This Decision (hereinafter “Decision No. 52”) has approved the Procedure of Recognizing Securities Issue Unfair and Invalid, which outlines a mechanism for the SCSSM to recognize securities issue as unfair, to suspend open (public) placement of securities and to resume their open (public) placement, as well as the procedure to recognize securities issue as invalid.
This Procedure covers equity securities, issue of which is registered by the SCSSM, namely: shares, bonds of enterprises, domestic local bonds, mortgage certificates, mortgage bonds, real estate transaction funds, and does not spread out to the issuing activity of joint investment institutions.
Grounds for recognizing an issue as unfair during open (public) placement are as follows:
breaking by an issuer of requirements of Law of Ukraine No. 3480-ēV of February 23, 2006 “On Securities and Stock Market”;
lack of correspondence of issuer’s documents or data contained thereof to the legislation requirements and/or the list determined by a registration authority;
breaking the decision-making procedure concerning open (public) placement of securities;
entering inauthentic data to the prospectus for securities issue and documents submitted for registration of securities issue and prospectus of securities issue;
regular or gross infringement of investors’ rights by an issuer during a relevant securities issue.
The Decision on recognizing securities issue as unfair is adopted by the SCSSM and is promulgated as a relevant order.
Recognition of securities issue as invalid form basis for canceling the registration of securities issue recognized invalid. The registration authority adopts an order on recognizing securities issue as invalid, on cancellation of registration of securities issue recognized as invalid and on abrogation of a relevant securities issue registration certificate.
The Decision comes into effect starting on March 06, 2009.
This Decision (hereinafter “Decision No. 52”) has approved the Procedure of Recognizing Securities Issue Unfair and Invalid, which outlines a mechanism for the SCSSM to recognize securities issue as unfair, to suspend open (public) placement of securities and to resume their open (public) placement, as well as the procedure to recognize securities issue as invalid.
This Procedure covers equity securities, issue of which is registered by the SCSSM, namely: shares, bonds of enterprises, domestic local bonds, mortgage certificates, mortgage bonds, real estate transaction funds, and does not spread out to the issuing activity of joint investment institutions.
Grounds for recognizing an issue as unfair during open (public) placement are as follows:
The Decision on recognizing securities issue as unfair is adopted by the SCSSM and is promulgated as a relevant order.
Recognition of securities issue as invalid form basis for canceling the registration of securities issue recognized invalid. The registration authority adopts an order on recognizing securities issue as invalid, on cancellation of registration of securities issue recognized as invalid and on abrogation of a relevant securities issue registration certificate.
The Decision comes into effect starting on March 06, 2009.