SECURITIES AND EXCHANGE BOARD OF INDIA (PAYMENT OF FEES) (AMENDMENT) REGULATIONS, 2020

CS DEEPAK SETH May 09, 2020
SECURITIES AND EXCHANGE BOARD OF INDIA (PAYMENT OF FEES) (AMENDMENT) REGULATIONS, 2020
 Article explains powers conferred under 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 (Stock Brokers) Regulations, 1992, Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018 and Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018, namely:

1. These regulations may be called the Securities and Exchange Board of India (Payment of Fees) (Amendment) Regulations, 2020.
2.  They shall come into force on June 01, 2020.

SEBI vide Notification No. SEBI/LAD-NRO/GN/2020/011 dated 08.05.2020 states:

Amendments to Securities and Exchange Board of India (Stock Brokers) Regulations, 1992.

3.      In the Securities and Exchange Board of India (Stock Brokers) Regulations, 1992, ─
I.        In Schedule V, in Part B, in clause 3, after sub-clause (1), the following shall be inserted, namely, -
“(1A) Every stock broker in cash segment, equity derivatives segment, currency derivatives segment, interest rate derivatives segment and commodity derivatives segment (other than agri commodity derivative) liable to pay fees as a percentage of their turnover as specified at sub-clause 1 shall, for the period  June  01,  2020  to March 31, 2021, pay only 50% (fifty percent) of fees as calculated therein, including for off-market transactions undertaken by them.”

Amendments to Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018.
4.      In the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, -
I.      In schedule III, after the existing table in clause 2(a), the following table shall be inserted for the period from June 01, 2020 to December 31, 2020, namely,-
“
Size of the issue, including intended retention of oversubscription
Amount / Rate of fees
Amount / Rate of fees for filing within one year after expiry of SEBI Observation
letter
Less than or equal to ten crore rupees.
A flat charge of fifty thousand rupees (50,000/-).
A flat charge of twenty five thousand rupees (25,000/-).
More than ten crore rupees, but less than or equal to five thousand crore rupees.
0.05 per cent. of the issue size.
0.025 per cent of the issue size.
More than five thousand crore rupees.
Two     crore     fifty      lakh            rupees (2,50,00,000/-) plus 0.0125 per cent. of the portion of the issue size in excess of five thousand crore rupees (5000,00,00,000/-).
One crore twenty five lakh rupees (1,25,00,000/-) plus 0.00625 per cent. of the portion of the issue size in excess of five thousand crore rupees (5000,00,00,000/-).
”
II.      In schedule III, after the existing table in clause 2(b), the following table shall be inserted for the period from June 01, 2020 to December 31, 2020, namely,-
“
Size of the issue, including intended retention of oversubscription
Amount / Rate of fees
Amount / Rate of fees for filing within one year after expiry of SEBI Observation
letter
Less than or equal to ten crore rupees#
A flat charge of twenty five thousand rupees
(25,000/-).
A flat charge of twelve thousand five hundred rupees (12,500/-).
More than ten crore rupees#
0.025 per cent. of the issue size.
0.0125 per cent of the issue size.
# to be read as twenty-five crores with effect from April 21, 2020
”

Amendments to Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018

In the Securities And Exchange Board of India (Buy-Back of Securities) Regulations, 2018 -

I.      In schedule V, after the existing table, the following table shall be inserted for the period from  June 01, 2020 to December 31, 2020, namely,-

“
Offer Size
Fee (Rupees)
Less than or equal to rupees ten crore
2,50,000/-
More than rupees ten crore but less than or equal to rupees one thousand crore
0.25 per cent of the offer size
More than rupees one thousand crore
2,50,00,000/- plus 0.0625 per cent of the portion of offer size in excess of rupees one thousand crore


DISCLAIMER: THE ARTICLE IS BASED ON THE RELEVANT PROVISIONS AND AS PER THE INFORMATION EXISTING AT THE TIME OF THE PREPARATION. IN NO EVENT I SHALL BE LIABLE FOR ANY DIRECT AND INDIRECT RESULT FROM THIS ARTICLE. THIS IS ONLY A KNOWLEDGE SHARING INITIATIVE.
THE AUTHOR – CS DEEPAK SETH (ASSOCIATE PARTNER HELPINGHANDS PROFESSIONALS LLP) AND CAN BE REACHED AT CONTACTHHPRO@GMAIL.COM OR 9910248911.
 
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CS DEEPAK SETH

Posted by: CS DEEPAK SETH

CS Deepak Seth is an Associate Member of Institute of Companies Secretaries of India having good experience in legal and secretarial matters. He is graduate from Delhi University and Post graduate from IGNOU University. He is also MBA in Finance and LLB Deree holder. He possesses professional experience of more than 3 years in handling Secretarial and Compliance management. He deals with Process Automation, Compliance, and Outsourcing needs. He holds specialization includes handling compliances of Merger and Amalgamation, SEBI LODR, ROC, Stock Exchanges(BSE/NSE) & SCORES. Extensively involved in handling compliances of Secretarial area, SEBI, Goods & Service Tax (GST). Presently associated with Helpinghands Professionals LLP as an Associate Partner.

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