Payments to good causes

Condition breached

Paragraph 9 of Schedule 1 of the Section 5 licence

Description

Camelot withheld £2.1m from the instalment due to good causes on 13 July 2004 on the basis of an audit opinion that did not cover all the issues as required by the licence. The monies were withheld as part of the new media sales adjustment.

Background

Before making any deduction in respect of the new media sales adjustment, Camelot is required to provide an auditor’s opinion covering various issues in respect of new media sales. The deduction was made on the basis of an opinion that did not cover all the issues as required by the licence.

Regulatory Action

The Commission investigated the issue and Camelot provided an auditor’s certificate covering all the issues required in the licence, but this was after the deduction was made. A licence breach was recorded on 2 September 2004.

Outcome

Camelot was required to pay penalty interest of £8,026.02 to the good causes.