COBS 14.4.4 Client money received after the Failure of the Authorised Person

(a) Subject to Rule 14.4.3, Client Money received by the Authorised Person after a Primary Pooling Event in respect of a Statutory Trust must not be pooled with Client Money held in any Client Account operated by the Authorised Person either in respect of that Statutory Trust or any other Statutory Trust at the time of the Primary Pooling Event. Such Client Money must instead be placed in a Client Account that has been opened after that event and must be handled in accordance with the requirements in Rule 14.2, and returned to the relevant Client(s) without delay, except to the extent that:
(i) it is Client Money relating to a transaction that has not settled at the time of the Primary Pooling Event; or
(ii) it is Client Money relating to a Client, for whom the Client Equity Balance, calculated in accordance with Rules 14.4.3(n), 14.4.3(o) and 14.4.3(p), shows that Money is due from the Client to the Authorised Person at the time of the Primary Pooling Event.
(b) [Deleted]
(c) If an Authorised Person receives a mixed remittance after a Primary Pooling Event, it must:
(i) pay the full sum into the separate Client Account opened in accordance with (a); and
(ii) pay the money that is not Client Money out of that Client Account into an Authorised Person's own account within one Business Day of the day on which the Authorised Person would normally expect the remittance to be cleared.
(d) Whenever possible the Authorised Person should seek to split a mixed remittance before the relevant accounts are credited.
(e) If both a Primary Pooling Event and a Secondary Pooling Event occur, the provisions of this section relating to a Primary Pooling Event apply.