IMEB 4.2.2 Client money received after firm-related distribution event
(1) Client money received by a firm after a firm-related distribution event—
(a) must not be pooled with client money held in any client bank account that was opened before the event; and
(b) must be—
(i) returned to the relevant client without delay; or
(ii) if the money cannot be returned without delay — paid into a client bank account that was opened after the event and held in the account until the money can be returned to the client.
(2) However, client money received by a firm after a firm-related distribution event need not be returned to the client to the extent that—
(a) it relates to a transaction that had not been completed at the time of the firm-related distribution event and the firm has decided to use the money to complete the transaction; or
(b) it is money relating to a client and that money is due from the client to the firm at the time of the firm-related distribution event.
|Derived from QFCRA RM/2011-3 (as from 1st July 2011)|