22 DECEMBER NEW ZEALAND GAZETTE 4621

7.2 An Exchange Broker shall pay to the Company an annual fee of such amount, if any, calculated and payable in such manner, as may be prescribed by the Company from time to time.

7.3 If a Dealer fails to pay any levy, fee or charge when due the Dealer shall pay to the Company interest on the unpaid amount from the due date for payment until payment in full is made, at such rate as is prescribed by the Company from time to time, but this provision is without prejudice to the powers of the Business Conduct Committee in respect of the Dealer’s default.

7.4 The Company is not bound to refund or waive the whole or any part of any levy, fee or charge which has been paid, or is due to be paid, by a Dealer who has ceased to be a Dealer or whose trading rights have been suspended and, unless waived by the Company by notice in writing to the Dealer, all levies, fees and charges which are due but have not been paid shall remain due and payable by the Dealer notwithstanding such cessation or suspension.

SECTION 3—TRADING

8. TRADING PERMITS

8.1 No person may trade a Contract on the Exchange unless that person is the holder of a Trading Permit.

8.2 A Trading Permit confers on the Trading Permit Holder the right to trade Contracts on the Exchange in accordance with these Rules.

8.3 A Trading Permit may only be issued to a person who is:

(a) A Member of the Clearing House; and

(b) A Public Broker or a Principal Trader.

8.4 A Trading Permit Holder is not entitled to trade on the Trading System while its trading rights are suspended except to such extent as may be necessary to comply with any order or direction of the Business Conduct Committee under Rule 50.

9. ISSUE OF TRADING PERMITS

9.1 An applicant for a Trading Permit shall:

(a) lodge with the Company a written application in the prescribed form and provide all information requested therein;

(b) lodge with the Company a written application for approval as a Trading System Operator of each person who will be a Trading System Operator for the applicant, such application to be in the prescribed form and to contain all information requested therein;

(c) acknowledge in writing that it is aware of these Rules and agrees to be bound by them, as amended from time to time;

(d) provide the Company with written confirmation that the applicant has been accepted as a member of the Clearing House;

(e) pay to the Company the prescribed application fee, if any, which will not be refundable; and

(f) provide such further information as the Company from time to time requests to enable it to consider the application.

9.2 Where an applicant for a Trading Permit wishes to trade as a Principal Trader the applicant must provide to the Company a written undertaking in the form prescribed by the Company that it will not trade on behalf of other persons except for other Principal Traders, or for Public Brokers, on a give-up basis.

9.3 An applicant for a Trading Permit must satisfy the Company that it is a fit and proper person to hold a Trading Permit and in particular that:

(a) its business integrity, financial probity and character are suitable for a Trading Permit Holder;

(b) it may reasonably be expected to comply with these Rules, and with the spirit of these Rules as set out in Rule 5.3;

(c) where the applicant is a company its directors, those in control of its management, and those who have control or substantial control of the applicant are of good character and high business integrity;

(d) each person who will be a Trading System Operator for the applicant is approved by the Company and each condition of such approval has been or will be satisfied; and

(e) it meets any other requirements for the time being specified by the Company for the purposes of these Rules.

9.4 No person can be approved as a Trading System Operator unless the Company is satisfied that he or she is a fit and proper person to be a Trading System Operator and in particular that he or she:

(a) is of good character and high business integrity;

(b) is a director or employee of, or partner in, the Trading Permit Holder by whom approval is sought; and

(c) meets any other requirements for the time being specified by the Company for the purposes of these Rules.

9.5 In considering whether or not to grant an application for a Trading Permit or for approval of a Trading System Operator the Company may take into account any information from any source, including, without limitation, information relating to any business carried on, or to be carried on, by the applicant in conjunction with its Business.

9.6 The Company will promptly advise an applicant whether or not its application is approved. The Company may approve an application subject to such conditions as it considers appropriate. If an application for a Trading Permit is approved the applicant shall pay to the Company such portion of the annual Trading Permit fee for the then current period as the Company determines. The Company will then issue the applicant with a Trading Permit.

9.7 Where an application for a Trading Permit or for approval of a Trading System Operator is declined by the Company, or is approved subject to any conditions, the applicant may, by notice in writing to the Company, appeal against the decision in the manner prescribed in Rule 51.

10. CONTRACT SPECIFICATIONS AND OTHER TERMS

10.1 Each class of Contract listed for trading by the Company shall have the Contract Specifications from time to time specified by the Company and shall be traded in accordance with those Contract Specifications and the relevant provisions of these Rules. If there is a conflict between a provision of any Contract Specifications and any provision of these Rules, the provisions of these Rules shall prevail.

10.2 The Company may from time to time in its absolute discretion:

(a) list any class of Contract for trading on the Exchange;

(b) delete any class of Contract from those listed for trading on the Exchange, in which event trading of Contracts in the relevant class shall thereafter only be permitted to enable the closing out of existing open positions except to the extent the Company deems such trading to be necessary for the maintenance of a fair and orderly market; or