Hong Kong Ordinances

CLEARING AND SETTLEMENT SYSTEMS ORDINANCE - SECT 11

Power of Monetary Authority to exempt

(1) This section applies to a designated system that is established in a place
outside Hong Kong and is under the supervision of an authority exercising
functions in that place similar to the functions of the Monetary Authority
under this Ordinance.

(2) Where the Monetary Authority is satisfied that the scope and nature of the
supervision exercised in relation to any designated system to which this
section applies by the authority in the place outside Hong Kong is sufficient
to achieve any or all of the objectives of this Part in relation to the
system, the Monetary Authority may exempt any person from any or all of the
obligations imposed on the person under Divisions 2 and 3 of this Part, or
from any obligation arising by virtue of the exercise of any power conferred
under those Divisions, in relation to the system.

(3) In addition to any exemption granted under subsection (2) in relation to a
designated system, the Monetary Authority may exempt the system operator or
settlement institution of the designated system from the application of
section 30 or 53, or may exempt the participants of the system from the
application of section 31; and where such an exemption in relation to
section 30, 31 or 53 is in effect, that section shall not apply in relation to
the system operator, settlement institution or participants to whom the
exemption applies.

(4) Where the Monetary Authority has granted (or has varied or withdrawn) an
exemption under this section in any case, he shall publish in the Gazette
notice of the particulars of that grant (or variation or withdrawal) of
exemption.