S.L. 628.1 Art. 58Formal investigation. 

(1) When the Authority has reason to suspect that an association is conducting its affairs in breach of the Act, these regulations or any applicable regulatory or binding instrument or is otherwise no longer suitable to hold such authorisation, it shall initiate a formal investigation of such association.

(2) The association shall be informed of the investigation and the reasons for which it was initiated:

Provided that where the Authority reasonably believes that informing the association of such investigation may prejudice the investigation or any possible outcome thereof, or is precluded from informing the association by virtue of any applicable law, it may carry out the investigation without informing the association.

(3) In conducting such investigation, the Authority shall be empowered to request and, or access any and all information, documents and other things from the association or from third parties that directly or indirectly provide one (1) or more services to the association, or any other person, including any one (1) or more of the members of the association, as that it deems relevant:

Provided that where the Authority requests information, documents or any other things from a third party, it shall not require the consent of the association or of any other person to which the information, documents or other things relate.

(4) It shall be an offence for the association not to provide the Authority with any information, documents and, or other things which the Authority may require, or to otherwise hinder the Authority’s investigation or to neglect to collaborate therewith. In any such case it shall also be lawful for the Authority to make a decision based on the information available to it.

(5) When the Authority’s investigation is concluded, the Authority shall provide the association with a report thereon which shall include:

(a) the reason or reasons for which the investigation was initiated;

(b) in the case of a breach of an applicable law or regulation, the breaches of the applicable law, regulatory or binding instruments by the authority, and a description of its findings in relation to any such breaches, and

(c) the enforcement measures which the Authority has deemed it fit to take in the circumstances, if any:

Provided that the Authority may withhold any or all of the above information if disclosing them to the association may prejudice the interests of its members or of any other person, or would amount to a breach of any applicable law.

(6) The association may contest the findings in such report within twenty (20) days from the date of notification thereof:

Provided that the findings in the report shall become final, if the association fails to contest such findings within such twenty-day contestation period.

(7) The Authority shall review an association’s contestation received within the twenty (20)-day contestation period within a reasonable time and shall thereafter communicate to the association its final decision on the matter, confirming, revoking or amending the report.