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  • Access to Premises, Information and Documents

    • MIE-1.12.4

      As per Articles 114 and 124 of the CBB Law, the CMSD, or any other CBB staff who are authorised to undertake a preliminary investigation referred to in section MIE-1.11, may enter and inspect the premises, offices, or locations of any capital market service provider to obtain any information or necessary documents or data.

      Amended: July 2021

    • MIE-1.12.5

      If necessary, the CMSD or the authorised CBB staff may retain any documents obtained by virtue of the provisions of the previous paragraph for a period not exceeding six months. However, if the procedures of a trial of any person commenced in connection with committing a crime within the period of the specified six months and the procedures of the said trial continued beyond this period, and the mentioned documents prove to be of relevance to such procedures, then the CMSD or the authorised CBB staff may retain such documents up to the end of the said trial procedures, or to any other date determined by the Competent Court.

    • MIE-1.12.6

      As per Article 123 of the CBB Law, it shall be the duty of every person who is in possession of information or documents relevant to a preliminary investigation conducted by the CBB to:

      (a) Allow the staff of the CMSD or the authorised CBB staff to have access to the premises, offices and locations occupied by such persons at all reasonable times for the purpose of preliminary investigation.
      (b) Extend the staff of the CMSD or the authorised CBB staff facilities for examining any books, accounts and other documents in the custody or control (whether kept manually or in a computer, or in any other form) of such person, required for the purposes of the preliminary investigation.
      (c) Provide to such staff of the CMSD or the authorised CBB staff copies of any books, records, documents, information, data and explanation which in the opinion of the staff of the CMSD are relevant to the preliminary investigation.

    • MIE-1.12.7

      If the staff of the CMSD or the authorised CBB staff fail to enter and inspect the premises, offices, or locations of any SRO, or member of an SRO or any other capital market service provider, to obtain any information, or documents, or data, then the CMSD shall seek approval for formal investigation, and the CMSD investigator appointed to conduct the formal investigation may seek a court order, as per Article 124 of the CBB Law, to carry out the following:

      (a) Entering and inspecting specific premises and obtaining relevant information, data, or documents.
      (b) Copying or taking extracts of any relevant document, information or data.
      (c) Compelling any person employed by any SRO, or member of an SRO or any other capital market service provider, to give an explanation, or to specify the whereabouts of any documents, information, or data.

      Compelling force may be used, where necessary.

      Amended: July 2021

    • MIE-1.12.8

      The CMSD should evaluate the facts and evidence gathered during the preliminary investigation to determine whether it is appropriate to:

      (a) Open a formal investigation considering the factors mentioned in section MIE-2.2.4; or
      (b) Close the preliminary investigation without any recommendation for enforcement actions; or
      (c) Initiate appropriate enforcement actions, without opening up a formal investigation, based on the findings of the preliminary investigation, and facts and evidence of the case.
      Amended: July 2021

    • MIE-1.12.9

      In respect of cases where it is determined to open a formal investigation and if it is considered appropriate to initiate appropriate interim enforcement measures swiftly, before further damage is done and remedial actions are taken as early as possible, the CMSD shall evaluate and initiate appropriate interim enforcement measures that are required to be taken, pending the outcome of the formal investigations on the case.

    • MIE-1.12.10

      After determining the outcome of the preliminary investigation and recommended course of interim or final enforcement measures, the CMSD staff authorised to conduct the preliminary investigation shall submit the preliminary investigation report containing the findings of the preliminary investigation, facts and evidence of the case along with the recommended course of action, based on the outcome of the preliminary investigation mentioned in rule MIE-1.12.7.

      Amended: July 2021

    • MIE-1.12.11

      The CMSD shall decide on the course of action of the preliminary investigation mentioned in rule MIE-1.12.7 and also, if required, decide on the interim or final enforcement actions and seek the approval of H.E. the Governor for the same.

    • MIE-1.12.12

      The procedure and proceedings of the enforcement actions shall be governed by chapter MIE-3 of this Module.