## Report on the Securities and Exchange Board of India Intermediaries Amendment Regulations, 2022
**1. Executive Summary:**
This report analyzes the Securities and Exchange Board of India (SEBI) Intermediaries Amendment Regulations, 2022, as published in the Gazette of India on August 1, 2022. This amendment modifies the Securities and Exchange Board of India Intermediaries Regulations, 2008. The core purpose of the amendment is to replace the term "designated member" with "competent authority" and to define the scope and authority of this competent authority. This change aims to clarify and potentially streamline the decision-making process within SEBI related to intermediaries.
**2. Introduction:**
This report provides an overview and analysis of the Securities and Exchange Board of India Intermediaries Amendment Regulations, 2022, based solely on the provided official text. It aims to inform affected industry stakeholders about the key changes introduced by this amendment.
**3. Policy Overview:**
* This amendment modifies the **Securities and Exchange Board of India Intermediaries Regulations, 2008.**
* The core objective of the amendment is to **clarify and redefine the authority responsible for specific regulatory functions** related to intermediaries, replacing "designated member" with a more clearly defined "competent authority."
**4. Background and Rationale:**
This amendment likely aims to address potential ambiguities or limitations in the original 2008 regulations concerning the designation and scope of authority of the "designated member." The change suggests a need for a more clearly defined and potentially higher-ranking authority to oversee matters related to intermediaries. Defining the term "competent authority" makes the application of the regulations less open to interpretation.
**5. Key Provisions / Changes:**
This amendment introduces the following key changes:
* **Change 1:** The term "designated member" is replaced with "competent authority" wherever it appears in the 2008 regulations.
* **Change 2:** Regulation 22, clause c, is substituted with the following definition: "competent authority means a Whole Time Member or an officer of the Board, not below the rank of a Chief General Manager, as may be designated for the purpose by the Board."
* **Effect:** This change explicitly defines the "competent authority" as either a Whole Time Member or a Chief General Manager-level officer of SEBI, designated by the Board. This provides clarity on who can exercise specific powers and responsibilities related to intermediaries.
* **Change 3:** Regulation 24, sub-regulation 1 is substituted by the following: "The Board may approve the initiation of proceedings for any default of the nature specified in regulation 23 against any person who has been granted a certificate of registration under the Act and regulations made thereunder."
* **Effect:** This change clarifies that the board may approve the initiation of proceedings for any default specified in regulation 23 of any person registered under the act.
**6. Target Audience and Stakeholders:**
The primary target audience and stakeholders for these amendments are:
* **Securities Intermediaries:** Entities registered with SEBI under the Securities and Exchange Board of India Act, 1992 and related regulations.
* **Securities and Exchange Board of India (SEBI):** Particularly Whole Time Members, Chief General Managers, and other officers involved in the regulation and oversight of intermediaries.
**7. Implementation Aspects (Inferred):**
* **Responsible Agency:** The Securities and Exchange Board of India (SEBI) is the responsible agency for implementing these amendments.
* **Timelines:** The amendments came into force on the date of their publication in the Official Gazette: August 1, 2022.
* **Procedures:** SEBI will need to update its internal procedures and manuals to reflect the change from "designated member" to "competent authority" and to ensure that the designated "competent authorities" are properly informed and trained on their responsibilities. SEBI will need to ensure that actions are being taken by the competent authority.
**8. Expected Outcomes / Impact of Changes:**
The likely intended outcomes of these changes are:
* **Increased Clarity and Accountability:** By defining the "competent authority," the amendments should reduce ambiguity and increase accountability in SEBI's regulatory processes related to intermediaries.
* **Streamlined Decision-Making:** Designating specific individuals at a senior level (Whole Time Member or Chief General Manager) as the "competent authority" may streamline decision-making processes.
* **Enhanced Regulatory Oversight:** The clarification of authority may lead to more effective and consistent regulatory oversight of securities intermediaries.
**9. Conclusion:**
The Securities and Exchange Board of India Intermediaries Amendment Regulations, 2022, represent a clarification of authority and responsibility within SEBI's regulatory framework for intermediaries. By replacing "designated member" with a more clearly defined "competent authority," the amendments aim to improve the efficiency, accountability, and effectiveness of SEBI's regulatory oversight in this crucial area of the securities market. The change should be noted by all affected entities and stakeholders within the industry.
Key Entities Referenced
NEW DELHI: Capital of India, location where the notification was issued.
Securities and Exchange Board of India: Regulatory body in India for the securities market. Also referred to as 'the Board'.
Securities and Exchange Board of India Act, 1992: The act of Indian parliament that established the Securities and Exchange Board of India and gave it statutory powers.
Securities and Exchange Board of India Intermediaries Regulations, 2008: Regulations pertaining to intermediaries in the Indian securities market, subject to amendments.
Securities and Exchange Board of India Intermediaries Amendment Regulations, 2022: The regulation that amends the Securities and Exchange Board of India Intermediaries Regulations, 2008
Official Gazette: The official publication where government notifications are published.
Madhabi Puri Buch: Chairman of the Securities and Exchange Board of India.
Securities and Exchange Board of India Stock Brokers and Sub Brokers Amendment Regulations, 2008: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Intermediaries Amendment Regulations, 2009: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Foreign Portfolio Investors Regulations, 2014: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Intermediaries Amendment Regulations, 2016: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Intermediaries Amendment Regulations, 2017: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Regulatory Sandbox Amendment Regulations, 2020: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Intermediaries Amendment Regulations, 2021: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Intermediaries Second Amendment Regulations, 2021: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Regulatory Sandbox Amendment Regulations, 2021: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Securities and Exchange Board of India Intermediaries Third Amendment Regulations, 2021: Amendment regulations to the Securities and Exchange Board of India Intermediaries Regulations, 2008
Mumbai: City in Maharashtra, India; location of the Securities and Exchange Board of India.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-एम.एच.-अ.-01082022-237793
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असाधारण
EXTRAORDINARY
भाग III—खण् ड 4
PART III—Section 4
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 379] िई ददल्ली, सोमिार, अगस्ट्त 1, 2022/श्रािण 10, 1944
No. 379] NEW DELHI, MONDAY, AUGUST 1, 2022/SHRAVANA 10, 1944
भारतीय प्रजतभजू त और जिजिमय बोडड
अजधसचू िा
मुम्बई, 1 अगस्ट् त, 2022
भारतीय प्रजतभजू त और जिजिमय बोडड (मध्यिती) (संिोधि) जिजियम, 2022
स.ं सेबी/आईएडी-एिआरओ/िीएि/2022/91.—बोड,ड भारतीय प्रजतभूजत और जिजिमय बोड ड अजधजियम, 1992
(1992 का 15) की धारा 30 द्वारा प्रदाि की गई िजियों का प्रयोग करत े हुए एतद्द्वारा भारतीय प्रजतभूजत और जिजिमय
बोडड (मध्यिती) जिजियम, 2008 का और संिोधि करि े के जलए जिम्नजलजखत जिजियम बिाता ह,ै अर्ाडत ् :-
1. इि जिजियमों को भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) (संिोधि) जिजियम, 2022 कहा िा सकेगा ।
2. ये जिजियम रािपत्र म ेंइिके प्रकािि की तारीख को लाग ू होंग े।
3. भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) जिजियम, 2008 म,ें -
(I) िब्दों तर्ा जचह्िों “पदाजभजहत सदस्ट्य (डेजसग्नेटेड मेम्बर)”, िहााँ कहीं भी िे ददए हुए हों, के स्ट्र्ाि पर
िब्द “सक्षम प्राजधकारी” आ िाएंगे, और िब्दों “पदाजभजहत सदस्ट्य”, िहााँ कहीं भी िे ददए हुए हों, के
स्ट्र्ाि पर िब्द “सक्षम प्राजधकारी” आ िाएगं ;े
(II) जिजियम 22 म,ें खंड (ग) के स्ट्र्ाि पर जिम्नजलजखत खंड आ िाएगा, अर्ातड ,् –
“(ग) “सक्षम प्राजधकारी” का अर्ड ह ै - बोडड का पूणडकाजलक सदस्ट्य या िह अजधकारी िो मुख्य
महाप्रबंधक के ओहद े से िीचे का ि हो, जिसे बोडड द्वारा इस प्रयोििार्ड पदाजभजहत दकया गया हो;”;
5205 GI/2022 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
(III) जिजियम 24 म,ें उप-जिजियम (1) के स्ट्र्ाि पर जिम्नजलजखत उप-जिजियम आ िाएगा, अर्ाडत,् –
“(1) बोडड जिजियम 23 के अिसु ार की गई दकसी चूक के संबंध में उस व्यजि के जखलाफ कायिड ाजहयााँ िुरू
करि े की मंिूरी द े सकेगा, जिसे अजधजियम और उसके तहत बिाए गए जिजियमों (रेग्यूलिे न्स) के तहत
रजिस्ट्रीकरण प्रमाणपत्र प्रदाि दकया गया हो ।”
माधबी पुरी बुच, अध्यक्ष
[जिज्ञापि-III/4/असा./203/2022-23]
पाद टटप्पण :
1. भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) जिजियम, 2008, अजधसूचिा स.ं एलएडी-एिआरओ/
िीएि/2008/11/126538 द्वारा 26 मई, 2008 को भारत के रािपत्र, भाग III, खण्ड 4 म ेंप्रकाजित हुए र्।े
2. भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) जिजियम, 2008 तत्पश्चात ्:-
क) 11 अगस्ट्त, 2008 को भारतीय प्रजतभूजत और जिजिमय बोड ड (स्ट्टॉक दलाल और उप-दलाल) (संिोधि)
जिजियम, 2008, अजधसूचिा स.ं एलएडी-एिआरओ/िीएि/2008/20/134766, द्वारा
ख) 14 िलु ाई, 2009 को भारतीय प्रजतभूजत और जिजिमय बोड ड (मध्यिती) (संिोधि) जिजियम, 2009,
अजधसूचिा स.ं एल.ए.डी.-एि.आर.ओ./िी.एि./2009-10/12/169546, द्वारा
ग) 7 िििरी, 2014 को भारतीय प्रजतभूजत और जिजिमय बोडड [जिदेिी पोटडफोजलयो जिजिधािकता ड
(जििेिक)] जिजियम, 2014, अजधसूचिा स.ं एल.ए.डी.एि.आर.ओ./िी.एि./2013-14/36/12, द्वारा
घ) 25 मई, 2016 को भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) (संिोधि) जिजियम, 2016,
अजधसूचिा स.ं सेबी/एल.ए.डी.-एि.आर.ओ./िी.एि./2016-17/006, द्वारा
ङ) 21 ििम्बर, 2017 को भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) (संिोधि) जिजियम, 2017,
अजधसूचिा स.ं सेबी/एल.ए.डी.-एि.आर.ओ./िी.एि./2017-18/021, द्वारा
च) 17 अप्रलै , 2020 को भारतीय प्रजतभूजत और जिजिमय बोडड (रेग्यूलेटरी सैंडबॉक्स) (संिोधि) जिजियम,
2020, अजधसूचिा स.ं सेबी/एल.ए.डी.-एिआरओ/िीएि/2020/10, द्वारा
छ) 21 िििरी, 2021 को भारतीय प्रजतभूजत और जिजिमय बोड ड (मध्यिती) (संिोधि) जिजियम, 2021,
अजधसूचिा स.ं सेबी/एलएडी-एिआरओ/िीएि/2021/07, द्वारा
ि) 5 मई, 2021 को भारतीय प्रजतभूजत और जिजिमय बोडड (मध्यिती) (दसू रा संिोधि) जिजियम, 2021,
अजधसूचिा स.ं सेबी/एलएडी-एिआरओ/िीएि/2021/20, द्वारा
झ) 3 अगस्ट्त, 2021 को भारतीय प्रजतभूजत और जिजिमय बोड ड (रेग्यूलेटरी सैंडबॉक्स) (संिोधि) जिजियम,
2021, अजधसूचिा स.ं सेबी/एलएडी-एिआरओ/िीएि/2021/30, द्वारा
ञ) 17 ििम्बर, 2021 को भारतीय प्रजतभूजत और जिजिमय बोड ड (मध्यिती) (तीसरा संिोधि) जिजियम,
2021, अजधसूचिा स.ं सेबी/एलएडी-एिआरओ/िीएि/2021/59, द्वारा
संिोजधत हुए र्े ।
SECURITIES AND EXCHANGE BOARD OF INDIA
NOTIFICATION
Mumbai, the 1st August, 2022
SECURITIES AND EXCHANGE BOARD OF INDIA (INTERMEDIARIES) (AMENDMENT)
REGULATIONS, 2022
No SEBI/LAD-NRO/GN/2022/91.—In exercise of the powers conferred by section 30 of the
Securities and Exchange Board of India Act, 1992 (15 of 1992) the Board hereby makes the following
regulations to further amend the Securities and Exchange Board of India (Intermediaries) Regulations,
2008, namely: –[भाग III—खण् ड 4] भारत का रािपत्र : असाधारण 3
1. These regulations may be called the Securities and Exchange Board of India (Intermediaries)
(Amendment) Regulations, 2022.
2. They shall come into force on the date of their publication in the Official Gazette.
3. In the Securities and Exchange Board of India (Intermediaries) Regulations, 2008, -
(I) for the words “designated member”, wherever occurring, the words “competent authority” shall
be substituted;
(II) in regulation 22, clause (c) shall be substituted by the following, namely, -
“(c) “competent authority” means a Whole Time Member or an officer of the Board, not below
the rank of a Chief General Manager, as may be designated for the purpose by the Board;”;
(III) in regulation 24, sub-regulation (1) shall be substituted by the following, namely, -
“(1) The Board may approve the initiation of proceedings for any default of the nature specified
in regulation 23 against any person who has been granted a certificate of registration under the
Act and regulations made thereunder.”
MADHABI PURI BUCH, Chairman
[ADVT.-III/4/Exty./203/2022-23]
Footnote:
1. The Securities and Exchange Board of India (Intermediaries) Regulations, 2008 was published in
the Gazette of India, Part III Section 4 on May 26, 2008 vide notification No. LAD-
NRO/GN/2008/11/126538.
2. The Securities and Exchange Board of India (Intermediaries) Regulations, 2008 was subsequently
amended on: -
a) August 11, 2008 by the Securities and Exchange Board of India (Stock Brokers and Sub-
Brokers) (Amendment) Regulations, 2008, vide notification No. LAD-
NRO/GN/2008/20/134766.
b) July 14, 2009 by the Securities and Exchange Board of India (Intermediaries) (Amendment)
Regulations, 2009, vide notification no. LAD-NRO/GN/2009-10/12/169546.
c) January 7, 2014 by the Securities and Exchange Board of India (Foreign Portfolio Investors)
Regulations, 2014, vide notification no. LAD-NRO/GN/2013-14/36/12.
d) May 25, 2016 by the Securities and Exchange Board of India (Intermediaries) (Amendment)
Regulations, 2016, vide notification no. SEBI/LAD-NRO/GN/2016-17/006.
e) November 21, 2017, by the Securities and Exchange Board of India (Intermediaries)
(Amendment) Regulations, 2017, vide notification no. SEBI/LAD-NRO/GN/2017-18/021.
f) April 17, 2020, by the Securities and Exchange Board of India (Regulatory Sandbox)
(Amendment) Regulations, 2020, vide notification no. SEBI/LAD-NRO/GN/2020/10.
g) January 21, 2021, by the Securities and Exchange Board of India (Intermediaries)
(Amendment) Regulations, 2021, vide notification no. SEBI/LAD-NRO/GN/2021/07.
h) May 5, 2021, by the Securities and Exchange Board of India (Intermediaries) (Second
Amendment) Regulations, 2021, vide notification no. SEBI/LAD-NRO/GN/2021/20.
i) August 3, 2021, by the Securities and Exchange Board of India (Regulatory Sandbox)
(Amendment) Regulations, 2021, vide notification no. SEBI/LAD-NRO/GN/2021/30.
j) November 17, 2021, by the Securities and Exchange Board of India (Intermediaries) (Third
Amendment) Regulations, 2021, vide notification no. SEBI/LAD-NRO/GN/2021/59.
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