Related provisions for INSPRU 1.5.4
Schedule to the Recognition Requirements Regulations, Paragraph 8
2(1) |
The [UK RIE] must have - |
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(a) |
effective arrangements (which include the monitoring of transactions effected on the [UK RIE]) for monitoring and enforcing compliance with its rules, including rules in relation to the provision of clearing services in respect of transactions other than transactions effected on the [UK RIE]); |
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(b) |
effective arrangements for monitoring and enforcing compliance with the arrangements made by it as mentioned in paragraph 4(2)(d); and |
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(c) |
effective arrangements for monitoring transactions effected on the [UK RIE] in order to identify disorderly trading conditions. |
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(2) |
Arrangements made pursuant to sub-paragraph (1) must include procedures for - |
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(a) |
investigating complaints made to the [UK RIE] about the conduct ofpersonsin the course of using the [UK RIE's ] facilities; and |
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(b) |
the fair, independent and impartial resolution of appeals against decisions of the [UK RIE]. |
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(3) |
Where arrangements made pursuant to sub-paragraph (1) include provision for requiring the payment of financial penalties, they must include arrangements for ensuring that any amount so paid is applied only in one or more of the following ways - |
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(a) |
towards meeting expenses incurred by the [UK RIE] in the course of the investigation of the breach in respect of which the penalty is paid, or in the course of any appeal against the decision of the [UK RIE] in relation to that breach; |
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(b) |
for the benefit of users of the [UK RIE's ] facilities; |
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(c) |
for charitable purposes. |
Schedule to the Recognition Requirements Regulations, Paragraph 9
2(1) |
The [UK RIE] must have effective arrangements for the investigation and resolution of complaints arising in connection with the performance of, or failure to perform, any of itsregulatory functions. |
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(2) |
But sub-paragraph (1) does not extend to - |
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(a) |
complaints about the content of rules made by the [UK RIE], or |
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(b) |
complaints about a decision against which the complainant has the right to appeal under procedures of the kind mentioned in paragraph 8(2)(b). |
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(3) |
The arrangements must include arrangements for a complaint to be fairly and impartially investigated by apersonindependent of the [UK RIE], and for him to report on the result of his investigation to the [UK RIE] and to the complainant. |
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(4) |
The arrangements must confer on thepersonmentioned in sub-paragraph (3) the power to recommend, if he thinks appropriate, that the [UK RIE] - |
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(a) |
makes a compensatory payment to the complainant, |
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(b) |
remedies the matter complained of, |
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or takes both of those steps. |
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(5) |
Sub-paragraph (3) is not to be taken as preventing the [UK RIE] from making arrangements for the initial investigation of a complaint to be conducted by the [UK RIE]. |
Schedule to the Recognition Requirements Regulations, Paragraph 4(2)(d)
[Note: This sub-paragraph is relevant to regulated markets only. See REC 2.16A regarding MTFs or OTFs.]4 |
2Without prejudice to the generality of sub-paragraph [4(1)], the [UK RIE] must ensure that - |
satisfactory arrangements which comply with paragraph 7D are made for securing the timely discharge (whether by performance, compromise or otherwise) of the rights and liabilities of the parties to transactions effected on the [UK RIE] (being rights and liabilities in relation to those transactions); |
[Note: article 29 of MiFIR and MiFID RTS 26 contain requirements for the clearing of derivative transactions for operators of regulated markets]4
Schedule to the Recognition Requirements Regulations, Paragraph 7D
2(1) |
The rules of the [UK RIE] must permit a user or member of a regulated market operated by it to use whatever settlement facility he chooses for a transaction. |
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(2) |
Sub-paragraph (1) only applies where - |
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(a) |
such links and arrangements exist between the chosen settlement facility and any other settlement facility as are necessary to ensure the efficient and economic settlement of the transaction; and |
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(b) |
the [UK RIE] is satisfied that the smooth and orderly functioning of the financial markets will be maintained. |
Schedule to the Recognition Requirements Regulations, Paragraph 4(2)(f)
2Without prejudice to the generality of sub-paragraph [4(1)], the [UK RIE] must ensure that- |
appropriate measures (including the monitoring of transactions effected on the [UK RIE]) are adopted to reduce the extent to which the [UK RIE's ]facilities can be used for a purpose connected withmarket abuse orfinancial crime, and to facilitate their detection and monitor their incidence; |