The National Health Service (Fund-holding Practices) Regulations 1993

Recovery of misapplied sums

25.—(1) Where it appears to a Regional Health Authority that any part of an allotted sum has been applied by the members of a fund-holding practice (or any one or more of them) otherwise than in accordance with regulations 19, 20, 22, 23 and 24, it may seek to recover that amount in accordance with the provisions of this regulation.

(2) A Regional Health Authority shall send to each member of the practice notice informing them of the amount which it is alleged has been misapplied and the nature and circumstances of the alleged misapplication and that they may make representations to the Authority concerning the matter, either orally or in writing.

(3) Where the members of a fund-holding practice wish to make representations in writing, they shall do so within the period of two months beginning with the date on which the notice referred to in paragraph (2) was sent.

(4) Where the members of the practice wish to make representations orally they shall, within the period of 2 weeks beginning with the date on which the notice referred to in paragraph (2) was sent, give notice to that effect to the Regional Health Authority and the Authority shall, within the period of 6 weeks of the date on which the members of the fund-holding practice gave notice under this paragraph, give them an opportunity of appearing before and being heard by the Authority or a committee, sub-committee, or officer of the Authority appointed for the purpose.

(5) Where the Regional Health Authority, having taken into account any representations made by the members of the fund-holding practice, is satisfied that any part of an allotted sum has been misapplied as mentioned in paragraph (1), it shall–

(a) send to each member of the practice a notice of its determination to that effect;

(b) include in the notice a statement of the reasons for its decision; and

(c) inform each member of the practice of the right to appeal to the Secretary of State.

(6) The members of a fund-holding practice may appeal to the Secretary of State against the determination of a Regional Health Authority that any part of an allotted sum has been misapplied as mentioned in paragraph (1).

(7) Regulation 7(2) to (11) shall apply in relation to an appeal under paragraph (6) as if–

(a) a reference to the members of the practice were a reference to the members of the fund-holding practice; and

(b) a reference to a decision to grant a practice recognition were a reference to a decision that any part of the allotted sum had been misapplied as mentioned in paragraph (1).

(8) An amount equal to that part of the allotted sum which the Regional Health Authority or, on appeal, the Secretary of State has determined had been misapplied as mentioned in paragraph (1) shall be recoverable from the members of the practice (or from any one or more of them) by the Regional Health Authority as a civil debt.