We have devised guidelines for making applications complete in all respects. A copy of the same is being enclosed for your perusal. Co-operation from the Stock Exchanges will help us immensely in registering and regulating this class of capital market intermediaries.
In case of new issues, the stock exchanges decided that they would reach an agreement whereby every exchange would grant listing permission to the company’s share individually, but would allow trading only after the shares are granted listing permission by all stock exchanges named in the prospectus for enlisting of shares.
The decisions above are to be implemented immediately. The status of implementation should be reported in the monthly D.O. letters and also through separate letters to the Division Chief, Market Intelligence Division of SEBI.
he stock exchanges are required to double their existing base minimum capital requirement for their members from Rs. 5 lakhs to Rs. 10 lakhs in the case of Bombay and Calcutta Stock Exchange, from Rs. 3.5 lakhs to Rs. 7 lakhs in the case of Delhi and Ahmedabad Stock Exchange and from Rs. 2 lakhs to Rs. 4 lakhs in the case of other stock exchanges.
Needless to mention that automation of stock exchanges is on priority agenda of SEBI. It is advised that all efforts are made to adhere to the schedule above for introduction of on-line trading system by the respective stock exchanges.
The major stock exchanges will set up Investor Information Centres to provide information about the rights and obligations of investors as well as about the listed companies on the stock exchanges.
The Stock Exchange is requested to ensure that hence- forth the notices of such meeting reach the concerned SEBI nominee Directors on the Exchanges well in time.
In this connection, it is observed that while the Exchanges seek prior approval of SEBI for the appointment of Executive Director, all exchanges have not sought approval from SEBI for the constitution of the Committee for selection of Executive Director.
