Rule 4 — Appointment of Chief Executive Officers and Directors

4.1 Appointment and Registration

4.1.1

(1) A Clearing Member shall appoint one (1) person as a Chief Executive Officer and register that person with CDP as its Chief Executive Officer.

(2) The Chief Executive Officer of a General Clearing Member shall be approved by the Authority as a Chief Executive Officer in accordance with the SFA.

(3) A Chief Executive Officer entered into the register of Chief Executive Officers shall comply with this Clearing Rules and any Clearing Directives (where applicable), and shall be responsible for ensuring that the Clearing Member complies with this Clearing Rules, and any Clearing Directives (where applicable).

(4) The Clearing Member shall notify CDP at least seven (7) days prior to the appointment of a Chief Executive Officer.

Amended on 1 July 2008 1 July 2008 and 3 June 2019 3 June 2019.

4.1.2

Upon registration, a Chief Executive Officer is deemed to have agreed to be bound by this Clearing Rules, or any Clearing Directives (where applicable).

Amended on 1 July 2008 1 July 2008 and 3 June 2019 3 June 2019.

4.2 Obligations

4.2.1 Compliance

A Chief Executive Officer shall comply with the Clearing Rules, and any Clearing Directives CDP prescribes.

Amended on 3 June 2019 3 June 2019.

4.2.2 Payment of Fees

A Chief Executive Officer shall pay CDP all fees, levies and charges as CDP prescribes. CDP may reduce or waive any fee, levy or charge.

Amended on 3 June 2019 3 June 2019.

4.2.3 Other Businesses

(1) A Chief Executive Officer shall inform CDP in writing at least fourteen (14) days before he or she engages in, or holds any substantial shareholding in, any other business that might potentially conflict with being a Chief Executive Officer. The Chief Executive Officer shall ensure that the proposed engagement or shareholding is agreed to by his or her Clearing Member.

(2) The engagement (and any actions taken under it) or shareholding shall not breach the SFA, SFR, this Clearing Rules, Clearing Directives (where applicable), or any relevant law or regulation.

(3) A Chief Executive Officer shall supply CDP with any information it requires regarding the engagement or acquisition of shareholding.

(4) If CDP objects to the engagement or acquisition of shareholding, a Chief Executive Officer shall not proceed with it. CDP may extend the period specified in Rule 4.2.3(1). If extended, the Chief Executive Officer shall not proceed with the engagement or acquisition of shareholding before the expiry of the extended period.

(5) If an engagement or shareholding, in CDP's opinion, is detrimental to the financial integrity, reputation or interests of CDP, the Clearing Member or its customers, or in the case of a Bank Clearing Member, the Bank Clearing Member's customers in relation to its business governed by this Clearing Rules, CDP may require the Chief Executive Officer to end it.

(6) If CDP objects to the engagement or acquisition or shareholding or requires a Chief Executive Officer to end it, the Chief Executive Officer may, within fourteen (14) days after it is notified of CDP's decision, appeal in writing to the SGX RegCo Board whose decision shall be final.

Amended on 1 July 2008 1 July 2008, 15 September 2017 15 September 2017 and 3 June 2019 3 June 2019.

4.3 Automatic De-Registration

A Chief Executive Officer shall automatically cease to be registered as a Chief Executive Officer, and the Clearing Member shall immediately notify CDP, if he or she:—

(1) becomes of unsound mind;

(2) is made bankrupt, whether in or out of Singapore;

(3) is disqualified from holding office as a director under the SFA or the Companies Act (Chapter 50), or in the case of a Bank Clearing Member, if he or she is no longer in the direct employment of, or acting for or by arrangement with, the Bank Clearing Member or is no longer principally responsible for the management and conduct of the Bank Clearing Member's business;

(4) ceases to be a Chief Executive Officer of the Clearing Member;

(5) is subject to a compromise or scheme of arrangement with his or her creditors, whether in or out of Singapore;

(6) has execution in respect of a judgment debt returned unsatisfied in whole or in part; or;

(7) is convicted of an offence involving fraud or dishonesty or is found by a court of law to have acted fraudulently or dishonestly, in each case whether in or out of Singapore.

Amended on 1 July 2008 1 July 2008 and 3 June 2019 3 June 2019.

4.4 Deletion from Register

A Chief Executive Officer who ceases to hold office shall have his or her name deleted from the Register of Chief Executive Officers upon the effective date of cessation.

Amended on 3 June 2019 3 June 2019.

4.5 [Rule has been deleted.]

Deleted on 3 June 2019 3 June 2019.

4.6 Obligations of a Former Chief Executive Officer

A former Chief Executive Officer remains liable to CDP for any liabilities incurred under the Clearing Rules or Clearing Directives during the period of his or her registration. The former Chief Executive Officer also remains subject to disciplinary actions for any offence committed during the period of his or her registration.

Amended on 3 June 2019 3 June 2019.