NSE vide circular dated July 05, 2024 has clarified that contraventions by trading members like non-maintenance or not providing pre-order placement evidence for trades of clients when sought, shall be construed by the Exchange as unauthorized trade executed by the Trading Member as said trades were executed without the consent of the client.
The penalty structure shall include ‘Advice’ or ‘Warning’ and if the exchange observes repeated violation of the same nature and magnitude subsequently, in such cases, the said action shall be escalated including monetary penalty.
