(1) The margins deposited, if in the form of marginable securities, shall be marked-to-market daily and Trading Members shall require their customers to top up their margin deposits to maintain the margins at the amounts prescribed by the OCC.

(2) Where a customer fails to pay the initial margin prescribed by the OCC, the Trading Member shall close off the customer's short position by 5.00 p.m. on the Market Day following the Options transaction date or on such later date as may be allowed by SGX-ST, upon such terms and conditions as the Trading Member may think fit, charging any loss arising therefrom (including commission and other costs) to the defaulting customer.

(3) Where a customer fails to top up his margin deposits after being requested to do so by a Trading Member, then the Trading Member shall be entitled, and shall, if directed by SGX-ST or the OCC, close off the short position at such time and upon such terms and conditions as it may think fit, charging any loss arising therefrom (including commission and other costs) to the defaulting customer.