On 24th July 2023, the Securities and Exchange Board of India (SEBI) notified SEBI (Stock Brokers) (Second Amendment) Regulations, 2023. This amendment primarily focused on the procedural aspects of registration, regulation 10A, and aimed to streamline the process.
The amendment includes significant changes in the SEBI Stock Brokers Regulations. The most notable adjustment is in regulation 10A, with changes to the existing proviso and the introduction of a new proviso that clarifies that no separate registration is needed for any person registered with the limited purpose clearing corporation participating in the tri-party repo segment for proprietary trades in corporate bonds. The amendment also brings about additional explanations for better understanding of the regulations. Notably, it introduces a new definition for “participant,” aligning it with the stipulations under the Repurchase Transactions (Repo) (Reserve Bank) Directions, 2018.
SECURITIES AND EXCHANGE BOARD OF INDIA
NOTIFICATION
Mumbai, the 24th July, 2023
SECURITIES AND EXCHANGE BOARD OF INDIA (STOCK BROKERS) (SECOND AMENDMENT) REGULATIONS, 2023
No. SEBI/LAD-NRO/GN/2023/140.—In exercise of the powers conferred under section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following regulations to further amend the Securities and Exchange Board of India (Stock Brokers) Regulations, 1992, namely: –
1. These regulations may be called the Securities and Exchange Board of India (Stock Brokers) (Second Amendment) Regulations, 2023.
2. They shall come into force on the date of their publication in the Official Gazette.
3. In the Securities and Exchange Board of India (Stock Brokers) Regulations, 1992,
(1) in regulation 10A,
(a) in the first proviso, after the words “the concerned clearing corporation”, the symbol ‘.’ shall be substituted with the symbol ‘:’;
(b) after the first proviso, the following shall be inserted, namely, –
“Provided further that no separate registration shall be required for any person registered with the limited purpose clearing corporation as a participant for participating in the tri-party repo segment for undertaking proprietary trades in corporate bonds.”
(c) the existing Explanation shall be renumbered as Explanation 1.
(d) after Explanation 1, the following shall be inserted, namely, –
“Explanation 2. – For the purposes of these regulations, “participant” means any person who is an eligible entity as stipulated under the Repurchase Transactions (Repo) (Reserve Bank) Directions, 2018.”
BABITHA RAYUDU, Executive Director
[ADVT.-III/4/Exty./299/2023-24]
Footnotes:
1. The Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) Regulations, 1992, were published in the Gazette of India on October 23, 1992 vide S.O. No. 780 (E).
2. The Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) Regulations, 1992, were subsequently amended on:
a) November 28, 1995 by the SEBI (Payment of Fees) (Amendment) Regulations, 1995 vide S.O. No. 939 (E).
b) January 5, 1998 by SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 1998 vide S.O. No. 13 (E).
c) January 21, 1998 by SEBI (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 1998 vide S.O. No. 75 (E).
d) December 16, 1998 by SEBI (Stock Brokers and Sub-Brokers) (Third Amendment) Regulations, 1998 vide S.O. No. 1078 (E).
e) July 6, 1999 by SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 1999 vide S.O. No. 541 (E).
f) March 14, 2000 by SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2000 vide S.O. No. 234 (E).
g) March 28, 2000 by SEBI (Appeal to Securities Appellate Tribunal) (Amendment) Regulations, 2000 vide S.O. No. 278 (E).
h) August 30, 2000 by SEBI (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 2000 vide S.O. No. 787 (E).
i) May 29, 2001 by SEBI (Investment Advice by Intermediaries) (Amendment) Regulations, 2001 vide S.O. No. 476(E).
j) November 15, 2001 by SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2001 vide S.O. No. 1128 (E).
k) February 20, 2002 by SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2002vide S.O. No. 220 (E).
l) September 27, 2002 by SEBI (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002 vide S.O. No. 1045 (E).
m) September 23, 2003 by the SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2003 vide S.O. No. 1095 (E).
n) November 20, 2003 by the SEBI (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 2003 vide F. No. SEBI /LAD /20795 /2003.
o) March 10, 2004 by the Securities and Exchange Board of India (Criteria for Fit and Proper Person) Regulations, 2004 vide S.O. No. 398(E).
p) August 1, 2006 by the SEBI (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2006 vide S.O. No. 1235 (E).
q) September 7, 2006 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 2006 vide S.O. No. 1447 (E).
r) September 25, 2006 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Third Amendment) Regulations, 2006 vide S.O. No. 1600(E).
s) May 26, 2008 by the Securities and Exchange Board of India (Intermediaries) Regulations, 2008 vide Notification No. LAD-NRO/GN/2008/11/126538.
t) August 11, 2008 by the Securities and Exchange Board of India (Stock Brokers and Sub Brokers) (Amendment) Regulations, 2008 vide Notification No. LADNRO/GN/2008/20/134766.
u) June 29, 2009 by the Securities and Exchange Board of India (Payment of Fees) (Amendment) Regulations, 2009 vide Notification No. LADNRO/ GN/2009-10/11/167759.
v) November 19, 2009 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2009 vide Notification No. LADNRO/GN/2009-10/21/183853.
w) April 13, 2010 by the Securities and Exchange Board of India (Stock Brokers and Sub Brokers) (Amendment) Regulations, 2010 vide Notification No. LADNRO/GN/2010-11/06/1097.
x) April 6, 2011 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2011 vide Notification No. F. No. LAD –NRO/ GN/ 2011 –12/01/11486.
y) April 19, 2011 by the Securities and Exchange Board of India (Change in Conditions of Registration of Certain Intermediaries) (Amendment)Regulations, 2011 vide Notification No. LAD/NRO/GN/2011-12/03/12650.
z) August 17, 2011 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 2011 vide Notification No. LAD-NRO/GN/2011-12/19/26273.
aa) April 5, 2013 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2013 vide Notification No. LAD -NRO/GN/2013-14/01/8129.
bb) September 27, 2013 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 2013 vide Notification No. No. LADNRO/GN/2013-14/25/24775.
cc) May 23, 2014 by the Securities and Exchange Board of India (Payment of Fees) (Amendment) Regulations, 2014 vide Notification No. LAD-NRO/GN/2014-15/03/1089.
dd) October 8, 2014 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2014 vide Notification No. LAD-NRO/GN/2014-15/15/1671.
ee) September 8, 2015 by the Securities and Exchange Board of India (Stock Brokers and Sub- Brokers)(Amendment) Regulations, 2015 vide Notification No. LAD-NRO/GN/2015-16/017.
ff) March 6, 2017 by the Securities and Exchange Board of India (Payment of Fees and Mode of Payment (Amendment) Regulations, 2017 vide Notification No. LAD-NRO/GN/2016-17/037 read with March 29, 2017 by the Securities and Exchange Board of India (Payment of Fees and Mode of Payment) (Amendment) Regulations, 2017 vide Notification No. LAD-NRO/GN/2016-17/038.
gg) July 13, 2017 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers)(Amendment) Regulations, 2017 vide Notification No. LAD -NRO/GN/2017-18/005.
hh) March 13, 2018 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Amendment) Regulations, 2018 vide Notification No. SEBI/LAD-NRO/GN/2018/03.
ii) July 30, 2018 by the Securities and Exchange Board of India (Stock Brokers and Sub-Brokers) (Second Amendment) Regulations, 2018 vide Notification No. SEBI/LAD-NRO/GN/2018/27.
jj) March 22, 2019 by the Securities and Exchange Board of India (Payment of Fees) (Amendment) Regulations, 2019 vide Notification No. SEBI/LAD-NRO/GN/2019/03.
kk) April 17, 2020 by the Securities and Exchange Board of India (Regulatory Sandbox) (Amendment) Regulations, 2020 vide Notification No. SEBI/LAD-NRO/GN/2020/10.
ll) May 08, 2020 the Securities and Exchange Board of India (Payment of Fees) (Amendment) Regulations, 2020vide Notification No. SEBI/LAD-NRO/GN/2020/011.
mm) March 30, 2021 by the Securities and Exchange Board of India (Stock Brokers) (Amendment) Regulations,2021 vide Notification no. SEBI/LAD-NRO/GN/2021/14.
nn) May 05, 2021 by the Securities and Exchange Board of India (Payment of Fees and Mode of Payment) (Amendment) Regulations, 2021 vide Notification no. SEBI/LAD-NRO/GN/2021/23.
oo) August 03, 2021 by the Securities and Exchange Board of India (Regulatory Sandbox) (Amendment) Regulations, 2021 vide Notification no. SEBI/LAD-NRO/GN/2021/30.
pp) February 23, 2022 by the Securities and Exchange Board of India (Stock Brokers) (Amendment) Regulations, 2022 vide Notification no. SEBI/LAD-NRO/GN/2022/73.
qq) January 17, 2023 by the Securities and Exchange Board of India (Stock Brokers) (Amendment) Regulations, 2023 vide Notification no. SEBI/LAD-NRO/GN/2023/116.
rr) February 7, 2023 by the Securities and Exchange Board of India (Payment of Fees and Mode of Payment) (Amendment) Regulations, 2023 vide notification No. SEBI/LAD-NRO/GN/2023/121.
