1.1 Rule 3.9.2A states that a Clearing Member who wishes to suspend its qualification of a Trading Member, shall notify CDP of its decision to suspend its qualification of that Trading Member, and comply with any reasonable direction of CDP in relation to the suspension of the qualification of the Trading Member's Exchange Trades.

1.2 Rule 3.9.3 states that the Clearing Member shall clear and settle all the Exchange Trades of the Trading Member which are done right up to the point when the Trading Member has been disabled from entering Exchange Trades to be qualified by the Clearing Member.

1.3 This Practice Note sets out the operational procedures that a Clearing Member should follow to notify CDP of its decision to suspend its qualification of a Trading Member.

2.1 Clearing Members shall at all times have at least two Designated Officers whose role is to notify CDP of the Clearing Member's decision to suspend a Trading Member.

2.2 For each Designated Officer, the Clearing Member shall submit to Market Control the Designated Officer's name, identification number, contact details, and a sealed envelop containing authentication information stipulated by Market Control. (For security reasons, the required authentication information will not be published in this Practice Note. Clearing Members are to contact Market Control regarding the required information.)

2.3 Clearing Members must promptly update Market Control of changes in Designated Officers, and any changes to a Designated Officer's information.

2.4 Once a Clearing Member has decided to suspend a Trading Member, the Clearing Member's Designated Officer shall contact Market Control by telephone during trading hours at the Market Control Hotline, 6236 8820, and notify Market Control of the suspension.

2.5 Market Control will verify the identity of the caller by requiring the caller to respond correctly to two authentication questions.

2.6 If the caller is authenticated as the Clearing Member's Designated Officer, Market Control will effect the suspension of the Trading Member. The suspension will be effected within one hour of the authentication of the Designated Officer.

2.7 SGX will suspend the Trading Member's trading access and cancel all open orders for the suspended Trading Member. Market Control will notify the Designated Officer when this is done.

2.8 For the purposes of Rule 3.9.3, the Clearing Member shall accept the Trading Member's final traded position as stated in the trade report produced by SGX.

2.9 For clarifications, the Clearing Member may contact CDP Client Services at 6236 8250.