National Environmental Management Act, 1998 (107 of 1998)
R 385
Financial Markets Act, 2012 (Act No. 19 of 2012)RegulationsFinancial Markets Act RegulationsChapter VI : Central Counterparties16. Compliance function |
| (1) | A central counterparty must establish and maintain a permanent and effective compliance function under the direction of a chief compliance officer. |
| (2) | The compliance function must operate independently from the other functions of the central counterparty with the necessary authority, resources, expertise and access to all relevant information. |
| (3) | When establishing its compliance function, the central counterparty must take into account the nature, scale and complexity of its business, and the nature and range of the functions undertaken in the course of that business. |
| (4) | The compliance function must— |
| (a) | monitor and, on a regular basis, assess the adequacy and effectiveness of the measures put in place and the actions taken to address any deficiencies in the central counterparty’s compliance with its obligations; |
| (b) | administer the compliance policies and procedures established by senior management and the controlling body; |
| (c) | advise and assist the persons responsible for carrying out the central counterparty’s functions to comply with the central counterparty’s obligations under the Act, these Regulations and other regulatory requirements, where applicable; |
| (d) | report on a quarterly basis to the controlling body, and annually to the Authority on compliance by the central counterparty and its employees with the Act and these Regulations; |
| (e) | establish procedures for the effective remediation of instances of non-compliance; |
| (f) | ensure that the relevant persons involved in the compliance function are not involved in the performance of the services or activities they monitor and that any conflicts of interest of such persons are properly identified and eliminated. |
