Following the regular FRC meeting, amendments have been incorporated into the Securities listing regulation, approved by the 6th Resolution of 2014.
As the Debt management law has been approved, FRC has adopted changes to the Government debt instrument listing regulation. As a result, the right to approve the Government debt instrument issuance has transferred to the Parliament, the right to approve the issuance of the Governor’s debt instrument has transferred to the aimag and capital Citizens’ Representative Meetings. Therefore, the concerning clause of the Securities listing regulation that administers Government, aimag governor and capital mayor’s debt instrument listing has been invalidated.
In addition, there has been provisions such as, for the case of JSC, in order to re-purchase the shares of the small shareholders’, it is necessary to allocate cash asset to the MSCH&CCD’s account before the FRC decision is formulated. It is for the reason that, when delisting the shares, rights of the small shareholders are violated to a certain degree and as stated in the Company law, the company has a right to re-purchase their shares. However, in reality it has been inefficient and has been specifically regulated by this amendment. By doing so, the accountability of the company towards the small shareholders is ensured as well as it will be possible to delist the securities after the share percentage’s fee is allocated.