Standards Governing the Establishment of Managed Futures Enterprises Article 23

Under any of the following circumstances, the competent authority may refuse to grant approval to an application for the concurrent operation of a managed futures enterprise by a futures broker, futures trust enterprise, securities investment trust enterprise, or securities investment consulting enterprise:1.The operations plan or the internal control system lacks specificity or cannot be effectively implemented.2.One of the circumstances of Article 5 applies to a director, supervisor, or person serving as managerial officer of the managed futures enterprise.3.Persons serving as managerial officers or associated persons of the managed futures enterprise fail to meet the qualifications of Article 49 or Article 51 of the Regulations Governing Managed Futures Enterprises.4.A director, supervisor, or person serving as managerial officer of the managed futures enterprise violates Article 55 of the Regulations Governing Managed Futures Enterprises.5.Misrepresentation or concealment is discovered in the content or matters set out in the application form.6.Other circumstances under which refusal to grant approval is deemed necessary to protect the public interest.