(1) Upon receipt of an application duly made under section 9, the Commission may grant a securities exchange licence if it is satisfied that—
(a) it is appropriate to do so in the public interest, or for the proper regulation of markets in securities; and
(b) the applicant satisfies the conditions specified in subsection (2).
(2) The conditions to be satisfied by the applicant are that—
(a) the applicant's activities will be limited to the operation of a securities exchange;
(b) the applicant can provide and maintain, to the satisfaction of the Commission, adequate and properly equipped facilities or systems for the conduct of the business of a securities exchange;
(c) the applicant shall have not less than 3 members who are engaged in the business of dealing in securities independently of and in competition with each other;
(d) the rules and practices proposed to be followed by the applicant must be such as will ensure that business conducted by means of its facilities or systems will be conducted in an orderly manner and so as to accord proper protection to investors;
(e) the applicant has made such arrangements as the Commission considers satisfactory for—
(i) the clearing and settlement of dealings in securities to ensure the performance of transactions effected on the securities exchange, and for the recording and publication of such transactions,
(ii) market surveillance,
(iii) the effective monitoring and enforcement of compliance with its rules, this Act and regulations made under this Act, and
(iv) investigating complaints in respect of business transacted by any of its members;
(f) the applicant must have default rules which, where a member of the securities exchange appears to be unable, or likely to become unable, to meet his or her obligations in respect of one or more market contracts, enable action to be taken to close out his or her position in respect of all unsettled market contracts to which he or she is a party.