The formation procedure of the committees

The formation procedure of the committees foresees the complex of the actions and formalities, providing the timely and effective renewal of the Russian Association of Financial Market Members (the RAFMM) committees’ structure. Every committee of the Association has its own way of formation, prescribed by the committee’s regulations and describing the number of votes and types of voting, and also other ways of the decision making about changing, increasing and decreasing of the committee’s membership, confirming the new structure of one or another committee. In this way the formation procedure of the committees is a prerogative for every committee.

The extracts from the regulations:

The AMLC reorganization

4.1. The AMLC can reorganize its own structure by admission of a new member from the RAFMM participants or excluding members from the active members of the ALMC.

4.2. Two alternative variants of the ALMC formation procedure have the following order:

4.2.1. In the case of the admission/exclusion ALMC members at the initiative of one of the ALMC participants the vote is took inside of the committee on the principle of votes’ majority.

4.2.2. In the case of the admission/exclusion ALMC members at the external initiative the vote is took by Executive Board on the principle of the votes’ majority.

The IPMC reorganization

4.1. The IPMC can reorganize its own structure by admission of a new member from the RAFMM participants or excluding members from the active members of the IPMC.

4.2. Two alternative variants of the IPMC formation procedure have the following order:

1. In the case of the admission/exclusion IPMC members at the initiative of one of the IPMC participants the vote is took inside of the committee on the principle of the votes’ majority.

2. In the case of the admission/exclusion IPMC members at the external initiative the vote is took by Executive Board on the principle of the votes’ majority.

The SQAC reorganization

4.1. The SQAC can reorganize its own structure by admission of a new member from the RAFMM participants or excluding members from the active members of the SQAC.

4.2. Two alternative variants of the IPMC formation procedure have the following order:

4.2.1. In the case of the admission/exclusion IPMC members at the initiative of one of the IPMC participants the vote is took inside of the committee on the principle of the votes’ majority.

4.2.2. In the case of the admission/exclusion IPMC members at the external initiative the vote is took by Executive Board on the principle of the votes’ majority.

The Arbitration Committee’ reorganization

5.1. The Arbitration Committee can reorganize its own structure by admission of a new member from the RAFMM participants or excluding members from the active participants of the Arbitration Committee.

5.2. Two alternative variants of the Arbitration Committee’s reorganization are:

3. In the case of the admission/exclusion Arbitration Committee members at the initiative of the one Arbitration Committee’s participant the vote is took on the principle of the votes’ majority.

4. In the case of the admission/exclusion Arbitration Committee members at the external initiative the vote is took by Executive Board at the principle described in the paragraph 4 of the present Regulation.

5.3. The Arbitration’s participant can be certainly (without voting) excluded from the Arbitration Committee’s membership, if the fact that at decision making he had a mercenary motives (was bribed by one of the parties) will be proved.

5.4. In the case, if anybody is putting a strain on the Arbitration’s participant for the purpose of the defining adjudication, the Arbitration’s participant induced by this pressure must inform the RAFMM Executive Board or the RAFMM President immediately. Otherwise, if the fact of such pressure will become known after adjudication, the decision must be reconsidered, and the Arbitration Committee participant concealed the fact of the exerting pressure can be excluded from the Committee’s membership on request of the Executive Board or the RAFMM President.