Non-compliance with Funding Rules

Background

Where participant firms do not comply with the requirement to pay an annual levy to the ICCL, there are a number of potential implications for the firm which are outlined below.  The ICCL takes non-compliance with the requirement to pay an annual levy seriously and has obtained, registered and published judgments against firms for non-compliance.
 

Penalty Interest

Section 21(4) of the Act, provides that interest at a rate of 1.25% per month shall apply to overdue balances.
 

Reporting to the Central Bank of Ireland

Firms, that fail to pay their annual levy, will be reported to the Central Bank of Ireland for failing to comply with their obligations under the Act.  The Central Bank of Ireland may take enforcement action against any firm that has been reported to it, by the ICCL.  Enforcement action would usually take the form of a direction being issued against a firm preventing it from transacting regulated business for a period of up to 1 year.
 

Legal Recovery of unpaid annual levies

Section 21(5) of the Act provides that any sums due to the Scheme are recoverable as a simple contract debt in any court of competent jurisdiction. The ICCL has successfully taken legal action to recover unpaid levies. Details of judgments obtained are published in Stubbs Gazette, notified to the Central Bank and published here on the ICCL website.
 

Firms authorised by the Central Bank of Ireland

Firms no longer authorised by the Central Bank of Ireland