s 63A Power to impose penalties
(1) If the appropriate regulator is satisfied that— (a) a person (“P”) has at any time performed a controlled function without approval, and (b) at that time P knew, or could reasonably be expected to have known, that P was performing a controlled function without approval, it may impose a penalty on P of such amount as it considers appropriate. (2) For the purposes of this section P performs a controlled function without approval at any time if at that time— (a) P performs a controlled function under an arrangement entered into by an authorised person (“A”), or by a contractor of A, in relation to the carrying on by A of a regulated activity; and (b) P, when performing the function, is not acting in accordance with an approval given under section 59. (3) The appropriate regulator may not impose a penalty under this section after the end of the limitation period unless, before the end of that period, it has given a warning notice to the person concerned under section 63B(1). (4) “ The limitation period ” means the relevant period beginning with the first day on which the appropriate regulator knew that the person concerned had performed a controlled function without approval. (5) For this purpose the appropriate regulator is to be treated as knowing that a person has performed a controlled function without approval if it has information from which that can reasonably be inferred. (5A) The appropriate regulator”— (a) in relation to a controlled function which is of a description specified in rules made by the FCA, means the FCA, and (b) in relation to a controlled function which is of a description specified in rules made by the PRA, means the PRA. (5B) The relevant period” is— (a) in relation to the performance of a controlled function without approval before the day on which this subsection comes into force, the period of 3 years, and (b) in relation to the performance of a controlled function without approval on or after that day, the period of 6 years. (6) Any other expression which is used both in this section and section 59 has the same meaning in this section as in that section.