Article 242 of Bankruptcy Law

The issuance of the decisions provided for in this Law, including the decision opening proceedings or the decision ratifying the preventive settlement proposal or the restructuring plan, or the issuance of a judgment declaring bankruptcy, shall not affect the securities settlement and clearing procedures conducted through the clearing agency or central intermediary. Those procedures shall remain subject to the provisions of the aforementioned Law No. 7 of 2010 and the rules applicable at the stock exchange and approved by the Authority. The collateral provided by the debtor or the real-security guarantor, or the debtor’s funds deposited to serve the settlement and clearing system, shall not be included among the assets subject to this Law, to the extent necessary to secure settlement and clearing operations. The clearing agency or central intermediary shall have preferential rights over these assets for the two years preceding the issuance of the decision opening bankruptcy declaration proceedings and for the current year. The clearing agency or central intermediary shall have the right to terminate the terms of existing contracts in respect of a debtor who has ceased payment or is likely to cease payment. Eighth Subdivision Recovery