Today, Osaka Securities Exchange (hereinafter "OSE") imposed disciplinary action on Livestar Securities Co., Ltd. (hereinafter the "firm") pursuant to Rule 42(1)(ⅷ) of the Regulations for Transaction Participants as follows.
Additionally, OSE requested the submission of a business improvement report pursuant to Rule 17 of said Regulations.
The business improvement report shall include:
- (1) Implementing appropriate management and operation of the electronic data processing systems related to Financial Instruments Business, through pursuing the cause of this violation of laws, rules and regulations and introducing preventive measures against recurrence of the violation;
- (2) Implementing training, etc. of all officers and employees in order to foster the proper understanding and compliance with the laws, rules and regulations; and
- (3) Clarification of the locus of responsibility in light of the disciplinary action.
- Disciplinary Action
OSE imposed a fine of JPY 1 million on the Firm. - Reason for the Disciplinary Action
The firm's condition is acknowledged to be "the state that the firm is not deemed to have a sufficient degree of control of electronic information processing system relating to securities dealers" as defined in Article 123(14) of the Cabinet Office Ordinance on the Financial Instruments business, based on the Article 40(2) of the Financial Instruments and Exchange Act.