Section 79G: Administrative sanction and compounding of offences

79G. Administrative sanction and compounding of offences (1) Subject to subsection (2), where the Registrar has reasonable cause to believe that a credit union – (a) has contravened this Act or the United Nations (Financial Prohibitions, Arms Embargo and Travel Ban) Sanctions Act, or any regulations made or guidelines issued under those Acts; (b) is involved in money laundering activities and the financing of terrorism and proliferation activities, he may, subject to this Act, impose such administrative sanction as he may determine. (2) Where the Registrar intends to impose an administrative sanction against the credit union referred to in section 79B(1)(k)(iii), he shall issue a notice to the credit union stating – (a) his intention to impose the administrative sanction; (b) the type and terms of the administrative sanction; and (c) the right of the credit union to make written representations to the Registrar within 21 days of the notice. (3) Where, after considering any written representations made under subsection (2)(c), the Registrar is satisfied that the credit union has contravened subsection (1)(a) or is involved in money laundering activities and the financing of terrorism and proliferation activities, or where no written representations are received, he shall impose such administrative sanction as he may determine on the credit union. (4) Any administrative penalty imposed shall be a debt due to the Fund, and may be recovered by the Fund as a civil debt in a court of competent jurisdiction. (5) Any administrative penalty payable under this Act shall be credited to the Fund. (6) The Registrar may, with the consent of the Director of Public Prosecutions, compound any offence committed by a credit union, under this Act or the United Nations (Financial Prohibitions, Arms Embargo and Travel Ban) Sanctions Act, or any regulations made or guidelines issued under those Acts where it agrees, in writing, to pay such amount not exceeding the maximum penalty specified for the offence as may be specified by the Registrar. (7) Every agreement to compound shall be final and conclusive and on payment of the agreed amount, no further proceedings in regard to the offence compounded shall be taken against the credit union which agreed to the compounding. (8) Where the Registrar compounds an offence in accordance with this section, no further proceedings shall be initiated in respect of the offence so compounded against the credit union. (9) Where the Director of Public Prosecutions does not give his consent to compound the offence or a credit union does not agree to compound the offence, the Registrar may refer the case to the Police for legal proceedings. PART XIB – REVIEW PANEL