S.L. 371.5 Art. 6Administrative penalties and other administrative measures for breaches of authorisation requirements and requirements for acquisitions of qualifying holdings.

Where a natural or legal person is found by the competent authority to have committed any of the following breaches:

(a) carrying out the business of taking deposits or other repayable funds from the public without being a credit institution, in breach of article 5 of the Act;

(aa) carrying out at least one of the activities referred to in point (1)(b) of Article 4(1) of the CRR and meeting the threshold indicated in that Article without obtaining a licence as a credit institution, in breach of article 6A of the Act;

(b) commencing activities as a credit institution without obtaining a licence, in breach of article 5 of the Act;

(c) acquiring, directly or indirectly, a qualifying holding in a credit institution licensed in terms of the Act or further increasing, directly or indirectly, such a qualifying holding, as a result of which the proportion of the voting rights or of the capital held would reach or exceed the thresholds referred to in article 13(1) of the Act or so that such credit institution would become its subsidiary, without notifying in writing the competent authority, during the assessment period, or notwithstanding the refusal of the competent authority, in breach of article 13(1) of the Act;

(d) disposing, directly or indirectly, of a qualifying holding in a credit institution licensed in terms of the Act or reducing a qualifying holding so that the proportion of the voting rights or of the capital held would fall below the thresholds referred to in article 13(3) of the Act or so that such credit institution would cease to be a subsidiary, without notifying in writing the competent authority;

(e) failing to apply for approval in breach of article 11B of the Act or any other breach of the requirements set out in that article, the administrative penalties and other administrative measures which the competent authority may apply on such a person shall include at least the following:

(i) a public statement which identifies the natural person, credit institution, financial holding company or mixed financial holding company responsible and the nature of the breach;

(ii) an order requiring the natural or legal person responsible to cease the conduct and to desist from a repetition of that conduct;

(iii) in the case of a legal person, administrative pecuniary penalties of up to 10% of the total annual net turnover including the gross income consisting of interest receivable and similar income, income from shares and other variable or fixed-yield securities, and commissions or fees receivable in accordance with Article 316 of the CRR of the undertaking in the preceding business year: Provided that where the legal person is a subsidiary of a parent undertaking, the relevant gross income shall be the gross income resulting from the consolidated account of the ultimate parent undertaking in the preceding business year;

(iv) in the case of a natural person, administrative pecuniary penalties of up to five million euro (€5,000,000);

(v) administrative pecuniary penalties of up to twice the amount of the benefit derived from the breach where that benefit can be determined;

(vi) suspension of the voting rights of the shareholder or shareholders held responsible for the breaches referred to in this regulation;