The OSC yesterday released proposed amendments to CDS rules that would allow CDS to take immediate action in an "emergency situation" to ensure the safe, fair and efficient operation of its operations.

Authority in such a situation would include, but not be limited to: (i) declining to enter into any transaction; (ii) causing a market participant's suspension; (iii) terminating access to CDXS for all participants; (iv) effecting close-out; and (v) effecting liquidation processes; (vi) taking reasonable action to preserve the integrity of capital markets or the public interest; and/or (vii) taking any other reasonable actions to preserve the integrity and security of CDS.

The proposals are open for a 30-day comment period.