Section 10: Board of a stock exchange after demutualization and the election of directors

10. Board of a stock exchange after demutualization and the election of directors.— (1) At any time after the date of demutualization, TRE certificate holders or connected persons of TRE certificate holders shall not hold the majority on the board of directors of any stock exchange, or hold more than forty per cent of the total paid up capital of the stock exchange. (2) Within thirty days of the date of demutualization, the stock exchange shall hold an election of directors: Provided that the elections shall only be in respect of the seats held by the first directors nominated by the stock exchange. The nominees of the Commission shall continue to hold office until such time as they stand replaced on a directive of the Commission to allow co-option of nominees of the strategic investor, or in subsequent elections by shareholder interest of the strategic investor and financial institutions or representatives of the general public as the case may be. (3) After the date of demutualization, the chairman of the Board of any stock exchange shall always be from amongst those directors who do not represent the TRE certificate holders or their connected persons.

Effective date: 2012-01-01

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