The Cyprus Securities and Exchange Commission was established in accordance with section 5 of the Cyprus Securities and Exchange Commission (Establishment and Responsibilities) Law of 2001 as a public corporate body.
The Cyprus Securities and Exchange Commission is administrated by a five member Board which is composed of the Chairman, the Vice-Chairman that provide their services at complete and exclusive employment. In addition, the Board is composed of three other members. In the Board's meetings a representative of the Governor of the Central Bank is represented, whom has the right to register subjects in the agenda, to participate in the discussions and to express opinions but deprived the right of vote.
The members of Board are named by the Council of Ministers following a proposal of the Minister of Finance and their service is a five-year term with the exception of the service of the Vice-Chairman and two from the other members that are named for first time, which is four-year and three-year respectively so as to ensure the continuity in the composition of the Commission. The service for all the members is renewable for five additional years.
The Cyprus Securities and Exchange Commission has the following responsibilities:
1. To supervise and control the operation of the Stock Exchange and the transactions carried out in the Stock Exchange. 2. To supervise and control the issuers of securities listed on the Stock Exchange, the Licensed Investment Services Companies as well as the Collective Investment Schemes. 3. To carry out inspections over companies, the securities of which are listed on the Stock Exchange, over brokers and brokerage firms, investment consultants, mutual fund management companies. 4. To request and collect information necessary for the exercise of its responsibilities, to demand in writing the provision of information from all natural or legal persons or organisations that are considered to be in a position to provide such information. 5. To grant operation licences to investment firms, including investment consultants, brokerage firms and brokers. 6. To recall these operation licences for special reasons, as it is more specifically determined in Regulations that are published in accordance with the Law of Establishment of the Cyprus Securities and Exchange Commission. 7. To impose administrative sanctions and disciplinary penalties to brokers, brokerage firms, investment consultants as well as to in any other legal or natural person whom fall under the provisions of the Stock Market legislation.