page 315, line 3, at end insert
'(2A) In section 13 (licence modification references to Commission), subsections (9) and (9A) shall cease to have effect.
(2B) After section 13 there is inserted
"13A References under section 13: time limits
(1) Every reference under section 13 above shall specify a period (not longer than six months beginning with the date of the reference) within which a report on the reference is to be made.
(2) A report of the Commission on a reference under section 13 above shall not have effect (and no action shall be taken in relation to it under section 15 below) unless the report is made before the end of the period specified in the reference or such further period (if any) as may be allowed by the Director under subsection (3) below.
(3) The Director may, if he has received representations on the subject from the Commission and is satisfied that there are special reasons why the report cannot be made within the period specified in the reference, extend that period by no more than six months.
17 Jun 2002 : Column 100
(4) No more than one extension is possible under subsection (3) above in relation to the same reference.
(5) The Director shall, in the case of an extension made by him under subsection (3) above
(a) publish that extension in such manner as he considers appropriate for the purpose of bringing it to the attention of persons likely to be affected by it; and
(b) in the case of a licence granted to a particular person, send to that person a copy of what has been published by him under paragraph (a) above.
13B References under section 13: powers of investigation
(1) The following sections of Part 3 of the Enterprise Act 2002 shall apply, with the modifications mentioned in subsections (2) and (3) below, for the purposes of references under section 13 above as they apply for the purposes of references under that Part
(a) section 106 (attendance of witnesses and production of documents etc.);
(b) section 107 (enforcement of powers under section 106: general);
(c) section 108 (penalties);
(d) section 109 (penalties: main procedural requirements);
(e) section 110 (payments and interest by instalments);
(f) section 111 (appeals in relation to penalties);
(g) section 112 (recovery of penalties); and
(h) section 113 (statement of policy).
(2) Section 107 shall, in its application by virtue of subsection (1) above, have effect as if
(a) subsection (2) were omitted; and
(b) in subsection (9) the words from "or section" to "section 64(3))" were omitted.
(3) Section 108(5)(b)(ii) shall, in its application by virtue of subsection (1) above, have effect as if for the words from "the latest" to the end there were substituted "the day on which the report of the Commission on the reference concerned is published."
(2C) In section 14 (reports on licence modification references)
(a) after subsection (1) there is inserted
"(1A) For the purposes of section 15 below, a conclusion contained in a report of the Commission is to be disregarded if the conclusion is not that of at least two-thirds of the members of the group constituted in connection with the reference concerned in pursuance of paragraph 15 of Schedule 7 to the Competition Act 1998.
(1B) If a member of a group so constituted disagrees with any conclusions contained in a report made on a reference under section 13 above as the conclusions of the Commission, the report shall, if the member so wishes, include a statement of his disagreement and of his reasons for disagreeing.";
(b) for subsection (3) there is substituted
"(3) For the purposes of the law relating to defamation, absolute privilege attaches to any report made by the Commission on a reference under section 13 above.
(3A) In making any report on a reference under section 13 above the Commission must have regard to the following considerations before disclosing any information.
(3B) The first consideration is the need to exclude from disclosure (so far as practicable) any information whose disclosure the Commission thinks is contrary to the public interest.
(3C) The second consideration is the need to exclude from disclosure (so far as practicable)
(a) commercial information whose disclosure the Commission thinks might significantly harm the legitimate business interests of the undertaking to which it relates, or
(b) information relating to the private affairs of an individual whose disclosure the Commission thinks might significantly harm the individual's interests.
17 Jun 2002 : Column 101
(3D) The third consideration is the extent to which the disclosure of the information mentioned in subsection (3C)(a) or (b) is necessary for the purposes of the report."'.
No. 390, in page 316, line 42, leave out from beginning to end of line 2 on page 317.
No. 391, in page 317, line 9, at end insert
'Copyright, Designs and Patents Act 1988 (c. 48)
15A (1) The Copyright, Designs and Patents Act 1988 is amended as follows.
(2) In section 144 (powers exercisable in consequence of report of Commission) for subsections (1) and (2) there is substituted
"(1) Subsection (1A) applies where whatever needs to be remedied, mitigated or prevented by the Secretary of State or (as the case may be) the Competition Commission under section 12(5) of the Competition Act 1980 or section 40(2), 54(2), 65(6), 72(2), 80(2), 132(2), 141(2) or 154(2) of, or paragraph 5(2) or 10(2) of Schedule 7 to, the Enterprise Act 2002 (powers to take remedial action following references to the Commission in connection with public bodies and certain other persons, mergers or market investigations) consists of or includes
(a) conditions in licences granted by the owner of copyright in a work restricting the use of the work by the licensee or the right of the copyright owner to grant other licences; or
(b) a refusal of a copyright owner to grant licences on reasonable terms.
(1A) The powers conferred by Schedule 8 to the Enterprise Act 2002 include power to cancel or modify those conditions and, instead or in addition, to provide that licences in respect of the copyright shall be available as of right.
(2) The references to anything permitted by Schedule 8 to the Enterprise Act 2002 in section 12(5A) of the Competition Act 1980 and in sections 72(4)(a), 80(4)(a), 81(2)(a), 86(1), 154(4)(a), 155(3)(a) and 158(1) of, and paragraphs 5, 10 and 11 of Schedule 7 to, the Act of 2002 shall be construed accordingly."
(3) In section 144(3)
(a) for "A Minister" there is substituted "The Secretary of State or (as the case may be) the Competition Commission";
(b) after "he" there is inserted "or it".'.
No. 392, in page 318, line 38, at end insert
'(f) paragraph 8 (exemption from monopoly provisions) shall cease to have effect.'.
No. 393, in page 322, line 47, at end insert
';
(ii) sub-paragraphs (7) and (7A) shall cease to have effect;
(da) after paragraph 4 there is inserted
"Further provision about references under paragraph 4
4A (1) The following sections of Part 3 of the Enterprise Act 2002 shall apply, with the modifications mentioned in sub-paragraphs (2) and (3), for the purposes of references under paragraph 4 as they apply for the purposes of references under that Part
(a) section 106 (attendance of witnesses and production of documents etc.);
(b) section 107 (enforcement of powers under section 106: general);
(c) section 108 (penalties);
(d) section 109 (penalties: main procedural requirements);
(e) section 110 (payments and interest by instalments);
(f) section 111 (appeals in relation to penalties);
(g) section 112 (recovery of penalties); and
(h) section 113 (statement of policy).
17 Jun 2002 : Column 102
(2) Section 107 shall, in its application by virtue of sub-paragraph (1), have effect as if
(a) subsection (2) were omitted; and
(b) in subsection (9) the words from "or section" to "section 64(3))" were omitted.
(3) Section 108(5)(b)(ii) shall, in its application by virtue of sub-paragraph (1), have effect as if for the words from "the latest" to the end there were substituted "the day on which the report of the Commission on the reference concerned is published.";
(db) in paragraph 5
(i) for "Director" (in each place) there is substituted "OFT";
(ii) sub-paragraph (5) shall cease to have effect;
(iii) after sub-paragraph (5) there is inserted
"(5A) For the purposes of paragraph 6, a conclusion contained in a report of the Competition Commission is to be disregarded if the conclusion is not that of at least two-thirds of the members of the group constituted in connection with the reference concerned in pursuance of paragraph 15 of Schedule 7 to the Competition Act 1998.
(5B) If a member of a group so constituted disagrees with any conclusions contained in a report made on a reference under paragraph 4 as the conclusions of the Competition Commission, the report shall, if the member so wishes, include a statement of his disagreement and of his reasons for disagreeing.
(5C) For the purposes of the law relating to defamation, absolute privilege attaches to any report made by the Competition Commission on a reference under paragraph 4.
(5D) In making any report on a reference under paragraph 4 the Competition Commission must have regard to the following considerations before disclosing any information.
(5E) The first consideration is the need to exclude from disclosure (so far as practicable) any information whose disclosure the Competition Commission thinks is contrary to the public interest.
(5F) The second consideration is the need to exclude from disclosure (so far as practicable)
(a) commercial information whose disclosure the Competition Commission thinks might significantly harm the legitimate business interests of the undertaking to which it relates, or
(b) information relating to the private affairs of an individual whose disclosure the Competition Commission thinks might significantly harm the individual's interests.
(5G) The third consideration is the extent to which the disclosure of the information mentioned in sub-paragraph (5F)(a) or (b) is necessary for the purposes of the report.".'
No. 394, in page 323, line 1, leave out "paragraphs 5 and" and insert "paragraph".
No. 395, in page 323, leave out line 11 and insert
'(iii) sub-paragraphs (3) and (4) shall cease to have effect;
(ga) after paragraph 8 there is inserted
"Enforcement
8A (1) The court may, on an application by the OFT, enquire into whether any person ("the defaulter") has refused or otherwise failed, without reasonable excuse, to comply with a notice under paragraph 8(1).
(2) An application under subparagraph (1) shall include details of the possible failure which the OFT considers has occurred.
(3) In enquiring into a case under subparagraph (1), the court shall hear any witness who may be produced against or on behalf of the defaulter and any statement which may be offered in defence.
(4) Sub-paragraphs (5) and (6) apply where the court is satisfied, after hearing any witnesses and statements as mentioned in sub-paragraph (3), that the defaulter has refused or otherwise failed, without reasonable excuse, to comply with the notice under paragraph 8(1).
17 Jun 2002 : Column 103
(5) The court may punish the defaulter as it would have been able to punish him had he been guilty of contempt of court.
(6) Where the defaulter is a body corporate, the court may punish any director or officer of the defaulter as it would have been able to punish that director or officer had the director or officer been guilty of contempt of court.
(7) In this section "the court"
(a) in relation to England and Wales or Northern Ireland, means the High Court, and
(b) in relation to Scotland, means the Court of Session.
8B (1) A person commits an offence if he intentionally alters, suppresses or destroys a document which he has been required to produce by a notice under paragraph 8(1).
(2) A person who commits an offence under sub-paragraph (1) shall be liable
(a) on summary conviction, to a fine not exceeding the statutory maximum;
(b) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.
False or misleading information
8C (1) A person commits an offence if
(a) he supplies any information to the OFT or the Competition Commission in connection with any of their functions under this Schedule;
(b) the information is false or misleading in a material respect; and
(c) he knows that it is false or misleading in a material respect or is reckless as to whether it is false or misleading in a material respect.
(2) A person commits an offence if he
(a) supplies any information to another person which he knows to be false or misleading in a material respect; or
(b) recklessly supplies any information to another person which is false or misleading in a material respect;
knowing that the information is to be used for the purpose of supplying information to the OFT or the Competition Commission in connection with any of their functions under this Schedule.
(3) A person who commits an offence under sub-paragraph (1) or (2) shall be liable
(a) on summary conviction, to a fine not exceeding the statutory maximum;
(b) on conviction on indictment, to imprisonment for a term not exceeding two years or to a fine or to both.".'
No. 396, in page 325, line 16, at end insert
'Osteopaths Act 1993 (c. 21)
25A (1) The Osteopaths Act 1993 is amended as follows.
(2) In section 33(2) (competition and anti-competitive practices)
(a) for the words from the beginning to "orders)" there is substituted "Schedule 8 to the Enterprise Act 2002 (provision that may be contained in enforcement orders)";
(b) for "a competition" there is substituted "an enforcement".
(3) After section 33(2) there is inserted
"(2A) The references to anything permitted by Schedule 8 to the Enterprise Act 2002 in sections 154(4)(a), 155(3)(a) and 158(1) of that Act shall be construed accordingly."
(4) In section 33(3), for "A competition" there is substituted "An enforcement".
17 Jun 2002 : Column 104
(5) For section 33(4) there is substituted
"(4) In this section "an enforcement order" means an order under
(a) section 154 of the Enterprise Act 2002 (orders following failure to fulfil final undertakings); or
(b) section 155 of that Act (final orders following market investigation reports).".
(6) For section 33(5) there is substituted
"(5) For the purposes of an enforcement order section 83(3) of the Enterprise Act 2002 as applied by section 158(2)(a) of that Act (power to apply orders to existing agreements) shall have effect in relation to a regulatory provision as it has effect in relation to an agreement."'.
No. 397, in page 325, line 19, after "Regulator)" insert "
(a) in subsection (2)(a), the words from "in cases where" to "market" shall cease to have effect;
(b) '.
No. 398, in page 325, line 21, at end insert
';
(c) subsection (8) shall cease to have effect.'.
No. 399, in page 326, line 17, at end insert
'Chiropractors Act 1994 (c. 17)
26A (1) The Chiropractors Act 1994 is amended as follows.
(2) In section 33(2) (competition and anti-competitive practices)
(a) for the words from the beginning to "orders)" there is substituted "Schedule 8 to the Enterprise Act 2002 (provision that may be contained in enforcement orders)";
(b) for "a competition" there is substituted "an enforcement".
(3) After section 33(2) there is inserted
"(2A) The references to anything permitted by Schedule 8 to the Enterprise Act 2002 in sections 154(4)(a), 155(3)(a) and 158(1) of that Act shall be construed accordingly."
(4) In section 33(3), for "A competition" there is substituted "An enforcement".
(5) For section 33(4) there is substituted
"(4) In this section "an enforcement order" means an order under
(a) section 154 of the Enterprise Act 2002 (orders following failure to fulfil final undertakings); or
(b) section 155 of that Act (final orders following market investigation reports).".
(6) For section 33(5) there is substituted
"(5) For the purposes of an enforcement order section 83(3) of the Enterprise Act 2002 as applied by section 158(2)(a) of that Act (power to apply orders to existing agreements) shall have effect in relation to a regulatory provision as it has effect in relation to an agreement."'.
No. 400, in page 327, line 20, leave out sub-paragraph (4).
[Miss Melanie Johnson.]
Schedule 26
Repeals and revocations
Amendments made: No. 401, in page 338, line 20, at end insert
'Registered Designs Act 1949 (c. 88)
In section 11A(1), paragraphs (a) and (b).'.
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No. 402, in page 338, line 20, at end insert
'Agricultural Marketing Act 1958 (c. 47)
In section 19A(2), the words from the beginning of the subsection to "this section".'.
No. 403, in page 339, line 19, in column 2 at end insert
'Section 84'.
No. 404, in page 339, line 46, in column 2 at beginning insert
'In section 51(1), paragraphs (a) and (b).'.
No. 405, in page 340, line 4, leave out ", (4) and (5)" and insert "and (4)".
No. 406, in page 340, line 14, in column 2 at beginning insert
'In section 13, subsections (9) and (9A).'
No. 301, in page 340, line 31, in column 2 at beginning insert
'In section 54, subsection (3).'
No. 135, in page 341, line 46, after "In", insert "Schedule 29, in".
No. 136, in page 341, line 47, at end insert
'Criminal Justice Act 1988 (c. 33)
Section 62(2)(a).'.
No. 407, in page 342, line 12, in column 2 at end insert
'In Schedule 14, paragraph 8'.
No. 408, in page 342, line 19, after "4," insert
', in paragraph 4, sub-paragraphs (7) and (7A), in paragraph 5, sub-paragraph (5), in paragraph 8, sub-paragraphs (3) and (4) and'.
No. 192, in page 342, line 47, leave out "and (2)" and insert "to (3)".
No. 409, in page 342, line 48, in column 2 at beginning insert
'In section 4, in subsection (2)(a), the words from "in cases where" to "market", and subsection (8) .'
No. 193, in page 343, line 11, after "(1)" insert "and (2)".
No. 302, in page 343, line 21, in column 2 at beginning insert
'In Article 45, paragraph (3).'
No. 194, in page 343, line 26, after "(1)" insert "and (2)".
No. 137, in page 343, line 26, at end insert
'Employment Rights Act 1996 (c. 18)
In sections 166(7)(a) and 183(3)(a), the words "or an administration order."
Section 189(4).'.
No. 191, in page 344, line 16, after "2(1)(a)", insert ", (3)(a)".
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No. 303, in page 344, leave out line 29.
No. 138, in page 345, line 8, at end insert
'Finance Act 2000 (c. 17)
In Schedule 7, paragraphs 2 and 3.'.
No. 139, in page 345, line 35, at end insert
'Finance Act 2001 (c. 9)
In Schedule 5, paragraphs 17(1) and (2) and 18.'.
No. 381, in page 345, line 37, at end insert
'Stop Now Orders (E.C. Directive) Regulations 2001 (S.I. 2001/1422)
The whole Regulations.'
[Miss Melanie Johnson.]
Clause 272
Commencement
Mr. Waterson:
I beg to move amendment No. 91, in page 184, line 4, at end add