F17BPenalty for facilitating smuggling: initial notice

(1)

Where the Commissioners think that a manufacturer has without reasonable excuse failed to comply with the duty under section 7A(1) they may give him written notice that they are considering requiring him to pay a penalty.

(2)

In determining whether to give notice to a manufacturer under subsection (1) the Commissioners shall have regard to—

(a)

the content of the manufacturer's policy under section 7A(2)(b),

(b)

compliance with that policy,

(c)

action taken pursuant to any notice under section 7A(4),

(d)

compliance by the manufacturer with any notice under section 7A(5),

(e)

the number, size and nature of seizures of which the manufacturer has been given notice by virtue of section 7A(7)(a),

(f)

compliance by the manufacturer with any requirement by virtue of section 7A(7)(d),

(g)

evidence about the level of demand for the manufacturer's products for consumption outside the United Kingdom, and

(h)

any other matter that they think relevant.

(3)

A notice must specify the matters to which the Commissioners have had regard in determining to give it.

(4)

After the end of the period of six months beginning with the date on which a notice is given to a manufacturer, the Commissioners shall give him notice in writing either—

(a)

that they require payment of a penalty, or

(b)

that they do not require payment of a penalty.

(5)

The Commissioners shall comply with subsection (4) during the period of 45 days beginning with the end of the period specified in that subsection; and for that purpose they shall consider—

(a)

any representations made by the manufacturer during that period in such form and manner as the Commissioners may direct, and

(b)

action taken by the manufacturer during that period.