(1) A broker-dealer shall

(a) keep the accounting records that will correctly record and explain the transactions and financial position of die business of dealing in securities carried on by that broker-dealer;

(b) keep the accounting records in a manner that will enable a true and fair income statement and statement of financial position to be prepared from time to time; and

(c)  keep the accounting records in a manner that will enable the income statement and statement of financial position of the business of dealing in securities carried on by the broker-dealer to be conveniently and properly audited.

(2) A broker-dealer who contravenes subsection (1) is liable to pay to the Commission an administrative penalty of two hundred and fifty penalty units.

(3) A broker-dealer has not complied with subsection (I) in relation to the records unless those records

(a) are kept in writing in die English language or in a manner that will enable them to be readily accessible and readily converted into writing in the English language;

(b) are kept in sufficient detail to show particulars of

(i) the moneys received or paid by that broker-dealer, including moneys paid to or disbursed from a trust account;

(ii) the purchases and sales of securities made by the broker-dealer, the charges and credits arising from them and the names of the buyer and seller, respectively, of each of those securities;

(iii) the incomes received from commissions, fees, interests, and other sources and expenses, commissions and interest paid, by the broker-dealer;

(iv) the assets and liabilities, including contingent liabilities, of the broker-dealer;

(v) the securities that are the property of the broker-dealer, showing by whom the securities, or the documents of title to the securities, are held and, where they are held by any other person, whether or not they are held as security against loans or advances;

(vi) the securities that are not the property of the broker-dealer and for which the broker-dealer or any person controlled by the broker-dealer is accountable, showing by whom, and for whom, the securities or the documents of title to the securities are held and the extent to which they are either held for safe custody or deposited with a third party as security for loans or advances made to the broker-dealer; and

(vii) underwriting transactions entered into by the broker-dealer;

(c) are kept in sufficient detail to show separately particulars of every transaction by the broker-dealer;

(d) specify the day on which or the period during which each transaction by the broker-dealer took place; and

(e) contain copies of acknowledgements of the receipt of securities or of documents of title to securities received by the broker-dealer from clients for sale or safe custody clearly showing the name or names in which the particular securities are registered.

(4) Without limiting subsection (3), a broker-dealer shall keep the records in sufficient detail to show separately, particulars of transactions undertaken by that broker-dealer with or for the account of

(a) the clients of the broker-dealer excluding, where the broker-dealer carries on business in partnership, the partners of the firm;

(b) the broker-dealer personally or where the broker-dealer carries on business in partnership, the partners of the firm;

(c) other broker-dealers carrying on business within the country;

(d) broker-dealers outside the country; and

(e) employees of the broker-dealers.

(5) An entry in the accounting and other records of a broker-dealer required to be kept in accordance with tins section shall be deemed to have been made by or with die authority of that broker-dealer.

(6) Where a record required by this section.to be kept is not kept in writing in the English language, the broker-dealer shall, if required to convert the record into writing in the English language by a person who is entitled to examine the record, comply with the requirement within a reasonable time.

(7) Despite any other provision of this section, a broker-dealer shall not be deemed to have failed to keep a record referred to in subsection (1) if the record is kept as a part of, or in conjunction with records that relate to a business other than dealing in securities that is carried on by that broker-dealer.

(8) Where accounting or other records are kept by a broker-dealer at a place outside the country, the broker-dealer shall cause to be sent to and kept at a place in the country the particulars with respect to the business dealt with in those records that will enable true and fair income statement and statement of financial position to be prepared.