Several international dealers have been exempted by the Ontario Securities Commission from the electronic funds transfer requirements of the National Registration Database.

Under the NRD rules, registrants are required to open an account with a member of the Canadian Payments Association from which fees may be paid with respect to NRD by electronic pre-authorized debit. However, for foreign firms that are having trouble setting up local accounts for this purpose, regulators are waiving the requirement provided the firms meet two conditions.

Foreign firms must make acceptable alternative arrangements with CDS Inc. for the payment of NRD fees. The must also pay participation fees to the OSC by cheque, draft, money order or other acceptable means at the time of filing its application for annual renewal, and pay any applicable activity fees by acceptable means at the appropriate time.

Staff of the Canadian Securities Administrators has indicated that it is prepared to recommend waiving the fee normally required to accompany applications for discretionary relief, with respect to applications from international dealers and international advisers for relief from the requirement.

About 10 firms have so far received similar relief.