Clause 9

by deleting the words “in respect of or” wherever they appear in subsection (1) and substituting in each case the words “for or”; and

by deleting subsections (2) and (3) and substituting the following subsections:“(2) Where a member has notified the designated clearing house under subsection (1) that the money or assets are deposited or paid for or in relation to a contract of a customer of the member, the designated clearing house shall —

subject to sections 63 and 64, ensure that such money is deposited in a trust account, or such assets are deposited in a custody account, to be held for the benefit of the customers of the member and disposed of or used only for or in relation to contracts of customers of the member;

ensure that such money or assets are kept separate from all money and assets received by the designated clearing house from members which have been notified by members under subsection (1) as not being deposited or paid for or in relation to contracts of customers of those members; and

keep books for money or assets deposited or paid for or in relation to contracts of customers of one member separate from books for money or assets deposited or paid for or in relation to contracts of customers of another member.(3) Nothing in subsection (2)(a) shall prevent a designated clearing house from commingling all money or assets deposited pursuant to that provision in the same trust account or custody account, as the case may be.(4) Where a designated clearing house has been convicted of an offence under section 70 for a contravention of subsection (2)(a) or (b), in so far as any money which has been deposited in a trust account, or any asset which has been deposited in a custody account, is used for any purpose other than —

for or in relation to contracts of a customer of the member; or

in accordance with sections 63 and 64,the designated clearing house shall —

in the case of money, repay the money to the trust account referred to in subsection (2)(a); or

in the case of assets —

return the asset to the custody account referred to in subsection (2)(a); or

if the asset cannot be returned to the custody account, deposit an amount of money which is equivalent to the monetary value of the asset at the time of the contravention of subsection (2)(a) or (b) in the trust account referred to in subsection (2)(a) for the benefit of the customers of the member.”.