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The Individual Learning Account (Scotland) Regulations 2004

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Suspension and cancellation of registration (Learning Providers)

7.—(1) The Learning Account Administrator may, forthwith, either suspend or cancel the registration of a Learning Provider in the event that–

(a)in the opinion of the Learning Account Administrator, the Learning Provider has failed to comply with the Quality Standards;

(b)in the opinion of the Learning Account Administrator, the Learning Provider has failed to comply with the Operational Rules;

(c)the Learning Provider has not delivered a validly executed Learning Provider Payment Agreement to the Scottish Ministers;

(d)the Learning Provider has otherwise breached any of the terms of the Learning Provider Registration Agreement or the Learning Provider Payment Agreement;

(e)an administration order is made in respect of the Learning Provider, or a voluntary arrangement is proposed in respect of the Learning Provider, or a resolution is passed or an order made for the winding up of the Learning Provider (other than a resolution or a members' voluntary winding up for the purpose of reconstruction in terms approved by the Scottish Ministers) or a receiver or administrative receiver or liquidator shall be appointed over the whole or any part of the undertaking or assets of the Learning Provider, or the Learning Provider shall make or seek to make any composition or arrangement with its creditors, or shall become bankrupt, apparently insolvent or shall have a Trustee appointed over any of its assets or, where the Learning Provider is a partnership, any of its partners suffers any of the foregoing;

(f)there is a change of control (as defined in the Income and Corporation Taxes Act 1988(1) of the Learning Provider or any other material change in its management which, in the opinion of the Learning Account Administrator, may adversely affect the operation of the Scheme; or

(g)in the reasonable opinion of the Learning Account Administrator, the Learning Provider has acted or omitted to act in a manner tending to bring the Scheme into disrepute.

(2) In the event that a Learning Provider’s registration is suspended, the Learning Account Administrator shall advise the Scottish Ministers of the fact. The suspension shall continue until the Learning Account Administrator is satisfied that the default situation in question has been rectified. If the Learning Account Administrator is not so satisfied within 6 months after the date of suspension, the Learning Account Administrator may cancel the learning provider’s registration at any time after the expiry of that 6 month period.

(3) The Learning Provider may, at any time, withdraw its registration by giving the Learning Account Administrator not less than 3 months' prior notice in writing to that effect.

(4) Where a Learning Provider’s registration is cancelled or withdrawn, the Learning Account Administrator shall forthwith advise the Scottish Ministers of that fact.

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