Stock Exchange Act, 1995

Appointment of inspector by Court.

57.—(1) Without prejudice to the powers of the Bank under this Act, where the Bank is of the opinion that it is in the interest of the proper and orderly regulation of approved stock exchanges or their member firms or the protection of investors that an investigation should be held into the affairs of an approved stock exchange or authorised member firm, the Bank may apply to the Court and the Court, as it thinks proper, may appoint one or more inspectors to investigate the affairs of that approved stock exchange or that authorised member firm and, where necessary, any subsidiary or other associated or related undertaking and to report thereon in such manner as the Court directs.

(2) Before applying to the Court to appoint an inspector under this section, the Bank may, if it is of the opinion that it would not be prejudicial to the interests of shareholders or creditors or investors, notify the approved stock exchange or authorised member firm concerned in writing of the action which it proposes to take and of the grounds on which it proposes to take it and, in such a case, the approved stock exchange or authorised member firm shall, within such period as the Bank may set out in the notification, be entitled to give to the Bank a statement in writing explaining its activities.