By Stock Exchange Directors’ Board;
Notification the Principles of Granting the Securities Trading License to Foreign Investors
Stock Exchange Directors’ Board ratified and notified “Principles of granting the securities trading license to foreign investors” in 6 articles.
Stock Exchange Directors’ Board ratified and notified “Principles of granting the securities trading license to foreign investors” in 6 articles.
According to Fars News Agency reports and quoting from Sana, the Stock Exchange Directors’ Board ratified these principles to receive the information and documents of foreigners or Iranian individuals in possession of foreign-originated capital who are the applicants of securities trading of Iranian issuers and issuance of related trading license for these applicants corresponding to foreign investment bylaw in the exchanges and OTC markets which are ratified by Council of Minister.
The Principles of Granting the Securities Trading License to Foreign Investors
Introduction:
The Stock Exchange Directors’ Board ratified these principles to receive the information and documents of foreigners or Iranian individuals in possession of foreign-originated capital who are the applicants of securities trading of Iranian issuers and issuance of related trading license for these applicants corresponding to foreign investment bylaw in the exchanges and OTC markets which are ratified by Council of Minister.
Article 1: The expressions and terms defined in Article 1 of foreign investment bylaw in the exchanges and OTC markets which are ratified by Council of Minister shall have the same meanings as used herein.
Article 2: Foreigners or Iranian individuals in possession of foreign-originated capital who are the applicants to obtain a trading license must submit the following documents to one of the brokerage companies who have the activity license of the Organization.
a. The request of securities trading of Iranian issuers’ license for legal or real persons in Persian (Farsi) or English corresponding to the attachments.
b. The following identifications:
b) 1. If the applicant is a real person: the original of birth certificate or passport with a copy of it and national identity card for Iranian individuals in possession of foreign-originated capital and the original of passport and a copy of it for foreigners.
b) 2. If the applicant is a legal person: the original of article of association and a copy of it or similar documents, founding document and documents related to characteristics and the powers of the authorized signature owners of legal person.
Note: The documents referred to in this article shall be submitted in Persian or in English. If the original of the documents referred to paragraph b of this article is in another language, presenting them in Persian or English is enough provided that the mentioned translation shall be certified by the official authorities of translation of documents in Iran, applicants country of residence or the country of issuing the documents.
Article 3: The brokerage company is obliged to conform the copy of documents referred to in paragraph b of Article 2 to its original and if they are similar, the company signs it with the phrase of “Copy conforms to the original.” Then to catch the trading license, it must send the letter of application accompany with the copy of documents to the Organization.
Note: If the mentioned copies are conformed to the original by the below competent authorities, it is not needed to present the original of the documents to the brokerage company and it is not needed that the brokerage company conforms it to the original.
a) Notary public office of official documents licensed from the judiciary of the Islamic Republic of Iran;
b) Embassy or consulate of Iran in the residence of the applicant;
c) Competent authorities who are assigned in applicants country of residence or the country of issuing the documents for this matter.
Article 4: The Organization shall, within seven business days after the receipt of the complete information and documents in Persian and English, have to issue the trading license under the title of applicant and signed by the president of Organization and deliver it to the brokerage company until the brokerage company gives it to the applicant within seven days. If the information and documents are not complete, the deadline for notifying the incompleteness by the Organization to the brokerage company and by the brokerage company to the applicant is similar to the above.
Note: The trading license is issued in Persian is reliable and official. This matter shall be inserted in the translation of trading license.
Article 5: After receiving the trading license, if the person who has the license, is allowed to trade in one of the exchanges or Iranian OTC Markets, formalities to receive the transactional code, similar regulations takes place.
Article 6: These Principles are ratified in 6 Articles and 3 Notes and 4 attachments on 4, Dec. 2010 by Stock Exchange directors’ board and it is binding since the date of ratification.