Decision Notice
On , the Financial Conduct Authority issued a Decision Notice to LEMAR ASSOCIATES LTD
1
NOTICE OF DECISION
To:
LEMAR ASSOCIATES LTD
FRN:
837951
Dated:
11 July 2023
ACTION
1.
For the reasons given below, the Authority has decided to cancel LAL’s Part 4A permission. The
cancellation takes effect on the date of this Notice of Decision.
2.
The effect of the cancellation is that LAL no longer has permission to carry on any regulated
activities.
DEFINITIONS
3.
The definitions below are used in this Notice of Decision (and in the Annex):
“the Act” means the Financial Services and Markets Act 2000;
“the Authority” means the Financial Conduct Authority;
“DISP” means the Authority’s Dispute Resolution: Complaint’s sourcebook, part of the
Handbook;
“EG” means the Enforcement Guide;
“FDA” means the Firm Details Attestation which Authority-authorised firms are required to
submit to the Authority under SUP 16.10;
“FEES” means the Authority’s FEES Manual, part of the Handbook;
“FSCS” means the Financial Services Compensation Scheme;
“the Further Notice” means the further notice issued by the Authority to LAL dated 15 June
2023;
“the general levy” means the levy a firm must pay to the Authority towards the costs of
operating the compulsory jurisdiction of the Financial Ombudsman Service;
“the Handbook” means the Authority’s Handbook of rules and guidance;
“the IML levy” means the Illegal Money Lending levy;
2
“LAL” means Lemar Associates Limited;
“LAL’s Part 4A permission” means the Part 4A permission granted by the Authority to LAL;
“the Notice” means the notice issued by the Authority to LAL dated 24 April 2023;
“Part 4A permission” means permission to conduct regulated activities, granted by the
Authority under Part 4A of the Act;
“RAG” means regulated activity group as referred to in SUP;
“the Returns” means the Complaints and Consumer Credit Data Returns for the periods ending
31 January 2022 and 31 January 2023 which LAL was due to submit to the Authority by 14
March 2022 and 14 March 2023;
“SFGB Levy” means the Single Financial Guidance Body Levy;
“SUP” means the Supervision Manual, part of the Handbook; and
“the Tribunal” means the Upper Tribunal (Tax and Chancery Chamber).
FACTS AND MATTERS
4.
LAL was authorised by the Authority on 18 April 2019 and given a Part 4A permission to conduct
the following regulated activities:
(a)
agreeing to carry on a regulated activity;
(b)
credit broking;
(c)
debt adjusting; and
(d)
debt counselling.
5.
LAL failed to pay periodic fees and levies owed to the Authority as required under the Handbook
under the rules set out in FEES 4.2.1R, 4.3.1R, 5.7.1R, 6.7.1R, 6.7.3R, 7A.3.1R and 13.2.1R.
In particular, LAL failed to pay:
(a)
an invoice dated 8 September 2021 for periodic fees and levies of £819.34 which had
been due for payment by 7 December 2021; and
(b)
an invoice dated 23 August 2022 for periodic fees and levies of £1088.26 which had been
due for payment by 22 September 2022.
6.
In addition, under SUP 16.3.13R, 16.12.3R, SUP 16.12.4R and SUP 16.12.29CR and DISP
1.10.1R, LAL is required to submit the Returns to the Authority by the relevant due date.
However, LAL has failed to submit the Returns to the Authority. Furthermore, under SUP
16.10.4R, 16.10.4AR and 16.10.14AAR, LAL is required to submit the FDA to the Authority by
the relevant due date. However, LAL has failed to submit the FDA to the Authority.
7.
The Authority therefore considers that LAL has failed to provide information to the Authority as
is required by the Handbook, namely the information it is required to provide in the Returns
and the FDA.
8.
On 24 April 2023, the Authority gave LAL the Notice which stated that:
3
(a)
it appears to the Authority that LAL is carrying on no regulated activity to which its Part
4A permission relates; and
(b)
the Authority may take action to cancel LAL’s Part 4A permission unless it responds to
the Notice in the manner specified in the directions to the Notice.
9.
LAL failed to respond to the Notice.
10.
As a result of the matters specified in paragraph 9 above, on 15 June 2023, the Authority gave
LAL the Further Notice which stated that:
a) the Authority considered that LAL is carrying on no regulated activity to which its Part
4A permission relates; and
b) the Authority proposes to cancel LAL’s Part 4A permission on 11 July 2023 unless LAL
takes the steps specified in the directions to the Further Notice.
11.
LAL failed to take the steps specified in the Further Notice.
CANCELLATION OF PART 4A PERMISSION
12.
From the facts and matters described above, and having regard to paragraph 1(3) of Schedule
6A to the Act, the Authority considers that LAL is carrying on no regulated activity to which its
Part 4A permission relates. The Authority has therefore decided to cancel LAL’s Part 4A
permission. The cancellation of LAL’s Part 4A permission takes effect from the date of this
Notice of Decision.
13.
The statutory and regulatory provisions relevant to this Notice of Decision are set out in the
Annexes.
PROCEDURAL MATTERS
14.
This Notice of Decision is given to LAL under paragraph 3 of Schedule 6A to the Act (variation
or cancellation of Part 4A permission on initiative of FCA: additional power).
The following paragraphs are important.
Annulment of the Authority’s decision
15.
If LAL is aggrieved by the decision to cancel its Part 4A permission as set out in this Notice of
Decision, LAL may make an application for an annulment of the Authority’s decision under
paragraph 4 of Schedule 6A to the Act.
16.
LAL must submit a completed application for an annulment of the Authority’s decision to the
Authority by 10 July 2024 and in the manner specified by the Authority.
The Tribunal
17.
LAL does not have a right to refer the decision to give this Notice of Decision to the Tribunal.
Publicity
18.
The Authority intends to publish such information about the matter to which this Notice of
Decision relates as the Authority considers appropriate. The information may be published in
such manner as the Authority considers appropriate.
Authority Contact
19. For more information concerning this matter generally, LAL should contact Zishan Siddique
(direct line: 020 7066 3747).
Anna Couzens
Enforcement and Market Oversight Division
NOTICE OF DECISION
To:
LEMAR ASSOCIATES LTD
FRN:
837951
Dated:
11 July 2023
ACTION
1.
For the reasons given below, the Authority has decided to cancel LAL’s Part 4A permission. The
cancellation takes effect on the date of this Notice of Decision.
2.
The effect of the cancellation is that LAL no longer has permission to carry on any regulated
activities.
DEFINITIONS
3.
The definitions below are used in this Notice of Decision (and in the Annex):
“the Act” means the Financial Services and Markets Act 2000;
“the Authority” means the Financial Conduct Authority;
“DISP” means the Authority’s Dispute Resolution: Complaint’s sourcebook, part of the
Handbook;
“EG” means the Enforcement Guide;
“FDA” means the Firm Details Attestation which Authority-authorised firms are required to
submit to the Authority under SUP 16.10;
“FEES” means the Authority’s FEES Manual, part of the Handbook;
“FSCS” means the Financial Services Compensation Scheme;
“the Further Notice” means the further notice issued by the Authority to LAL dated 15 June
2023;
“the general levy” means the levy a firm must pay to the Authority towards the costs of
operating the compulsory jurisdiction of the Financial Ombudsman Service;
“the Handbook” means the Authority’s Handbook of rules and guidance;
“the IML levy” means the Illegal Money Lending levy;
2
“LAL” means Lemar Associates Limited;
“LAL’s Part 4A permission” means the Part 4A permission granted by the Authority to LAL;
“the Notice” means the notice issued by the Authority to LAL dated 24 April 2023;
“Part 4A permission” means permission to conduct regulated activities, granted by the
Authority under Part 4A of the Act;
“RAG” means regulated activity group as referred to in SUP;
“the Returns” means the Complaints and Consumer Credit Data Returns for the periods ending
31 January 2022 and 31 January 2023 which LAL was due to submit to the Authority by 14
March 2022 and 14 March 2023;
“SFGB Levy” means the Single Financial Guidance Body Levy;
“SUP” means the Supervision Manual, part of the Handbook; and
“the Tribunal” means the Upper Tribunal (Tax and Chancery Chamber).
FACTS AND MATTERS
4.
LAL was authorised by the Authority on 18 April 2019 and given a Part 4A permission to conduct
the following regulated activities:
(a)
agreeing to carry on a regulated activity;
(b)
credit broking;
(c)
debt adjusting; and
(d)
debt counselling.
5.
LAL failed to pay periodic fees and levies owed to the Authority as required under the Handbook
under the rules set out in FEES 4.2.1R, 4.3.1R, 5.7.1R, 6.7.1R, 6.7.3R, 7A.3.1R and 13.2.1R.
In particular, LAL failed to pay:
(a)
an invoice dated 8 September 2021 for periodic fees and levies of £819.34 which had
been due for payment by 7 December 2021; and
(b)
an invoice dated 23 August 2022 for periodic fees and levies of £1088.26 which had been
due for payment by 22 September 2022.
6.
In addition, under SUP 16.3.13R, 16.12.3R, SUP 16.12.4R and SUP 16.12.29CR and DISP
1.10.1R, LAL is required to submit the Returns to the Authority by the relevant due date.
However, LAL has failed to submit the Returns to the Authority. Furthermore, under SUP
16.10.4R, 16.10.4AR and 16.10.14AAR, LAL is required to submit the FDA to the Authority by
the relevant due date. However, LAL has failed to submit the FDA to the Authority.
7.
The Authority therefore considers that LAL has failed to provide information to the Authority as
is required by the Handbook, namely the information it is required to provide in the Returns
and the FDA.
8.
On 24 April 2023, the Authority gave LAL the Notice which stated that:
3
(a)
it appears to the Authority that LAL is carrying on no regulated activity to which its Part
4A permission relates; and
(b)
the Authority may take action to cancel LAL’s Part 4A permission unless it responds to
the Notice in the manner specified in the directions to the Notice.
9.
LAL failed to respond to the Notice.
10.
As a result of the matters specified in paragraph 9 above, on 15 June 2023, the Authority gave
LAL the Further Notice which stated that:
a) the Authority considered that LAL is carrying on no regulated activity to which its Part
4A permission relates; and
b) the Authority proposes to cancel LAL’s Part 4A permission on 11 July 2023 unless LAL
takes the steps specified in the directions to the Further Notice.
11.
LAL failed to take the steps specified in the Further Notice.
CANCELLATION OF PART 4A PERMISSION
12.
From the facts and matters described above, and having regard to paragraph 1(3) of Schedule
6A to the Act, the Authority considers that LAL is carrying on no regulated activity to which its
Part 4A permission relates. The Authority has therefore decided to cancel LAL’s Part 4A
permission. The cancellation of LAL’s Part 4A permission takes effect from the date of this
Notice of Decision.
13.
The statutory and regulatory provisions relevant to this Notice of Decision are set out in the
Annexes.
PROCEDURAL MATTERS
14.
This Notice of Decision is given to LAL under paragraph 3 of Schedule 6A to the Act (variation
or cancellation of Part 4A permission on initiative of FCA: additional power).
The following paragraphs are important.
Annulment of the Authority’s decision
15.
If LAL is aggrieved by the decision to cancel its Part 4A permission as set out in this Notice of
Decision, LAL may make an application for an annulment of the Authority’s decision under
paragraph 4 of Schedule 6A to the Act.
16.
LAL must submit a completed application for an annulment of the Authority’s decision to the
Authority by 10 July 2024 and in the manner specified by the Authority.
The Tribunal
17.
LAL does not have a right to refer the decision to give this Notice of Decision to the Tribunal.
Publicity
18.
The Authority intends to publish such information about the matter to which this Notice of
Decision relates as the Authority considers appropriate. The information may be published in
such manner as the Authority considers appropriate.
Authority Contact
19. For more information concerning this matter generally, LAL should contact Zishan Siddique
(direct line: 020 7066 3747).
Anna Couzens
Enforcement and Market Oversight Division