SECURITIES CONTRACTS (REGULATION) SECOND AMENDMENT RULES, 2013 - AMENDMENT IN RULE 8
NOTIFICATION NO. GSR 705(E) [F.NO.1/17/SM/2011], DATED 24-10-2013
In
exercise of the powers conferred by section 30 of the Securities
Contracts (Regulation) Act, 1956, (42 of 1956), the Central Government
hereby makes the following rules further to amend the Securities
Contracts (Regulation) Rules 1957, namely :—
1. (1) These rules may be called the Securities Contracts (Regulation) Second Amendment Rules, 2013.
(2) They shall come into force on the date of their publication in the Official
Gazette.
2. In
the Securities Contracts (Regulation) Rules, 1957, in rule 8, after the
sub-rule (5), the following sub-rule shall be inserted, namely:—
"(6)
A limited liability partnership as defined in the Limited Liability
Partnership Act, 2008 (6 of 2009), shall also be eligible to be elected
as a member of a stock exchange if,:—
| (i) | | such
'limited liability partnership' undertakes to comply with such
financial requirements and norms as may be provided by the Securities
and Exchange Board of India for registration of such limited liability
partnerships under sub-section (1) of section 12 of the Securities and
Exchange Board of India Act, 1992 (15 of 1992); |
| (ii) | | the
designated partners of the 'limited liability partnership' are not
disqualified from being members of a stock exchange under sub-rule (1)
[except clause (b) and (f) thereof] or sub-rule (3) [except clause (a)
and clause (f) thereof] and the designated partners of the 'limited
liability partnership' had not held the offices of
Directors in any company or body corporate or partner in any firm or
'limited liability partnership', which had been a member of the stock
exchange and had been declared defaulter or expelled by the stock
exchange; and |
| (iii) | | not
less than two designated partners of the 'limited liability
partnership' are persons who possess a minimum experience of two years
:— |
| (a) | | in dealing in securities; or |
| (b) | | as portfolio managers; or |
| (c) | | as investment consultants.". |