December 7, 2004
Members are hereby informed that SEBI has issued a circular no.
MAPIN/Cir-37/2004 dated 27/10/2004 on the aforesaid matter and advised the
Exchange to notify the circular amongst member brokers/ sub-brokers of the
Exchange.
Quote :
Dear Sir/Madam,
Sub: SEBI (Central Database of Market
Participants) Regulations, 2003
1. The SEBI (Central Database of Market Participants) Regulations, 2003
were notified on November 20, 2003 and subsequently amended vide SEBI (Central
Database of Market Participants) (Amendment) Regulations, 2004notified on July
21, 2004.
2. Pursuant to clause (g-) of sub regulation (1) of Regulation 2 of the
captioned Regulations, SEBI has appointed the National Securities Depositories
Limited (NSDL), as the Designated Service Provider for the purpose of the said
Regulations.
3. Further, under Regulation 2 (1) (v) read with Regulation 6 of the
captioned Regulations, SEBI is empowered to notify ‘specified investors’. SEBI
vide notification dated July 30, 2004 has already notified certain categories
of investors as specified investors.
4. In continuation of the above, pursuant to the notification dated
September 28, 2004 issued under the captioned Regulations, SEBI has, interalia,
specifiedas under:
4.1. All resident investors not being bodies corporate who enter into any
securities market transaction (including any transaction in the primary market
or secondary market in any listed securities and any transaction in units of
mutual funds or collective investment schemes) of value of one lakh rupees or
more, as ‘specified investors’, who are required to obtain a UIN before March
31, 2005.
4.2.
Foreign institutional investors, sub-accounts and foreign venture capital
investors as ‘specified investors’ who are required to obtain a UIN before
March 31, 2005.
5. The
aforesaid specified investors, who are required to obtain a UIN under the said
Regulations, may contact NSDL or any Point of Service (POS) mentioned in the
Annexure for the purpose of making an application.
1. While making the application,
6.1.
it is mandatory for the applicant who is a natural person to providebiometric
impressions of the left thumb, left index finger, right thumb and right index
finger and photograph electronically on the system of the Designated Service
Provider.
6.2.
an applicant shall ensure that he furnishes correct and true information.
Attention is invited to Regulation 15 which prohibits a person from making a
false statement or misrepresentation of any fact in any application made to the
Designated Service Provider and Regulation 20 which specifies the
action
for false information.
2. Please note that with effect from April 1, 2005, according to the
provisions of
7.1.
sub-regulation (1) of regulation (6) of the captioned regulations, no specified
investor not being a body corporate shall buy, sell or deal in any securities
which are listed on any recognized stock exchange or in units of a mutual fund
or a collective investment scheme or subscribe to securities which are proposed
to be listed in any recognized stock exchange or units of a mutual fund or a
collective investment scheme unless such specified investor has been allotted a
UIN by March 31, 2005.
7.2.
sub-regulation (3) of regulation 6 of the captioned regulations, no specified
investor being a Foreign Institutional Investor, a sub -account or a Foreign
Venture Capital Investor shall buy, sell or deal in any securities which are
listed on any recognized stock exchange or in units of a mutual fund or a
collective investment scheme or subscribe to securities which are proposed to
be listed in any recognized stock exchange or units of a mutual fund or a
collective investment scheme unless such specified
investor,
has been allotted a UIN by March 31, 2005.
8. It
may also be noted that the specified investors after being allotted UIN have
the continuing obligation to intimate changes, if any, in the particulars
submitted to the MAPIN Database within 30 days.
9. Contravention of the above would invite action as specified in
Regulation 19 of the captioned Regulations.
10. The SEBI Regulations, Notifications and application forms are
available on the SEBI Website www.sebi.gov.in as also on the NSDL website http://mapin.nsdl.com.
11. The stock exchanges are advised to,
11.1.make necessary amendments to the relevant bye-laws, rules and
regulations for the implementation of the above decisions immediately, as may
be applicable.
11.2.bring the provisions of this circular to the notice of the member
brokers/ clearing members/ sub-brokers of the Exchange and also to disseminate
the same on the website.
11.3.communicate to SEBI, the status of the implementation of the
provisions of this circular in Section II, item no. 13 of the Monthly
Development Report for the month of October 2004.
12. The mutual funds are advised to,
12.1.report the status of compliance to the provisions of this circular
to SEBI in all the Compliance Test Reports as well as the Half Yearly Trustee
Reports.
12.2.bring the provisions of this circular to the notice of the investors
of the mutual fund and also to disseminate the same on the website.
13. This circular is being issued in exercise of powers conferred under
Section 11 (1) of the Securities and Exchange Board of India Act, 1992, to
protect the interest of investors in securities and to promote the development
of, and to regulate the securities market.
Yours faithfully,
Unquote
:
Members are requested to comply with the aforesaid provisions as
mentioned in the circular.
CSEA