Sebi mulls additional relaxations in reporting norms for stock brokers
To boost ease of doing business, markets regulator Sebi on Friday proposed additional relaxations to reporting norms for stock brokers, including exempting certain demat accounts held by brokers who are also primary dealers from tagging requirements.
Further, brokers that are banks or primary dealers will be required to report only those bank accounts that are used for stock broking activities, Sebi proposed.
"All demat accounts maintained by stock brokers should be appropriately tagged. Further, this shall not be applicable for the demat account which are used exclusively for activities other than stock broking activities by stock brokers, which are also primary dealers.
"Stock broker which is also bank or primary dealer, shall be required to report to the stock exchanges only those bank accounts that are used for their stock broking activities," Sebi said in its draft circular.
Under the current rules, brokers are required to maintain properly named and tagged bank and demat ...