Regulations Governing the Operation of Futures Introducing Broker Business by Securities Firms Article 10

A securities firm applying for operation of futures introducing broker business shall meet the following requirements:1. has not received a warning from the FSC in accordance with subparagraph 1 of Article 66 of the Securities & Exchange Act in the last 3 months,2. has not been sanctioned by the FSC in accordance with subparagraph 2 of Article 66 of the Securities & Exchange Act in the last 6 months, under which the securities firm was ordered to discharge its director, supervisor, or manager;3. has not been sanctioned by the FSC by suspension of permission for business in whole or in part in accordance with subparagraph 3 of Article 66 of the Securities & Exchange Act in the last 1 year;4. has not been sanctioned by the FSC in accordance with the Securities & Exchange Act by voidance of permission for any part of its business in the last 2 years;5. has not been sanctioned by the stock exchange and/or over-the-counter securities exchange in accordance with their respective rules by suspension or restriction of trading in the last 1 year;6. other requirements as prescribed by the FSC.If a securities firm fails to meet any of the requirements set forth in subparagraphs 1 to 5 of the preceding paragraph, but has shown concrete improvement in the circumstances, and the FSC has recognized the improvement, the securities firm may be exempted from the relevant requirement.