ADVOKS GLOBAL · KENYA
The Capital Markets (Corporate Governance) (Market Intermediaries) Regulations
37. Remedial measures and administrative sanctions
Edition: 2022-12-31 · In force
37. Remedial measures and administrative sanctions
(1)When a director or an officer is assessed and found not to be fit and proper to work for a market intermediary, the affected market intermediary shall:(a)be required to terminate the services of such a director or officer;(b)immediately put in place mechanisms to mitigate any loss or damage to clients, the business or the market as a whole resulting from such termination of services; and(c)inform the Authority of such a decision and actions being taken immediately.(2)All directors of a market intermediary shall be liable jointly and severally to indemnify the market intermediary against any loss arising from contravention of any of the provisions of the Act or these regulations.(3)A market intermediary that contravenes a requirement of these regulations commits a disciplinary offence that may lead to sanctions and/or penalties under the Act.