India

Market Infrastructure

ESMA Recognises India’s MCX Clearing Corp as Third Country CCP

By Editors | 09/12/2019

The recognition allows European participants to apply lower risk weights on their exposures to MCX CCL, which will translate to lower capital requirements.

Securities / Derivatives

SEBI Proposes Mandatory Benchmarking of Alternative Investment Funds

By Editors | 09/12/2019

Alternative investment funds with at least a three-year track record will have to be benchmarked against industry peers and their performance disclosed to investors.

Capital / Liquidity

India Finalises ‘On-Tap’ Licensing Regime for Small Finance Banks

By Editors | 06/12/2019

India’s central bank has issued its final guidelines for ‘on-tap’ licensing of small finance banks, doubling the minimum capital requirement to 2 billion rupees.

AML / KYC

India’s Cabinet Approves Personal Data Protection Bill

By Editors | 06/12/2019

Under the bill, major violations of data privacy norms can be penalised with jail terms, or monetary fines up to 150 million rupees or 4% of a company’s worldwide turnover, whichever is higher.

Enforcement

Major Indian Bourses Suspend Karvy Trading Licences

By Editors | 04/12/2019

BSE, NSE, MCX, MSEI suspend Karvy Stock Broking; NSDL returns to 90% of clients the securities that were illegally pledged at lenders by Karvy.

India’s DHFL to Undergo NCLT Bankruptcy Proceedings

By Editors | 03/12/2019

The National Company Law Tribunal has allowed the RBI to start insolvency proceedings against the troubled mortgage lender Dewan Housing Finance Limited under the new bankruptcy rules for financial firms.

Securities / Derivatives

SEBI Sets Earlier Cut-Off Time for Commodity Margin Computations

By Editors | 03/12/2019

The 5pm cut-off, compared to 11.30pm currently, will make it easier for trading members to compute and collect client margins, effective from April 2020.

Securities / Derivatives

SEBI Lists Permissible Jurisdictions for Depository Receipts Issuance

By Editors | 02/12/2019

Indian companies will be allowed to issue depository receipts on exchanges in the US, Japan, Korea, the UK, France, Germany, Canada, and India’s own international financial centre known as Gift City.

Enforcement

SEBI Probes Exchanges, Brokers for Failure to Detect Karvy Fraud

By Editors | 29/11/2019

An NSE audit found that Karvy Stock Broking pledged 20 million rupees in client securities with various lenders to raise funds for its own use.