58
CAP. 333]
Securities
[1989 Ed.
(c) a sale of securities by a stockbroker acting as principal when he acts as an odd lot specialist in accordance with the rules of the Exchange Company, being a sale made solely for the purpose of
(Amended 58 of 1985 s. 56)
(i) accepting an offer to purchase an odd lot of securities; or (ii) disposing of a parcel of securities that is less than one board lot of securities, by means of the sale of one board lot of those securities; or (Amended L.N. 57 of 1988)
(d) a sale of securities falling within a class of transaction prescribed
by regulations for the purposes of this paragraph.
81. Disposition of security documents
(1) Where securities that are not the property of a dealer (including an exempt dealer) and for which the dealer, or any nominee controlled by the dealer, is accountable are held for safe custody in Hong Kong, the dealer shall, subject to subsection (2), either cause the securities--
(a) (not being bearer securities) to be registered as soon as practicable in the name of the person to whom the dealer or nominee is accountable or in the name of the dealer's nominee; or (b) to be deposited in safe custody in a designated account with the dealer's bankers or with any other institution which provides facilities for the safe custody of documents to the satisfaction of the Commission.
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(2) The Commission may, on the application of a dealer in writing,
exempt the dealer from the provisions of subsection (1), but in granting the exemption may impose such conditions as it thinks fit.
(3) No dealer shall, without the specific authority in writing of the person to whom he is accountable, deposit any securities of which the dealer is not the owner as security for loans or advances made to the dealer or lend or otherwise part with the possession of any such securities for any purpose. (Replaced 62 of 1976 s. 22)
(4) An authority conferred under subsection (3) shall specify the period for which it is current, but shall not in any event, subject to subsection (5), remain in force for a period of more than 12 months.
(5) An authority conferred under subsection (3) may be renewed in writing for one or more further periods not exceeding 12 months at any one time.
(6) Any dealer who, without lawful authority or reasonable excuse, contravenes subsection (1) or (3) shall be guilty of an offence.
(7) Any person guilty of an offence under subsection (6) shall be liable on conviction-
(a) in the case of a contravention of subsection (1), to a fine of
$2,000; and