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NOTICE OF DECISION

ACTION

1.
For the reasons given below, the Authority has decided to cancel Usedcars4u’s Part 4A
permission. The cancellation takes effect on the date of this Notice of Decision.


2.
The effect of the cancellation is that Usedcars4u 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;

“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;

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“the Further Notice” means the further notice issued by the Authority to Usedcars4u dated 10
August 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;

“the Notice” means the notice issued by the Authority to Usedcars4u dated 27 June 2023;

“Part 4A permission” means permission to conduct regulated activities, granted by the
Authority under Part 4A of the Act;

“SFGB Levy” means the Single Financial Guidance Body Levy;

“SUP” means the Supervision Manual, part of the Handbook;


“the Tribunal” means the Upper Tribunal (Tax and Chancery Chamber); and

“Usedcars4u’s Part 4A permission” means the Part 4A permission granted by the Authority to
Usedcars4u.

FACTS AND MATTERS

4.
Usedcars4u was authorised by the Authority on 12 September 2018 and given a Part 4A
permission to conduct the following regulated activities in relation to consumer credit business:

i. Agreeing to carry on regulated activity;
ii. Credit broking;
iii. Debt Adjusting; and
iv. Debt-counselling.

5.
Usedcars4u submitted regulatory returns to the Authority for the period 6 April 2020 to 5 April
2023 which show that Usedcars4u has not generated any income from the regulated activities
it is permitted to carry on.

6.
In addition, Usedcars4u has 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, Usedcars4u has failed to pay an invoice dated 6
September 2022 for periodic fees and levies of £408.24 which had been due for payment by 6
October 2022.

7.
Furthermore, under SUP 16.10.4R, 16.10.4AR and 16.10.14AAR, Usedcars4u is required to
submit the FDA to the Authority by the relevant due date. However, Usedcars4u has failed to
submit the FDA to the Authority. The Authority therefore considers that Usedcars4u has failed
to provide information to the Authority as is required by the Handbook, namely the information
it is required to provide in the FDA. There are no other matters that suggest Usedcars4u is
carrying on regulated activities.


8.
On 27 June 2023, the Authority gave Usedcars4u the Notice which stated that:

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(a)
it appears to the Authority that Usedcars4u is carrying on no regulated activity to which
its Part 4A permission relates; and

(b)
the Authority may take action to cancel Usedcars4u’s Part 4A permission unless it
responds to the Notice in the manner specified in the directions to the Notice.

9.
Usedcars4u failed to respond to the Notice.

10.
As a result of the matters specified above, on 10 August 2023, the Authority gave Usedcars4u
the Further Notice which stated that:

a) the Authority considered that Usedcars4u is carrying on no regulated activity to which

its Part 4A permission relates; and


b) the Authority proposes to cancel Usedcars4u’s Part 4A permission on 6 September 2023

unless Usedcars4u takes the steps specified in the directions to the Further Notice.

11.
Usedcars4u 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 Usedcars4u is carrying on no regulated activity to
which its Part 4A permission relates. The Authority has therefore decided to cancel
Usedcars4u’s Part 4A permission. The cancellation of Usedcars4u’s Part 4A permission takes
effect on 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 Usedcars4u 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 Usedcars4u is aggrieved by the decision to cancel its Part 4A permission as set out in this
Notice of Decision, Usedcars4u may make an application for an annulment of the Authority’s
decision under paragraph 4 of Schedule 6A to the Act.


16.
Usedcars4u must submit a completed application for an annulment of the Authority’s decision
to the Authority by 5 September 2024 and in the manner specified by the Authority.

The Tribunal

17.
Usedcars4u does not have a right to refer the decision to give this Notice of Decision to the
Tribunal.


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.

19.
For more information concerning this matter generally, Usedcars4u should contact Diluar
Khan (direct line: 020 7066 5953).

Jeremy Parkinson
Enforcement and Market Oversight Division



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