Document ID: chunk:federal_register_of_legislation:C2005C00498:clause:1_821a
Version: federal_register_of_legislation:C2005C00498
Segment Type: clause
Provision Reference: sch 1 cl 821A
Character Range: 135825–137898

821A  General obligations

  A CS facility licensee must:
 (aa) to the extent that it is reasonably practicable to do so:
 (i) comply with standards determined under section 827D; and
 (ii) do all other things necessary to reduce systemic risk; and
 (a) to the extent that it is reasonably practicable to do so, do all things necessary to ensure that the facility's services are provided in a fair and effective way; and
 (b) comply with the conditions on the licence; and
 (c) have adequate arrangements (whether they involve a self‑regulatory structure or the appointment of an independent person or related entity) for supervising the facility, including arrangements for:
 (i) handling conflicts between the commercial interests of the licensee and the need for the licensee to ensure that the facility's services are provided in a fair and effective way; and
 (ii) enforcing compliance with the facility's operating rules; and
 (d) have sufficient resources (including financial, technological and human resources) to operate the facility properly and for the required supervisory arrangements to be provided; and
 (e) if the licensee is a foreign body corporate—be registered under Division 2 of Part 5B.2; and
 (f) if the licence was granted under subsection 824B(2) (overseas clearing and settlement facilities)—both:
 (i) remain authorised to operate a clearing and settlement facility in the foreign country in which the licensee's principal place of business is located; and
 (ii) get the Minister's approval under section 821F before that principal place of business becomes located in any other foreign country; and
 (g) if the licensee, or a holding company of the licensee, is a widely held market body (within the meaning of Division 1 of Part 7.4)—take all reasonable steps to ensure that an unacceptable control situation (within the meaning of that Division) does not exist in relation to the body; and
 (h) take all reasonable steps to ensure that no disqualified individual becomes, or remains, involved in the licensee (see Division 2 of Part 7.4).