SEBI notifies increase in Net-worth of stock broker to three crores
The Securities and Exchange Board of India (SEBI) notified the increase in Net-worth of stock brokers to three crores.
In exercise of the powers conferred by Section 30 of the Securities and Exchange Board of India Act, 1992 read with Section 25 of the Depositories Act, 1996, the Board made the Regulations to further amend the Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018.
Notification
The notification substituted the the first, second and third provisos of sub-clause (viii) of clause (a) of regulation 35 of the Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018, with the, proviso stated – “Provided that the stock broker shall have a networth of rupees three crores {within one year of the date of notification of the Securities and Exchange Board of India (Depositories and Participants) (Amendment) Regulations, 2022}, which shall be increased to rupees five crores {within two years of the date of notification of the Securities and Exchange Board of India (Depositories and Participants) (Amendment) Regulations, 2022}: Provided further that a self-clearing member fulfilling the networth requirements as provided under the Securities and Exchange Board of India (Stock Brokers) Regulations, 1992 shall also be eligible to register as a depository participant.”
