(9)Section 19(1)(a) of the SFO provides that no person shall operate a stock market unless the person is a recognised exchange company. The SFC may recognise a company as an exchange company if it is satisfied that doing so is in the interest of the investing public or in the public interest or for the proper regulation of the securities markets. The SFC may, after consultation with the public and then with the Financial Secretary of Hong Kong Special Administrative Region, grant recognition to a company as an exchange company. The SFC may also, with the consent of the Financial Secretary, grant recognition to an exchange controller. The recognition may be subject to conditions imposed by the SFC. Once recognised, a recognised exchange company which operates a stock market has the duty to ensure an orderly, informed and fair market in securities traded on its subsidiary exchanges. In accordance with Division 2 to 4 of Part III of the SFO, a recognised exchange company must ensure that risks associated with its business and operations are managed prudently. In discharging these duties, it has to act in the interest of the public, having particular regard to the interest of the investing public, and must ensure that the interest of the public prevails where it conflicts with the interest of the recognised exchange company or that of the recognised exchange controller. The recognised exchange company must comply with any lawful requirement placed on it under any enactment or rule of law and with any other legal requirement.