Public statement relating to Enforcement Action between BlueSnap Payment Services Ireland Limited (BlueSnap)

• Date: 21 November 2024

1

The Central Bank of Ireland

Administrative Sanctions Procedure (ASP)

Settlement Notice

To: BlueSnap Payment Services Ireland Limited (BlueSnap)

Date: 19 November 2024

Part 1 Action

1.1 For the reasons set out in this Settlement Notice, the Central Bank of Ireland is

publishing a statement pursuant to Section 33BC(2) of the Central Bank Act 1942

as amended (the 1942 Act), concerning BlueSnap, for contraventions of the

European Union (Payment Services) Regulations 2018 (the PSR 2018) between 1

January 2021 and 21 December 2022.

1.2 BlueSnap has agreed to the facts in Part 2 (the Undisputed Facts) and admitted the

prescribed contraventions in Part 3 of this Settlement Notice, such that further

investigation is unnecessary.1 On this basis, the Central Bank has decided that it is

appropriate to impose the following sanctions:

•A reprimand, and

1 Section 33AR(1)(a)(ii) of the 1942 Act

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• A monetary penalty in the amount of €463,200 with the application of a 30%

settlement scheme discount bringing the amount to €324,240.

1.3 BlueSnap has agreed to these sanctions,2 however, they will not take effect unless

they are confirmed by the High Court.3

1.4 Further details on the prescribed contraventions and sanctions are set out in Parts

3 and 4 of this Settlement Notice.

Summary of Reasons for the Central Bank’s Action

1.5 BlueSnap is authorised as a payment institution and is regulated under the PSR

2018. BlueSnap was first authorised4 by the Central Bank on 23 December 2020,

and continued to be authorised during the period of the contraventions. BlueSnap

is authorised to provide Payment Service 5 set out in the Schedule to the PSR 2018,

which is the “issuing of payment instruments and/or acquiring of payment transactions”.

BlueSnap provides “merchant acquiring services” enabling its customers, which are

businesses that sell products and services online, to accept payments for products

and services sold. When an online sale is made by one of BlueSnap’s customers,

BlueSnap should collect the money, hold it securely and then pay it onwards to the

customer’s bank account.

1.6 BlueSnap, an Irish entity, is a subsidiary of BlueSnap, Inc., a firm based in t he USA.

The BlueSnap group enables its customers to accept payments for products and

services sold across various currencies in a variety of jurisdictions. Prior to Brexit, a

UK subsidiary of BlueSnap, Inc. processed payments on behalf of all EEA-based

customers of the BlueSnap group. The BlueSnap group established BlueSnap in

Ireland to obtain a payment institution licence in the EEA, so that it could continue

to provide payment services to EEA-based customers post-Brexit, i.e. after 31

2 BlueSnap has also agreed to dispense with an inquiry.

3 Section 33 AWA of the 1942 Act.

4 Regulation 18 of the PSR 2018.