The US Commodity Futures Trading Commission (CFTC) has issued a time-limited no-action letter it will not take enforcement action against Clearing Corporation of India Ltd (CCIL) for failing to register as a derivatives clearing organisation (DCO).
The no-action relief is limited to CCIL’s clearing of Indian Rupee-denominated interest rate swaps and Indian Rupee-denominated forward rate agreements for the proprietary trades of US clearing members.
The no-action relief is effective until the earlier of 31 December 2014, or the date upon which the Commission either registers CCIL as a DCO under Section 5b(a) of the CEA or exempts CCIL from registration under Section 5b(h) of the CEA.
The no-action letter is consistent with earlier no-action letters granting relief with respect to the clearing of proprietary trades of US clearing members.
