CHAPTER FOUR

CAPITAL MARKET AUTHORITY

Article  (42)

	The Capital Market Authority is a public authority having a judicial status, responsible to the Minister of Economy and Foreign Trade, with its head office in the city of Cairo. The Authority may establish branches and offices in and outside the country by proposal from its Board Directors and approval of the Minister.

Article  (43)

	The Authority, in addition to other duties assigned to it by any other legislation, shall be responsible for the implementation of this law and its Executive Regulations, and shall take the necessary measures to achieve its objectives, in particular:

•	Regulate and develop the capital market. The Authority should be consulted in decisions and legislative proposals related to the capital market. 

•	Organize and supervise training programs for persons working, or willing to work in the capital market.

•	Supervise the provision and publication of adequate information and data on the capital market, and ensure the accuracy of such information and data.

•	Control the capital market to ensure that transactions in securities are carried out on sound basis and are not defected by any fraud, swindle, deception, exploitation, manipulation or speculative practices.

•	Take necessary measures to monitor the implementation of this law and its executive decisions.

Article  (44)

The Board of Directors is the authority responsible for conducting the Authority's affairs. Decisions of the Board in this respect are final. It may adopt such decisions as may deem necessary to achieve the objectives for which the Authority has been established, and in particular shall:

•	Formulate the policy guidelines for conducting the Authority's duties, and related plans and programs.

•	Specify supervisory and inspection rules over companies governed by the provisions of this law.

•	Determine fees to be charged for the services provided by the Authority.

•	Define the rules and regulations governing the use of experts and the seeking of consultancy services that would assist the Authority to perform its functions.

•	Approve the annual budget of the Authority.

The Board shall be assigned, in managing the Authority, the responsibilities which are specified by law 73 of 1976.  

	The Board may delegate to one or more of its members, the authorization to carry out a specific task.

Article  (45)

	The Board of Directors shall be formed of the Chairman of the Authority as President, The Deputy Chairman as Vice President, The Deputy Governor of the Central Bank as Member, and four experienced members to be appointed for two renewable years. The Prime Minister upon the suggestion of the Minister shall determine their remunerations.

	The Chairman and Deputy Chairman of the Authority shall be appointed and their remuneration determined by a Presidential decree for three years renewable for further terms. 

Article  (46)

	The chairman of the Authority shall be responsible for the management of the Authority, and shall represent it before juridical bodies and other parties, and he may delegate some of his responsibilities to one or more of the senior managers.           

Article  (47)

The financial resources of the Authority shall be made up of:

1.	Appropriations allocated by the State.

2.	Fees levied by the Authority pursuant to the provisions of this law.

3.	Charges for services provided by the Authority.
4.	Fines stated by the provisions of this law.

5.	National and international loans and grants as approved by the Board, and authorized by the authorities concerned.

Article  (48)

	The Authority shall have an independent budget, and its fiscal year will begin and end as that of the state's fiscal year. The Authority shall open a special bank account in which it shall deposit the proceeds of charges of fines, fees, services fees and other revenues.  The balance of such account shall be carried forward to the following year. The Authority's Financial Regulations shall set the rules governing the use of such an account, provided that what is used of the proceeds of such account shall be reflected in the revenues and expenses of the Authority's budget and financial statement. 

Article  (49)

	The staff of the Authority who shall be named by a decree by the Minister of Justice in agreement with the Minister shall be vested with judicial powers in order to prove the actions that are committed in violation of this law, its Executive Regulations and executive decrees. In pursuance of their assignment they shall have access to the registers, books, documents and information in the company's office, the stock exchange and other offices where these documents may exist. Executives in charge of management of such entities shall provide them with statements, abstracts and copies of documents as they may require.