Function for Compliance and Adherence

• Template for filing a formal complaint

NPC's Function for Compliance and Adherence is carried out by the NPC Secretariat. Its role is to oversee the implementation of the NPC Rulebooks by Scheme Participants and to handle complaints submitted by Scheme Participants regarding breaches or potential breaches.

The Function focuses exclusively on violations of scheme-wide importance, meaning violations that may cause reputational damage to the Scheme or that could negatively affect the integrity, stability, or proper functioning of the Scheme.

The Function operates in accordance with the following guiding principles: impartiality and objectivity; fair treatment of all parties with due regard to the circumstances of each case; transparency and clarity in all actions; and proportionality in responses relative to the gravity of the issue.

All deliberations and discussions are confidential unless otherwise agreed.

Before filing a formal complaint

Scheme Participants are expected to make reasonable efforts to resolve issues bilaterally before escalating a matter to the Function for Compliance and Adherence. Where a Scheme Participant identifies a potential breach of the Rulebook or associated implementation guidelines, it should promptly contact the Scheme Participant whose actions or omissions may constitute the potential breach directly, with a view to resolving the matter bilaterally. NPC can, upon request, provide contact details for the designated compliance contact at each Scheme Participant. If the issue cannot be resolved bilaterally and is considered to be of scheme-wide importance, the matter may be escalated to the Function for Compliance and Adherence.

How to file a complaint

A complaint may be submitted by any Scheme Participant and must be filed in writing with the NPC Secretariat at info@npcouncil.org. A template for filing a complaint is available [here]. The complaint must identify the Scheme Participant against whom the complaint is brought and set out the relevant facts and details of the breach or potential breach.

Upon receipt of a complaint, NPC notifies the Scheme Participant concerned, who has 28 calendar days to submit written representations. NPC may also request relevant information and documentation from that participant, which must likewise be provided within 28 calendar days. NPC then prepares a report setting out the facts of the case and its preliminary assessment of the complaint. Where NPC considers that a sanction may be warranted, it issues a written notice to the Scheme Participant concerned setting out the proposed sanction.

The Scheme Participant concerned has 30 calendar days from receipt of the notice to accept the proposed sanction or to submit written or oral representations. Within 30 calendar days of recieving or hearing those representations, NPC determines the final sanction and notifies the Scheme Participant accordingly.

Sanctions

The sanctions available to the Function for Compliance and Adherence are:

• private warning;
• written notification of complaint;
• public warning; 
• report to a national regulator or equivalent national authority, including a NASO; and 
• termination.

Costs

Filing a complaint involves an upfront non-refundable administrative fee of 15,000 SEK per complaint case, and 15,000 SEK per appeal. These fees are reviewed regularly by the Scheme Management Committee and the NPC Board. As a non-profit organisation, NPC does not apply any profit mark-up when setting these fees.

Three categories of costs may arise in a dispute resolution procedure:

• administrative costs incurred by NPC for administering and monitoring the proceedings; 
• legal fees and expenses incurred by NPC; and
• litigation or dispute resolution costs incurred by the parties themselves, including legal fees and the costs of preparing and presenting their case.

Further detail is set out in the NPC Scheme Management Rules.

• NPC Scheme Management Rules