9.1 CDP May Suspend or Restrict Clearing, Settlement and Depository Activities
CDP may suspend or restrict the membership of any Clearing Member, or the clearing and settlement of Exchange Trades in general or in particular, or the clearing and settlement of the Exchange Trades of, or the execution of transactions (including those in respect of depository activities) by, any Clearing Member for such duration as it sees fit if in the opinion of CDP:—(1) the functioning of CDP is or is likely to be impaired by any event or circumstance;(2) such action is in the general interest of CDP and/or its Clearing Members; or(3) in respect of a Clearing Member, an Event of Default has occurred in respect of that Clearing Member.
Amended on 6 September 2021.
Without prejudice to Rule 9.1.1, CDP may also take such other action as it may deem necessary or appropriate in the interests of CDP and/or its Clearing Members, or for the protection of CDP with respect to the Novated Contracts to which a Defaulting Clearing Member is a party, at the Defaulting Clearing Member's expense and if appropriate, in its name.
CDP may also request SGX-ST to suspend the Clearing Member from further trading on SGX-ST and/or notify any other Exchange of any action or proceedings taken against the Clearing Member.
If any Clearing Member shall be ordered to wind up, or proceedings for the voluntary or involuntary liquidation of the affairs of the Clearing Member be commenced, or a composition with the creditors of the Clearing Member under the provisions of any law or regulation relating to bankruptcy or insolvency be entered into under the laws of any jurisdiction, or if the Clearing Member, not being an Exempt Person, ceases to hold a valid Capital Markets Services Licence under the SFA, or ceases to be authorized to conduct banking business in Singapore pursuant to section 4 of the Banking Act 1970, the Clearing Member shall be deemed to have been automatically suspended.