Registration of exchange.
Section 22
SEC. 22. Registration of exchange. —(a) Any exchange may be registered with the Commission as an exchange under the terms and conditions hereinafter provided in this Section, by filing a registration statement in such form as the Commission may prescribe, setting forth the information and accompanied by the following supporting documents below specified: An undertaking to comply and enforce compliance by its members with the provisions of this Act, and any amendment thereto, and the implementing rules or regulations made or to be made thereunder; Such data as to its organization, rules of procedure, and membership, and such other information as the Commission may, by rules and regulations, require as being necessary or appropriate for the public interest or for the protection of investors; Copies of its constitution, articles of incorporation with all amendments thereto, and of its existing by-laws or rules or instruments corresponding thereto whatever be the name, which are hereinafter collectively referred to as the “rules of the exchange”; An undertaking to furnish to the Commission copies of any amendments to the rules of the exchange forthwith upon their adoption; and An undertaking that in the event a member firm becomes insolvent or when the exchange shall have found that the financial condition of its member firm has so deteriorated that it cannot readily meet the demands of its customers for the delivery of securities and/or payment of sales proceeds, the exchange shall, upon order of the Commission, take over the operation of the insolvent member firm and immediately proceed to settle the member firm’s liabilities to its customers: Provided, That stock exchanges in operation upon the effectivity of this Act shall have one year within which to submit the undertaking; (b) No registration of an exchange shall be granted or remain in force unless the rules thereof include provision for the expulsion, suspension, or disciplining of a member for conduct or proceeding inconsistent with just and equitable principles of fair trade. (c) Nothing in this Act shall be construed to prevent any exchange from adopting and enforcing any rule not inconsistent with this Act and with the rules and regulations thereunder, or with any other law. (d) If it appears to the Commission that the exchange applying for registration is so organized as to be able to comply with the provisions of this Act and the rules and regulations thereunder, and the rules of the exchange are just and adequate to insure fair dealing and to protect investors, the Commission shall cause such exchange to be registered as a securities exchange. (e) Within ninety days after the filing of the application the Commission may issue an order either granting or, after appropriate notice and opportunity for hearing, denying registration as a securities exchange, unless the exchange applying for registration shall withdraw its application or shall consent to the Commission’s deferring action on its application for a stated longer period after the date of filing. The filing with the Commission of an application for registration by an exchange shall be deemed to have taken place upon the receipt thereof. Amendments to an application may be made upon such terms as the Commission may prescribe. (f) Upon the registration of a securities exchange pursuant to the provisions of this Act, it shall pay within twelve (12) months such reasonable fee as the Commission may fix. (g) Upon appropriate application in accordance with the rules and regulations of the Commission and upon such terms as the Commission may deem necessary for the protection of investors, an exchange may withdraw it registration or suspend its operations or resume the same. (17a)