Page:Clearing and Settlement Systems Ordinance (Cap. 584).pdf/9

CLEARING AND SETTLEMENT SYSTEMS ORDINANCE


 * (b) the estimated average value of transfer orders cleared or settled by the system in a normal business day;
 * (c) the estimated number of transfer orders cleared or settled by the system in a normal business day;
 * (d) the estimated number of participants of the system; and
 * (e) whether such system is linked to any designated system or any clearing and settlement system that is or is operated by a company recognized as a clearing house under section 37(1) of the Securities and Futures Ordinance (Cap. 571).

(5) If the Monetary Authority is minded to designate a clearing and settlement system under this section he shall—
 * (a) publish in the Gazette notice of his intention to designate the system, stating the grounds on which the designation is to be made; and
 * (b) allow such period as is specified in the notice, being a period of not less than 14 days, within which any system operator or settlement institution of the system may be heard, or may make representations, as to why the system should not be designated.

5. Revocation of designation

(1) The Monetary Authority may at any time, by notice published in the Gazette, revoke the designation of a designated system if—
 * (a) he is satisfied that the system is not a clearing and settlement system as is described in section 4(2); or
 * (b) the system has ceased to be or to be likely to become, in his opinion, a clearing and settlement system whose proper functioning is material to the monetary or financial stability of Hong Kong, or to the functioning of Hong Kong as an international financial centre, for the purposes of section 4(1).

(2) Not less than 14 days before revoking the designation of a designated system, the Monetary Authority shall by notice published in the Gazette give notice of his intention to revoke the designation and shall specify in the notice the grounds under subsection (1) on which he intends to do so; and any system operator or settlement institution of the designated system who so requests by notice in writing given to the Monetary Authority before the revocation takes effect shall be allowed an opportunity by the Monetary Authority to be heard or to make representations as to why the grounds for revocation specified in the notice given under this subsection have not been made out.