The NSE vide Circular dated December 16, 2020 Circular has provided the Penalty structure for Late/Non submission of undertaking to freeze the bank account pursuant to SOP in the cases of Trading Member leading to default. The NSE circulars dated September 07, 2020 and October 27, 2020 respectively wherein required the trading members to submit an undertaking to the Exchanges by October 31, 2020 empowering the exchange to instruct the bank(s) of the Trading Members to freeze the bank account(s) for debits in case of trading member leading to default.
This circular provides the penalties for Non/partial submission of undertaking, Non-submission of additional /addendum undertaking within 7 days of new bank account opening and for Material wrong submission or incorrect submission of data towards SOP. The penalties includes fine and disablement.
