Document ID: chunk:federal_register_of_legislation:C2004A04501:schedule:2:p2
Version: federal_register_of_legislation:C2004A04501
Segment Type: schedule
Provision Reference: sch 2 (pt 2/22)
Character Range: 436849–439720

(3) "779B," after "770,".

128.     The Corporations Law is amended by inserting after section 779 the following Part:

"PART 7.2A—THE SECURITIES CLEARING HOUSE

Interpretation

"779A. In this Part, unless the contrary intention appears:

'disciplinary proceeding', in relation to the securities clearing house, means:

     (a) a proceeding under the SCH business rules that may result in the disciplining of an SCH participant; or

(b) an appeal under the SCH business rules from such a proceeding;

'disciplining', in relation to a person in the person's capacity as an SCH participant, includes, but is not limited to, taking action that has the effect of revoking or suspending the person's status as an SCH participant.

Approval of securities clearing house

"779B.(1) A body corporate may apply to the Commission in writing for approval by the Minister as the securities clearing house.

"(2) Subject to section 102A, if a body so applies, the Minister may by writing approve the body as the securities clearing house if, and only if, he or she is satisfied that:

  (a) the body's business rules:

       (i) include satisfactory provisions about:

             (A) the facilities that the body proposes to provide for the settlement of transactions involving quoted securities or quoted rights; and

             (B)     the facilities that the body proposes to provide for the registration of transfers (within the meaning of Division 3 of Part 7.13) of quoted securities or quoted rights; and

             (C)     any other facilities that the body proposes to provide (such as facilities in relation to dealings in quoted securities or quoted rights); and

         (ii) include satisfactory provisions about the disciplining of persons (being persons who will be SCH participants if the approval is given) who contravene the business rules or this Chapter; and

      (iii) are otherwise satisfactory; and

    (b) the interests of the public will be served by granting the application.

"(3) An approval comes into force on the day specified in the instrument giving the approval, being the day on which the approval is given or a later day.

"(4) In exercising his or her powers under subsection (2), the Minister must ensure that no more than one approval is in force at any particular time.

"(5) The Commission must cause a copy of an instrument under this section to be published in the Gazette.

Commission to be notified of amendments of business rules

"779C.(1) As soon as practicable after the SCH business rules are amended (whether by way of rescission, alteration or addition), the securities clearing house must give written notice of the amendment to the Commission.

  "(2) A notice must:

  (a)     set out the text of the amendment; and

  (b)     specify the day on which the amendment was made; and

  (c)     explain the purpose of