• MIE-1.13 MIE-1.13 Preventive Surveillance Actions

    • MIE-1.13.1

      The CBB seeks to proactively prevent contraventions or unfair practices or improper conduct and protect the interests of the public investors and securities market at the earliest possible time and the CBB may take preventive surveillance measures. Such preventive surveillance measures may include but not be limited to:

      (a) Interim Enforcement Actions
      Interim enforcement actions can be taken based on the information, facts and evidence available to the CMSD and such action can be initiated at the earliest possible time as part of the market surveillance function. Details of such interim enforcement actions are given in chapter MIE-3 of this Module.
      (b) Directives Under Article 38
      The CBB may issue directives to any capital market service provider, or any market participant, or any other relevant person as a preventive surveillance measure. Such directives under Article 38 of the CBB Law may be issued where the CBB believes that it is necessary or expedient in the interest of the public investors or securities market, or for the protection of investors, to take such action as it considers necessary, and such preventive surveillance measures can be imposed either market-wide or be made available to individual securities or issuers or an SRO, or any member of an SRO or any other capital market service provider, or market participants or any relevant persons.
      (c) Imposition of Trading Limits, Margins and Trading Restrictions
      The CMSD may, as a pro-active surveillance measure in emergency situations, impose limits or restrictions or measures. Such measures may include but not be limited to trading limits, position limits, additional margins, trading restrictions, suspending trading of any securities, freezing of accounts, suspending clearing/settlement of any transaction(s), or off-setting the suspected transactions, or any other prudential limits for the purposes of protecting the interests of investors and the securities market.
      Amended: July 2021