Membership Conditions

Conditions for membership are regulated by:

• Act no. 229/1992 Coll. on commodity exchanges, § 17 – Membership inception;
• Czech Moravian Commodity Exchange Kladno Statute (CMKB), paragraph 5 – Membership conditions.

Principles of assessing the application for acceptance as a member of the CMKB:

1. Application for acceptance as a member of the CMKB in accordance with section 17, par. 1, clause d of the law on commodity exchanges (hereinafter referred to as the application) is assessed by the Exchange Committee for Financial and Member Matters (hereinafter the EC FMM), on the basis of the application, documents submitted by the applicant and a recommendation from the existing exchange member. The EC FMM then recommends or does not recommend the acceptance of the applicant as a member of the CMKB to the Exchange Chamber.

2. EC FMM assesses the application from the aspects of:

a) fulfilment of the conditions of Act No. 229/1992 Coll., on commodity exchanges, the CMKB Statute and related exchange regulations,
b) the benefits of the applicant´s membership for CMKB and its further development,
c) the economic stability of the applicant.

3. The applicant must be authorised to produce or manufacture goods, which are the subject of exchange trades, or to trade with them and services, which are related to these goods.

4. The application must be submitted in written form, and by post or personal delivery to the head office of the CMKB and into the hands of the General Secretary.

5. Together with the application the applicant submits the following to the Exchange:

• original extract from the Commercial Register, not older than 3 months, or a verified copy, in the case the applicant entered into the Commercial Register is a legal entity or natural person, or an officially verified copy of the trade certificate or trade licence, in the case the applicant is a natural person, who is not entered into the Commercial Register,
• statement of accounts for the past 2 accounting periods, which must be compiled in accordance with Act No. 568/1991 Coll. on accounting. In the case of applicants, who keep double-entry accounting, the applicant shall submit the balance sheet, profit and loss statement and appendix, in the case of applicants who keep single-entry accounting, the applicant shall submit an overview on property and liabilities and an overview on incomes and expenses. In the case of an applicant, who meets the conditions for the obligation of having the final accounts verified by an auditor, the applicant shall submit an annual report,
• an applicant, who is a natural person, must deliver an extract from the Criminal Records Registry, not older than 3 months, with clause without record.

6. The EC EMM assesses the economic stability of the applicant apart from the duration of the business activities of the applicant, constitution of the company´s body, ownership structure, the total amount of the registered capital, the total amount of net business share, the overall image of the applicant, rating, economic situation (share indicators).

7. It is not possible to appeal against the decision of the Exchange Chamber to not accept the applicant as a member of the CMKB. The applicant has the right to submit a new application one year after the exchange Chamber’s decision of non-acceptance at the earliest.

8. The applicant, in whose case the Exchange Chamber has decided in favour of accepting him as a CMKB member, is obligated to pay out the specified registration fee, annual membership contribution and respective part of the fee for ongoing services provided by the Exchange to its members, to the bank account of the CMKB. Payments must be realised in terms according to the Fee Regulations.
Payments of the defined registration fee within the term specified in the Fee Regulations are a condition for acquiring membership in the CMKB.