Regulations Governing the Preparation of Financial Reports by Futures Commission Merchants Article 9

Financial reports shall present fairly the financial position, financial performance, and cash flows of an FCM without being misleading to an interested party in making judgments and decisions.If a financial report violates these Regulations or any other applicable requirements, for which the FSC as a result of an audit gives a notice requiring adjustment to be made, the FCM shall make the required adjustment and correction. If the adjusted amount reaches a level specified in Article 6 of the Securities and Exchange Act Enforcement Rules, the financial report shall be restated and be redisclosed publicly, together with a description of the reasons, items, and amount specified in the FSC notice for adjustment. If the corrected amount of the comprehensive income, or of any individual asset line item in the balance sheet (not including reclassified items), does not reach the above threshold, the FCM need not restate the financial report but nevertheless shall present the amount as a correction to retained earnings, other comprehensive income, or the individual asset line item in the balance sheet.