• Part 20 Part 20 Injunctions, Restitution and Actions for Damages

    • Injunctions

      • 236. Injunctions: general

        (1) Where a person has engaged, is engaging or is proposing to engage in conduct that constituted, constitutes or would constitute —
        (a) a contravention of these Regulations or any Rules made under these Regulations;
        (b) an attempt to contravene these Regulations or any Rules made under these Regulations;
        (c) aiding, abetting, counselling or procuring a person to contravene these Regulations or any Rules made under these Regulations;
        (d) inducing or attempting to induce, whether by threats, promises or otherwise, a person to contravene these Regulations or any Rules made under these Regulations;
        (e) being in any way, directly or indirectly, Knowingly Concerned in, or party to, the contravention by a person of these Regulations or any Rules made under these Regulations; or
        (f) conspiring with others to contravene these Regulations or any Rules made under these Regulations;
        the Court may, on the application of the Regulator, or of a person whose interests have been, are, or would be affected by the conduct, make one or more of the orders set out in subsection (2).
        (2) The Court may, in accordance with subsection (1), make any of the following orders —
        (a) an order restraining the person from engaging in the conduct including, but not limited to, engaging in conduct that may constitute a contravention of these Regulations or any Rules made under these Regulations;
        (b) an order requiring that person to do any act or thing including, but not limited to, acts or things to remedy the contravention or to minimise loss or damage; or
        (c) any other order as the Court sees fit.
        (3) Where a person ("A") has refused or failed, is refusing or failing, or is proposing to refuse or fail, to do an act or thing that A is required to do by these Regulations or any Rules made under these Regulations, the Court may, on the application of —
        (a) the Regulator; or
        (b) any person whose interests have been, are or would be affected by the refusal or failure to do that act or thing;
        grant an injunction on such terms as the Court thinks appropriate, requiring A to do that act or thing.
        (4) The power of the Court to grant an injunction restraining a person ("A") from engaging in conduct under subsection (2) may be exercised —
        (a) whether or not it appears to the Court that A intends to engage again, or to continue to engage, in conduct of that kind;
        (b) whether or not A has previously engaged in conduct of that kind; or
        (c) whether or not there is an imminent danger of substantial damage to any person if A engages in conduct of that kind.
        (5) The power of the Court to grant an injunction requiring a person ("A") to do an act or thing in accordance with subsections (2) or (3) may be exercised —
        (a) whether or not it appears to the Court that A intends to refuse or fail again, or to continue to refuse or fail, to do that act or thing;
        (b) whether or not A has previously refused or failed to do that act or thing; and
        (c) whether or not there is an imminent danger of substantial damage to any person if A refuses or fails to do that act or thing.
        (6) Where in the opinion of the Court it is desirable to do so, the Court may grant an interim injunction pending determination of an application under subsection (1).
        (7) The Court may discharge or vary an injunction granted under this section.
        (8) In proceedings under this section against a person the Court may make an order under section 237 in respect of the person.

      • 237. Injunctions in cases of investigations and proceedings

        (1) Where —
        (a) the Regulator is conducting or has conducted an investigation into the acts or omissions of a person (the "Relevant Person") who may contravene or who may have contravened these Regulations or any Rules made under these Regulations; or
        (b) civil or regulatory proceedings have been instituted, by the Regulator or otherwise, against a Relevant Person in relation to an alleged contravention of these Regulations or any Rules made under these Regulations;
        the Court may, on application of the Regulator or any aggrieved person, make one or more of the orders set out in subsection (2).
        (2) The Court may, in accordance with subsection (1), make one or more of the following orders —
        (a) an order restraining the Relevant Person from paying, transferring, disposing of, or otherwise dealing with, any assets of his which he is reasonably likely to dispose of or otherwise deal with;
        (b) an order restraining any other person holding assets on behalf of the Relevant Person from paying, transferring, disposing of, or otherwise dealing with, any assets of the Relevant Person which are reasonably likely to be disposed of or otherwise dealt with;
        (c) an order prohibiting the Relevant Person or any other person from taking or sending out of the jurisdiction of the Court or out of the Abu Dhabi Global Market any assets of the Relevant Person or held on his behalf;
        (d) in the event that the Relevant Person is a natural person, an order appointing a receiver or trustee, having such powers as the Court may see fit, of the property or any of the property of the Relevant Person;
        (e) in the event that the Relevant Person is a Body Corporate, an order appointing a receiver or receiver and manager, having such powers as the Court may see fit, of the property or any of the property of the Relevant Person;
        (f) in the event that the Relevant Person is a natural person, an order requiring him to deliver up to the Court his passport and such other Documents as the Court sees fit; or
        (g) in the event that the Relevant Person is a natural person, an order prohibiting him from leaving the jurisdiction of the Court or of the Abu Dhabi Global Market without the consent of the Court.
        (3) Nothing in this section or section 236 affects any other powers that any person or the Court may have apart from as provided for under such sections.

      • 238. Injunctions in cases of Market Abuse

        (1) If, on the application of the Regulator, the Court is satisfied —
        (a) that there is a reasonable likelihood that any person will engage in Market Abuse; or
        (b) that any person is or has engaged in Market Abuse and that there is a reasonable likelihood that the Market Abuse will continue or be repeated;
        the Court may make an order restraining the Market Abuse.
        (2) If on the application of the Regulator the Court is satisfied —
        (a) that any person is or has engaged in Market Abuse; and
        (b) that there are steps which could be taken for remedying the Market Abuse;
        the Court may make an order requiring him to take such steps as the Court may direct to remedy it.
        (3) Subsection (4) applies if, on the application of the Regulator, the Court is satisfied that any person —
        (a) may be engaged in Market Abuse; or
        (b) may have been engaged in Market Abuse.
        (4) The Court may make an order restraining the person concerned from disposing of, or otherwise dealing with, any assets of his which it is satisfied that he is reasonably likely to dispose of, or otherwise deal with.
        (5) In subsection (2), references to remedying any Market Abuse include references to mitigating its effect.

    • Restitution orders

      • 239. Restitution orders

        (1) The Court may, on the application of the Regulator, make an order under subsection (2) if it is satisfied that a person has contravened these Regulations or any Rules made under these Regulations, or been Knowingly Concerned in such contravention, and —
        (a) that profits have accrued to him as a result of the contravention; or
        (b) that one or more persons have suffered loss or been otherwise adversely affected as a result of the contravention.
        (2) The Court may order the person concerned to pay to the Regulator such sum as appears to the Court to be just and equitable having regard —
        (a) in a case within paragraph (a) of subsection (1), to the profits appearing to the Court to have accrued;
        (b) in a case within paragraph (b) of subsection (1), to the extent of the loss or other adverse effect;
        (c) in a case within both of those paragraphs, to the profits appearing to the Court to have accrued and to the extent of the loss or other adverse effect.
        (3) Any amount paid to the Regulator in pursuance of an order under subsection (2) must be paid by it to such Qualifying Person or distributed by it among such Qualifying Persons as the Court may direct.
        (4) On an application under subsection (1) the Court may require the person concerned to supply it with such accounts or other information as it may require for any one or more of the following purposes —
        (a) establishing whether any and, if so, what profits have accrued to him as mentioned in paragraph (a) of subsection (1);
        (b) establishing whether any person or persons have suffered any loss or adverse effect as mentioned in paragraph (b) of subsection (1) and, if so, the extent of that loss or adverse effect; and
        (c) determining how any amounts are to be paid or distributed under subsection (3).
        (5) The Court may require any accounts or other information supplied under subsection (4) to be verified in such manner as it may direct.
        (6) Nothing in this section affects the right of any person other than the Regulator to bring proceedings in respect of the matters to which this section applies.

      • 240. Restitution orders in cases of Market Abuse

        (1) The Court may, on the application of the Regulator, make an order under subsection (4) if it is satisfied that a person (the "Person Concerned") —
        (a) has engaged in Market Abuse; or
        (b) by taking or refraining from taking any action has required or encouraged another person or persons to engage in Behaviour which, if engaged in by the Person Concerned, would amount to Market Abuse;
        and the condition mentioned in subsection (2) is fulfilled.
        (2) The condition is that —
        (a) profits have accrued to the Person Concerned as a result; or
        (b) one or more persons have suffered loss or been otherwise adversely affected as a result.
        (3) But the Court may not make an order under subsection (4) if it is satisfied that —
        (a) the Person Concerned believed, on reasonable grounds, that his Behaviour did not fall within paragraph (a) or (b) of subsection (1); or
        (b) he took all reasonable precautions and exercised all due diligence to avoid behaving in a way which fell within paragraph (a) or (b) of subsection (1).
        (4) The Court may order the Person Concerned to pay to the Regulator such sum as appears to the Court to be just having regard —
        (a) in a case within paragraph (a) of subsection (2), to the profits appearing to the Court to have accrued;
        (b) in a case within paragraph (b) of subsection (2), to the extent of the loss or other adverse effect;
        (c) in a case within both of those paragraphs, to the profits appearing to the Court to have accrued and to the extent of the loss or other adverse effect.
        (5) Any amount paid to the Regulator in pursuance of an order under subsection (4) must be paid by it to such Qualifying Person or distributed by it among such Qualifying Persons as the Court may direct.
        (6) On an application under subsection (1) the Court may require the Person Concerned to supply it with such accounts or other information as it may require for any one or more of the following purposes —
        (a) establishing whether any and, if so, what profits have accrued to him as mentioned in paragraph (a) of subsection (2);
        (b) establishing whether any person or persons have suffered any loss or adverse effect as mentioned in paragraph (b) of subsection (2) and, if so, the extent of that loss or adverse effect; and
        (c) determining how any amounts are to be paid or distributed under subsection (5).
        (7) The Court may require any accounts or other information supplied under subsection (6) to be verified in such manner as it may direct.
        (8) Nothing in this section affects the right of any person other than the Regulator to bring proceedings in respect of the matters to which this section applies.

      • 241. Power of the Regulator to require restitution

        (1) The Regulator may exercise the power in subsection (5) if it is satisfied that an Authorised Person or Recognised Body (the "Person Concerned") has contravened these Regulations or any Rules made under these Regulations, or been Knowingly Concerned in such contravention, and —
        (a) that profits have accrued to him as a result of the contravention; or
        (b) that one or more persons have suffered loss or been otherwise adversely affected as a result of the contravention.
        (2) The Regulator may exercise the power in subsection (5) if it is satisfied that a person (the "Person Concerned") —
        (a) has engaged in Market Abuse; or
        (b) by taking or refraining from taking any action has required or encouraged another person or persons to engage in Behaviour which, if engaged in by the Person Concerned, would amount to Market Abuse;
        and the condition mentioned in subsection (3) is fulfilled;
        (3) The condition is that —
        (a) profits have accrued to the Person Concerned as a result of the Market Abuse; or
        (b) one or more persons have suffered loss or been otherwise adversely affected as a result of the Market Abuse.
        (4) But the Regulator may not exercise that power as a result of subsection (2) if, having considered any representations made to it in response to a warning notice, there are reasonable grounds for it to be satisfied that —
        (a) the Person Concerned believed, on reasonable grounds, that his Behaviour did not fall within paragraph (a) or (b) of that subsection; or
        (b) he took all reasonable precautions and exercised all due diligence to avoid behaving in a way which fell within paragraph (a) or (b) of that subsection.
        (5) The power referred to in subsections (1) and (2) is a power to require the Person Concerned, in accordance with such arrangements as the Regulator considers appropriate, to pay to the Appropriate Person or distribute among the Appropriate Persons such amount as appears to the Regulator to be just having regard —
        (a) in a case within paragraph (a) of subsection (1) or (3), to the profits appearing to the Regulator to have accrued;
        (b) in a case within paragraph (b) of subsection (1) or (3), to the extent of the loss or other adverse effect;
        (c) in a case within paragraphs (a) and (b) of subsection (1) or (3), to the profits appearing to the Regulator to have accrued and to the extent of the loss or other adverse effect.

      • 242. Actions for damages

        (1) Unless otherwise provided under Rules made by the Regulator, where a person (whether or not a Private Person) —
        (a) intentionally, recklessly or negligently commits a breach of duty, requirement, prohibition, obligation or responsibility imposed by or under these Regulations; or
        (b) commits fraud or other dishonest conduct in connection with a matter arising under such Regulations;
        that person is liable to compensate any other person for any loss or damage caused to that other person as a result of such conduct, and otherwise is liable to restore such other person to the position they were in prior to such conduct.
        (2) The Court may, on application of the Regulator or a person who has suffered loss or damages caused as a result of conduct described in subsection (1), make orders for the recovery of damages or for compensation or for the recovery of property or for any other order as the Court sees fit, except where such liability is excluded under these Regulations or any Rules made by the Regulator.
        (3) Nothing in this section affects the powers that any person or the Court may have apart from this section.

      • 243. Power of the Regulator to intervene in proceedings

        (1) The Regulator may intervene as a party in any proceedings in the Court where it considers such intervention appropriate to meet one or more of its objectives.
        (2) Where the Regulator so intervenes, it shall, subject to any other law, have all the rights, duties and liabilities of such a party.

      • 244. Compulsory Winding up

        (1) Where it appears to the Regulator that it is just and equitable in the interests of the Abu Dhabi Global Market that a Company which is or has been —
        (a) an Authorised Person or Recognised Body; or
        (b) carrying on Regulated Activities in breach of the General Prohibition;
        should be wound up, it may apply to the Court for, and the Court may make orders considered necessary and desirable for, the winding up of such Company.

      • 245. Undertakings as to damages

        (1) If the Regulator makes an application to the Court for the grant of an injunction under these Regulations, the Court must not require the Applicant or any other person, as a condition of granting an interim injunction, to give any undertakings as to damages.