SEBI : Issuance of Offshore Derivative Instruments by Registered Foreign Institutional Investors (FII).

Securities and Exchange Board of India

IMD DEPARTMENT

EMAIL: [email protected]

WEB-SITE:www.sebi.gov.in

FAX NO: 91 22 22829520

Circular No. IMD/CUST/8/2003

August 8, 2003

To

All Foreign Institutional Investors and

Custodians of Securities Dear Sir / Madam,

Sub: Issuance of Offshore Derivative Instruments by Registered Foreign Institutional Investors (FII).

 Vide our circular FITTC/CUST/14/2001 dated October 31, 2001 , SEBI had directed FIIs who have been issuing offshore derivative/financial instruments against underlying Indian securities to report issuance / renewal / cancellation / redemption of the aforesaid instruments to SEBI as per the format prescribed in the said circular. With a view to monitoring the investment by FIIs through these derivative / financial instruments, it has been decided to revise the format for reporting the issuance / renewal / cancellation / redemption of the aforesaid instruments. The revised formats are enclosed in Annexure-A and Annexure-B.

 Annexure-A is a one time report and to be submitted once only and indicates the outstanding offshore derivatives as on August 15, 2003, information as prescribed in Annexure- B must be submitted for every fortnight (i.e. for the periods from 1^st day of the month to the 15^th day of the same month and from 16^th day of the month till the last day of the month). The information for each fortnight of the month must be submitted within 3 working days from the closure of the fortnight.

The aforesaid information should be submitted in soft copy in Excel by email to email id : [email protected] or [email protected] .

These instructions are issued under Regulation 20 of SEBI (Foreign Institutional Investors) Regulations, 1995 and shall come in force with effect from the second fortnight of August 2003. The enclosed revised reporting format supercedes the previous reporting format prescribed vide our circular no. FITTC/CUST/14/2001 dated October 3, 2001.

A copy of the circular is available at the web page “Foreign Institutional Investors” on our website www.sebi.gov.in . The custodians are requested to bring the contents of this circular to the notice of their FII clients and submit the compliance confirmation in this regard by August 12, 2003 .

 Yours faithfully,

sd/-

SANTOSH SHARMA

DEPUTY GENERAL MANAGER

Encl. :

Annexure A

Annexure B