Final Notice
On , the Financial Conduct Authority issued a Final Notice to Matza & Co Limited
FINAL NOTICE
To:
Matza & Co Limited
Of:
Unit 200
Bretton Park Way
Dewsbury
West Yorkshire
WF12 9BS
FRN:
695107
Dated:
9 February 2022
ACTION
1.
For the reasons set out in this Final Notice, the Authority hereby takes the following
action against MCL.
2.
The Authority issued to MCL the Decision Notice which notified it that for the
reasons given below and pursuant to section 55J of the Act, the Authority had
decided to cancel MCL’s Part 4A permission.
3.
MCL has not referred the matter to the Tribunal within 28 days of the date on which
the Decision Notice was issued to it.
4.
Accordingly, the Authority has today cancelled MCL’s Part 4A permission.
2
DEFINITIONS
5.
The definitions below are used in this Final Notice:
“the Act” means the Financial Services and Markets Act 2000;
“the Authority” means the Financial Conduct Authority;
“the Decision Notice” means the Decision Notice issued to MCL dated 17 August
2021;
“EG” means the Authority's Enforcement Guide;
“the Handbook” means the Authority’s Handbook of rules and guidance;
“MCL” means Matza & Co Limited;
“MCL’s Part 4A permission” means the permission granted by the Authority to MCL
pursuant to Part 4A of the Act;
“the Principles” means the Authority’s Principles for Business;
“the RDC” means the Regulatory Decisions Committee of the Authority;
“SUP” means the Supervision Manual, part of the Handbook;
“the Threshold Conditions” means the threshold conditions set out in Schedule 6 to
the Act; and
“the Tribunal” means the Upper Tribunal (Tax and Chancery Chamber).
FACTS AND MATTERS
6.
MCL was authorised by the Authority on 27 May 2015 to conduct consumer credit
business.
7.
Correspondence was sent by the Authority to the postal address last notified to the
Authority as MCL’s principal place of business on 11 April 2019, 31 May 2019, 18
August 2020 and 2 March 2021.
8.
Correspondence was sent by the Authority to the email address last notified to the
Authority by MCL on 29 March 2019, 24 November 2020 and 2 March 2021. This
correspondence was delivered unsuccessfully.
9.
The Authority attempted to contact MCL on 3 April 2020 and 23 November 2020
on the last telephone number provided by MCL to the Authority. The Authority were
informed that the telephone number no longer belonged to MCL, and that no further
contact details for the firm were available.
FAILINGS
10.
The statutory regulatory provisions relevant to this Final Notice are set out in the
Annex.
11.
From the facts and matters described above, the Authority considers that MCL:
a) has failed to respond to the Authority’s attempted communications and
therefore is not capable of being effectively supervised by the Authority
having regard to all the circumstances;
b) has not provided information to demonstrate that it is ready, willing and
organised to comply with the requirements and standards under the
regulatory system; and
c) is therefore failing to satisfy the Effective Supervision Threshold Condition
in relation to its permitted regulated activities.
12.
Accordingly, having regard to the Authority’s operational objectives, the Authority
has cancelled MCL’s Part 4A permission.
PROCEDURAL MATTERS
13.
This Final Notice is given to MCL in accordance with section 390(1) of the Act.
DECISION MAKER
14.
The decision which gave rise to the obligation to give this Final Notice was made
by the RDC.
Publicity
15.
The Authority must publish such information about the matter to which this Final
Notice relates as the Authority considers appropriate. The information may be
published in such manner as the Authority considers appropriate. However, the
Authority may not publish information if such publication would, in the opinion of
the Authority, be unfair to MCL or prejudicial to the interest of consumers.
16.
The Authority intends to publish such information about the matter to which this
Final Notice relates as it considers appropriate.
Authority Contact
17.
For more information concerning this matter generally, please contact Hattie
McGlone at the Authority (direct line: 020 7066 0160).
Anna Couzens
Enforcement and Market Oversight Division
ANNEX
RELEVANT STATUTORY PROVISIONS
1.
The Authority’s operational objectives established in section 1B of the Act include
protecting and enhancing the integrity of the UK financial system and securing an
appropriate degree of protection for consumers.
2.
The Authority is authorised by section 55J of the Act to cancel an authorised
persons’ Part 4A permission, where it appears to the Authority that such person is
failing to satisfy the Threshold Conditions.
RELEVANT HANDBOOK PROVISIONS
3.
In exercising its powers to cancel a firm’s Part 4A permission, the Authority must
have regard to guidance published in the Handbook and in regulatory guides, such
as EG. The relevant main considerations in relation to the action specified above
are set out below.
Guidance concerning the Threshold Conditions
4.
Guidance on the relevant Threshold Condition is set out in COND.
COND 2.3 – Effective Supervision: Paragraph 2C Schedule 6 to the Act
5.
COND 2.3.1A(1) states that a firm must be capable of being effectively supervised
by the Authority having regards to all the circumstances including the way in which
the firm’s business is organised.
6.
COND 2.3.3G provides that, in assessing the threshold condition in paragraph 2C
of Schedule 6 to the Act, factors which the Authority will take into consideration
include, among other things, whether it is likely that the Authority will receive
adequate information from the firm, and those persons with whom the firm has
close links, to enable it to determine whether the firm is complying with the
requirements and standards under the regulatory system for which the Authority
is responsible and to identify and assess the impact on its statutory objectives; this
will include consideration of whether the firm is ready, willing and organised to
comply with Principle 11 (Relations with regulators) and the rules in the Supervision
manual in the Handbook on the provision of information to the Authority.
OTHER RELEVANT REGULATORY PROVISIONS
7.
The Authority’s policy in relation to its enforcement powers is set out in EG, certain
provisions of which are summarised below.
Cancelling a firm’s Part 4A permissions on the Authority’s own initiative
8.
EG 8.1.1(1) provides that the Authority may use its own initiative power to vary or
cancel the permission of an authorised person under section 55J of the Act, where
the person is failing or is likely to fail to satisfy the Threshold Condition for which
the Authority is responsible.
9.
EG 8.5.1(1) states that the Authority will consider cancelling a firm’s Part 4A
permission using its own initiative power contained in section 55J of the Act in
circumstances where the Authority has very serious concerns about the firm, or the
way its business is or has been conducted.
10.
EG 8.5.2 provides examples of the types of circumstances in which the Authority
may cancel a firm’s Part 4A permission. These include failure to provide the
Authority with valid contact details or failure to maintain the details provided, such
that the Authority is unable to communicate with the firm (EG 8.5.2(6)), and
repeated failures to comply with rules and requirements (EG 8.5.2(7)).
To:
Matza & Co Limited
Of:
Unit 200
Bretton Park Way
Dewsbury
West Yorkshire
WF12 9BS
FRN:
695107
Dated:
9 February 2022
ACTION
1.
For the reasons set out in this Final Notice, the Authority hereby takes the following
action against MCL.
2.
The Authority issued to MCL the Decision Notice which notified it that for the
reasons given below and pursuant to section 55J of the Act, the Authority had
decided to cancel MCL’s Part 4A permission.
3.
MCL has not referred the matter to the Tribunal within 28 days of the date on which
the Decision Notice was issued to it.
4.
Accordingly, the Authority has today cancelled MCL’s Part 4A permission.
2
DEFINITIONS
5.
The definitions below are used in this Final Notice:
“the Act” means the Financial Services and Markets Act 2000;
“the Authority” means the Financial Conduct Authority;
“the Decision Notice” means the Decision Notice issued to MCL dated 17 August
2021;
“EG” means the Authority's Enforcement Guide;
“the Handbook” means the Authority’s Handbook of rules and guidance;
“MCL” means Matza & Co Limited;
“MCL’s Part 4A permission” means the permission granted by the Authority to MCL
pursuant to Part 4A of the Act;
“the Principles” means the Authority’s Principles for Business;
“the RDC” means the Regulatory Decisions Committee of the Authority;
“SUP” means the Supervision Manual, part of the Handbook;
“the Threshold Conditions” means the threshold conditions set out in Schedule 6 to
the Act; and
“the Tribunal” means the Upper Tribunal (Tax and Chancery Chamber).
FACTS AND MATTERS
6.
MCL was authorised by the Authority on 27 May 2015 to conduct consumer credit
business.
7.
Correspondence was sent by the Authority to the postal address last notified to the
Authority as MCL’s principal place of business on 11 April 2019, 31 May 2019, 18
August 2020 and 2 March 2021.
8.
Correspondence was sent by the Authority to the email address last notified to the
Authority by MCL on 29 March 2019, 24 November 2020 and 2 March 2021. This
correspondence was delivered unsuccessfully.
9.
The Authority attempted to contact MCL on 3 April 2020 and 23 November 2020
on the last telephone number provided by MCL to the Authority. The Authority were
informed that the telephone number no longer belonged to MCL, and that no further
contact details for the firm were available.
FAILINGS
10.
The statutory regulatory provisions relevant to this Final Notice are set out in the
Annex.
11.
From the facts and matters described above, the Authority considers that MCL:
a) has failed to respond to the Authority’s attempted communications and
therefore is not capable of being effectively supervised by the Authority
having regard to all the circumstances;
b) has not provided information to demonstrate that it is ready, willing and
organised to comply with the requirements and standards under the
regulatory system; and
c) is therefore failing to satisfy the Effective Supervision Threshold Condition
in relation to its permitted regulated activities.
12.
Accordingly, having regard to the Authority’s operational objectives, the Authority
has cancelled MCL’s Part 4A permission.
PROCEDURAL MATTERS
13.
This Final Notice is given to MCL in accordance with section 390(1) of the Act.
DECISION MAKER
14.
The decision which gave rise to the obligation to give this Final Notice was made
by the RDC.
Publicity
15.
The Authority must publish such information about the matter to which this Final
Notice relates as the Authority considers appropriate. The information may be
published in such manner as the Authority considers appropriate. However, the
Authority may not publish information if such publication would, in the opinion of
the Authority, be unfair to MCL or prejudicial to the interest of consumers.
16.
The Authority intends to publish such information about the matter to which this
Final Notice relates as it considers appropriate.
Authority Contact
17.
For more information concerning this matter generally, please contact Hattie
McGlone at the Authority (direct line: 020 7066 0160).
Anna Couzens
Enforcement and Market Oversight Division
ANNEX
RELEVANT STATUTORY PROVISIONS
1.
The Authority’s operational objectives established in section 1B of the Act include
protecting and enhancing the integrity of the UK financial system and securing an
appropriate degree of protection for consumers.
2.
The Authority is authorised by section 55J of the Act to cancel an authorised
persons’ Part 4A permission, where it appears to the Authority that such person is
failing to satisfy the Threshold Conditions.
RELEVANT HANDBOOK PROVISIONS
3.
In exercising its powers to cancel a firm’s Part 4A permission, the Authority must
have regard to guidance published in the Handbook and in regulatory guides, such
as EG. The relevant main considerations in relation to the action specified above
are set out below.
Guidance concerning the Threshold Conditions
4.
Guidance on the relevant Threshold Condition is set out in COND.
COND 2.3 – Effective Supervision: Paragraph 2C Schedule 6 to the Act
5.
COND 2.3.1A(1) states that a firm must be capable of being effectively supervised
by the Authority having regards to all the circumstances including the way in which
the firm’s business is organised.
6.
COND 2.3.3G provides that, in assessing the threshold condition in paragraph 2C
of Schedule 6 to the Act, factors which the Authority will take into consideration
include, among other things, whether it is likely that the Authority will receive
adequate information from the firm, and those persons with whom the firm has
close links, to enable it to determine whether the firm is complying with the
requirements and standards under the regulatory system for which the Authority
is responsible and to identify and assess the impact on its statutory objectives; this
will include consideration of whether the firm is ready, willing and organised to
comply with Principle 11 (Relations with regulators) and the rules in the Supervision
manual in the Handbook on the provision of information to the Authority.
OTHER RELEVANT REGULATORY PROVISIONS
7.
The Authority’s policy in relation to its enforcement powers is set out in EG, certain
provisions of which are summarised below.
Cancelling a firm’s Part 4A permissions on the Authority’s own initiative
8.
EG 8.1.1(1) provides that the Authority may use its own initiative power to vary or
cancel the permission of an authorised person under section 55J of the Act, where
the person is failing or is likely to fail to satisfy the Threshold Condition for which
the Authority is responsible.
9.
EG 8.5.1(1) states that the Authority will consider cancelling a firm’s Part 4A
permission using its own initiative power contained in section 55J of the Act in
circumstances where the Authority has very serious concerns about the firm, or the
way its business is or has been conducted.
10.
EG 8.5.2 provides examples of the types of circumstances in which the Authority
may cancel a firm’s Part 4A permission. These include failure to provide the
Authority with valid contact details or failure to maintain the details provided, such
that the Authority is unable to communicate with the firm (EG 8.5.2(6)), and
repeated failures to comply with rules and requirements (EG 8.5.2(7)).