Regulation 14A
Holders of capital markets services licences and representatives, etc., to be fit and proper persons
of Securities and Futures (Licensing and Conduct of Business) Regulations
Subregulation 1
The holder of a capital markets services licence shall ensure that —
it is a fit and proper person to carry on business in the regulated activity for which it is licensed;
its representatives are fit and proper persons to carry out that regulated activity as its representatives;
its chief executive officer, directors or equivalent persons are fit and proper persons for office; and
its substantial shareholders or equivalent persons are fit and proper persons in their capacity as such.
Subregulation 2
For the purposes of section 99(4) of the Act —
a person who is exempted from holding a capital markets services licence under section 99(1)(a), (b), (c), (d), (f) or (g) of the Act shall ensure that —
he is a fit and proper person to carry on business in the regulated activity for which he is exempted; and
his representatives are fit and proper persons to carry out that regulated activity as his representatives; and
a corporation that is exempted from holding a capital markets services licence under paragraph 3(1)(d) or 3A(1)(d) of the Second Schedule, or a person who is exempted from holding a capital markets services licence under paragraph 7(1)(b) of the Second Schedule shall ensure that —
he is a fit and proper person to carry on business in the regulated activity for which he is exempted;
his representatives are fit and proper persons to carry out that regulated activity as his representatives; and
where the person is an entity —
its directors or equivalent persons are fit and proper persons for office;
its substantial shareholders or equivalent persons are fit and proper persons to be in such capacity; and
persons (other than a person referred to in sub-paragraph (A) or (B)) alone or acting together with any connected person, who —
(CA)control, directly or indirectly, not less than 20% of the voting power or such equivalent decision-making power in the entity; or
(CB)acquire or hold, directly or indirectly, not less than 20% of the issued shares or such equivalent share of ownership of the entity,are fit and proper persons to control such power or hold such shares or share of ownership.