ECSH83585 | Sanctions for non-compliance: suspension and cancellation: when a business has failed to comply with any conditions in regulation 59(1)(a) to (e)

We may cancel or suspend the registration of any business or individual (relevant person) registered where the decision maker (DM) is satisfied that any of the following applies:

• Any requirement under regulation 57 The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLR 2017) has not been complied with. Specifically, where the business has failed to update a material change to information provided or there is an inaccuracy in the information provided, within the specified timeframe.

• Any information provided under regulation 57 MLR 2017, during registration or subsequently, is found to be false or misleading.

• The applicant has failed to pay a penalty, or charge imposed under MLR 2017 or under MLR 2007.

• When HMRC has reasonable grounds to suspect that the relevant obligations under MLR 2017, Proceeds of Crime Act 2002 or Terrorism Act 2000 will not be complied with by either the applicant or its officers or managers.

The reasonable grounds for suspicion must be held by the registering authority, that is HMRC, and the DM must be able to evidence the rationale for their suspicion.