Singapore legislation

Regulation 27

of Securities and Futures (Clearing Facilities) Regulations 2013

Regulation 27

Verification of money and assets placed with approved clearing house

Subregulation 1

An approved clearing house shall, in respect of each financial year of the approved clearing house, cause its auditors to submit to the Authority —

(a)

a report covering the first 6 months of the financial year, before the end of the seventh month of the financial year (or at such other time as the Authority may require); and

(b)

a report covering the last 6 months of the financial year, before the end of the first month of the next financial year (or at such other time as the Authority may require).

Subregulation 2

The approved clearing house shall ensure that each report referred to in paragraph (1) does, in respect of the period covered by the report —

(a)

certify whether the money and assets deposited with or paid to the approved clearing house by a member of the approved clearing house under regulation 23(3), for or in relation to a contract of a customer of the member —

(i)

are segregated from any other money and assets deposited by the member with the approved clearing house;

(ii)

are deposited in a trust account or custody account in accordance with regulation 23(3)(b), and are not commingled with the money and assets of the approved clearing house; and

(iii)

are used only as permitted under or in accordance with regulation 24 or 25; and

(b)

certify whether the money and assets deposited with or paid to the approved clearing house by a member of the approved clearing house under regulation 23(2), for or in relation to a contract of a customer of the member —

(i)

are recorded in books separate from the books for the money or assets deposited or paid for or in relation to the contracts of other customers of the member;

(ii)

are segregated from any other money and assets deposited by the member with the approved clearing house;

(iii)

are deposited in a trust account or custody account in accordance with regulation 23(2)(b), and are not commingled with the money and assets of the approved clearing house; and

(iv)

are used only as permitted under or in accordance with regulation 24 or 25; and

(c)

set out the amount, on an aggregated basis, of all money and assets deposited by the member with the approved clearing house —

(i)

for or in relation to each contract of a customer of the member; and

(ii)

for or in relation to any other contract.

Read in full context — Securities and Futures (Clearing Facilities) Regulations 2013 →