Terrorist Asset-Freezing etc. Act 2010

Interpretation

39 Meaning of “funds” and “economic resources”

(1) In this Part, “funds” means financial assets and benefits of every kind, including (but not limited to)—

(a) cash, cheques, claims on money, drafts, money orders and other payment instruments;

(b) deposits with relevant institutions or other persons, balances on accounts, debts and debt obligations;

(c) publicly and privately traded securities and debt instruments, including stocks and shares, certificates representing securities, bonds, notes, warrants, debentures and derivative products;

(d) interest, dividends and other income on or value accruing from or generated by assets;

(e) credit, rights of set-off, guarantees, performance bonds and other financial commitments;

(f) letters of credit, bills of lading and bills of sale;

(g) documents providing evidence of an interest in funds or financial resources;

(h) any other instrument of export financing.

(2) In this Part, “economic resources” means assets of every kind, whether tangible or intangible, movable or immovable, which are not funds but can be used to obtain funds, goods or services.

40 Meaning of “financial services”

(1) In this Part, “financial services” means any service of a financial nature, including (but not limited to)—

(a) insurance-related services consisting of—

(i) direct life assurance;

(ii) direct insurance other than life assurance;

(iii) reinsurance and retrocession;

(iv) insurance intermediation, such as brokerage and agency;

(v) services auxiliary to insurance, such as consultancy, actuarial, risk assessment and claim settlement services;

(b) banking and other financial services consisting of—

(i) accepting deposits and other repayable funds;

(ii) lending (including consumer credit, mortgage credit, factoring and financing of commercial transactions);

(iii) financial leasing;

(iv) payment and money transmission services (including credit, charge and debit cards, travellers’ cheques and bankers’ drafts);

(v) providing guarantees or commitments;

(vi) financial trading (as defined in subsection (2) below);

(vii) participating in issues of any kind of securities (including underwriting and placement as an agent, whether publicly or privately) and providing services related to such issues;

(viii) money brokering;

(ix) asset management, such as cash or portfolio management, all forms of collective investment management, pension fund management, custodial, depository and trust services;

(x) settlement and clearing services for financial assets (including securities, derivative products and other negotiable instruments);

(xi) providing or transferring financial information, and financial data processing or related software (but only by suppliers of other financial services);

(xii) providing advisory and other auxiliary financial services in respect of any activity listed in sub-paragraphs (i) to (xi) (including credit reference and analysis, investment and portfolio research and advice, advice on acquisitions and on corporate restructuring and strategy).

(2) In subsection (1)(b)(vi), “financial trading” means trading for own account or for account of customers, whether on an investment exchange, in an over-the- counter market or otherwise, in—

(a) money market instruments (including cheques, bills and certificates of deposit);

(b) foreign exchange;

(c) derivative products (including futures and options);

(d) exchange rate and interest rate instruments (including products such as swaps and forward rate agreements);

(e) transferable securities;

(f) other negotiable instruments and financial assets (including bullion).

41 Meaning of “relevant institution”

(1) In this Part “relevant institution” means-

(a) a person that has permission under Part 4 of the Financial Services and Markets Act 2000 (permission to carry on regulated activity);

(b) an EEA firm of the kind mentioned in paragraph 5(b) of Schedule 3 to that Act that has permission under paragraph 15 of that Schedule (as a result of qualifying for authorisation under paragraph 12 of that Schedule) to accept deposits; or

(c) an undertaking that by way of business—

(i) operates a currency exchange office,

(ii) transmits money (or any representation of monetary value) by any means, or

(iii) cashes cheques that are made payable to customers.

(2) The definition of “relevant institution” in subsection (1) must be read with section 22 of the Financial Services and Markets Act 2000, any relevant order under that section and Schedule 2 to that Act (classes of regulated activities and categories of investment).

42 Interpretation: general

(1) In this Part—

• “designated person” has the meaning given by section 1;

• “document” includes information recorded in any form and, in relation to information recorded otherwise than in legible form, references to its production include producing a copy of the information in legible form;

• “economic resources” has the meaning given by section 39(2);

• “enactment” includes—

  (a)

  an enactment comprised in subordinate legislation (within the meaning of the Interpretation Act 1978);

  (b)

  an enactment comprised in, or in an instrument made under—

  (i)

  an Act of the Scottish Parliament;

  (ii)

  Northern Ireland legislation; or

  (iii)

  a Measure or Act of the National Assembly for Wales;

• “final designation” means a designation under section 2 (including any renewed such designation);

• “financial services” has the meaning given by section 40;

• “funds” has the meaning given by section 39(1);

• “interim designation” means a designation under section 6;

• “relevant institution” has the meaning given by section 41;

• “the relevant Security Council resolutions” has the meaning given by subsection (2) below.

(2) For the purposes of this Part “the relevant Security Council resolutions” are—

(a) resolution 1373 (2001) adopted by the Security Council of the United Nations on 28th September 2001, and

(b) resolution 1452 (2002) adopted by the Security Council of the United Nations on 20th December 2002.

(3) The Treasury may by order amend subsection (2) so as to add further relevant Security Council resolutions or remove any that are superseded.

(4) Any such order must be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.