Ministry of Treasury and Finance prepares 7 critical amendments to the CMB Law

The Ministry of Treasury and Finance is carrying out preparations for legislative amendments under seven headings in Capital Markets Law No. 6362 in order to protect investors in capital markets and prevent market abuses.

The Ministry of Treasury and Finance is working on making amendments under seven critical headings in Capital Markets Law No. 6362 within the framework of written replies sent to the Grand National Assembly of Turkey. The regulations under preparation aim to protect fund assets, increase sanctions against market abuses, and strengthen the investor compensation mechanism.

Among the regulations being worked on, establishing an extraordinary liquidation mechanism with the decision of the Capital Market Board to prevent the reduction of fund assets through unlawful transactions and holding individuals who cause losses to funds personally liable are included. In addition, it is planned to increase administrative and judicial penalties for market abuses, strengthen the powers and revenue sources of the Investor Compensation Center, and establish a legal framework covering recovery and liquidation processes for central clearing institutions.

Simplifying the issuance processes of capital market instruments, granting the CMB new regulatory powers in the field of sustainability, and defining unfounded publications that damage the reputation of capital market institutions as a crime are also on the agenda. There is no finalized schedule yet regarding the scope of the regulations and when they will be enacted.