Securities Industry Act - The Bahamas Laws On-Line - The ...

SECURITIES INDUSTRY [CH.363 – 31
promulgated by The Bahamas Institute of
Chartered Accountants or the International
Federation of Accountants; and
(b) a report on whether or not the business of the
broker-dealer has been conducted in accordance
with the provisions of this Act and the regulations
and rules prescribed thereunder relating to
the record keeping, reserve requirements, filing
requirements, segregation of customers’ funds
and the financial affairs of broker-dealers.
(4) Where the report of the auditor required by
subsection (3)(a) is qualified in any respect or the report
required by subsection (3)(b) discloses that there are any
material weaknesses or deficiencies in or non-compliance
with any of the provisions of this Act and the regulations
and rules made thereunder relating to the record keeping,
reserve requirements, filing requirements, segregation of
customers’ funds and the financial affairs of brokerdealers,
the Commission shall, if deemed necessary,
suspend the broker dealer from trading on a Securities
Exchange, and such suspension shall not be removed until,
the matter giving rise to the qualified audit report is
rectified or otherwise resolved or the matters giving rise to
the weaknesses or deficiencies in or non-compliance with
the aforementioned provisions of the Act and the
regulations and rules made thereunder are rectified.
(5) Where in the course of performing the duties
required by subsection (3) the auditor comes to the view
that a matter that could give rise to a qualification in the
audit report on the financial statements or that a major
deficiency, weakness or non-compliance should be
reported to the Commission, he shall request the brokerdealer
to notify the Commission accordingly and, if the
broker-dealer fails or refuses to do so, the auditor shall
notify the Commission forthwith on the prescribed form
with a copy of such notification being supplied to the
broker-dealer.
52. (1) Every broker-dealer shall, to the satisfaction
of the Commission, effect and maintain appropriate policies
of insurance for the purpose of indemnifying itself against
any liability that may be incurred as a result of any act or
omission of any of its directors, officers or employees.
Indemnity
insurance.
[Original Service 2001]
STATUTE LAW OF THE BAHAMAS