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Article 65
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When the regulatory capital adequacy ratio of a securities firm is at least 100 percent but is less than 120 percent, the FSC, in addition to doing as set out in subparagraphs 1 and 2 of the preceding article, additionally may take the following actions:<br/>1. Reduce its scope of business operations.<br/>2. Require the securities firm to fill out and report weekly a securities firm capital adequacy reporting form.<br/>3. If the capital adequacy ratio has not been corrected by the end of the month preceding any proposal by the board of directors for distribution of profits, in addition to requiring the securities firm to deduct from its undistributed earnings those items required to be set aside according to regulations, it shall further be required to set aside 40 percent as special reserve in accordance with Article 41, paragraph 1 of the Act.
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