Collateral eligibility: clearing corporations must not accept member issued or associate bank FDRs and must ensure replacement. Prohibits clearing corporations from accepting FDRs issued by trading/clearing members or by banks that are associates of those members as collateral, and requires members who have deposited such FDRs to replace them with other eligible collateral within six months; clearing corporations must amend systems and rules, notify members, and report implementation.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Collateral eligibility: clearing corporations must not accept member issued or associate bank FDRs and must ensure replacement.
Prohibits clearing corporations from accepting FDRs issued by trading/clearing members or by banks that are associates of those members as collateral, and requires members who have deposited such FDRs to replace them with other eligible collateral within six months; clearing corporations must amend systems and rules, notify members, and report implementation.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.