ORDER I.O OF THE MINISTER OF NATIONAL ECONOMY OF THE REPUBLIC OF KAZAKHSTAN

of March 27, 2015 No. 251

About approval of Rules of forming and use of warranty and insurance funds

According to subitem 3-4) of article 4 of the Law of the Republic of Kazakhstan of May 4, 2009 "About commodity exchanges" PRIKAZYVAYU:

1. Approve the enclosed Rules of forming and use of warranty and insurance funds.

2. To provide to department of regulation of trading activity of the Ministry of national economy of the Republic of Kazakhstan:

1) state registration of this order in the Ministry of Justice of the Republic of Kazakhstan;

2) within ten calendar days after state registration of this order in the Ministry of Justice of the Republic of Kazakhstan its direction on official publication in periodic printing editions and in information system of law of Ad_let;

3) publication of this order on official Internet resource of the Ministry of national economy of the Republic of Kazakhstan.

3. To impose control of execution of this order on the supervising vice-minister of national economy of the Republic of Kazakhstan.

4. This order becomes effective after ten calendar days after day of its first official publication.

Approved by the Order of the Acting minister of national economy of the Republic of Kazakhstan of March 27, 2015 No. 251

Rules of forming and use of warranty and insurance funds

Chapter 1. General provisions

1. These rules of forming and use of warranty and insurance funds (further - Rules) are developed according to subitem 3-4) of article 4 of the Law of the Republic of Kazakhstan of May 4, 2009 "About commodity exchanges" (further - the Law) and establish procedure for forming and use of warranty and insurance funds.

2. In these rules the following concepts and determinations are used:

1) guarantee fund - the cash fund created by the exchange at the expense of own means for the purpose of ensuring execution of the bargains concluded at the exchange;

2) clearing center of commodity exchange - the independent clearing organization with which the commodity exchange signed the agreement on clearing servicing;

3) insurance fund - the cash fund created by the exchange and (or) its clearing center at the expense of compulsory contributions of members of the exchange for the purpose of ensuring execution of the bargains concluded at the exchange;

4) commodity exchange - the legal entity created in form of business of joint-stock company, performing organizational and technical supply of the biddings by their direct carrying out with use of trade system of commodity exchange.

3. For the period of the activities for the organization of stock exchange trading commodity exchange for the purpose of taking measures to decrease in risks of non-execution of stock exchange transactions:

1) within ten working days from the date of receipt of the license for occupation activities of commodity exchanges is created by guarantee fund;

2) from the date of acceptance of the first member of commodity exchange is created by insurance fund independently, or together with clearing center, or charges its forming to clearing center.

4. Means of insurance and warranty funds are considered on separate accounts on balance of commodity exchange and (or) clearing center of commodity exchange.

Information on the current size of warranty and insurance funds is published on own Internet resource of commodity exchange.

Chapter 2. Procedure for forming of guarantee fund

5. The guarantee fund is created by commodity exchange by own money in the size established by it determined taking into account risks assessment by the goods markets serviced by commodity exchange proceeding from indicators of their current quantitative and cash turnovers.

6. Sources of forming of guarantee fund is the money which arrived as payment of shares of commodity exchange and (or) by the profit of commodity exchange and other receipts which are not prohibited by the Law.

7. Means of guarantee fund are subject to accounting on the separate bank account of commodity exchange in the form of not reduced remaining balance, for the entire period of activities of commodity exchange.

Chapter 3. Procedure for forming of insurance fund

8. The insurance fund is created at the expense of compulsory contributions of members of commodity exchange.

9. The insurance fund is created in cash type and considered in the form of not reduced remaining balance on the separate bank account of commodity exchange.

The insurance fund is created during action of the license for the right of implementation of activities of commodity exchange.

10. Means of insurance fund are subject to accounting on the separate bank account of commodity exchange or clearing center of commodity exchange.

Means of insurance fund are subject to return to members of commodity exchange according to their statement in case of their exit from members of commodity exchange and on condition of lack at them of debt to commodity exchange and (or) clearing center of commodity exchange, and also to the stock exchange transactions performed with the assistance of commodity exchange and (or) clearing center of commodity exchange.

Chapter 4. Procedure for use of warranty and insurance funds

11. Warranty and insurance funds are urged to compensate risk of loss by commodity exchange and (or) clearing center of liquidity in case of non-execution by bidders of the monetary commitments on the concluded stock exchange transactions.

12. Means of warranty and insurance funds are subject to use in the following procedure:

1) in case of realization of those risks for which covering insurance and warranty funds are created by the commodity exchange makes the decision on their use;

2) fund is used only for covering of losses (except for lost profit) affected party according to the bargain concluded at commodity exchange;

3) the amount of the fund used for covering of losses on one stock exchange transaction does not exceed the size established by domestic situations of commodity exchange and, anyway, does not exceed total assets of this fund.

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info