Relaxation in timelines for compliance with regulatory requirements
Summary
SEBI extends compliance timelines for Depository Participants and Registrars to an Issue & Share Transfer Agents due to the COVID-19 pandemic. The extension covers specific regulatory requirements such as demat request processing, internal audit reports, and investor grievance redressal until July 31, 2020. Additionally, the reporting timeline for Artificial Intelligence and Machine Learning by Trading and Clearing Members is extended.
Text
it has been decided to further extend the timelines for compliance with the regulatory requirements by DPs / RTAs, mentioned in the SEBI circulars, as under:
Processing of the demat request form by Issuer / RTA. Period of exclusion shall be from March 23, 2020 till July 31, 2020.
Processing of the demat request form by the Participants. A 15-day time period after July 31, 2020 is allowed to Depository / DPs, to clear the backlog.
Submission of half yearly Internal Audit Report (IAR) by DPs for half year ended on 31st March 2020. July 31, 2020
Redressal of investor grievances. Transmission of securities. Closure of demat account. Period of exclusion shall be from March 23, 2020 till July 31, 2020. A 15-day time period after July 31, 2020 is allowed to Depository / DPs, to clear the backlog.
the timeline for Reporting of Artificial Intelligence and Machine Learning by Trading Members (TM) / Clearing Members (CM) is extended till July 31, 2020 for the quarter ending on June 30, 2020.
All other conditions specified in the aforementioned circulars shall continue to remain applicable.
Stock Exchanges, Clearing Corporations and Depositories are directed to bring the provisions of this circular to the notice of their members / participants and also disseminate the same on their websites.
This circular is issued in exercise of powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992, and Section 19 of the Depositories Act, 1996 to protect the interests of investors in securities and to promote the development of, and to regulate the securities markets.
Source: SecMarx — Relaxation in timelines for compliance with regulatory requirements. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.