19.
| (1) A person required to conform to the requirements prescribed by or under Parts I and II of this Act, who fails to so conform, shall be liable to a penalty as may be prescribed taking into consideration the nature and gravity of relevant non-compliance : Provided however such penalty shall not exceed a sum of rupees one million in any given case. Where a person who has been subjected to a penalty on a previous occasion, subsequently fails to conform to a requirement on any further occasion such person shall be liable to the payment of an additional penalty in a sum consisting of double the amount imposed as a penalty on the first occasion and for each non- compliance after such first occasion. |
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| (2) The Financial Intelligence Unit shall be responsible for the collection of a penalty imposed by this section and the money so collected shall be credited to the Consolidated Fund. |
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| (3) If a person who becomes liable to a penalty in terms of subsection (1) fails to pay such penalty, the Unit may make an ex- parte application to the High Court of the Western Province holden in Colombo for an Order requiring the payment of the penalty and upon such order being made such amount shall be recoverable in the same manner as a fine imposed by Court. |
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| (4) The imposition of a penalty under this section shall not preclude a supervisory authority or a regulatory or self regulatory authority of an Institution from taking any regulatory or disciplinary measures including, but not limited to, the suspension of such Institution from the carrying on of a business or profession or the cancellation of a licence or authority granted for the carrying on of a business or profession, as may be permitted in terms of any applicable written law or rules for the regulation or supervision of such Institution. |
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| (5) Where a penalty is imposed under this section on a body of persons, then-
| | (a) if that body of person is a body corporate, every person who at the time of the imposition of the requirements under subsection (1) was a Director, General Manager, Secretary or other similar officer of that body ; or | | |
| | (b) if that body is not a body corporate, every person who at the time of the imposition of such requirements was the President, Manager, Secretary, partner or other similar officer of that body, | | |
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| (6) Without prejudice to the provisions of subsection (1), the Financial Intelligence Unit may issue a directive to any Financial Institution that has without reasonable cause failed to comply in whole or in part with any obligations in Parts I, II or III of this Act requiring such Institution to implement a action plan specified in such directive to ensure compliance with its obligations under the said Parts. |
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| (7) Where an Institution fails to comply with a directive issued under subsection (6), the Financial Intelligence Unit may, upon application to the High Court of the Western Province, holden in Colombo and upon satisfying the Court that an Institution has failed without reasonable excuse to comply in whole or in part with the directive issued by it under subsection (6), obtain an order against the Institution and any or all of the officers or employees of that Institution in such terms as the Court deems necessary to enforce compliance with such obligation. |
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Sri Lanka Consolidated Acts