Hong Kong Ordinances

CLEARING AND SETTLEMENT SYSTEMS ORDINANCE - SECT 46

Misrepresentation in respect of designated system

(1) A person shall not describe or otherwise make any representation in
respect of a clearing and settlement system that is not a designated system in
terms that indicate, or that could reasonably be construed as indicating, that
the system is a designated system.

(2) It is a defence for a person charged with an offence under subsection (1)
to prove that he reasonably believed that the system was a designated system.

(3) A person shall not describe or otherwise make any representation in
respect of a clearing and settlement system in respect of which a certificate
of finality is not in effect in terms that indicate, or that could reasonably
be construed as indicating, that a certificate of finality is in effect in
respect of the system.

(4) It is a defence for a person charged with an offence under subsection (3)
to prove that he reasonably believed that a certificate of finality was in
effect in respect of the system.

(5) Subsections (1) and (3) do not apply in relation to any description or
representation contained in information submitted to the Monetary Authority
under this Ordinance.

(6) Any person who contravenes subsection (1) or (3) commits an offence and is
liable on conviction upon indictment to a fine of $400000 and to imprisonment
for 2 years.