(1) If the condition in paragraph (2) is met, the Authority may direct that an incoming provider may no longer carry on a specified incoming electronic commerce activity, or may only carry it on subject to specified requirements.
(2) The condition is that the Authority is satisfied that the incoming provider –
(a) directs all or most of its activity to the United Kingdom; and
(b) is exercising the freedom conferred by Article 56 of the Treaty on the Functioning of the European Union for the purpose of avoiding requirements imposed by or under the 2000 Act [Regulation 2(1) of the Electronic Commerce Directive (Financial Services and Markets) Regulations 2002 defines "the 2000 Act" as meaning the Financial Services and Markets Act 2000.] that would apply to the provider if it were established in the United Kingdom.
(3) A direction under this regulation may impose any requirement which the Authority could impose under section 55L(3) [Section 55L was inserted by section 11(2) of the