China Banking Regulatory Commission, Implementing Rules for the Measures for the Administration of Pilot Money Brokers

Promulgated: November 18 2005
Effective: as of date of promulgation
Interpreting authority: China Banking Regulatory Commission

Main contents: Applicants complying with Articles 7 and 8 of the Measures for the Administration of Pilot Money Brokers (the Measures), and having the largest shareholding in the money broker proposed to be established, shall submit information complying with Article 13 of the Measures to the banking regulatory bureau (the agency designated by the China Banking Regulatory Bureau at the provincial level) at the place where the proposed money broker is to be located. An unqualified legal opinion shall be required to be issued by a lawyer stating that there is no conflict between the information submitted and the related Chinese laws and regulations (Article 3). The term 'money brokers' referred to in the first paragraph of the Measures includes legal person institutions directly engaged in the money brokerage business or the parent companies directly holding such legal person institutions (Article 4). Article 5 provides details on the application materials for establishment preparation to be submitted in accordance with Article 13 of the Measures. Part Three concerns the administration of the qualifications of directors and senior management personnel and Part Four concerns risk control and regulation. Money brokers shall establish a board of directors and independent internal audit and compliance departments (Article 32).
Related legislation: Measures for the Administration of Pilot Money Brokers, Aug 8 2005, CLP 2005 No.8 p.65