Clarification on dealings between a client and a stock broker
Summary
This circular extends the compliance deadline for stock brokers regarding client dealings from March 31, 2010, to June 30, 2010. Stock exchanges are directed to notify brokers, amend bye-laws for uniformity, and report implementation status to SEBI. The order is issued under Section 11(1) of the SEBI Act, 1992.
Text
The stock brokers are now directed to ensure the full compliance of the said circular dated December 3, 2009 in respect of all clients-existing and new - latest by June 30, 2010.
bring the provisions of this circular to the notice of the Stock Brokers and also disseminate the same on their websites.
make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the above decision in co-ordination with one another to achieve uniformity in approach.
communicate to SEBI, the status of the implementation of the provisions of this circular in their Monthly Development Reports.
This circular is issued in exercise of powers conferred under Section 11(1) of the Securities and Exchange Board of India Act, 1992 to protect the interests of investors in securities and to promote the development of, and to regulate the securities markets.
Source: SecMarx — Clarification on dealings between a client and a stock broker. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.