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New Zealand Legislation: Bills

Bills are proposed Acts

Hon Simon Power

Settlement Systems, Futures, and Emissions Units Bill

Government Bill

252—2

As reported from the Commerce Committee

Contents

Part 1
Reserve Bank of New Zealand Act 1989

3 Principal Act amended

4 Interpretation

6 New Part 5C substituted

Part 5C
Designated settlement systems

156K Exercise of powers under this Part

156L Commission may exercise powers under Securities Act 1978

156M Definitions for this Part

156N Designation of settlement system

156O Joint regulators' recommendations subject to procedure in sections 156Y to 156ZA

Effect of designation

156P Application of this Part to pure payment systems

156Q Rules of designated settlement system are valid and enforceable

156R Settlements must not be reversed, etc

156S Limits on application of section 156R(1)

156T Netting is valid and enforceable

156U Interrelationship between netting and Companies Act 1993 and Insolvency Act 2006

156V Underlying transactions, settlements, and limits on effect of sections 156Q, 156R, and 156T

156W Interrelationship with other enactments

156X Transfer of property in accordance with rules is effective

Procedure for making designation

156Y Application for designation

156Z Consideration of application

156ZA Decision on application

Amendments to rules

156ZB Joint regulators must be notified of proposed amendments to rules

156ZC Proposed amendments to rules may be disallowed

Variation and revocation of designation

156ZD Variation of designation

156ZE Revocation of designation

156ZF Settlement and netting not affected by variation or revocation of designation

156ZG Application for variation or revocation of designation

156ZH Either joint regulator may independently begin review of designation

156ZI Matters joint regulators may have regard to in recommending variation or revocation of designation

156ZJ Procedure for variation or revocation of designation

Obligations to give notice and supply information

156ZK Contact person must be notified of insolvency event

156ZL Supply of information relating to designated settlement system

Disclosure of information

156ZM Disclosure of information between joint regulators

156ZN Disclosure of information to third parties

156ZO Limits on further disclosure of information

156ZP Application of other enactments to information published or disclosed under section 156ZN

Penalties for offences against this Part

156ZQ Penalties for offences

Part 2
Savings provision and amendments to other Acts

Savings provision

7 Amendments do not affect existing designations

Amendments to Securities Act 1978

8 Amendments to Securities Act 1978

9 Functions of Commission

9A Issuers to issue certificates evidencing securities

10 Schedule 1 amended

Amendments to Companies Act 1993

10A Amendments to Companies Act 1993

10B Interpretation

10C Transfer of shares under approved system

10D Share certificates

Amendment to Personal Property Securities Act 1999

11 Amendment to Personal Property Securities Act 1999

Priority of interests of certain operators of designated settlement system

103A Priority of interests of certain operators of designated settlement system

Part 3
Securities Markets Act 1988

12 Principal Act amended

13 Interpretation

14 Part 2B heading substituted

15 Power to exempt securities markets from this Part

16 New section 36F substituted

36F Registration of exchanges

17 Registered exchange must operate securities markets with conduct rules that include required matters and have effect

18 Required matters for conduct rules

19 Determination on whether or not to apply approval process to proposed conduct rules and changes

20 Registered exchange must not operate new securities market if proposed conduct rules or changes not approved

21 Conduct rules must be available for inspection

22 Registered exchange must give Commission material information given to market participants

23 Commission may give directions to registered exchanges

24 Grounds for other directions

25 Notice, opportunity for exchange to act, and submissions before Commission gives directions

26 Notice and opportunity to be heard and represented after Commission gives direction

27 Interpretation of terms used in this Part

28 Dealers in futures contracts to be authorised

29 Penalties for failing to comply with Part 2B

30 Further amendments to principal Act

31 Amendments to other enactments

Part 4
Personal Property Securities Act 1999

32 Principal Act amended

33 Interpretation

34 Meaning of “possession” in certain cases

Part 5
Securities Act 1978

35 Principal Act amended

36 Interpretation

Schedule 1
Further amendments to principal Act

Schedule 2
Amendments to other enactments

Legislative history

The Parliament of New Zealand enacts as follows: