Interpretation

1  In this regulation:

"Act" means the Securities Act;

"designated organization" means the Pacific District of the Investment Dealers Association;

"permitted individual" has the meaning ascribed to that term in National Instrument 33-109 Registration Information;

"prescribed fee" means the appropriate fee set out in section 22 of the Securities Regulation.

[am. B.C. Regs. 56/2001, s. 1; 39/2003, s. 1; 118/2007, Sch. C, s. 1.]

 Delegation of powers and duties of the superintendent

2  (1)  For the purpose of the definition of "designated organization" in section 1 of the Act and for the purposes of section 184 (2) (e) to (i) of the Act, the Pacific District of the Investment Dealers' Association of Canada may exercise the powers conferred, and perform the duties imposed, by sections 4 to 7.

(2)  A designated organization may delegate any power or duty conferred on it under this section to a committee of the designated organization, and the decisions of the committee are deemed to be the decisions of the designated organization.

[am. B.C. Reg. 56/2001, s. 2.]

 Application

3  (1)  Subject to subsections (2) and (3), a person must apply to the designated organization for registration or renewal of, reinstatement of or amendment to registration as

(a) an investment dealer,

(b) a trading partner, director or officer of an investment dealer,

(c) a salesperson of an investment dealer, or

(d) an underwriter that is a member of a designated organization.

(2)  A member of both designated organizations may apply under subsection (1) to either designated organization.

(3)  Without the executive director's written consent, a broker, investment dealer or underwriter that has applied to one designated organization for registration or renewal, reinstatement or amendment of registration must not apply to the other designated organization.

(4)  A salesperson must apply to the designated organization to which the salesperson's employer or prospective employer applied for registration or renewal, reinstatement or amendment of registration.

(5)  Despite subsection (4), an applicant under subsection (1) for

(a) registration or renewal of registration as a salesperson, or

(b) approval of the employment of a salesperson

who is to be restricted to trading through the trading systems of the Vancouver Stock Exchange must apply to the Vancouver Stock Exchange.

[am. B.C. Reg. 56/2001, s. 3.]

 Powers and duties under sections 34 to 36 of the Act

4  (1)  On application by an applicant that is a member of the designated organization and on payment of the prescribed fee the designated organization may,

(a) subject to subsection (2), register an investment dealer, underwriter or trading partner, director or officer or salesperson of an investment dealer if the designated organization considers the applicant to be suitable for registration in the capacity applied for,

(b) subject to subsection (3) refuse to grant or renew a registration referred to in paragraph (a) if the designated organization considers the applicant to be unsuitable for registration,

(c) renew, reinstate or amend a registration referred to in paragraph (a), and

(d) subject to subsection (3), restrict a registration under paragraph (a) or renewal, reinstatement or amendment of registration under paragraph (c), by imposing conditions on the registration, including but not limited to conditions restricting

(i)  the duration of registration, and

(ii)  the registration to trades in specified securities or exchange contracts or to a specified class of securities or class of exchange contracts.

(2)  Before exercising a power under subsection (1) (a), the designated organization must satisfy itself that the applicant has followed the proficiency and qualification requirements set out in the bylaws, rules or other regulatory instruments or policies established by the designated organization and that those bylaws, rules or other regulatory instruments or policies have been

(a) filed with the commission before they take effect, and

(b) subject to subsection (3), not objected to by the commission.

(3)  If the designated organization files a bylaw, rule or other regulatory instrument or policy in accordance with subsection (2) (a) and the commission does not give a written notice of objection within 30 days of filing, the bylaw, rule or other regulatory instrument or policy is deemed to have not been objected to by the commission.

(4)  The designated organization must not exercise a power under subsection (1) (b) or (d) without giving the applicant an opportunity to be heard.

(5)  Repealed. [B.C. Reg. 39/2003, s. 2.]

[am. B.C. Regs. 56/2001, s. 4; 39/2003, s. 2.]

 Powers under section 35 (2) of the Act

5  (1)  A designated organization may refuse registration, pursuant to section 35 (2) of the Act, if an applicant or partner, director or officer of an applicant is not a resident of British Columbia on the date of application, unless, at the time of application, the applicant or the applicant's partner, director or officer

(a) is registered in a capacity corresponding to that of a dealer, underwriter, adviser, trading partner, director or officer or salesperson under the law of the jurisdiction respecting trading in securities in which the applicant or the applicant's partner, director or officer or salesperson last resided, and

(b) has been so registered for at least one year immediately before the date of application.

(2)  The designated organization must not refuse to grant, renew, reinstate or amend a registration without giving the applicant an opportunity to be heard.

 Subsequent application under section 37 of the Act

6  If an applicant to a designated organization for registration or renewal of, reinstatement of or amendment to registration intends to use information not previously submitted, or material circumstances described in the applicant's previous application have changed, the applicant may reapply to the designated organization.

 Powers under section 38 of the Act

7  A designated organization, with respect to its members, may exercise the executive director's powers under section 38 of the Act.

 Registration information filings

8  A person within any of the following categories must submit the information required by National Instrument 33-109 Registration Information to the designated organization:

(a) a person referred to in section 3 (1);

(b) an investment dealer submitting information about a permitted individual;

(c) an underwriter submitting information about a permitted individual.

[en. B.C. Reg. 39/2003, s. 3; am. B.C. Reg. 118/2007, Sch. C, s. 2.]

 Records

9  (1)  A designated organization must keep for at least 7 years

(a) every application it receives under this regulation,

(b) Repealed. [B.C. Reg. 39/2003, s. 4.]

(c) records of every decision it makes under this regulation about registration including any reasons the designated organization provides to an applicant, and

(d) every notice a dealer files under section 8.

(2)  A designated organization must permit the public to inspect at the designated organization's place of business any document required to be kept under subsection (1), except applications it receives under section 3 and any reasons for refusal of registration given to an applicant under section 4 (1) (b).

[am. B.C. Regs. 56/2001, s. 6; 39/2003, s. 4.]