ADVOKS GLOBAL · KENYA
The Capital Markets (Licensing Requirements) (General) Regulations
24. Prohibited dealings and associations
Edition: 2023-10-06 · In force
24. Prohibited dealings and associations
(1)No stockbroker or dealer shall—(a)create a false market in any listed security by way of any artificial device including but not limited to advising clients to buy or sell a particular security while selling or buying through its dealing or related party transactions, without disclosing that fact to the investors;(b)establish a corner or trade where a corner has developed in a listed security;(c)negotiate on any issue relating to trading with any other person on the trading floor of the securities exchange;(d)be party to any trading and price manipulative scheme or device which may directly or indirectly influence or interfere with the market price formation and fair trading process with respect to any listed security;(e)make general recommendations to the public on particular securities through publications or statements; or(f)sell securities which are not registered in the name of the stockbrokers’ client or central depository in the case of a depository environment.(2)For the purposes of this regulation, “a corner” shall be deemed to arise when a single interest or group has acquired such control of any listed security that the same cannot be obtained except at prices or on terms dictated by such single interest or group.