2.8.6 Clearing Members' Other Obligations to Secure Bypass Privileges

Past version: Effective up to 14 Mar 2013

A Clearing Member shall also satisfy the following obligations in relation to Bypass Privileges:

(a) immediately notify the Exchange if there is any overtrading, as contemplated in Rule 3.4.10}(b), by any Customer granted Bypass Privileges;
(b) cause the Customer seeking Bypass Privileges to enter into a bypass undertaking in such form as prescribed by the Exchange*, unless the Customer is itself a Member; and

* Refer to Annex E — Bypass UndertakingAnnex E — Bypass Undertaking.
(c) appoint or cause the appointment of an external auditor to confirm in writing to the Exchange, at the point of seeking Bypass Privileges and on an annual basis that:
(i) the Customer seeking or granted Bypass Privileges meets the requirements set out in Rule 2.8.2 or 2.8.3(b) as the case may be; and
(ii) the Clearing Member meets the requirements set out in Rules 2.8.4(c), 2.8.5 and 2.8.6(a).