| 1. |
VASPs may only maintain Client Accounts at Third-Party Banks appropriately and validly authorised to accept or take deposits in accordance with applicable laws and regulatory requirements in the relevant jurisdiction and which must not be in the same Group as the VASP. |
| 2. |
Payment of Client Money to a Third-Party Bank.
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a. |
VASPs may only pass, or permit to be passed, Client Money to a Third-Party Bank if—
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i. |
the Client Money is to be used in respect of a transaction or series or transactions for that client; and |
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ii. |
the Third-Party Bank is appropriately and validly authorised to accept or take deposits in accordance with applicable laws and regulatory requirements in its relevant jurisdiction as per Rule IV.B.1 of this Compliance and Risk Management Rulebook.
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| 3. |
When a VASP opens a Client Account with a Third-Party Bank it must promptly obtain a written acknowledgement from the Third-Party Bank stating that—
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a. |
all money standing to the credit of the account is held by the VASP as agent and that the Third-Party Bank is not entitled to combine the account with any other account or to exercise any charge, mortgage, lien, right of set-off or counterclaim against money in that account in respect of any sum owed to it on any other account of the VASP; and |
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b. |
the title of the account sufficiently distinguishes that account from any account containing money that belongs to the VASP, and is in the form requested by the VASP.
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| 4. |
If the Third-Party Bank does not promptly provide the acknowledgement referred to in Rule IV.B.3 of this Compliance and Risk Management Rulebook, the VASP must refrain from making further deposits of Client Money with that Third-Party Bank and withdraw any Client Money in that Client Account.
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