Pensions Bill

House of Commons

Session 2003 - 04
Internet Publications
Other Bills before Parliament

Pensions Bill

Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
119

176
Penalties relating to sections 174 and 175
(1)
A person who, without reasonable excuse, neglects or refuses to provide
information or produce a document when required to do so under section 174
is guilty of an offence.
(2)
A person who without reasonable excuse—
5
(a)
intentionally delays or obstructs an appointed person exercising any
power under section 175,
(b)
neglects or refuses to produce, or secure the production of, any
document when required to do so under that section, or
(c)
neglects or refuses to answer a question or to provide information
10
when so required,

is guilty of an offence.
(3)
In subsection (2)(a) “appointed person” has the same meaning as it has in
section 175.
(4)
A person guilty of an offence under subsection (1) or (2) is liable on summary
15
conviction to a fine not exceeding level 5 on the standard scale.
(5)
An offence under subsection (1) or (2)(b) or (c) may be charged by reference to
any day or longer period of time; and a person may be convicted of a second
or subsequent offence by reference to any period of time following the
preceding conviction of the offence.
20
(6)
Any person who intentionally and without reasonable excuse alters,
suppresses, conceals or destroys any document which he is or is liable to be
required to produce under section 174 or 175 is guilty of an offence.
(7)
Any person guilty of an offence under subsection (6) is liable—
(a)
on summary conviction, to a fine not exceeding the statutory
25
maximum;
(b)
on conviction on indictment, to a fine or imprisonment for a term not
exceeding two years, or both.
177
Warrants
(1)
A justice of the peace may issue a warrant under this section if satisfied on
30
information on oath given by or on behalf of the Board that there are
reasonable grounds for believing—
(a)
that there is on, or accessible from, any premises any document—
(i)
whose production has been required under section 174 or 175,
or any corresponding provision in force in Northern Ireland,
35
and
(ii)
which has not been produced in compliance with that
requirement,
(b)
that there is on, or accessible from, any premises any document
relevant to the exercise of the Board’s functions in relation to an
40
occupational pension scheme whose production could be so required
and, if its production were so required, the document—
(i)
would not be produced, but
(ii)
would be removed, or made inaccessible, from the premises,
hidden, tampered with or destroyed, or
45

Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
120

(c)
that a person will do any act which constitutes a misuse or
misappropriation of the assets of an occupational pension scheme and
that there is on, or accessible from, any premises any document—
(i)
which relates to whether the act will be done, and
(ii)
whose production could be required under section 174 or 175,
5
or any corresponding provision in force in Northern Ireland.
(2)
A warrant under this section shall authorise an inspector—
(a)
to enter the premises specified in the information, using such force as is
reasonably necessary for the purpose,
(b)
to search the premises and—
10
(i)
take possession of any document appearing to be such a
document as is mentioned in subsection (1), or
(ii)
take in relation to such a document any other steps which
appear necessary for preserving it or preventing interference
with it,
15
(c)
to take copies of any such document,
(d)
to require any person named in the warrant to provide an explanation
of any such document or to state where it may be found or how access
to it may be obtained, and
(e)
in the case of any such document which consists of information which
20
is stored in electronic form and is on, or accessible from, the premises,
to require the information to be produced in a form—
(i)
in which it can be taken away, and
(ii)
in which it is legible or from which it can readily be produced
in a legible form.
25
(3)
When executing a warrant under this section, an inspector may be
accompanied by such persons as he considers appropriate.
(4)
A warrant under this section continues in force until the end of the period of
one month beginning with the day on which it is issued.
(5)
Any document of which possession is taken under this section may be retained
30
until the end of the period comprising—
(a)
the period of 12 months beginning with the date on which possession
was taken of the document, and
(b)
any extension of that period under subsection (6).
(6)
The Board may before the end of the period mentioned in subsection (5)
35
(including any extension of it under this subsection) extend it by such period
not exceeding 12 months as the Board considers appropriate.
(7)
In this section “inspector” means a person appointed by the Board as an
inspector.
(8)
In the application of this section in Scotland—
40
(a)
the reference to a justice of the peace is to be read as a reference to a
justice within the meaning of the Criminal Procedure (Scotland) Act
1995 (c. 46), and
(b)
the references in subsections (1) and (2)(a) to information are to be read
as references to evidence.
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Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
121

Provision of false or misleading information
178
Offence of providing false or misleading information to the Board
(1)
Any person who knowingly or recklessly provides information which is false
or misleading in a material particular is guilty of an offence if the
information—
5
(a)
is provided in purported compliance with a requirement under—
(i)
section 173 (information to be provided to the Board etc),
(ii)
section 174 (notices requiring provision of information),
(iii)
section 175 (entry of premises), or
(b)
is provided otherwise than as mentioned in paragraph (a) but in
10
circumstances in which the person providing the information intends,
or could reasonably be expected to know, that it would be used by the
Board for the purposes of exercising its functions under this Act.
(2)
Any person guilty of an offence under subsection (1) is liable—
(a)
on summary conviction, to a fine not exceeding the statutory
15
maximum;
(b)
on conviction on indictment, to a fine or imprisonment for a term not
exceeding two years, or both.
Use of information
179
Use of information
20
Information held by the Board in the exercise of any of its functions may be
used by the Board for the purposes of, or for any purpose connected with or
incidental to, the exercise of its functions.
Disclosure of information
180
Restricted information
25
(1)
Except as provided by sections 181 to 186 and section 216, restricted
information must not be disclosed—
(a)
by the Board, or
(b)
by any person who receives the information directly or indirectly from
the Board,
30

except with the consent of the person to whom it relates and (if different) the
person from whom the Board obtained it.
(2)
For the purposes of this section and sections 181 to 186, “restricted
information” means any information obtained by the Board in the exercise of
its functions which relates to the business or other affairs of any person, except
35
for information—
(a)
which at the time of the disclosure is or has already been made
available to the public from other sources, or
(b)
which is in the form of a summary or collection of information so
framed as not to enable information relating to any particular person to
40
be ascertained from it.

Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
122

(3)
Any person who discloses information in contravention of this section is guilty
of an offence and liable—
(a)
on summary conviction, to a fine not exceeding the statutory
maximum;
(b)
on conviction on indictment, to a fine or imprisonment for a term not
5
exceeding two years, or both.
(4)
Information which—
(a)
is obtained under section 174 by a person authorised under subsection
(2)(b) of that section, but
(b)
if obtained by the Board, would be restricted information,
10

is treated for the purposes of sections 181 to 186 as restricted information which
the person has received from the Board.
181
Disclosure for facilitating exercise of functions by the Board
(1)
Section 180 does not preclude the disclosure of restricted information in any
case in which disclosure is for the purpose of enabling or assisting the Board to
15
exercise its functions.
(2)
Subsection (3) applies where, in order to enable or assist the Board properly to
exercise any of its functions, the Board considers it necessary to seek advice
from any qualified person on any matter of law, accountancy, valuation or
other matter requiring the exercise of professional skill.
20
(3)
Section 180 does not preclude the disclosure by the Board to a person qualified
to provide that advice of such information as appears to the Board to be
necessary to ensure that he is properly informed with respect to the matters on
which his advice is sought.
182
Disclosure for facilitating exercise of functions by the Regulator
25
Section 180 does not preclude the disclosure of restricted information in any
case in which disclosure is for the purpose of enabling or assisting the
Regulator to exercise its functions.
183
Disclosure for facilitating exercise of functions by other supervisory
authorities
30
(1)
Section 180 does not preclude the disclosure by the Board of restricted
information to any person specified in the first column of Schedule 8 if the
Board considers that the disclosure would enable or assist that person to
exercise the functions specified in relation to him in the second column of that
Schedule.
35
(2)
The Secretary of State may after consultation with the Board—
(a)
by order amend Schedule 8 by—
(i)
adding any person exercising regulatory functions and
specifying functions in relation to that person,
(ii)
removing any person for the time being specified in the
40
Schedule, or
(iii)
altering the functions for the time being specified in the
Schedule in relation to any person, or

Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
123

(b)
by order restrict the circumstances in which, or impose conditions
subject to which, disclosure may be made to any person for the time
being specified in the Schedule.
184
Other permitted disclosures
(1)
Section 180 does not preclude the disclosure by the Board of restricted
5
information to—
(a)
the Secretary of State,
(b)
the Commissioners of Inland Revenue or their officers, or
(c)
the Department for Social Development in Northern Ireland,

if the disclosure appears to the Board to be desirable or expedient in the
10
interests of members of occupational pension schemes or in the public interest.
(2)
Section 180 does not preclude the disclosure of restricted information—
(a)
by or on behalf of—
(i)
the Board, or
(ii)
any public authority (within the meaning of section 6 of the
15
Human Rights Act 1998 (c. 42)) which receives the information
directly or indirectly from the Board,

for any of the purposes specified in section 17(2)(a) to (d) of the Anti-
terrorism, Crime and Security Act 2001 (c. 24) (criminal proceedings
and investigations),
20
(b)
in connection with any proceedings arising out of—
(i)
this Act,
(ii)
the Welfare Reform and Pensions Act 1999 (c. 30),
(iii)
the Pensions Act 1995 (c. 26), or
(iv)
the Pension Schemes Act 1993 (c. 48),
25

or any corresponding enactment in force in Northern Ireland, or any
proceedings for breach of trust in relation to an occupational pension
scheme,
(c)
with a view to the institution of, or otherwise for the purposes of,
proceedings under—
30
(i)
section 7 or 8 of the Company Directors Disqualification Act
1986 (c. 46), or
(ii)
Article 10 or 11 of the Companies (Northern Ireland) Order 1989
(S.I. 1989/2404 (N.I. 18)),
(d)
in connection with any proceedings under—
35
(i)
the Insolvency Act 1986 (c. 45), or
(ii)
the Insolvency (Northern Ireland) Order 1989 (S.I. 1989/2405
(N.I. 19)),

which the Board has instituted or in which it has a right to be heard,
(e)
with a view to the institution of, or otherwise for the purposes of, any
40
disciplinary proceedings relating to the exercise of his professional
duties by a solicitor, an actuary, an accountant or an insolvency
practitioner,
(f)
with a view to the institution of, or otherwise for the purpose of, any
disciplinary proceedings relating to the exercise by a public servant of
45
his functions, or
(g)
in pursuance of a Community obligation.

Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
124

(3)
In subsection (2)(f), “public servant” means an officer or servant of the Crown
or of any prescribed authority.
(4)
Section 180 does not preclude the disclosure by the Board of restricted
information to—
(a)
the Director of Public Prosecutions,
5
(b)
the Director of Public Prosecutions for Northern Ireland,
(c)
the Lord Advocate,
(d)
a procurator fiscal, or
(e)
a constable.
(5)
Section 180 does not preclude the disclosure of restricted information in any
10
case where the disclosure is required by or by virtue of an enactment.
(6)
Section 180 does not preclude the disclosure of restricted information in any
case where the disclosure is to a Regulator-appointed trustee of an
occupational pension scheme for the purpose of enabling or assisting him to
exercise his functions in relation to the scheme.
15
(7)
In subsection (6), “Regulator-appointed trustee” means a trustee appointed by
the Regulator under section 7 of the Pensions Act 1995 (c. 26) or any
corresponding provision in force in Northern Ireland.
(8)
Section 180 does not preclude the disclosure by any person mentioned in
subsection (1) or (4) of restricted information obtained by the person by virtue
20
of that subsection, if the disclosure is made with the consent of the Board.
(9)
Section 180 does not preclude the disclosure by any person specified in the first
column of Schedule 8 of restricted information obtained by the person by
virtue of section 183(1), if the disclosure is made—
(a)
with the consent of the Board, and
25
(b)
for the purpose of enabling or assisting the person to exercise any
functions specified in relation to him in the second column of the
Schedule.
(10)
Before deciding whether to give its consent to such a disclosure as is mentioned
in subsection (8) or (9), the Board must take account of any representations
30
made to it, by the person seeking to make the disclosure, as to the desirability
of the disclosure or the necessity for it.
(11)
Section 18 of the Anti-terrorism, Crime and Security Act 2001 (c. 24) (restriction
on disclosure of information for overseas purposes) has effect in relation to a
disclosure authorised by subsection (2) as it has effect in relation to a disclosure
35
authorised by any of the provisions to which section 17 of that Act applies.
185
Disclosure of information by the Inland Revenue
(1)
This section applies to information held by any person in the exercise of tax
functions about any matter which is relevant, for the purposes of those
functions, to tax or duty in the case of an identifiable person (in this section
40
referred to as “tax information”).
(2)
No obligation as to secrecy imposed by section 182 of the Finance Act 1989
(c. 26) or otherwise shall prevent the disclosure of tax information to the Board
for the purpose of enabling or assisting the Board to discharge its functions.

Pensions Bill
Part 2 — The Board of the Pension Protection Fund
Chapter 5 — Gathering information
125

(3)
Where tax information is disclosed to the Board by virtue of subsection (2)
above or section 19 of the Anti-terrorism, Crime and Security Act 2001 (c. 24)
(disclosure of information held by revenue departments), it must, subject to
subsection (4), be treated for the purposes of section 180 as restricted
information.
5
(4)
Sections 181 to 184 do not apply to tax information, and such information must
not be disclosed except—
(a)
to, or in accordance with authority given by, the Commissioners of
Inland Revenue or the Commissioners of Customs and Excise, or
(b)
with a view to the institution of, or otherwise for the purposes of, any
10
criminal proceedings.
(5)
In this section “tax functions” has the same meaning as in section 182 of the
Finance Act 1989 (c. 26).
Provision of information to scheme members etc
186
Provision of information   to members of schemes etc
15
(1)
Regulations may—
(a)
require the Board to provide information of prescribed descriptions to
such persons as may be prescribed at prescribed times, or
(b)
require trustees or managers of occupational pension schemes to
provide such information—
20
(i)
relating to the exercise of the Board’s functions in relation to
any scheme of which they are trustees or managers,
(ii)
relating to any notice issued or application or determination
made under Chapter 2, 3 or 4 which relates to any such scheme,
or
25
(iii)
otherwise relating to the Board’s involvement with any such
scheme,

as may be prescribed to prescribed persons at prescribed times.
(2)
Section 180 does not preclude the disclosure of restricted information by the
Board which relates to the entitlement of a particular individual to
30
compensation under Chapter 3 if the disclosure is made to that individual or
to a person authorised by him.
(3)
Section 180 does not preclude the disclosure of restricted information by the
Board if—
(a)
the information relates to the exercise of the Board’s functions in
35
relation to an occupational pension scheme,
(b)
the disclosure is made to—
(i)
all affected persons, or
(ii)
all affected persons of a particular description, and
(c)
the Board is satisfied that, in all the circumstances, it is reasonable to
40
make the disclosure.
(4)
In subsection (3) “affected person”, in relation to an occupational pension
scheme, means a person—
(a)
who is a member of the scheme, or
(b)
who is for the time being nominated by a member of the scheme for the
45
purposes of that subsection.