(1) A member of, or participant in, a regulated market or multilateral trading facility that acts as a general clearing member for other persons ("M") must comply with the requirements set out in paragraph (2) if -
(a) M is established in the United Kingdom;
(b) M falls within paragraph (1A) of regulation 30; and
(c) M does not have a Part 4A permission to carry on a regulated activity which is any of the investment services and activities.
(2) M must have in place effective systems and controls to ensure -
(a) M's clearing services are only provided to persons who -
(i) are suitable recipients of those services; and
(ii) meet clear criteria applied by those systems and controls regarding which persons are suitable to receive clearing services; and
(b) requirements are imposed on the persons to whom clearing services are being provided to reduce risks to M and to the market.
(3) M must have a binding written agreement with any person to whom they are providing clearing services detaili
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