# The Uncertificated Securities Regulations 2001, Paragraph 25


An Operator’s rules and practices—
(a) must bind system-members and participating issuers—
(i) so as to ensure the efficient processing of transfers of title to uncertificated units of a security in response to Operator-instructions; and
(ii) as to the action to be taken where transfer of title in response to a system-member instruction or an Operator-instruction cannot be effected;
(b) must make provision as to the manner in which a system-member or the relevant participating issuer may change the form in which that system-member holds units of a participating security (other than a wholly dematerialised security);
(c) must make provision for a participating issuer to cease to participate in respect of a participating security so as—
(i) to minimise so far as practicable any disruption to system-members in respect of their ability to transfer the relevant security; and
(ii) to provide the participating issuer with any relevant information held by the Operator relating to the uncertificated units of the relevant security held by system-members;
(d) must make provision for the orderly termination of participation by system-members and system-participants whose participation is disruptive to other system-members or system-participants or to participating issuers;
(e) must make provision—
(i) as to which of the Operator’s records are to constitute an Operator register of securities in relation to a participating security, or a participating security of a particular kind; and
(ii) as to the times at which, and the manner in which, a participating issuer may inspect an Operator register of securities in accordance with paragraph 12;
(f) if they make provision for the designation of a subsidiary undertaking as a relevant nominee, must require that the relevant nominee maintain adequate records of—
(i) the names of the persons who have an interest in the securities it holds; and
(ii) the nature and extent of their interests; and
(g) must make provision for the authentication by the Operator of any written notification given under regulation 25(3) or 32(2)(c).

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Source: https://www.legislation.gov.uk/ukdsi/2001/0110387449/schedule/1/paragraph/25 (the official version)
Page: https://openlegislation.uk/draft-uncertificated-securities-regulations-2001/schedule-1/paragraph-25
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.