PwC's Managing upstream risk: Regulatory reform review - An asian perspective December 2013 | Page 23

The proposal makes it compulsory for every
listed company and market intermediary
to formulate a code of conduct to regulate,
monitor and report trading in securities by
its employees or connected persons. The new
norms, once implemented, would also apply
to mutual funds and trusts issuing securities,
or schemes that get listed on stock exchanges.
Further, the panel on insider trading also
recommended that trades within a calendar
quarter of a value beyond Rs 10 lakh (or such
other amount as the capital market regulator
may specify) would be required to be disclosed
to the stock exchanges. It also has suggested
that each regulatory provision may be backed
by a note on legislative intent.

2.11 FATCA

Update

With the US poised to implement FATCA, bank
clients who have provided false identification
documents to make their declarative statements
will be viewed as people suspected of malicious
tax evasion, which carries a 1.5 times fine.
Taiwan comes into the spotlight as Taiwan and
the US have not yet signed any IGA otherwise,
Taiwan’s FIs have to provide the US authorities
with their clients’ information. In the event that
a client does not comply with the new rules,
the account will be seen as a non-cooperative
account subject to an additional 30 per cent
transfer fee.

Banking | Regulatory Reform Review

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