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Financial Markets Conduct Act 2013

Dealing in financial products on markets - Operation of licensed markets

352: Licensed market operator must notify FMA of disciplinary actions and suspected contraventions

You could also call this:

"Tell the FMA if someone breaks market rules or you take action against them"

Illustration for Financial Markets Conduct Act 2013

If you are a licensed market operator, you must tell the FMA if you take disciplinary action against someone who participates in your market. You must also tell the FMA if you know or suspect that someone has broken, is breaking, or might break a significant rule of the market or a law, including the Financial Markets Conduct Act 2013, the Takeovers Act 1993, or a law made under either of those Acts. You must follow the rules in sections 353 and 354 when you tell the FMA about these things.

If you tell the FMA that you suspect someone has broken a law, the FMA will then tell you what they decide to do about it.

The FMA has to follow certain rules when they decide what to do, and they will let you know what their decision is.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM4091515.

Topics:
Money and consumer rights > Banking and loansBusiness > Industry rulesBusiness > Fair trading
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"Rules can be changed for some markets to make them fairer and more reasonable"

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353: When notification required, or

"Tell us when someone does something very wrong"

Part 5Dealing in financial products on markets
Operation of licensed markets

352Licensed market operator must notify FMA of disciplinary actions and suspected contraventions

  1. A licensed market operator must notify the FMA, in accordance with sections 353 and 354, if—

  2. the operator takes any disciplinary action against a participant in the licensed market:
    1. the operator knows or suspects that a person has committed, is committing, or is likely to commit a significant contravention of—
      1. the market rules; or
        1. this Act, the Takeovers Act 1993, or any enactment made under either of those Acts.

        2. The FMA must notify the licensed market operator of its decision to take, or not to take, any action in relation to a notification under subsection (1)(b)(ii).

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