Securities and Exchange Board of India (Vault Managers) Regulations, 2021
Summary
This part covers the preliminary and registration chapters of the Securities and Exchange Board of India (Vault Managers) Regulations, 2021 as amended up to February 10, 2025. It defines key terms including Act, Board, Vault Manager, Electronic Gold Receipt, Recognized vault and Vaulting service and prescribes the application process for registration. It lays down eligibility criteria requiring applicants to be body corporates incorporated in India with minimum net worth of fifty crores and specified infrastructure, insurance, financial security deposit and Standard Operating Procedure. This part comprises Regulations 5 to 15 of the Vault Manager framework covering registration processing, grant, conditions, validity, refusal and surrender. It prescribes the Board's consideration criteria under Regulation 6, the three-step grant procedure under Regulation 7, and conditions under Regulation 8 including continuous net-worth maintenance and prior Board approval for change in control. It imposes detailed duties on Vault Managers regarding Electronic Gold Receipts, segregation of activities, five-year record preservation and indemnification of depositors. This part prescribes the Code o
Text
These regulations may be called the Securities and Exchange Board of India (Vault Managers) Regulations, 2021.
They shall come into force on the date of their publication in the Official Gazette.
"Act" means the Securities and Exchange Board of India Act, 1992 (15 of 1992);
"Accredited refineries" means refineries empanelled by the Stock Exchanges;
"Assayer" means a person engaged in the process of assessing the purity or quality of gold;
"Beneficial Owner" means a person whose name is recorded as such with a depository/depository participant;
"Board" means the Securities and Exchange Board of India established under section 3 of the Act;
"Change in control" in case of a body corporate – (A) if its shares are listed on any recognised stock exchange, shall be construed with reference to the definition of control in terms of regulations framed under clause (h) of sub-section (2) of section 11 of the Act; (B) if its shares are not listed on any recognised stock exchange, shall be construed with reference to the definition of control as provided in sub-section (27) of Section 2 of the Companies Act, 2013 (18 of 2013);
"Depositor" means a person who owns the gold deposited with the vault for creation of Electronic Gold Receipt and its trading on recognized stock exchange;
"Electronic Gold Receipt" shall have the meaning assigned to it under the Securities Contracts (Regulation) Act, 1956;
"Gold standard" means the purity and standard of gold as specified by the recognized stock exchanges;
"Nominated agencies" means agencies nominated by the Directorate General of Foreign Trade for import of Gold under the Foreign Trade (Development and Regulation) Act, 1992;
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Source: SecMarx — Securities and Exchange Board of India (Vault Managers) Regulations, 2021. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.