(1) The Central Securities Depository may terminate its agreement

(a) to clear or settle securities transactions, or
(b) to act as a depository for securities with an insolvent participant or with a participant in respect of whom insolvency or bankruptcy proceedings are commenced

(2) Where the central securities depository terminates its agreement, the depository may

(a) set-off obligations between the insolvent participant and the depository in accordance with the provisions of the agreement, and
(b) if there is a net termination sum owed to the depository by the insolvent participant, the depository shall be considered as a creditor of the insolvent participant in respect of that net termination sum.