Section 59 Investments and Securities Act 2025

Section 59 of the Investments and Securities Act 2025 is about Registration of a self-regulatory organisation. It is under Part V (Registration and Regulation of Securities Exchanges, Financial Market Infrastructures and other Self Regulatory Organisations) of the Act. It provides as follows:

(1) An entity, trade group or association shall not operate or hold itself out as a self-regulatory organisation unless registered as such by the Commission upon fulfilment of the conditions as the Commission may prescribe.

(2) The Commission shall register an entity as a self-regulatory organisation, where the Commission is satisfied that such entity is able to discharge the obligations of a self-regulatory organisation under this Act and the rules and regulations made under it.

(3) Upon receipt of a no objection from the Commission, an entity registered under subsection (2) may, under the terms of an agreement with another selfregulatory organisation, take-over some or all of the obligations of such selfregulatory organisation under this Act, the rules and regulations made under it or the rules of that self-regulatory organisation or such other laws or rules as may be applicable to that self-regulatory organisation.

(4) The Commission may permit the merger of self-regulatory organisations in the overall interest of the capital market.

(5) A self-regulatory organisation shall perform regulatory functions to the extent that the Commission may prescribe.

(6) A decision of a self-regulatory organisation on any aggrieved person shall be subject to review by the Commission.