Section 109

The Authority shall require the operator of a self-regulating organisation to inform the Authority of the identity and any other subsequent changes of the persons who effectively direct the business and his operations before such changes are implemented.

The Authority shall refuse to approve any proposed changes if it appears to the Authority that there are grounds for believing that the person or persons proposed to direct the business and his operations pose a material threat to the sound and prudent management and qperation of the self-regulating organisation.

The operator of a self-regulating organisation must have the following organisational arrangements in place -

{a)

to identify clearly and manage the potential adverse consequences of any conflict of interest;

{b)

to be adequately equipped to manage the risks to which he is exposed, to implement appropriate arrangements and systems to identify all significant risks to his operation, and to put in place effective measures to mitigate those risks;

{c)

for the sound management of the technical operations of his systems, including the establishment of effective contingency arrangements to cope with risks of systems disruptions;