Article 68Eligibility for Association Membership and Restrictions on Joining an Authorized Association

①Membership in an authorized association is limited to financial instruments business operators.

②Except in a case set forth in paragraph (5), an authorized association must stipulate in its articles of incorporation that any financial instruments business operator may join as an association member; provided, however, that this does not apply if membership is restricted by reason of a condition as to the geographic location or business type of the financial instruments business operator.

③An authorized association must stipulate in its articles of incorporation that it will endeavor to prevent fraudulent acts, market manipulation, the collection of unreasonable fees and costs, and profiteering by association members and financial instruments intermediary service providers, as well as to promote the principle of good faith in their transactions.

④An authorized association must stipulate in its articles of incorporation that it will endeavor to prevent acts that are in violation of laws and regulations or the authorized association's articles of incorporation and other rules, and to ensure confidence of investors, by having internal rules and control systems established so that its association members and the financial instruments intermediary service providers that have those association members as entrusting financial instruments business operators, etc. comply with laws and regulations and with the authorized association's articles of incorporation and other rules.

⑤An authorized association may stipulate in its articles of incorporation that it may refuse admission as an association member if an applicant has been ordered to suspend purchase and sales and other transactions of securities or to suspend derivatives transactions, etc.; or has been expelled from the membership of, or had its trading license rescinded by, an authorized association or a financial instruments exchange, on account of having violated a law or regulation, a disposition by a government agency which is based on a law or regulation, or the articles of incorporation or other rules of the authorized association or financial instrument exchange, or on account of having engaged in an act that is contrary to the principle of good faith in transactions.

⑥An authorized association must make a list of association members available for public inspection.