Check List for collateral deposit for BSE-CSE arrangement

Fixed Deposit

• Fixed Deposit should be made from a reputed bank with proven Net worth of more than Rs.500/-crore and credit rating (P+) from a RBI recognized credit rating agency or by a reputed foreign credit rating agency.
• The bank has to issue a Fixed Deposit Certificate in the name of “The Calcutta Stock Exchange Association Ltd (CSEA) a/c Member “, No Objection Certificate (NOC) as per the Exchange specified format.
• The Fixed Deposit has to be duly discharged by the Member on the back of the Certificate. (Revenue Stamp, Organisation Stamp with Proprietor or first Qualifying Director Signature)
• The Member has to submit the Fixed Deposit Certificate, NOC issued by the Bank and Covering letter by the Member detailing (mentioning the deposit under BSE-CSE arrangement) about the FD with the Security Department.

Shares

• Current Approved Shares (Sensex & Nifty50 Share) which are displayed on CSE website (www.cse-india.com).
• Member has to submit duly filled up pledge creation form with his respective Depository Participant in the name of (DP Name-CSEA; DP ID-IN001027; Client ID: 10000012) and has to get the receipt copy of the pledge creation form along with agreement number given by the said Depository Participant.
• The Member has to submit three Photocopies of Pledge creation form with the agreement number given by the respective Depository Participant along with a forwarding letter to the Security Department for getting exposure under BSE-CSE arrangement.
• The Member has to submit an original agreement copy as per the Exchange specified format on non-judicial stamp paper of Rs 100/- for pledge of shares with the Security Department.
• After getting pledged confirmation from the depository (NSDL / CDSL) the Member would be given exposure for the pledge share’s value after deducting hair cut (VaR).
• The cash deposit and value of pledge shares should be in the ratio of 50:50 for getting exposure under BSE-CSE arrangement.

Bank Guarantee

• Bank Guarantee should be made from a reputed bank with a proven Net worth of more than Rs.500/-crore and credit rating (P+) from a RBI recognized credit rating agency or by a reputed foreign credit rating agency.

• The Member has to submit Bank Guarantee as per the Exchange specified format on non-judicial stamp paper of Rs 100/- with the Security Department.

• The bank has to issue a Bank Guarantee in the name of “The Calcutta Stock Exchange Association Ltd (CSEA) a/c Member”.
• The Tenure of Bank Guarantee should be of minimum One year.
• The Member has to submit the Bank Guarantee issued by the Bank with the Covering letter (mentioning the deposit under BSE-CSE arrangement) with the Security Department.