Reference to our Circular dated March 12, 2007 on the above subject, the following persons shall be deemed as relatives in accordance with Section 6 read with Schedule 1A of the Companies Act, 1956.
“S. 6. A person shall be deemed to be a relative of another if, and only if,
(a) they are members of a Hindu undivided family; or
(b) they are husband and wife; or
(c) the one is related to the other in the manner indicated in Schedule IA.”
1. Father
2 Mother (including step-mother)
3 Son (including step-son)
4 Son’s wife
5 Daughter (including step-daughter)
6 Father’s father
7 Father’s mother
8 Mother’s mother
9 Mother’s father
10 Son’s son
11 Son’s son’s wife
12 Son’s daughter
13 Son’s daughter’s husband
14 Daughter’s husband
15 Daughter’s son
16 Daughter’s son’s wife
17 Daughter’s daughter
18 Daughter’s daughter’s husband
19 Brother (including step-brother)
20 Brother’s wife
21 Sister (including step sister)
For Cochin Stock Exchange Ltd.
Sd/-
(GOPIKA P.)
Manager – Legal & Compliance
Ref: SE/L/461/2006 18th December, 2006
N O T I C E TO M E M B E R S
Sub: Final opportunity for members of the Promoter Exchanges to register themselves as Trading Members of ISE in accordance with the scheme of admission formulated earlier
We have received a letter (page1 page2) from Inter-connected Stock Exchange of India Limited regarding the final opportunity for members of the Promoter Exchanges who are interested in becoming Trading Members of ISE as per the terms and conditions stipulated by ISE.
The last date for submitting applications with ISE is on or before January 15, 2007.
It may be noted that this is the last opportunity provided by ISE. Interested Members may submit the completed applications for ISE Membership before the last date.
(GOPIKA P.)
Legal Officer
Ref: SE/A/580/2006 October 14, 2006
PRESS RELEASE
Cochin Stock Exchange signs MoU with NSE.
Cochin Stock Exchange has entered into a Memorandum of Understanding with National Stock Exchange to facilitate trading on NSE. Presently the trading is being carried out through the Exchange Subsidiary and the members acting as sub-brokers. Under the new arrangement, members of the Cochin Stock Exchange, would be permitted to trade on NSE directly. No separate registration would be required for this. The Members trading on NSE under this arrangement, would issue contract notes as a Member of Cochin Stock Exchange. CSE would monitor the compliance requirement of the members pertaining to risk management, exposure limits, margin requirements, capital adequacy norms etc. The MoU also envisages that shares listed at Cochin Stock Exchange, but not listed on NSE can be traded on the NSE as permitted securities, subject to entry and other conditions as may be prescribed in this regard.
The arrangement would provide cost advantage in terms of initial investment and operating costs to the Members to trade on NSE. It would also provide liquidity for the stocks listed on CSE by allowing it to be traded on NSE under permitted securities category. The arrangement would be implemented subject to prior approval of SEBI for which Exchange is making an application.
For Cochin Stock Exchange Ltd.
R.K. PILLAI
EXECUTIVE DIRECTOR
Ref: SE/A/566/2006 October 6, 2006
SEBI has notified the SEBI (Stock Brokers and Sub Brokers) (Third Amendment) Regulations 2006 vide notification No S.O.1600(E) dated 25th September 2006. Schedule III A has been newly introduced and Schedule IV has been amended.
By virtue of the new Schedule IIIA , a new fee structure has been introduced. Since brokers are presently ruled by Schedule III in the matter of payment of SEBI fee, the points of time at which the new schedule III A would be applicable is as follows:
Schedule III A - Part A – Applicability
1. This schedule shall apply to stock brokers from the following points of time:
(a) All stock brokers who are granted registration by the Board on or after the first day of October, 2006 – upon grant of such registration;
(b) All stock brokers who were granted registration by the Board on or after the first day of April, 2006, but before the first day of October, 2006 – from the first day of October, 2006;
(c) All stock brokers who have not completed five financial years from the date of grant of registration by the Board, as on the thirty first day of March, 2006 – upon completion of ten financial years from the date of grant of registration by the Board;
(d) All stock brokers who have completed five financial years from the date of grant of registration by the Board, as on the thirty first day of March, 2006 –
upon completion of the current block of five financial years, within the meaning of item I(1)(c) of Schedule III;
(e) All stock brokers falling under sub-clauses (c) or (d), who opt in accordance with clause 2 to be governed by the provisions of this Schedule – from such date as may be specified by the Board.
2. Stock brokers falling under sub-clauses (c) or (d) of clause 1 may opt to pay fees in accordance with this Schedule before completion of the relevant time periods mentioned in those sub-clauses, by exercising an option in writing to that effect and communicating it to the Board, in such manner and within such time as may be specified by the Board.
The new fee structure as described in Part B to Schedule IIIA is as given below:
|
Sl. No. |
Nature of the securities transaction |
Rate of fee |
|
a. |
All sale and purchase transactions in securities other than debt securities |
0.0002 per cent of the price at which the securities are purchased or sold (Rs. 20/- per crore) |
|
b. |
All sale and purchase transactions in debt securities |
0.00005 per cent of the price at which the securities are purchased or sold (Rs. 5/- per crore) |
However, the Stock Broker will be liable to pay the fee that has accrued until the new rules become applicable.
The manner of payment and recovery detailed in Part C to Schedule IIIA amongst others emphasizes that the fee shall be paid during every calendar month to the respective Stock Exchanges. In case the Stock Broker defaults the payment or pays the fee belatedly, he shall be liable to pay interest @15% p.a. for every month of delay or part thereof. He shall also be liable to any other action that may be taken under the Act, Rules or Regulations.
In the result, Brokers who desire to switch over to the new fee structure in accordance with the provisions contained in Clause 1 (e) and Clause 2 of Part A to Schedule IIIA may exercise an option in writing to that effect in the prescribed format and address the same to the Exchange.
In this connection brokers are advised as follows:
A. As per sub clause 2 of Schedule III A of Regulations, Stock brokers falling under sub clause (c) and (d) of clause 1 of Schedule III A of Regulations, may opt to pay fees in accordance with this schedule with effect from October 01, 2006 or April 01, 2007 for which written consent to be given to the stock exchange on or before 31st day of October, 2006 or 28th day of February, 2007 respectively, in the format specified.
B. As per clause 5(1) (b) of Schedule III A of Regulations, fee is payable in respect of off market transactions entered into by stock brokers and which are reported to that stock exchange. The stock brokers having multiple memberships are required to report off market transactions on the respective stock exchanges and shall be required to pay the fees only at the one stock exchange as opted by the stock broker. For this purpose the stock broker shall be required:
(i) to express in writing the name of the stock exchange where the off market transactions be included for the payment of fees.
(ii) to intimate the respective stock exchanges where he is having multiple membership about his intention for inclusion of off market transaction in the chosen stock exchange.
A declaration with respect to (A) and (B) above shall also be given to the Exchange by the stock brokers.
PB: Kindly refer to the Securities and Exchange Board of India (Stock Brokers and Sub-brokers) (Third Amendment) Regulations 2006 and also SEBI’s Circular No. MIRSD/DR-1/FC/Cir-15/2006 dated September 29, 2006 and the corrigendum to the said circular.
Sd/-
(GOPIKA P.)
Legal Officer
