Past version: Effective from 01 Jul 2016 to 09 Dec 2018
| Rule Violation | Whether composition may be offered | Composition Amount which may be Offered by CDP, where CDP has Determined the Clearing Member to be Liable | Mandatory minimum penalty imposable by the DC | |||
| Rule Chapter/Number | Brief Description of Rule | 1st Violation | 2nd Violation | 3rd Violation | ||
| Rule 5A — Position Accounts | ||||||
| 5A.1 | Separate Position Accounts and Position Account Designation | |||||
| 5A.1.1 | Clearing Member to maintain separate Position Accounts for each Customer or each group of joint Customers whose account is carried on the books of the Clearing Member. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.1.2 | Clearing Member to identify and designate each Position Account by the full name of the Customer(s) whose account is carried on the books of the Clearing Member and by a unique account code. | Compoundable | $500 | $1,000 | $2,000 | N.A. |
| 5A.2 | Reporting Requirements for Position Account | |||||
| 5A.2.1 | Clearing Member to report to CDP such information as CDP may require for each Position Account as soon as practicable. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.2.2 | Clearing Member to report to CDP any change in information previously reported to CDP for any Position Account as soon as practicable. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.3 | Allocation of trades to Position Accounts | |||||
| 5A.3.1 | Clearing member to allocate positions of each trade cleared by the Clearing Member for a Customer to that Customer's Position Account or in accordance with that Customer's instructions as soon as practicable. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.3.2 | Clearing Member to ensure conditions set out in Rules 5A.3.2(a) or (b) are satisfied in the case of any sub-allocation of positions from a Customer's Position Account to another Position Account. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.3.4 | Clearing Member to ensure that no trades are warehoused for more than 2 Market Days, unless under exceptional circumstances, where the Clearing Member must document the reasons for the extension of time. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.4 | Authorization of SGX-ST Trading Member to Maintain Position Accounts | |||||
| 5A.4.2 | Clearing Member who authorizes the Authorized Trading Member under Rule 5A.4.1(a) shall ensure that the Authorized Trading Member performs the obligations under Rules 5A.1 and 5A.2, as they apply to the Authorized Trading Member in respect of each Authorized Account. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.4.3 | The Clearing Member who authorizes the Authorized Trading Member under Rule 5A.4.1(b) shall ensure that the Authorized Trading Member performs the obligations under Rules 5A.1, 5A.2, 5A.3 and 5A.6, as they apply to the Authorized Trading Member in respect of each Authorized Account. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.4.4(a) | Clearing Member to give not less than 30 days' written notice to CDP of its intention to cease authorizing that Authorized Trading Member and the proposed date of cessation. | Compoundable | $500 | $1,000 | $2,000 | N.A. |
| 5A.4.4(b) | Clearing Member to satisfy CDP that it has taken, or will take, proper steps for the orderly clearing and settlement of the Authorized Trading Member's Exchange Trades. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
| 5A.4.4(c) | Clearing member to comply with any reasonable direction of CDP in relation to the orderly cessation of the authorization of the Authorized Trading Member. | Not compoundable | N.A. | N.A. | N.A. | $10,000 |
| 5A.5 | Position Accounts carrying positions for more than one beneficial owner | |||||
| 5A.5.1 | Clearing Member is to identify or make available to CDP the identity of any underlying beneficial owner and/or any controlling party of a Position Account, upon request by CDP within such time as CDP may require. | Not compoundable | N.A. | N.A. | N.A. | $10,000 |
| 5A.6 | Position Reconciliation | |||||
| 5A.6.1 | Clearing Member to ensure that positions in each Position Account maintained with CDP are accurate, and to rectify any discrepancy immediately. | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
Added on 1 July 20161 July 2016.