14.12.3 Action Against Defaulters

Past version: Effective up to 07 Oct 2018

(1) SGX-ST may declare a Trading Member to be a defaulter if, in its opinion, the Trading Member:—
(a) has failed, is unable, or unwilling, to fulfill its obligations to SGX-ST or its customers; or
(b) is apparently insolvent.
(2) A Trading Member that commits an act that may result in it being declared a defaulter under Rule 14.12.3(1) must inform SGX-ST immediately. A Trading Member against whom any such act is committed must also inform SGX-ST immediately.
(3) A Trading Member's access to markets established or operated by SGX-ST ceases if it is declared a defaulter. The access may be reinstated by SGX-ST. The Trading Member remains liable to SGX-ST, other Trading Members and its customers for all obligations incurred before its access ceased.
(4) SGX-ST will notify all Trading Members of the declaration of default and the reinstatement (if applicable).
(5) SGX-ST may allow an open transaction with a defaulter to be closed as SGX-ST directs.
(6) Action under this Rule is in addition to other actions which SGX-ST is entitled to take against the Trading Member.