National Environmental Management Act, 1998 (107 of 1998)
R 385
Financial Markets Act, 2012 (Act No. 19 of 2012)Chapter VII : General Provisions Applicable to Market Infrastructures61. Carrying on of additional business |
| (1) | A market infrastructure may not conduct any additional business if to do so would create or increase systemic risk. |
[Section 61(1) substituted by section 290, item 43(a) of Schedule 4, of the Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), Notice No. 853, GG 41060, dated 22 August 2017 - effective 9 February 2018 (Notice R. 99, GG 41433, dated 9 February 2018)]
| (2) | A market infrastructure must consult the Authority prior to conducting any business, function or service not provided for under section 10, 30 or 50, that may— |
| (a) | adversely impact on the market infrastructure’s ability to meet or perform its regulated obligations or functions; or |
| (b) | give rise to a conflict of interest or perceived conflict of interest in respect of its regulatory oversight of authorised users, participants or clearing members, as the case may be. |
| (3) | The Authority may, if it considers that a business, function or service referred to in subsection (2) may— |
| (a) | impact on the regulated obligations or functions of a market infrastructure; or |
| (b) | give rise to a conflict of interest or perceived conflict of interest in respect of its regulatory oversight of authorised users, participants or clearing members, as the case may be, |
after consultation with the Prudential Authority and the South African Reserve Bank, make a determination specifying requirements in relation to the market infrastructure carrying on of such business, function or service.
[Section 61(3) substituted by section 290, items 43(b) and (c) of Schedule 4, of the Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), Notice No. 853, GG 41060, dated 22 August 2017 - effective 9 February 2018 (Notice R. 99, GG 41433, dated 9 February 2018)]
| (3A) | The Authority may not make a determination in terms of subsection (3) in respect of a particular market infrastructure unless— |
| (a) | a draft of the determination has been given to the market infrastructure; |
| (b) | the market infrastructure has had a reasonable period of at least 14 days to make submissions to the Authority about the matter; and |
| (c) | the Authority had regard to all submissions made to it in deciding whether or not to make the determination. |
[Section 61(3A) inserted by section 290, item 43(d) of Schedule 4, of the Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), Notice No. 853, GG 41060, dated 22 August 2017 - effective 9 February 2018 (Notice R. 99, GG 41433, dated 9 February 2018)]
| (3B) | If the Authority considers on reasonable grounds that it is necessary to make the determination urgently, it may do so without having complied, or complied fully, with subsection (3A). |
[Section 61(3B) inserted by section 290, item 43(d) of Schedule 4, of the Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), Notice No. 853, GG 41060, dated 22 August 2017 - effective 9 February 2018 (Notice R. 99, GG 41433, dated 9 February 2018)]
| (4) | The Authority must, within 14 days after making a determination in terms of subsection (3), give the market infrastructure a statement of its reasons for making a determination in terms of subsection (3), and a statement of the material facts on which the determination was made. |
[Section 61(4) substituted by section 290, item 43(e) of Schedule 4, of the Financial Sector Regulation Act, 2017 (Act No. 9 of 2017), Notice No. 853, GG 41060, dated 22 August 2017 - effective 9 February 2018 (Notice R. 99, GG 41433, dated 9 February 2018)]
