Investment Funds, Companies and Miscellaneous Provisions Act 2006
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Power to make certain regulations. |
20.— (1) The Minister may make regulations for the purposes of— | |
(a) giving effect to the Transparency (Regulated Markets) Directive or any supplemental Directive, and | ||
(b) supplementing and making consequential provision in respect of any Regulation or Decision made by the Commission in consequence of the first-mentioned Directive in paragraph (a) pursuant to the procedure referred to in Article 27(2) of that Directive. | ||
(2) Regulations under this section may contain such incidental, supplementary and consequential provisions as appear to the Minister to be necessary or expedient for the purposes of those regulations, including— | ||
(a) provisions creating offences (but the regulations may only provide penalties in respect of a summary conviction for any such offence), and | ||
(b) provisions creating civil liability in respect of contraventions of the regulations so as to enable any person suffering loss thereby to recover compensation for that loss. | ||
(3) Civil liability shall not be created by regulations under subsection (2) in respect of a contravention of regulations under this section save in respect of such a contravention that involves either— | ||
(a) an untrue or misleading statement, or | ||
(b) the omission from a statement of any matter required to be included in it, | ||
being, in either case, a statement— | ||
(i) that is contained in a publication made in purported compliance with a provision of transparency (regulated markets) law specified in the regulations, and | ||
(ii) in respect of which a person suffers a loss by reason of the person’s acquiring or contracting to acquire securities (or an interest in them) in reliance on that publication at a time when, and in circumstances in which, it was reasonable for the person to rely on that publication, | ||
and the following condition is fulfilled in respect of that publication. | ||
(4) That condition is that a person discharging responsibilities within the issuer of the securities referred to in subsection (3) in relation to that publication (being responsibilities of a kind specified in regulations under this section)— | ||
(a) knew the statement concerned to be untrue or misleading or was reckless as to whether it was untrue or misleading, or | ||
(b) knew the omission concerned to be dishonest concealment of a material fact. | ||
(5) Regulations under this section may also make, for the purposes of those regulations, provision analogous to that which is made by Part IV of the Act of 1990. | ||
(6) This section is without prejudice to section 3 of the European Communities Act 1972 . |