1964_COMMODITIES_TRADING_ORDINANCE — Page 33

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CAP. 2501

Commodities Trading

[1989 Ed.

(b) all withdrawals from the segregated account, the dates of such withdrawals, and the names of the clients on whose behalf the withdrawals are made; and

(c) such other particulars (if any) as the Commission may require. (6) Any dealer who

(a) without reasonable excuse, contravenes this section shall be guilty of an offence and shall be liable on conviction upon indictment to a fine of $10,000 and to imprisonment for 6 months;

(b) with intent to defraud, contravenes this section shall be guilty of an offence and shall be liable on conviction upon indictment to a fine $500,000 and to imprisonment for 5 years. (Amended 35 of 1982 s. 5)

47. Monies in segregated account not available

for payment of debts, etc.

(Amended 10 of 1989 s. 65)

(1) Except as otherwise provided in this Part, money held in a segregated account shall not be available for payment of the debts of a dealer or be liable to be paid or taken in execution under the order or process of any court.

(2) Any payment made in contravention of subsection (1) shall be void ab initio, and no person to whom the money is paid shall obtain any title to it.

48. Claims and liens on segregated accounts not affected

Nothing in this Part shall be construed as taking away or affecting any lawful claim or lien which any person has in respect of any money held in a segregated account or in respect of any money received for the purchase of futures contracts or from the sale of futures contracts before the money is paid into a segregated account.

49. Dealers to appoint auditors

(1) A dealer shall appoint an auditor to audit his accounts (including all segregated accounts required to be kept by the dealer under section 46), and, where for any reason the auditor ceases to act for the dealer, the dealer shall, as soon as practicable thereafter, appoint another auditor to replace him.

(2) An auditor is not eligible for appointment under subsection (1) if—

(a) where the dealer is an individual, he is an employee of the dealer

or is in the employment of any employee of the dealer;

(b) where the dealer is a corporation, he is a director or employee of the corporation or is in the employment of any director or employee of the corporation; or

(c) where the dealer is a firm, he is a partner or employee of the firm

or is in the employment of any partner or employee of the firm.

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