7 USC 24a - Swap data repositories

U.S Code last checked for updates: Nov 22, 2024

§ 24a.

Swap data repositories

(a)

Registration requirement

(1)

Requirement; authority of derivatives clearing organization

(A)

In general

(B)

Registration of derivatives clearing organizations

(2)

Inspection and examination

(3)

Compliance with core principles

(A)

In general

To be registered, and maintain registration, as a swap data repository, the swap data repository shall comply with—

(i)

the requirements and core principles described in this section; and

(ii)

any requirement that the Commission may impose by rule or regulation pursuant to section 12a(5) of this title.

(B)

Reasonable discretion of swap data repository

(b)

Standard setting

(1)

Data identification

(A)

In general

(B)

Requirement

(2)

Data collection and maintenance

(3)

Comparability

(c)

Duties

A swap data repository shall—

(1)

accept data prescribed by the Commission for each swap under subsection (b);

(2)

confirm with both counterparties to the swap the accuracy of the data that was submitted;

(3)

maintain the data described in paragraph (1) in such form, in such manner, and for such period as may be required by the Commission;

(4)

(A)

provide direct electronic access to the Commission (or any designee of the Commission, including another registered entity); and

(B)

provide the information described in paragraph (1) in such form and at such frequency as the Commission may require to comply with the public reporting requirements contained in section 2(a)(13) of this title;

(5)

at the direction of the Commission, establish automated systems for monitoring, screening, and analyzing swap data, including compliance and frequency of end user clearing exemption claims by individual and affiliated entities;

(6)

maintain the privacy of any and all swap transaction information that the swap data repository receives from a swap dealer, counterparty, or any other registered entity; and

(7)

on a confidential basis pursuant to section 12 of this title, upon request, and after notifying the Commission of the request, make available swap data obtained by the swap data repository, including individual counterparty trade and position data, to—

(A)

each appropriate prudential regulator;

(B)

the Financial Stability Oversight Council;

(C)

the Securities and Exchange Commission;

(D)

the Department of Justice; and

(E)

any other person that the Commission determines to be appropriate, including—

(i)

foreign financial supervisors (including foreign futures authorities);

(ii)

foreign central banks;

(iii)

foreign ministries; and

(iv)

other foreign authorities; and

(8)

establish and maintain emergency procedures, backup facilities, and a plan for disaster recovery that allows for the timely recovery and resumption of operations and the fulfillment of the responsibilities and obligations of the organization.

(d)

Confidentiality agreement

(e)

Designation of chief compliance officer

(1)

In general

(2)

Duties

The chief compliance officer shall—

(A)

report directly to the board or to the senior officer of the swap data repository;

(B)

review the compliance of the swap data repository with respect to the requirements and core principles described in this section;

(C)

in consultation with the board of the swap data repository, a body performing a function similar to the board of the swap data repository, or the senior officer of the swap data repository, resolve any conflicts of interest that may arise;

(D)

be responsible for administering each policy and procedure that is required to be established pursuant to this section;

(E)

ensure compliance with this chapter (including regulations) relating to agreements, contracts, or transactions, including each rule prescribed by the Commission under this section;

(F)

establish procedures for the remediation of noncompliance issues identified by the chief compliance officer through any—

(i)

compliance office review;

(ii)

look-back;

(iii)

internal or external audit finding;

(iv)

self-reported error; or

(v)

validated complaint; and

(G)

establish and follow appropriate procedures for the handling, management response, remediation, retesting, and closing of noncompliance issues.

(3)

Annual reports

(A)

In general

In accordance with rules prescribed by the Commission, the chief compliance officer shall annually prepare and sign a report that contains a description of—

(i)

the compliance of the swap data repository of the chief compliance officer with respect to this chapter (including regulations); and

(ii)

each policy and procedure of the swap data repository of the chief compliance officer (including the code of ethics and conflict of interest policies of the swap data repository).

(B)

Requirements

A compliance report under subparagraph (A) shall—

(i)

accompany each appropriate financial report of the swap data repository that is required to be furnished to the Commission pursuant to this section; and

(ii)

include a certification that, under penalty of law, the compliance report is accurate and complete.

(f)

Core principles applicable to swap data repositories

(1)

Antitrust considerations

Unless necessary or appropriate to achieve the purposes of this chapter, a swap data repository shall not—

(A)

adopt any rule or take any action that results in any unreasonable restraint of trade; or

(B)

impose any material anticompetitive burden on the trading, clearing, or reporting of transactions.

(2)

Governance arrangements

Each swap data repository shall establish governance arrangements that are transparent—

(A)

to fulfill public interest requirements; and

(B)

to support the objectives of the Federal Government, owners, and participants.

(3)

Conflicts of interest

Each swap data repository shall—

(A)

establish and enforce rules to minimize conflicts of interest in the decision-making process of the swap data repository; and

(B)

establish a process for resolving conflicts of interest described in subparagraph (A).

(4)

Additional duties developed by Commission

(A)

In general

(B)

Consideration of evolving standards

(C)

Additional duties for Commission designees

(g)

Required registration for swap data repositories

(h)

Rules

(Sept. 21, 1922, ch. 369, § 21, as added Pub. L. 111–203, title VII, § 728, July 21, 2010, 124 Stat. 1697; amended Pub. L. 114–94, div. G, title LXXXVI, § 86001(b), Dec. 4, 2015, 129 Stat. 1797.)

cite as: 7 USC 24a