Advisory Committee at Market Infrastructure Institutions (MIIs)
Summary
SEBI issues a circular modifying previous regulations regarding the composition of statutory committees at Market Infrastructure Institutions. The decision exempts the Advisory Committee from specific quorum and membership ratio requirements to facilitate broader participation by trading and clearing members. MIIs are directed to implement these changes, notify their members, and report the status to SEBI.
Text
Clause 6 of the aforementioned circular shall not be applicable to the advisory committee at MIIs towards enabling wider participation of members of MIIs in the said advisory committee.
Clause 6 of the aforementioned circular shall also not be applicable to Advisory Committee, along-with IGRC.
The below stated clause provided in composition of advisory committee... shall stand deleted: ‘The number of PIDs shall not be less than the total of number of shareholder directors and trading members / clearing members / depository participants [as applicable] put together’.
MIIs are directed to take necessary steps to put in place systems for implementation of the circular, including necessary amendments to the relevant bye-laws, rules and regulations.
MIIs are directed to bring the provisions of this circular to the notice of their members and also disseminate the same on their websites.
MIIs are directed to communicate to SEBI, the status of implementation of the provisions of this circular in the Monthly Development Report.
This circular is being issued in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with Section 10 of the Securities Contracts (Regulation) Act, 1956 and Section 19 of the Depositories Act, 1996.
Source: SecMarx — Advisory Committee at Market Infrastructure Institutions (MIIs). Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.