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39. Notice of intention by Pensions Authority to prosecute.
(1) The following sections are inserted after section 3 of the Principal Act:
"3A. Notice by Board of intention to prosecute.
(1) Where the Board has reasonable grounds for believing that a person to whom section 3(1) or (4) or 18(5) applies has committed an offence under this Act and is liable to summary prosecution by the Board, the Board may give to the person a notice in writing in the prescribed form stating that-
(a) the person is alleged to have committed that offence,
(b) the person may during a period of 21 days beginning on the date of the notice-
(i) remedy as far as practicable to the satisfaction of the Board any default that constitutes the offence, and
(ii) make to the Board a specified payment of a prescribed amount accompanied by the notice,
and
(c) a prosecution of the person to whom the notice is given in respect of the alleged offence will not be instituted during the period specified in the notice and, if the default is remedied to the satisfaction of the Board and the payment specified in the notice is made during that period, no prosecution in respect of the alleged offence will be instituted.
(2) Where a notice is given under subsection (1)-