People's Republic of China promulgated by Decree No. 522
The supervision and regulation of the securities firm Executive meeting of the State Council on April 23, 2008 the 6th pass, are hereby promulgated and take effect on June 1, 2008.
Prime Minister Wen Jiabao
The April 23, 2008
Regulations on supervision and management of securities companies
Chapter I General provisions
First in order to strengthen the supervision and management of securities firms and regulate the behavior of securities companies and guard against risks of securities companies, and protect the legitimate rights and interests of customers and the public interest, promote the healthy development of the securities industry, according to the People's Republic of China Act (hereinafter the Act), the People's Republic of China Securities Law (hereinafter referred to as the Securities Act), this Ordinance is enacted.
Second securities company shall abide by the laws, administrative regulations and the securities regulatory body under the State Council, prudential operation, fulfilling credit obligations to the customer.
Third securities company's shareholders and actual controllers may not abuse its right, take up securities and assets of the company or client, damage the lawful rights and interests of securities company or client.
Fourth State to encourage securities companies on the premise of effective control of the risk, carry out management innovation, business or product innovation, organizational innovation and the innovation of incentive and constraint mechanism.
Securities regulatory authority under the State Council and the State Council departments concerned should adopt effective measures to promote innovative activities of a securities company regulated and orderly conduct.
Fifth securities company in accordance with State regulations, distribution, trading and sale of securities and financial products. Sixth the State Council securities regulatory body shall perform the duty of supervision and management of securities companies.
Agency of the securities regulatory authority under the State Council within the scope authorized by the securities regulatory authority under the State Council, fulfill their duties of supervision and management of the securities company.
Seventh securities regulatory authority under the State Council and the people's Bank of China, other financial regulatory authority under the State Council shall set up a securities company supervision and management mechanism of information sharing.
The State Council securities regulatory agencies and local people's Governments shall establish a securities firm informed the mechanism.
Chapter II establishment and alteration
Eighth establishment of a securities company, the company law and the securities law should be met and the conditions prescribed in these regulations, and approved by the securities regulatory authority under the State Council. Nineth securities company's shareholders should be monetary or non-monetary property necessary for the operation of securities companies financed.
Securities companies pay shareholders non-monetary property not exceeding in total securities company with registered capital of 30%.
Securities shareholders ' capital contribution shall be subject to securities and futures-related business verification and certification of qualified accountants firm; funding of non-monetary assets shall be subject to securities related qualification assessment of asset evaluation agencies.
In the process of a securities firm, the securities firm's creditors will be converted into shares of securities companies, and not be restricted by the provisions of the first paragraph of this article.
Tenth unit or individual under any of the following circumstances, it shall not be a securities firm 5% more of the equity interest of shareholders and actual controllers:
(A) for an intentional crime is sentenced, and completion of penalty is not more than 3 years;
(B) the net assets below the paid-up capital of 50%, or contingent liabilities net assets reached 50%;
(C) unable to repay debts;
(D) other cases identified by the securities regulatory authority under the State Council.
Other shareholders of the Corporation shall comply with the requirements of the securities regulatory authority under the State Council.
11th securities companies in the securities industry should have 3 or more senior managers senior managers under 2 years of age.
12th article securities company established Shi, its business range should and its financial status, and internal control system, and collection rules system and human resources status phase adapted; securities company in business process in the, by its application, state securities supervision management institutions can according to its financial status, and internal control level, and collection rules degree, and senior management personnel business management capacity, and professionals number, on its business range for adjustment.
13th securities company changes its registered capital, business scope, important terms in the form or the articles of incorporation of the company, merger, Division, set up, acquire or annul domestic branches, change the place of domestic branches, set up, acquisitions, equity participation in overseas securities institutions shall be subject to approval by the securities regulatory authority under the State Council.
Important terms in the articles referred to in the preceding paragraph, refers to the provisions of the following articles:
(A) name and domicile of the securities company;
(B) the Organization and formation of a securities company, terms of reference and the rules of procedure;
(C) foreign investment, foreign securities companies to provide security type, amount and internal approval processes;
(D) the causes for its dissolution and the method for its liquidation of securities;
(E) request the securities the securities regulatory authority under the State Council as specified in the articles of other matters.
Branches of securities companies referred to in the first paragraph of this article refers to engage in business activities of branch, securities and other securities the non-corporate units of the Corporation.
14th no units or individuals shall have any of the following circumstances, shall inform the securities firms, reported by the securities firm approved by the securities regulatory authority under the State Council:
(A) the subscription or the stock after the company's stock, its stake up to stock company with registered capital of 5%;
(B) to holdings of securities by the company shareholders ' equity or other means, control stock 5% per cent stake in the company. Without the approval of the securities regulatory authority under the State Council, no units or individuals may delegate or accept the entrusted securities company to hold or manage ownership.
Shareholders shall not be in violation of State regulations of securities companies, agreed not to exercise voting rights in proportion to the amount.
15th securities firm merger, Division, involving customer's material assets transfer of rights shall be subject to a valuation of the securities related qualification assessment.
Securities firms out of business, dissolution or bankruptcy, shall be subject to approval by the securities regulatory authority under the State Council, and placed customer, in accordance with the relevant provisions dealing with unfinished business.
16th securities regulatory authority under the State Council shall review the following application, and within the following time limits, to approve or not to approve the decision in writing:
(A) within the establishment of securities companies or overseas, acquisitions or equity participation securities institutions apply 6 months from the date of acceptance;
(B) changes of registered capital, merger, Division or an application for the review of the qualification of the shareholder, actual control, 3 months from the date of acceptance;
(Iii) on change of scope of business, companies, company articles of important terms or of an application to review the qualifications for senior managers, 45 business days from the date of acceptance;
(D) branches within to the establishment, acquisition, dissolution, change the place of domestic branches, or go out of business, dissolution, bankruptcy application, 30 working days from the date of acceptance;
(E) requested a review of the directors, supervisors, heads of domestic branch application for qualification and 20 working days from the date of acceptance.
Approval of the securities regulatory authority under the State Council and its applications for setting up branches of securities companies should consider the needs of securities market development and fair competition.
17th the company registration authority shall, in accordance with the provisions of laws and administrative regulations, with the approval by the securities regulatory authority under the State Council document, handling securities company and the registration of establishment, change and nullification of the domestic branch. Securities firms made the company registration authority issued or renewed after the securities firm or branch in the territory of the business license, shall apply to the securities regulatory authority under the State Council issued or renewal of permit to operate securities business.
A securities business license shall specify the securities company or branch in the territory of the securities business.
Has not obtained the permit to operate securities business, securities firm and its branches shall not operate securities business in the territory.
Securities companies to stop all of the securities business, dissolution, bankruptcy or cancellation of domestic branches, shall be specified by the securities regulatory authority under the State Council press bulletin, and in accordance with the provisions of a securities business license cancellation the securities regulatory authority under the State Council.
Chapter organization
18th securities companies shall, in accordance with the Act, the provisions of the Securities Act and the regulations, establish and improve the Organization and clear decision-making, implementation, oversight body's terms of reference. 19th securities may have an independent Director of the company.
Independent Director of a securities company, no Board of Directors positions in our securities company shall be subject to the securities company that may block them to make independent, objective judgment.
20th securities firm engaged in securities brokerage, securities and asset management business, financing services and securities underwriting and sponsorship business in two or more business, its Board of Directors shall set compensation and Nominating Committee, the Audit Committee and risk management committee, exercise of the powers provided for in articles.
Stock based remuneration and Nomination Committee of the Board, the Audit Committee of the company, the Committee headed by independent directors. Secretary of the Board of Directors of 21st securities company, responsible for the shareholders and Board of Directors meeting preparation, document storage, and shareholder information management, in accordance with the regulations or in accordance with the securities regulatory institutions, shareholders and other relevant units or individual requirements, provide the relevant information in accordance with law, for the submission of information or information disclosure.
Secretary of the Board of Directors for senior managers of securities firms.
22nd the securities firm exercise of securities company management the terms of reference of bodies established, should be specified in the articles of its name, composition, functions and rules of procedure, the Agency member of the senior management personnel of securities companies. 23rd security company head of compliance of securities company management behavior legal compliance review, monitor or check. Head of compliance for the senior management personnel of securities companies, appointed by the Board, and shall be approved by the securities regulatory body under the State Council.
Head of compliance may not be who is responsible for the operation and management of the securities firm positions.
Head of compliance violation found, shall report to the Agency provided for in articles, in accordance with the provisions of the State Council securities regulatory authority or self-regulatory organization reports.
Securities firm fired compliance Chief, should be justified, and within 3 working days since the date of the dismissal dismissal of facts and reasons for a written report to the State Council securities regulatory body.
24th the securities firm's directors, supervisors and senior managers and heads of branches in the territory should be obtained before the term qualification approved by the securities regulatory authority under the State Council.
Securities companies shall not be appointed, elected without obtaining the qualification of staff for posts provided for in the preceding paragraph has been appointed, elected, resolutions, decisions on appointment, appointment is not valid.
25th securities company's outgoing legal representative or senior managers, securities companies should be audited, and since his ouster within 2 months from the date of the audit report submitted to the securities regulatory authority under the State Council securities or of the legal representative of the company in charge of the management of outgoing, should be employed with securities and futures-related business qualifications of certified public accountants to audit it.
Audit report under the preceding paragraph is not submitted to the securities regulatory authority under the State Council, the departing personnel shall not in any other securities companies.
The fourth chapter of business rules and risk control
Section I General provisions
26th a securities firm and its affiliates engaged in the securities law in 125th of the securities provided for in article shall comply with the provisions of the Securities Act and the regulations.
Securities of the company and its domestic subsidiaries operations shall be subject to approval by the securities regulatory authority under the State Council shall operate the business without approval.
2 more securities companies governed by the same unit and individual control or control relationship exists between shall operate the same business, but unless it is otherwise provided for by the securities regulatory authority under the State Council.
27th securities companies shall, in accordance with the principle of prudent operation, establish and improve risk management and internal control systems to prevent and control risks.
Securities companies should be centralized and unified management of branches shall be subject to other joint ventures, cooperative management branch or branch management contract, lease or delegate to others. 28th the securities firm commissioned by the securities registration and clearing institution, for customers to open a securities account, securities account shall, in accordance with regulations, the authenticity of customer names reporting and review.
The same customer opening a capital account and securities account name or title should be the same.
Securities companies for asset management customer open a securities account shall, within 3 days from the date of account opening the stock exchange filing.
Securities companies may not use customer Fund accounts, securities accounts for others to use. 29th the securities firm engaged in securities and asset management businesses, financing business, sell securities and financial products, shall, in accordance with the prescribed procedures, understand the customer's identity, property and income, securities investment experience and risk preference and be documented, preserved in written and electronic form. Securities companies should be based on understanding customers recommend appropriate products or services.
Specific rules set by the Securities Association of China. 30th securities companies to enter into securities transactions with customers entrust, securities and asset management, financing and other business contracts, shall designate in advance to the customer explaining the relevant business rules and contracts, and risk disclosure letter handed over to the customer for signature confirmation.
Business contract essential terms and risk disclosure of standard format, developed by the Securities Association of China, and submitted to the securities regulatory authority under the State Council for the record. 31st securities firm engaged in securities and asset management businesses, financing operations shall be prepared in accordance with the provisions of the Bill, send customers monthly.
Securities company and the customer statements submitted to time or otherwise, their agreement shall prevail.
32nd securities company information system should be established, to ensure that customers in the securities company business hours feel free to query its principal records, transactions, securities and fund balances, as well as securities company business manager and broker name, certificate number of practising certificates, securities brokers and other information. Customers find information about records and reality, complaints to the securities or the securities regulatory authority under the State Council. Securities companies shall designate authorities responsible for dealing with customer complaints.
Securities regulatory authority under the State Council shall, in accordance with the customer's complaints and take appropriate measures.
33rd securities companies shall not violate the provisions of other units or individuals to attract customer, customer service and product sales.
34th securities company provides investment advice to clients, may not rise on stock price or market trends to make definitive judgments.
Securities companies and their employees shall not provide investment advice to customers to seek illegitimate interests.
35th securities firm shall establish and implement an effective management system to prevent its employees directly or with a pseudonym, holding, buying and selling stocks on behalf of others, and receive gifts of stock.
36th securities companies shall, in accordance with the provisions of the General risk reserve to cover operating losses.
Section II of the securities brokerage business 37th securities firm engaged in securities brokerage business, it should be on a customer's account in the review of the adequacy of the funds and securities.
Customer account funds of funds and shall not accept them delegate; insufficient securities in customer securities accounts, it cannot accept selling delegate. 38th securities firm engaged in securities brokerage, may appoint security personnel outside the company as a securities broker, agent to attract customer, customer services and other activities.
Securities broker shall have the securities practice qualification.
Securities firm signed a contract with commissioned broker, securities broker certificate issued, a clear mandate to broker, and to supervise the practice of securities broker.
Securities brokers shall, within the mandate of the Corporation is engaged in the business and securities broker certificate should be presented to the customer.
39th securities brokers shall comply with the regulations of securities companies in China, which acts within the mandate of the Corporation, by securities companies shall bear the corresponding legal responsibility beyond the scope of authorized securities brokers shall bear the corresponding legal responsibility.
Securities brokers can only accept a delegate for a securities company, to attract customer, customer services and other activities.
Securities brokers shall not for customers, trading securities and so on.
40th securities company charge for the costs for securities transaction, shall conform to the relevant regulations of the State, and fees, the fees in place of prominent position in their publicity.
Section III in securities business
41st securities firm engaged in securities business, trading in accordance with public offer of stocks, bonds, warrants, investment funds or other securities approved by the securities regulatory authority under the State Council.
42nd securities firm engaged in securities business, securities accounts should use real name.
The securities accounts with securities companies shall, within 3 days from the date of account opening the stock exchange filing.
43rd securities firm engaged in securities business shall not be any of the following acts:
(A) purchase of the contravention of the securities company's controlling shareholder, or with other stakes in securities companies securities of the issuer;
(B) the contravention commissioned others to trade in securities;
(C) the use of insider information to purchase or sell securities or stock market manipulation;
(D) the laws, regulations or other acts prohibited by the securities regulatory authority under the State Council.
44th securities firm engaged in securities business, import value and net capital ratio, hold a stock value and net capital ratio, holding a stock of quantity and risk control indicators such as the proportion of the total securities issue should be consistent with the provisions of the securities regulatory authority under the State Council.
Fourth quarter asset management business 45th securities companies may, in accordance with the Securities Act and the provisions of this Ordinance, in accepting the customer's delegate, using client assets for investment in securities and asset management businesses.
Investment income enjoyed by the customers arising out of losses borne by the customer, the securities companies can charge a management fee as agreed.
Securities firm engaged in securities and asset management business, portfolio management contract with the customer, prescribe a period for investment, investment, management and administrative expenses and so on.
46th securities firm engaged in securities and asset management businesses, may not be any of the following acts:
(A) assure clients of its principal assets from loss or guaranteed minimum revenue commitment;
(B) single of accepts a customer delegate asset value below the minimum limit prescribed by the securities regulatory authority under the State Council;
(C) use unnecessary customer asset-backed securities transactions;
(D) securities accounts and asset management accounts or transactions between different asset management accounts, and there is no sufficient evidence to prove that is by law the achievement of effective isolation;
(E) the laws, regulations or other acts prohibited by the securities regulatory authority under the State Council.
47th securities companies use multiple clients ' assets for collective investment, or use special client assets invested in specific target product shall comply with the relevant provisions of the securities regulatory authority under the State Council, and submitted to the approval of the securities regulatory authority under the State Council.
Securities regulatory authority under the State Council shall, within 2 months from the date of acceptance of the application, to the matters prescribed in the preceding paragraph to approve or not to approve the decision in writing.
Fifth quarter margin business
48th article of the Ordinance said margin financing business, refers to the stock exchange or other stock exchange approved by the State Council's securities trading, securities company to lend money for its customers to buy securities or lending securities for sell, and corresponding collateral deposited by the customer's business activities.
49th securities companies engaged in financing business, shall meet the following conditions:
(A) the Securities and corporate governance structure is sound and effective internal controls;
(B) risk controlled indices comply with the requirements of financial status, compliance in good condition;
(C) operating margin required for business professionals, technical conditions, funds or securities;
(D) good margin business management system and implementation of the programme;
(E) other requirements as prescribed by the securities regulatory authority under the State Council. 50th securities companies engaged in financing business should be margin contracts with customers, and in accordance with the provisions of the securities regulatory authority under the State Council, the securities firm, on behalf of the securities registration and clearing institutions opening client securities collateral account, open a customer funds guarantee account in the designated commercial banks.
Customer funds guarantee funds in the account shall be referred to the provisions of section 57th management.
In the securities account in the name of the company securities collateral account and customer funds guarantee account shall be individually for each customer to open credit accounts.
51st financing to customers of securities companies shall use their own funds or funds raised in accordance with law; margin to the customer, shall use their own stock or shall obtain the right of disposition of securities. At the 52nd to customer margin securities company, the customer shall deposit a percentage of the deposit.
Margin securities offset can be used.
Customer deposit of margin and margin trading to buy all the stock and sell all securities funds, were collateral for securities company, and shall be deposited into a customers ' securities collateral account or customer funds security account and credited to the customer's credit account. 53rd clients securities collateral account of securities and customer funds guarantee funds in the account to the trust property. Securities companies shall not breach of fiduciary obligations encroach on customers guarantee accounts in securities or funds.
Except as provided in this section 54th or of securities companies and agreed by the customer in accordance with circumstances, shall not use customer's guarantee of securities companies securities or funds in the account. 54th securities company shall be computed daily customer collateral value and its debt ratio. When this ratio is lower than the minimum guarantee maintenance when securities companies shall notify the customer within a certain deadline to pay the difference.
Customer fails to make enough difference, or expiration of outstanding margin debt, securities companies shall dispose of the collateral immediately in accordance with the contract.
55th customer in accordance with these regulations 52nd article deposited margin percentage of units authorized by the securities regulatory authority under the State Council.
Securities firms can thaw out your customers security and types of financial funds to buy securities, the types of securities that can be used to deposit and conversion rate, term of the financing, the minimum term of the guarantee maintenance ratio and pay the difference, stipulated by the stock exchange.
First and second paragraph of this article by an authorized organization or stock exchange regulations shall be made to the securities regulatory authority under the State Council for the record, and shall not violate the country's monetary policy. 56th securities companies engaged in financing business, its own shortage of funds or securities, securities finance companies to borrow.
Securities finance company established and dissolved by the decision of the State Council.
Fifth chapter the protection of clients ' assets
57th securities firm engaged in securities brokerage business, its customers ' transaction settlement funds shall be deposited in a designated commercial bank, in the name of each customer individually managed.
Designated commercial bank with securities companies and their customers sign customer transaction settlement funds depository contracts, agreed the customer's transaction settlement funds access, transfers, inquiries and other matters, and silver goods net of securities trading and settlement, dealing with request for securities company to open customer transaction settlement funds summary accounts. Access to a customer's transaction settlement funds, should be handled through designated commercial banks.
Specify that commercial banks should ensure that customers can always query the customer's transaction settlement funds balances and movements.
Specify a list of commercial banks by the State Council securities regulatory bodies in conjunction with the banking regulatory agency of the State Council and the announcements.
Article 58th securities firm engaged in securities and asset management businesses, customers entrusted assets should be referred to the 57th of the regulation provided in the fourth paragraph of designated commercial banks or other approved by the securities regulatory authority under the State Council an asset management agency managed.
Asset management agency of the securities regulatory authority under the State Council provisions and asset management of the contract, fulfilling security customer trust assets, handling receipt and payment matters, supervision of securities investment and other duties. 59th customer transaction settlement funds, securities and asset management clients entrusted assets belong to the customer, should be linked to securities companies, specifies commercial banks, independent asset management agency of its own assets and management.
Not due to customer's own debt, or other circumstances as stipulated by law, and no unit or individual is allowed to the customer's transaction settlement funds, entrusted assets apply for seizure, freezing or enforcement.
60th article except for the following cases, shall not use the client's transaction settlement funds or trust funds:
(A) the customer purchase, securities trading and settlement of securities or customer withdrawals;
(B) the customer paid with regard to the Securities and Exchange Commission, fees or taxes;
(C) other circumstances as stipulated by law. 61st securities companies are allowed to brokerage clients or portfolio management of customer assets to provide funding or guarantees.
No unit or individual is allowed to force or instigate, assist or accept securities for its brokerage clients or portfolio manage customer assets provide financing or guarantees.
62nd article specified commercial banks, and assets managed institutions and securities registration settlement institutions should on store in this institutions of customer of trading settlement funds, and delegate funds and customer guarantees account within of funds, and securities of use situation for supervision, and according to provides regularly to state securities supervision management institutions submitted customer of trading settlement funds, and delegate funds and customer guarantees account within of funds, and securities of save tube or use situation of about data. Specified commercial banks, and assets managed institutions and securities registration settlement institutions on beyond this Ordinance 53rd article, and 54th article, and 60th article provides of range, use customer of trading settlement funds, and delegate funds and customer guarantees account within of funds, and securities of application, and instruction, should refused to; found customer of trading settlement funds, and delegate funds and customer guarantees account within of funds, and securities was illegal use or has other exception situation of, should immediately to state securities supervision management institutions report,
And reported to the relevant regulatory authority.
Sixth chapter, supervision and management measures
63rd securities companies shall, within 4 months of the end of each fiscal year, to the securities regulatory authority under the State Council to submit its annual report within 7 working days since the date of the end of each month, and submit monthly reports.
Affecting or likely to affect the operation and management of the securities firm, financial status, risk control indicators or client assets of security events, the securities firm to the securities regulatory authority under the State Council shall immediately submit an interim report, indicating the cause of the incident, current status, possible consequences and the corresponding measures to be taken. 64th of securities companies ' annual report financial and accounting reports, risk control indicators report as well as other special reports stipulated by the securities regulatory authority under the State Council shall be subject to securities and futures-related business with qualified audit.
Securities companies ' annual reports shall be accompanied by the internal control review report issued by the accounting firm. Securities company directors, senior management of the securities companies ' annual reports should be signed to confirm comments management Chief and Chief Financial Officer monthly reports should be signed to confirm.
Sign the securities companies ' annual reports, monthly reports, officers should ensure that the content of the report is true, accurate and complete; the report content, you should indicate their opinions and reasons. 65th for securities companies to submit annual reports, monthly reports, audit the securities regulatory authority under the State Council shall designate and prepare the audit report. Audit staff shall sign the audit report.
Problems identified in the audit, the State Council securities regulatory body shall take appropriate measures in a timely manner.
Relevant bodies of the securities regulatory authority under the State Council shall submit the customer's transaction settlement funds, trust funds and secured accounts of clients funds in comparison, verification, security-related data, detect the illegal use of funds or stock. 66th securities company shall disclose to the public its basic information, equity and holdings, liabilities and contingent liabilities, business management, financial balances, pay for senior managers and other relevant information.
Specific measures shall be formulated by the securities regulatory authority under the State Council.
67th securities regulatory authority under the State Council may request the following units or individuals, within the period specified in the provision of securities company management and financial information, information relating to the State:
(A) securities the company and its directors, supervisors, and staff;
(B) the shareholder, actual control of the securities firm;
(C) securities companies holding or actual control of the enterprise;
(D) securities companies specified by the Bank, commercial banking, asset management, securities exchanges, securities registration and clearing institutions;
(E) securities trading service organizations that provide services for securities companies.
68th securities regulatory authority under the State Council has the right to take the following measures to the securities company's business activities, financial situation, management checks:
(A) ask the securities company's directors, supervisors, staff, requiring them to explain matters relating to check;
(B) into the Office or place of business of a securities company for inspection;
(C) inspect, copy and check documents and materials relating to matters which may be transferred, concealment or destruction of documents, materials and electronic equipment to be sealed;
(D) check the computer information management system of securities companies, copy the relevant data.
State securities regulatory agencies to identify the securities company's operations, financial position, approved by the head of the securities regulatory authority under the State Council, you can query the securities companies and the securities company has controlled or affiliated companies bank accounts of actual control.
69th securities companies as well as units and individuals to disclose, submit or provide information, the information shall be true, accurate and complete, and may not have any false record, misleading statement or material omission.
70th securities regulatory authority under the State Council on governance structure is not sound incomplete, internal controls, management confusion, set up a concealed accounts or accounts operate outside and refused to implement regulatory decisions, illegal securities companies should be ordered to rectify, and can take the following measures:
(A) order to increase the number of internal compliance checks and compliance inspection reports submitted;
(Ii) the securities firm and its directors, supervisors, senior management, head of domestic branches give a reprimand;
(C) order to dispose of their responsibilities, and report the results;
(D) the order of change of Directors, supervisors and senior managers or restricting their rights;
(E) to temporarily take over the securities firm and comprehensive verification;
(F) to suspend the securities company or its branch offices in the territory of in part or in whole, ordered withdrawal of domestic branch of business.
Securities companies were suspended, ordered withdrawal of domestic branch of business, customer shall be placed in accordance with the relevant provisions, dealing with unfinished business.
Violations of the securities companies, compliance Chief have to perform halt and report responsibilities, is exempt from liability.
71st no unit or individual may, without the approval or effective control over 5% shares of securities companies, securities regulatory authority under the State Council shall order it to correct within; before the correct, corresponding equity does not have the right to vote.
72nd anyone without qualifications, practical exercise of the directors, supervisors, senior managers or heads of branches in the territory and powers, securities regulatory authority under the State Council shall order it to stop the exercise of authority, shall be published, and can be taken in accordance with the provisions of the securities market into the measure.
73rd securities company board directors, supervisors and senior management officers or heads of branches in the territory no longer meets the qualifications, securities companies should be removed from Office and reporting to the securities regulatory authority under the State Council securities company is not removed from Office, securities regulatory authority under the State Council shall order it to lift.
74th securities firms to hire or dismiss the accounting firm shall, within 3 working days from the date of the decision reported to the securities regulatory authority under the State Council for the record; dismissed the accounting firm shall state the reasons.
75th public accounting firm audit of securities companies or their associated personnel, can be read, copied, and audit matters relating to customer information or other relevant documents and information of securities companies, and be usable under the respective securities company computer information management system data. Accounting firms should be confidential the information confidential.
Except as otherwise provided in laws and administrative regulations.
76th Stock Exchange securities companies should be securities accounts and asset management account transactions monitored; abnormality was detected, should be dealt with promptly in accordance with trading rules and membership administration, and reporting to the securities regulatory authority under the State Council.
The seventh chapter legal liability
77th securities company, one of the following circumstances, in accordance with section 198th of the Securities Act are punishable:
(A) the appointment does not have the qualifications of the staff to be responsible heads of branches in the territory;
(B) is not in accordance with the decision of the securities regulatory authority under the State Council, disarmament no longer meets the qualifications for directors, supervisors and senior management personnel, the duties of the head of branch in the territory.
78th securities firm engaged in securities brokerage business, customer funds accept buying a delegate, or accept a lack of customer securities sold it to a delegate, in accordance with Article No. 205 of the provisions of the Securities Act.
79th securities company customer Fund accounts, securities accounts for others to use, in accordance with Article No. 208 of the provisions of the Securities Act.
80th securities company to induce customers to unnecessary security trading, or when engaged in securities and asset management businesses, using unnecessary customer asset-backed securities transactions, in accordance with the provisions of the Securities Act, No. 210.
81st securities company, one of the following circumstances, in accordance with the provisions of the Securities Act No. 219:
(A) the securities company or its branch offices in the territory beyond the scope of business approved by the securities regulatory authority under the State Council;
(B) unauthorized collection with multiple clients ' assets invested, or special clients ' assets invested in the specific target product.
82nd securities asset management companies in securities accounts and securities accounts or transactions between different asset management accounts, and there is no sufficient evidence to prove that is by law the achievement of effective quarantine, in accordance with the provisions of the Securities Act No. 220. 83rd securities companies violating the provisions of this Ordinance, any of the following circumstances shall be ordered to correct and given a warning, confiscate the illegal income and imposed illegal gains more than 1 time fined not more than 5 times; not less than 100,000 yuan of illegal income or the illegal income is punishable by fines of less than 100,000 yuan and 300,000 yuan in serious cases, suspension or revocation of its securities business license.
Managers directly responsible and other persons directly responsible, given a warning and a fine of 30,000 yuan and 100,000 yuan fine in serious cases, revocation of qualifications or the qualifications:
(A) in violation of regulations, entrust other unit or individual to attract customer, customer service, or product sales activities;
(B) to provide investment advice, advances and declines in stock prices or market developments make decisive judgments;
(C) the contravention commissioned others to trade in securities;
(D) engaging in securities business, securities and asset management business, investment or investment in violation of regulations;
(E) engaging in securities and asset management businesses, received a single customer entrusted assets worth less than the minimum limit. 84th securities companies violating the provisions of this Ordinance, any of the following circumstances shall be ordered to correct and given a warning, confiscate the illegal income and imposed illegal gains more than 1 time fined not more than 5 times; no illegal income or the illegal income is less than 30,000 yuan, fined 30,000 yuan and 300,000 yuan fine.
Managers directly responsible and other persons directly responsible for or and a warning, a fine of 30,000 yuan and 100,000 yuan in serious cases, revocation of qualifications or the qualifications:
(A) is not in accordance with the provisions of the outgoing legal representative or senior managers to audit and submit audit reports;
(B) joint venture and cooperation with others management branch or branch management contract, lease or delegate to others;
(C) not in accordance with the regulations on securities account or asset management in the client's securities account reported to the stock exchange for the record;
(D) not in accordance with the prescribed procedures to understand the customer's identity, property and income, securities investment experience and risk appetite;
(E) the recommended product or service not adapted to the situation with the understanding of customer;
(F) failing to designate contracts relating to business rules and explain to the customer content, and to reveal the investment risk in writing;
(VII) failing to business contracts with the customer, or are not signed with the customer's business terms provisions must be included in the contract;
(VIII) failing to prepare and send to the customer statements, or fails to provide for the establishment and effective implementation of information systems;
(I) is not in accordance with the provisions of the specified specialized departments dealing with customer complaints;
(10) not in accordance with the provisions of general risk;
(11) failing to store, manage the customer's transaction settlement funds, trust funds and clients guarantee funds and securities in the account;
(12) the hiring and dismissal of an accounting firm, failing to filing the securities regulatory authority under the State Council, dismissed the accounting firm did not explain the reasons.
85th securities companies did not comply with the requirements for customers to open accounts, shall be ordered to correct serious cases, a fine of 200,000 yuan and 500,000 yuan fine, and are directly responsible for the directors, senior management and other personnel, fined 10,000 yuan and 50,000 yuan fine. 86th article violates the provisions of this Ordinance, any of the following circumstances shall be ordered to correct and given a warning, confiscate the illegal income and imposed illegal gains more than 1 time fined not more than 5 times; no illegal income or the illegal income is less than 100,000 yuan, a fine of 100,000 Yuan or more than 600,000 yuan in fines in serious cases, revocation of business licenses.
Managers directly responsible and other persons directly responsible for warning and revocation of qualification or the qualification, and a fine of 30,000 yuan and 300,000 yuan of the following penalties:
(A) without approval, delegate or accept the entrusted securities company to hold or manage ownership, or subscription, or actually controlling shares in the securities company;
(B) securities company shareholder, actual control of force, incite, assist or accept securities firm to brokerage clients or portfolio manage customer assets provide financing or guarantees;
(C) securities companies and asset management agency, securities registration and clearing institution violates provisions using the customer's transaction settlement funds, trust funds and clients guarantee funds and securities in the account;
(D) the asset custodian, securities registration and clearing institution's against the rules to use trust funds and secured accounts of clients within the funds, securities be agreed, executing applications and instructions;
(V) asset custodian, securities registration and clearing institutions found that trust funds and customer security account funds and securities are illegal to use without reporting to the securities regulatory authority under the State Council. 87th designated commercial bank, one of the following circumstances, the securities regulatory body under the State Council shall order rectification, give a warning, confiscate the illegal income and imposed illegal gains more than 1 time fined not more than 5 times; no illegal income or the illegal income is less than 100,000 yuan, a fine of 100,000 Yuan or more than 600,000 yuan in fines.
Managers directly responsible and other persons directly responsible for warning and a fine of 30,000 yuan and 300,000 yuan of the following penalties:
(A) use customer transaction settlement funds of the contravention;
(B) for violating the rule using the customer's transaction settlement funds applications and instructions be agreed or implemented;
(C) customer's transaction settlement funds is illegal to use without reporting to the securities regulatory authority under the State Council.
Specify the behavior of commercial bank has stipulated in the preceding paragraph, if the circumstances are serious, by the securities regulatory authority under the State Council in conjunction with the banking regulatory agency of the State Council shall order it to suspend or terminate the customer's transaction settlement funds custody business; directly responsible in charge and other direct liable persons, can recommend the securities regulatory authority under the State Council shall punish the banking regulatory authority under the State Council.
88th in violation of the provisions of this Ordinance, any of the following circumstances shall be ordered to correct, given a warning and a fine of 30,000 yuan and 200,000 yuan fines; directly responsible and other persons directly responsible and give a warning, and may impose a fine of 30,000 Yuan:
(A) securities companies did not publicly disclose the information required in accordance with this section 66th, or public disclosure of information any false record, misleading statements or material omissions;
(B) securities companies holding or actual control of the business, asset management, securities services not in accordance with the provisions to the securities regulatory authority under the State Council submitted, provide relevant information and materials, or submitted to, the provision of information and materials a false record, misleading statement or material omission.
89th in violation of the provisions of this Ordinance, any of the following circumstances shall be ordered to correct and given a warning, confiscate the illegal income and imposed illegal income equivalent to a fine; no illegal income or the illegal income is less than 30,000 yuan, fined 30,000 yuan fines; serious cases, revocation of qualifications or the qualifications:
(A) compliance Chief is not in accordance with the provisions to the securities regulatory authority or self-regulatory organizations to report violations;
(B) securities broker securities broker certificate business was not presented to the customer;
(C) securities broker also accepts more than delegate of a securities company, to attract customer, customer services and other activities;
(D) securities brokers accept clients ' authorization, for customers and trading of securities.
90th securities violation charges, penalty shall be imposed by the competent departments.
The eighth chapter by-laws
91st securities firm engaged in securities business did not meet the section 26th paragraph, should be achieved within the period prescribed by the securities regulatory authority under the State Council requirements.
92nd of customers ' securities trading settlement funds deposit does not comply with this Ordinance section 57th, adjusting the securities regulatory authority under the State Council shall order the deadline.
Customers ' securities trading settlement funds depository shall achieved within 1 year from the date of commencement of this Ordinance requirements.
93rd approved by the securities regulatory authority under the State Council, securities companies to shareholders or borrowed other units in General debt after debt repayment order, specific measures formulated by the securities regulatory authority under the State Council.
94th foreign-invested securities company's business scope, the qualifications and the proportion of foreign shareholders, prescribed by the securities regulatory authority under the State Council, the State Council for approval. 95th overseas securities institutions in domestic securities business or establishment of the representative office shall be subject to approval by the securities regulatory authority under the State Council.
Specific measures shall be formulated by the securities regulatory authority under the State Council, the State Council for approval.
96th securities registration and clearing institution referred to in these regulations refers to the securities law section 155th securities registration and clearing institution. 97th article of the regulations come into force on June 1, 2008.
